Superior Plus (SPB) AI Stock Analysis

• Market Cap: C$1.77B
• Dividend Yield: 2.44%
• Average Volume (3M): 554.97K
• Price to Earnings (P/E): 21.1
• Beta (1Y): 0.74
• Revenue Growth: 6.58%
• EPS Growth: 9.33%
• Country: CA
• Employees: 4,261
• Sector: Utilities
• Sector Strength: 65
• Industry: Regulated Gas
• EPS (TTM): -0.58
• Shares Outstanding: 222,969,790
• 10 Day Avg. Volume: 527,723
• 30 Day Avg. Volume: 554,972
• PEG Ratio: 0.17
• Price to Book (P/B): 1.24
• Price to Sales (P/S): 0.48
• P/FCF Ratio: 9.67
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: C$9.50
• Price Target Upside: 28.90% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 5
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 56 Neutral
• Price Target: C$7.50 ▲(1.76% Upside)

Superior Plus faces challenges with high leverage and a revised EBITDA growth target, impacting its financial performance score. The technical analysis indicates bearish momentum, and the high P/E ratio raises valuation concerns. Despite operational improvements and strategic transformations, short-term challenges and market conditions weigh on the overall score.

Positive Factors

Operational Efficiency

The adoption of AI tools and centralization of operations enhance long-term efficiency, potentially reducing costs and improving service delivery.

Leadership Change

The appointment of an experienced CCO can drive strategic growth and strengthen commercial operations, supporting long-term business objectives.

Cash Flow Generation

Strong cash flow growth indicates robust operational performance and provides financial flexibility for future investments and debt reduction.

Negative Factors

High Leverage

High leverage can increase financial risk, especially if interest rates rise, potentially impacting the company's long-term financial stability.

Lowered EBITDA Guidance

Reduced EBITDA guidance reflects challenges in pricing and cost management, which could hinder growth and profitability in the near term.

Impact of Delivery Model Transition

While the new model aims for efficiency, initial disruptions can affect performance, requiring time to realize full benefits and stabilize operations.

Superior Plus Business Overview & Revenue Model

Company Description

Superior Plus Corp. engages in the energy distribution business. It operates through two segments, U.S. Propane Distribution and Canadian Propane Distribution. The U.S. Propane Distribution segment distributes and sells propane, heating oil, and other liquid fuels in the Northeast, Atlantic, the Southeast, the Midwest, and California. It also provides installation, maintenance, and repair services for propane and heating oil equipment. The Canadian Propane Distribution segment distributes and sells propane, and propane-consuming equipment; rents tanks, cylinders, and other equipment; and provides equipment supply, installation, and repair services. This segment offers its service in Canada and the United States. Superior General Partner Inc. serves as the general partner of the company. As of February 10, 2022, the company served approximately 780,000 customers The company was founded in 1996 and is headquartered in Toronto, Canada.

How the Company Makes Money

Superior Plus generates revenue through multiple streams, primarily from the sale of propane and heating oil to residential and commercial customers. The company operates a network of distribution centers and storage facilities that allow it to efficiently supply energy products. Additionally, Superior Plus earns income from its specialty chemicals division, which produces and sells a variety of chemical products used in different applications. The company also benefits from service agreements that provide recurring revenue from maintenance and installation services. Strategic partnerships with suppliers and customers enhance its market position and contribute to revenue stability.

Superior Plus Financial Statement Overview

Summary

Superior Plus demonstrates a stable financial position with strengths in gross profit margins and cash flow generation. However, high leverage and moderate returns on equity highlight potential risks. The company should focus on improving operational efficiency and reducing debt to enhance financial health.

Income Statement

Superior Plus has shown mixed performance in its income statement. The TTM (Trailing-Twelve-Months) data indicates a slight decline in revenue growth, but the company has maintained a positive net profit margin of 1.52%. The gross profit margin is strong at 47.18%, suggesting efficient cost management. However, the EBIT and EBITDA margins, while positive, indicate room for improvement in operational efficiency.

Balance Sheet

The balance sheet shows a high debt-to-equity ratio of 1.78, which suggests significant leverage and potential risk if interest rates rise. The return on equity is modest at 3.90%, indicating limited profitability from shareholders' investments. The equity ratio of 26.13% reflects a moderate level of financial stability.

