CDUAF (Canadian Utilities) Financial Strength: 4 (As of Jun. 2026) — Near Median

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CDUAF Canadian Utilities Ltd CDUAF
69 GF Score
Price $40.00
GF Value $26.79
Valuation Significantly Overvalued
! 13 Warning Signs
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What is Canadian Utilities Financial Strength?

Canadian Utilities CDUAF -0.76% 69 Financial Strength is 4 as of Jun. 2026, which is at its 10-year median of 4.00. GuruFocus rates CDUAF with a GF Score™ of 69/100 and a GF Value™ of $26.79 (Significantly Overvalued). The stock has 13 warning signs investors should review.

Canadian Utilities has the Financial Strength Rank of 4.

Warning Sign:

Canadian Utilities Ltd displays poor financial strength. Usually, this is caused by too much debt for the company.

GuruFocus Financial Strength Rank measures how strong a company's financial situation is. It is rated on a scale of 1 to 10 and is based on these factors:

1. The debt burden that the company has as measured by its Interest Coverage (current year). The higher, the better.
2. Debt to revenue ratio. The lower, the better.
3. Altman Z-Score.
4. Other debt related ratios.

A higher score indicates a stronger financial position, with companies rated 7 or above considered financially stable and unlikely to face distress. Conversely, a score of 3 or below suggests potential financial difficulties, indicating a higher risk of distress.

Canadian Utilities's Interest Coverage for the quarter that ended in Jun. 2026 was 1.99. Canadian Utilities's debt to revenue ratio for the quarter that ended in Jun. 2026 was 3.32. As of today, Canadian Utilities's Altman Z-Score is 1.00.


Canadian Utilities  (OTCPK:CDUAF) Financial Strength Explanation

The rank is rated on a scale of 1 to 10. A higher score indicates a stronger financial position, with companies rated 7 or above considered financially stable and unlikely to face distress. Conversely, a score of 3 or below suggests potential financial difficulties, indicating a higher risk of distress.

Canadian Utilities has the Financial Strength Rank of 4.


Canadian Utilities Financial Strength Related Terms


CDUAF vs SRE, AES: Financial Strength Comparison

For the Utilities - Diversified subindustry, Canadian Utilities's Financial Strength, along with its competitors' market caps and Financial Strength data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Canadian Utilities Financial Strength vs Utilities - Regulated Industry

For the Utilities - Regulated industry and Utilities sector, Canadian Utilities's Financial Strength distribution charts can be found below:

* The bar in red indicates where Canadian Utilities's Financial Strength falls into.


CDUAF
69GF Score
Canadian Utilities Ltd CDUAF
Financial Strength is just one metric. See GF Score™, valuation, warning signs, and more.
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Canadian Utilities Financial Strength Calculation

GuruFocus Financial Strength Rank measures how strong a company's financial situation is. It is based on these factors

A company ranks high with financial strength is likely to withstand any business slowdowns and recessions.

1. The debt burden that the company has as measured by its Interest Coverage (current year). The higher, the better.

Note: If both Interest Expense and Interest Income are empty, while Net Interest Income is negative, then use Net Interest Income as Interest Expense.

Interest Coverage is a ratio that determines how easily a company can pay interest expenses on outstanding debt. It is calculated by dividing a company's Operating Income (EBIT) by its Interest Expense:

Canadian Utilities's Interest Expense for the months ended in Jun. 2026 was $-97 Mil. Its Operating Income for the months ended in Jun. 2026 was $193 Mil. And its Long-Term Debt & Capital Lease Obligation for the quarter that ended in Jun. 2026 was $8,620 Mil.

Canadian Utilities's Interest Coverage for the quarter that ended in Jun. 2026 is

Interest Coverage=-1*Operating Income (Q: Jun. 2026 )/Interest Expense (Q: Jun. 2026 )
=-1*193.102/-96.908
=1.99

The higher the ratio, the stronger the company's financial strength is.

Warning Sign:

Ben Graham prefers companies' interest coverage to be at least 5. Canadian Utilities Ltd interest coverage is 1.64, which is low.

