Scotiabank Issues Pessimistic Outlook for Stantec Earnings

Stantec Inc. (NYSE:STN) (TSE:STN) – Equities research analysts at Scotiabank decreased their FY2026 EPS estimates for shares of Stantec in a research note issued on Wednesday, July 15th. Scotiabank analyst J. Goldman now expects that the business services provider will earn $4.28 per share for the year, down from their previous estimate of $4.51. The consensus estimate for Stantec’s current full-year earnings is $4.43 per share.

A number of other research firms have also recently weighed in on STN. ATB Cormark Capital Markets raised Stantec from a “hold” rating to a “moderate buy” rating in a report on Friday, May 15th. Weiss Ratings lowered Stantec from a “hold (c+)” rating to a “hold (c)” rating in a research note on Monday, June 1st. Canadian Imperial Bank of Commerce restated an “outperform” rating on shares of Stantec in a report on Tuesday, May 19th. Wall Street Zen lowered Stantec from a “strong-buy” rating to a “buy” rating in a research note on Saturday, June 13th. Finally, Zacks Research cut Stantec from a “strong-buy” rating to a “hold” rating in a report on Wednesday, May 13th. Five analysts have rated the stock with a Buy rating and two have given a Hold rating to the company. According to data from MarketBeat.com, Stantec presently has a consensus rating of “Moderate Buy” and a consensus price target of $175.00.

Stantec Stock Performance

NYSE STN opened at $69.16 on Monday. The firm has a market cap of $7.77 billion, a price-to-earnings ratio of 22.17 and a beta of 1.00. The company has a 50 day moving average of $72.17 and a 200-day moving average of $85.41. The company has a current ratio of 1.35, a quick ratio of 1.35 and a debt-to-equity ratio of 0.47. Stantec has a 1-year low of $66.94 and a 1-year high of $114.51.

Stantec (NYSE:STN) (TSE:STN) last announced its quarterly earnings results on Wednesday, May 13th. The business services provider reported $0.97 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.95 by $0.02. The firm had revenue of $1.22 billion during the quarter, compared to the consensus estimate of $1.23 billion. Stantec had a net margin of 5.92% and a return on equity of 19.37%. Stantec has set its FY 2026 guidance at 4.370-4.490 EPS.

Stantec Dividend Announcement

The business also recently declared a quarterly dividend, which was paid on Wednesday, July 15th. Investors of record on Tuesday, June 30th were issued a $0.245 dividend. The ex-dividend date of this dividend was Tuesday, June 30th. This represents a $0.98 dividend on an annualized basis and a dividend yield of 1.4%. Stantec’s dividend payout ratio (DPR) is currently 22.12%.

Institutional Inflows and Outflows

Large investors have recently bought and sold shares of the company. UBS Group AG raised its stake in shares of Stantec by 23.2% during the fourth quarter. UBS Group AG now owns 390,644 shares of the business services provider’s stock worth $36,861,000 after buying an additional 73,539 shares during the last quarter. Principal Financial Group Inc. lifted its holdings in Stantec by 126.0% in the fourth quarter. Principal Financial Group Inc. now owns 932,025 shares of the business services provider’s stock valued at $88,066,000 after buying an additional 519,545 shares during the period. Louisbourg Investments Inc. boosted its stake in Stantec by 97.4% in the fourth quarter. Louisbourg Investments Inc. now owns 42,005 shares of the business services provider’s stock valued at $3,969,000 after acquiring an additional 20,721 shares during the last quarter. Perigon Wealth Management LLC bought a new position in Stantec in the fourth quarter valued at approximately $598,000. Finally, TD Waterhouse Canada Inc. grew its holdings in Stantec by 6.7% during the 4th quarter. TD Waterhouse Canada Inc. now owns 470,442 shares of the business services provider’s stock worth $44,344,000 after acquiring an additional 29,718 shares during the period. Institutional investors and hedge funds own 63.86% of the company’s stock.

About Stantec

Stantec is a global design and consulting firm offering professional services in engineering, architecture, and environmental sciences. The company partners with public and private clients to deliver solutions spanning infrastructure, water, energy and resources, and community development. Through an integrated approach, Stantec manages projects from initial planning and conceptual design through construction and commissioning, focusing on sustainability and innovation.

The firm’s service portfolio includes civil infrastructure design, building systems engineering, environmental assessments, and project management.