Stantec (NYSE:STN) Reaches New 1-Year Low – What’s Next?

Stantec Inc. (NYSE:STN) (TSE:STN) shares hit a new 52-week low during trading on Monday . The company traded as low as $74.30 and last traded at $74.02, with a volume of 1448 shares. The stock had previously closed at $77.43.

Analyst Ratings Changes

A number of brokerages have recently commented on STN. Canaccord Genuity Group upgraded Stantec from a “hold” rating to a “buy” rating in a research note on Monday, November 11th. Canaccord Genuity Group raised Stantec from a “hold” rating to a “buy” rating in a report on Monday, November 11th. Scotiabank started coverage on Stantec in a report on Friday, October 25th. They issued a “sector outperform” rating for the company. Finally, StockNews.com raised Stantec from a “hold” rating to a “buy” rating in a report on Saturday, November 16th. Two research analysts have rated the stock with a hold rating and four have issued a buy rating to the company. According to MarketBeat.com, the stock presently has a consensus rating of “Moderate Buy”.

Stantec Stock Performance

The company has a debt-to-equity ratio of 0.54, a current ratio of 1.42 and a quick ratio of 1.42. The company has a market capitalization of $8.51 billion, a price-to-earnings ratio of 33.92 and a beta of 1.01. The stock has a 50 day simple moving average of $80.76 and a two-hundred day simple moving average of $81.88.

Stantec (NYSE:STN) (TSE:STN) last posted its earnings results on Thursday, November 7th. The business services provider reported $0.95 EPS for the quarter, topping analysts’ consensus estimates of $0.90 by $0.05. Stantec had a return on equity of 16.57% and a net margin of 4.78%. The business had revenue of $1.41 billion for the quarter, compared to analysts’ expectations of $1.12 billion. During the same quarter in the previous year, the firm earned $0.85 earnings per share. As a group, analysts anticipate that Stantec Inc. will post 3.05 earnings per share for the current year.

Stantec Increases Dividend

The business also recently declared a quarterly dividend, which was paid on Wednesday, January 15th. Investors of record on Tuesday, December 31st were issued a dividend of $0.155 per share. The ex-dividend date was Tuesday, December 31st. This represents a $0.62 dividend on an annualized basis and a dividend yield of 0.83%. This is a positive change from Stantec’s previous quarterly dividend of $0.15. Stantec’s dividend payout ratio (DPR) is currently 26.36%.

Institutional Investors Weigh In On Stantec

Institutional investors have recently added to or reduced their stakes in the business. The Manufacturers Life Insurance Company boosted its stake in shares of Stantec by 121.3% during the 3rd quarter. The Manufacturers Life Insurance Company now owns 2,802,689 shares of the business services provider’s stock worth $225,537,000 after acquiring an additional 1,536,475 shares in the last quarter. National Bank of Canada FI boosted its stake in shares of Stantec by 54.6% during the 3rd quarter. National Bank of Canada FI now owns 1,453,730 shares of the business services provider’s stock worth $116,897,000 after acquiring an additional 513,269 shares in the last quarter. Toronto Dominion Bank boosted its stake in shares of Stantec by 198.4% during the 3rd quarter. Toronto Dominion Bank now owns 378,119 shares of the business services provider’s stock worth $30,405,000 after acquiring an additional 251,407 shares in the last quarter. Cumberland Partners Ltd boosted its stake in shares of Stantec by 1,013.6% during the 3rd quarter. Cumberland Partners Ltd now owns 112,200 shares of the business services provider’s stock worth $9,031,000 after acquiring an additional 102,125 shares in the last quarter. Finally, Northwest & Ethical Investments L.P. boosted its stake in shares of Stantec by 79.1% during the 3rd quarter. Northwest & Ethical Investments L.P. now owns 198,539 shares of the business services provider’s stock worth $15,966,000 after acquiring an additional 87,709 shares in the last quarter. Hedge funds and other institutional investors own 63.86% of the company’s stock.

About Stantec

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.