2. Debt to revenue ratio. The lower, the better.

Canadian Utilities's Debt to Revenue Ratio for the quarter that ended in Jun. 2026 is

Debt to Revenue Ratio=Total Debt (Q: Jun. 2026 ) / Revenue
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / Revenue
=(29.215 + 8620.493) / 2605.1
=3.32

3. Altman Z-Score.

Z-Score model is an accurate forecaster of failure up to two years prior to distress. It can be considered the assessment of the distress of industrial corporations.

The zones of discrimination were as such:

When Z-Score is less than 1.81, it is in Distress Zones.
When Z-Score is greater than 2.99, it is in Safe Zones.
When Z-Score is between 1.81 and 2.99, it is in Grey Zones.

Canadian Utilities has a Z-score of 1.00, indicating it is in Distress Zones. This implies bankrupcy possibility in the next two years.

Warning Sign:

Altman Z-score of 1 is in distress zone. This implies bankruptcy possibility in the next two years.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Frequently Asked Questions Learn more about Financial Strength →
What does a Financial Strength of 4 mean?
Canadian Utilities (CDUAF) has a Financial Strength of 4 as of Jun. 2026. The financial strength rank measures the strength of a company's balance sheet based on revenue and debt. View historical data on Canadian Utilities and its competitors. This is near median its historical median of 4.00. Over the past decade, Canadian Utilities' Financial Strength has ranged from 3.00 to 5.00.
Is Canadian Utilities' Financial Strength too high?
Canadian Utilities' current Financial Strength of 4 is near median its 10-year median of 4.00. Over the past 10 years, this metric has ranged from a low of 3.00 to a high of 5.00. Overall, Canadian Utilities has a GF Score™ of 69/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Canadian Utilities' Financial Strength compare to SRE and AES?
Canadian Utilities' Financial Strength of 4 can be compared against companies in the Utilities - Regulated industry. Historically, Canadian Utilities' own Financial Strength has ranged from 3.00 to 5.00 over the past decade. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Financial Strength for an Utilities - Regulated company?
A good Financial Strength depends on the Utilities - Regulated industry context. However, Financial Strength should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Financial Strength mean?
A high Financial Strength can signal that a stock is expensive relative to its fundamentals. The financial strength rank measures the strength of a company's balance sheet based on revenue and debt. View historical data on Canadian Utilities and its competitors. Canadian Utilities's current Financial Strength is 4, which is near median its own 10-year median of 4.00. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Canadian Utilities stock overvalued right now?
Based on GuruFocus' analysis, Canadian Utilities (CDUAF) is currently considered Significantly Overvalued. The stock's GF Value™ is $26.79, compared to a current price of $40.00 — trading 49.3% above its estimated fair value. The current Financial Strength is 4, which is near median its 10-year median of 4.00. Canadian Utilities' overall GF Score™ is 69/100 with 13 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Financial Strength calculated?
Financial Strength is calculated from a company's financial statements. For Canadian Utilities (CDUAF), the current Financial Strength is 4 as of Jun. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is Canadian Utilities (CDUAF) Overvalued in 2026?

Based on GuruFocus' analysis, Canadian Utilities stock appears to be overvalued. The current stock price of $40.00 is trading 49.3% above its estimated GF Value™ of $26.79. GuruFocus considers Canadian Utilities to be Significantly Overvalued.

Key valuation signals for CDUAF:

  • Financial Strength: 4 (near median its 10-year median of 4.00)
  • GF Value™: $26.79 vs. price of $40.00 (49.3% above fair value)
  • GF Score™: 69/100 with 13 warning signs

No single metric tells the full story. See the CDUAF stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Canadian Utilities Business Description

Address 5302 Forand Street South West, 4th Floor, West Building, Corporate Governance & Secretarial, Calgary, AB, CAN, T3E 8B4
Canadian Utilities Ltd, a subsidiary of holding company Atco, offers gas and electricity services. The company is engaged in segments that include ATCO Energy Systems, ATCO EnPower, ATCO Australia, and Corporate & Other. Headquartered in Calgary, Alberta, the firm mainly operates in Canada, Australia, and others. The company generates maximum revenue from Canada. Canadian Utilities launched a large venture called Atco Energy, which provides low-cost and sustainable energy solutions for Alberta.
69GF Score

Get the complete analysis for CDUAF

Financial Strength is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

$40.00
Price
$26.79
GF Value