Cash Flow

The cash flow statement reveals a healthy free cash flow growth rate of 19.55% in the TTM period, indicating improved cash generation. The operating cash flow to net income ratio is 0.69, showing that the company is generating sufficient cash from operations relative to its net income. The free cash flow to net income ratio of 0.48 suggests a reasonable conversion of earnings into cash.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	2.48B	2.27B	2.53B	2.52B	1.88B	1.42B
Gross Profit	1.05B	972.74M	965.10M	708.68M	557.74M	557.67M
EBITDA	477.67M	372.80M	428.57M	151.51M	300.51M	324.07M
Net Income	54.53M	-35.03M	38.85M	-83.84M	143.43M	58.83M
Balance Sheet
Total Assets	3.52B	3.69B	5.17B	4.48B	3.56B	3.83B
Cash, Cash Equivalents and Short-Term Investments	21.60M	60.38M	48.30M	58.40M	81.00M	67.80M
Total Debt	1.80B	1.87B	2.48B	2.15B	1.63B	1.83B
Total Liabilities	2.34B	2.54B	3.40B	3.02B	2.25B	2.55B
Stockholders Equity	920.10M	885.80M	1.43B	1.11B	983.60M	949.20M
Cash Flow
Free Cash Flow	159.20M	113.70M	349.80M	131.40M	126.90M	243.90M
Operating Cash Flow	295.00M	274.10M	550.00M	248.70M	232.00M	360.20M
Investing Cash Flow	-115.00M	-142.10M	-467.10M	-632.10M	172.00M	-384.20M
Financing Cash Flow	-187.30M	-144.70M	-99.70M	410.90M	-399.60M	22.50M

Superior Plus Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 7.37
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:SPB, the sentiment is Neutral. The current price of 7.37 is below the 20-day moving average (MA) of 7.41, below the 50-day MA of 7.72, and above the 200-day MA of 7.28, indicating a neutral trend. The MACD of -0.12 indicates Negative momentum. The RSI at 47.35 is Neutral, neither overbought nor oversold. The STOCH value of 87.26 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for TSE:SPB.

Superior Plus Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CU	67 Neutral	C$10.72B	24.01	8.84%	4.35%	-0.94%	25.64%
Sector *	66 Neutral	$17.65B	18.10	5.60%	3.62%	6.62%	11.55%
ALA	63 Neutral	$12.98B	17.36	9.01%	2.88%	-0.68%	49.61%
CPX	61 Neutral	C$10.87B	24.81	9.40%	3.73%	-2.99%	-32.11%
NPI	58 Neutral	$4.53B	―	-7.06%	6.98%	-4.86%	-86.64%
SPB	56 Neutral	C$1.77B	21.11	2.49%	2.44%	6.58%	9.33%
AQN	54 Neutral	$6.52B	―	2.04%	4.37%	-4.72%	96.98%

Superior Plus Corporate Events

Superior Plus Corp. Reports Mixed Q3 2025 Results Amid Industry Challenges

Superior Plus Corp. reported a mixed performance for the third quarter of 2025, with a decrease in Adjusted EBITDA due to lower propane volumes and pricing challenges in the CNG segment. Despite these challenges, the company remains committed to its long-term growth strategy, including share repurchases and operational improvements, which are expected to deliver financial benefits in the future.

The most recent analyst rating on (TSE:SPB) stock is a Buy with a C$11.00 price target. To see the full list of analyst forecasts on Superior Plus stock, see the TSE:SPB Stock Forecast page.

Superior Plus Declares Fourth Quarter Dividend for 2025

Superior Plus Corp. has announced a quarterly dividend of CAD $0.045 per common share, payable on January 15, 2026, to shareholders of record as of December 31, 2025. This decision reflects the company’s ongoing commitment to providing shareholder value and aligns with its annualized cash dividend rate of CAD $0.18 per share. The announcement underscores Superior Plus’s stable financial performance and its strategic positioning in the energy distribution sector, which could positively impact investor confidence and stakeholder engagement.

The most recent analyst rating on (TSE:SPB) stock is a Buy with a C$11.00 price target. To see the full list of analyst forecasts on Superior Plus stock, see the TSE:SPB Stock Forecast page.

Superior Plus to Release Q3 2025 Financial Results

Superior Plus Corp. has announced that it will release its 2025 third quarter financial results on November 13, 2025, after the market closes. The company will host a conference call and webcast on November 14, 2025, to discuss these results. This announcement is significant as it provides stakeholders with insights into the company’s financial performance and strategic direction, potentially impacting its market positioning and investor relations.

The most recent analyst rating on (TSE:SPB) stock is a Hold with a C$8.00 price target. To see the full list of analyst forecasts on Superior Plus stock, see the TSE:SPB Stock Forecast page.

Superior Plus Earnings Call: Resilient Amid Challenges

Superior Plus Earnings Call: Resilient Performance Amid Challenges