Stantec (NYSE:STN) Releases Earnings Results, Hits Estimates

Key Points

• Stantec reported $0.98 earnings per share for the quarter, meeting analysts' expectations, with a return on equity of 18.22% and a net margin of 5.01%.
• The company announced an increase in its quarterly dividend to $0.1612, reflecting an annualized yield of 0.6%.
• Seven analysts have rated Stantec's stock as a buy, indicating positive sentiment toward its future performance.

Stantec (NYSE:STN - Get Free Report) TSE: STN posted its quarterly earnings results on Wednesday. The business services provider reported $0.98 earnings per share (EPS) for the quarter, hitting the consensus estimate of $0.98, Zacks reports. Stantec had a net margin of 5.62% and a return on equity of 19.03%. The business had revenue of $1.17 billion for the quarter, compared to analyst estimates of $1.64 billion. Stantec updated its FY 2025 guidance to 3.784-3.880 EPS.

Stantec Trading Down 0.6%

Shares of NYSE:STN traded down $0.67 during midday trading on Monday, reaching $105.56. The company's stock had a trading volume of 22,329 shares, compared to its average volume of 173,760. Stantec has a fifty-two week low of $73.18 and a fifty-two week high of $113.50. The company has a debt-to-equity ratio of 0.44, a quick ratio of 1.44 and a current ratio of 1.44. The firm has a 50 day moving average price of $108.91 and a two-hundred day moving average price of $94.76. The firm has a market capitalization of $12.04 billion, a price-to-earnings ratio of 38.53 and a beta of 1.03.

Stantec Increases Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Wednesday, October 15th. Stockholders of record on Monday, September 29th will be given a $0.1635 dividend. This is a boost from Stantec's previous quarterly dividend of $0.16. The ex-dividend date of this dividend is Monday, September 29th. This represents a $0.65 annualized dividend and a dividend yield of 0.6%. Stantec's dividend payout ratio is 24.09%.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently bought and sold shares of the stock. Jones Financial Companies Lllp boosted its position in shares of Stantec by 1,504.9% during the 1st quarter. Jones Financial Companies Lllp now owns 1,958 shares of the business services provider's stock worth $162,000 after purchasing an additional 1,836 shares in the last quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC raised its stake in Stantec by 15.9% during the 1st quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 164,426 shares of the business services provider's stock worth $13,621,000 after buying an additional 22,524 shares during the period. Jane Street Group LLC boosted its holdings in Stantec by 73.2% in the first quarter. Jane Street Group LLC now owns 22,066 shares of the business services provider's stock worth $1,828,000 after acquiring an additional 9,325 shares in the last quarter. Cetera Investment Advisers acquired a new stake in Stantec in the second quarter valued at approximately $361,000. Finally, EverSource Wealth Advisors LLC increased its holdings in shares of Stantec by 15.2% during the second quarter. EverSource Wealth Advisors LLC now owns 1,361 shares of the business services provider's stock valued at $148,000 after acquiring an additional 180 shares in the last quarter. 63.86% of the stock is owned by institutional investors.

Analysts Set New Price Targets

A number of research analysts have issued reports on the company. Scotiabank reiterated an "outperform" rating on shares of Stantec in a research report on Wednesday, May 7th. Royal Bank Of Canada restated an "outperform" rating on shares of Stantec in a research note on Friday, May 16th. CIBC reiterated an "outperform" rating on shares of Stantec in a research report on Friday, July 18th. Wall Street Zen downgraded shares of Stantec from a "strong-buy" rating to a "buy" rating in a report on Saturday. Finally, TD Securities reaffirmed a "buy" rating on shares of Stantec in a research note on Friday, May 16th. Eight analysts have rated the stock with a buy rating, According to data from MarketBeat, the stock currently has an average rating of "Buy".

Stantec Company Profile

Stantec Inc provides professional services in the areas of infrastructure and facilities to the public and private sectors in Canada, the United States, and internationally. It offers evaluation, planning, and designing infrastructure solutions; solutions for sustainable water resources, planning, management, and infrastructure; environmental services; integrated architecture, engineering, interior design, and planning solutions for buildings; and energy and resources solutions.