Forecast

Financial forecast

Project revenue, EBITDA, net income and free cash flow for the next 5 or 10 years. Growth starts at the same rate the valuation uses and fades to the long-run rate, with margins held at today's level. Bear and bull cases move growth by the company's own revenue volatility. It is a model of what the assumptions imply, not a prediction.

Power Corporation of Canada (POW.TO)

Price updated 06 Nov 2026 09:56; TTM through 30 Jun 2026; TTM financials updated 06 Nov 2026 12:42.

Starts from TTM through 30 Jun 2026 financials in CAD and a share price of CAD 91.75. Growth begins at 4.8% a year (the valuation's blended assumption) and fades to 2.4% by year 10. Margins held at EBITDA 18.9%, net 7.7%, free cash flow 14.4% of revenue. Bear and bull move starting growth by 6.0 points and long-run growth by 1 point.

For banks, insurers and holding companies, revenue and cash flow mix in interest and investment flows. Read net income rather than free cash flow.
CAD 100.08Model fair value (Sum of listed stakes); range CAD 88.96 to CAD 111.20
9%Fair value vs today's price
LowModel confidence
25%Share of the gap to fair value the price closes by year 5

Confidence: Earnings-based DCF disagrees strongly; trailing-twelve-month data; profit and cash flow steady for 3 years; value is more than 1.5x the Earnings-based DCF value; investment holding company: value is its net assets less a typical discount, and book value is only a proxy for what its stakes are worth.

6.6%/yrModel-implied annual total return over 10 years, base case (price plus dividends). Raw model level; the screener shows a calibrated ranking instead
CAD 49.64BRevenue in year 10 (base)
CAD 3.83BNet income in year 10 (base)
CAD 7.16BFree cash flow in year 10 (base)
CAD 3.73Dividend per share in year 10 (base)
CAD 141.85Implied share price in year 10 (base), today CAD 91.75
12.3%Year-10 free cash flow per share vs today's price

Book value per share over time

CAD 0.00 CAD 16.31 CAD 32.61 CAD 48.92 CAD 65.23 TTM through 30 Jun 2026 +1 +2 +3 +4 +5 +6 +7 +8 +9 +10
Solid: reported Dashed: base projection Shaded: bear to bull range
Book value per share in year 10 by scenario
CaseStarting growthYear 10Annual growth
Bear -1.2% CAD 55.53 3.4%
Base 4.8% CAD 59.83 4.2%
Bull 10.8% CAD 65.23 5.1%

Base case by year

YearGrowthRevenueEBITDANet incomeFree cash flowEPSFCF / shareDividend / shareBook / shareImplied price
TTM through 30 Jun 2026– CAD 34.83BCAD 6.59BCAD 2.69BCAD 5.02B 4.247.922.6239.5891.75
Year 14.8% CAD 36.51BCAD 6.91BCAD 2.82BCAD 5.27B 4.448.302.7441.2896.13
Year 24.6% CAD 38.17BCAD 7.22BCAD 2.95BCAD 5.50B 4.658.682.8743.06100.73
Year 34.3% CAD 39.80BCAD 7.53BCAD 3.07BCAD 5.74B 4.849.052.9944.92105.54
Year 44.0% CAD 41.40BCAD 7.83BCAD 3.20BCAD 5.97B 5.049.413.1146.85110.57
Year 53.7% CAD 42.95BCAD 8.12BCAD 3.32BCAD 6.19B 5.239.763.2248.85115.80
Year 63.5% CAD 44.44BCAD 8.41BCAD 3.43BCAD 6.41B 5.4110.103.3450.92120.72
Year 73.2% CAD 45.87BCAD 8.68BCAD 3.54BCAD 6.62B 5.5810.433.4453.06125.79
Year 82.9% CAD 47.21BCAD 8.93BCAD 3.65BCAD 6.81B 5.7510.733.5555.26131.00
Year 92.7% CAD 48.47BCAD 9.17BCAD 3.74BCAD 6.99B 5.9011.023.6457.52136.36
Year 102.4% CAD 49.64BCAD 9.39BCAD 3.83BCAD 7.16B 6.0411.283.7359.83141.85

EPS and free cash flow per share assume today's share count. Dividends assume today's payout ratio and book value grows with retained earnings. The implied share price follows the valuation models and is not a price target; override growth settings do not change the model fair value. Margins stay at today's level except where the notes say they drift toward their average, so it does not model margin expansion, buybacks, acquisitions or recessions. It is for information and education only and is not investment advice. See the methodology for how the growth rate is blended.