STN:NYSEStantec Inc Analysis
Data as of 2026-05-27 - not real-time
$76.96
Latest Price
6/10Risk
Risk Level: Medium
Executive Summary
Stantec is trading well below its 20‑day, 50‑day and 200‑day moving averages, with the price near the identified support of $72.5 and a RSI in the mid‑30s, indicating short‑term oversold conditions. Technical indicators – a bearish MACD and a bearish trend flag – suggest further downside risk, yet the surge in volume and the oversold reading leave room for a bounce.
Fundamentally, the company delivers a 9% year‑over‑year revenue increase, an expanding adjusted EBITDA margin, and a forward PE of roughly 15 versus an industry average of 30, positioning it as an undervalued stock. The DCF fair‑value estimate of about $105 is well above the current price, dividend payout is modest at 21% of earnings, and cash flow remains healthy, supporting a sustainable dividend.
Fundamentally, the company delivers a 9% year‑over‑year revenue increase, an expanding adjusted EBITDA margin, and a forward PE of roughly 15 versus an industry average of 30, positioning it as an undervalued stock. The DCF fair‑value estimate of about $105 is well above the current price, dividend payout is modest at 21% of earnings, and cash flow remains healthy, supporting a sustainable dividend.
Market Outlook
Short Term
< 1 yearNeutral
Model confidence: 7/10
Key Factors
- Price hovering at key support
- RSI indicating oversold conditions
- Bearish MACD but rising volume
Medium Term
1–3 yearsPositive
Model confidence: 8/10
Key Factors
- Revenue and EBITDA growth outpacing peers
- Valuation gap to DCF fair value
- Improving profit margins and modest dividend yield
Long Term
> 3 yearsPositive
Model confidence: 9/10
Key Factors
- Strong ROE and cash‑flow generation
- Strategic positioning in sustainable infrastructure
- Undervalued relative to industry multiples and solid dividend sustainability
Key Metrics & Analysis
Financial Health
Revenue Growth9.10%
Profit Margin7.39%
P/E Ratio24.7
ROE15.28%
ROA6.63%
Debt/Equity76.67
P/B Ratio3.7
Op. Cash Flow$759.9M
Free Cash Flow$739.2M
Industry P/E30.1
Technical Analysis
TrendBearish
RSI35.3
Support$72.46
Resistance$93.62
MA 20$83.59
MA 50$86.53
MA 200$98.09
MACDBearish
VolumeIncreasing
Fear & Greed Index91.07
Valuation
Fair Value$104.57
GradeUndervalued
TypeBlend
Dividend Yield0.88%
Risk Assessment
Beta0.97
Volatility40.69%
Sector RiskMedium
Reg. RiskMedium
Geo RiskMedium
Currency RiskMedium
Liquidity RiskLow
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This analysis may contain inaccuracies and is provided for informational and research purposes only. It is not personal investment advice, a recommendation, or an instruction to buy, sell, or hold any asset.