NOA.TO
North American Construction Group Ltd
Price:  
22.61 
CAD
Volume:  
110,113
Canada | Energy Equipment & Services

NOA.TO Fair Value

-62 %
Upside

What is the fair value of NOA.TO?

As of 2025-07-10, the Fair Value of North American Construction Group Ltd (NOA.TO) is 8.59 CAD. This value is based on the Peter Lynch's Fair Value formula. With the current market price of 22.61 CAD, the upside of North American Construction Group Ltd is -62%.

Is NOA.TO a good investment?

With the market price of 22.61 CAD and our fair value calculation, North American Construction Group Ltd (NOA.TO) is not a good investment. Investing in NOA.TO stocks now will result in a potential loss of 62%.

22.61 CAD
Stock Price
8.59 CAD
Fair Price
FAIR VALUE CALCULATION

NOA.TO Fair Value

Peter Lynch's formula is:

NOA.TO Fair Value
= Earnings Growth Rate x TTM EPS
NOA.TO Fair Value
= 6.5 x 1.32
NOA.TO Fair Value
= 8.59

The earnings growth rate we use in the formula is the average growth rate of net income/earnings over the last 5 years. If the average growth rate is smaller than 5%, we set it to 5%. If it is larger than 25%, we set it to 25%. If the TTM EPS is negative, Peter Lynch Fair Value's result can be unreliable.

Historical Earnings
12-202012-202112-202212-202312-20245Y Avg
Net income49.2151.4167.3763.1444.0955
YoY growth33.4%4.5%31.1%-6.3%-30.2%6.5%

NOA.TO Fair Value - Peers Benchmarking

Market Cap (mil)EPS Fair Value Upside
a
Tidewater Inc2,5513.689.0772.8%
Select Energy Services Inc1,1520.31.48-84.5%
RPC Inc1,1510.511.73124.7%
Trican Well Service Ltd1,0290.613.89143.3%
Tetra Technologies Inc4710.820.93491.3%
FTS International Inc373-7.6-37.87-242.8%
Step Energy Services Ltd315-0.2-5.36-222.5%
Calfrac Well Services Ltd2940.25.2854.5%
Source Energy Services Ltd1912.357.59309.6%
Macro Enterprises Inc1260.31.71-57.2%

NOA.TO Fair Value - Key Data

Market Cap (mil)665
P/E17.1x
Forward P/E9.4x
EPS1.32
Avg earnings growth rate6.5%
TTM earnings39

NOA.TO Fair Value - Formula's Origin

Peter Lynch is one of the most legendary investors/fund managers of all time. His philosophy for stock investing is very simple and straightforward: he invests in stocks that are undervalued, meaning its P/E is less than or equal to its earnings growth rate. He believes that if a stock is trading at its fair value, the PEG ratio, which was also invented by him, should be 1.

Therefore, his formula to determine a company's fair value is:

Peter Lynch Fair Value = Earnings Growth Rate * EPS * PEG

PEG is set to 1 so we can ignore it in the calculation. Based on the formula, if the earnings growth rate of a company is 15%, Peter Lynch is willing to buy its share up to P/E = 15.