# Power Corporation of Canada (POW.TO) fundamentals

Data as of 2026-09-08. TSX, Canada. Sector: Financial Services / Insurance. Price C$95.28, market value C$59.8 billion.

## Valuation
- **P/E (trailing): 23.5×** (5-yr avg 9.7×, 3-yr avg 12.8×). Power Corporation of Canada trades at 23.5× trailing earnings, well above its own five-year average of 9.7×: investors are paying up relative to the company's past. The Financial Services median in the September 2026 study was 13.1×. Forward P/E is 13.7×, lower than trailing, so analysts expect earnings to grow.
- **Price / sales: 1.7×**. Each dollar of revenue is priced at 1.7×.
- **Price / book: 2.5×**. The shares trade at 2.5× book value; book value is a meaningful part of the valuation.
- **Free-cash-flow yield: 8.4%** (5-yr avg 26.5%). Free cash flow equals 8.4% of the market value, below its five-year average of 26.5%, so the shares are pricier on cash than usual. Above 5% is generally attractive.
- **Earnings yield: 4.3%**. The inverse of the P/E: 4.3% of the price is earned each year.

## Profitability
- **Net margin: 7.0%**. 7.0% of each dollar of sales reaches the bottom line.
- **Return on equity: 10.8%**. 10.8% on shareholders' equity is solid.
- **Return on assets: 0.3%**. Each dollar of assets produces 0.3% of profit; low single digits are normal for banks and insurers.

## Growth
- **Revenue growth (1 yr): 14.2%** (5-yr -10.2%/yr). Revenue grew 14.2% over the last year, against -10.2% a year compounded over five years: growth is accelerating.
- **EPS growth (1 yr): -6.0%** (3-yr -9.2%/yr, 5-yr -6.3%/yr). Earnings per share fell 6.0%, slower than revenue, so margins compressed.
- **Free-cash-flow growth (3 yr): -14.7%/yr**. Free cash flow has compounded at -14.7% a year over three years, lagging earnings: check whether profits are turning into cash.

## Financial health
- **Piotroski F-score: 7/9**. 7 of 9 fundamental checks pass: strong and improving financials.
- **Cash and short-term investments: C$34.1 billion**. Leverage ratios are shown differently for banks and insurers, whose balance sheets are built on deposits and reserves; use return on equity and the regulatory capital in the filings instead.

## Dividends
- **Dividend yield: 2.80%** (C$2.50 per share, trailing). Power Corporation of Canada yields 2.80%, a modest yield more typical of a growth-oriented payer.
- **Payout ratio: 61%** (33% of free cash flow). 61% of earnings goes out as dividends, leaving room to keep raising it.
- **Consecutive years of increases: 4**. 4 straight years of increases.
- **Dividend growth (5 yr): 2.2%/yr** (1-yr 8.9%). The dividend has grown 2.2% a year over five years.
- **Shareholder yield: 6.8%**. Dividends plus net buybacks return 6.8% of the market value a year.

## Analyst view
- **Analyst consensus: hold** (9 analysts). 9 analysts cover Power Corporation of Canada; the consensus is hold, with an average price target of C$98.89 (+4% from the current price). Analyst opinion is shown for context; it is not part of the Fundamental Score.

## Price and momentum
- **Total return (1 yr): 69.7%** (YTD 33.0%, 3-mo 14.4%). The shares are up 69.7% over twelve months including dividends.
- **From 52-week high: -2.4%** (66.9% above the low). Trading within 5% of its 52-week high.
- **200-day average: above**. The price sits above its 200-day moving average, the usual definition of an uptrend.
- **RSI (14-day): 61**. An RSI of 61 is neutral.
- **Beta (1 yr): 0.42** (volatility 20%). Beta of 0.42 against the S&P/TSX Composite: the shares move much less than the market.

Live score and charts: https://foliofundamentals.com/analyzer?s=POW.TO · Page: https://foliofundamentals.com/stocks/pow.to

Not investment advice.