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Aecon Group (ARE) Fair Value & Analysis

Industrials · CA · Market cap C$3.1B

AG Aecon Group ARE · TO
PriceC$44.66
Fair ValueC$6.49
Upside-85.5%
Quality95/100
Evidence: High Range C$4.04 – C$8.94

Fair value as of: Jun 24, 2026

From 24 valuation models · updated 5 days ago

Fair value updated Jun 24, 2026 — revised from C$8.43 to C$6.49 (−23.0%) since Jun 23, 2026. Share price −1.0% over the past month.

Price vs Fair Value (12 months)

C$56.91 C$18.42 Fair Value C$6.49 Jun 2025 Jun 2026

12‑month range C$18.42 – C$56.91 · fair‑value band C$4.04 – C$8.94 · the C$44.66 price screens above the C$6.49 fair value. As of Jun 24, 2026.

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Analysis

Aecon Group (ARE) currently trades at C$44.66, while our model-based Fair Value estimate is C$6.49 — implying the stock looks roughly 85.5% overvalued today. We read business quality at 95/100 (high quality), in the Industrials sector. Bear case: priced above our estimate, the market already discounts strong expectations. Bull case: above-average quality can justify a premium — the entry price still matters most (evidence: high).

Over the trailing twelve months, Aecon Group generated revenue of C$5.6B at a net margin of 0.6%. Revenue grew 18.4% year over year. It earns a return on equity of 3.6%. Net debt stands at C$115M. Fundamentals as of Jun 24, 2026

Key figures & financial health

Revenue (TTM) C$5.6B
Revenue growth (YoY) +18.4%
Net margin 0.6%
Return on equity 3.6%
Free cash flow C$60.1M FY2025
P/E ratio 82.6
More key figures
Operating margin -0.3%
EPS (TTM) C$0.5500
Dividend yield 1.7%
EPS growth (YoY) +45.5%
Net debt C$115M FY2025

Figures from reported company fundamentals (EODHD) · as of Jun 24, 2026. TTM = trailing twelve months.

About the company

Aecon Group Inc., together with its subsidiaries, provide construction and infrastructure development services to private and public sector clients in Canada, the United States, and internationally. It operates through two segments, Construction and Concessions. The Construction segment focuses on civil infrastructure, urban transportation solutions, nuclear power infrastructure, utility infrastructure, and industrial infrastructure market sectors. The Concessions segment engages in the development, financing, building, and operation of construction projects by way of public-private partnership contract structures. This segment also provides development of domestic international public-private partnership; private finance solution; developing strategic partnerships; leading and/or participating in development teams; and operations and maintenance of infrastructure assets services. Aecon Group Inc. was formerly known as Prefac Concrete Co. Ltd. and changed its name to Aecon Group Inc…

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

Aecon Group reported revenue of C$5.4B in FY2025 versus C$4.0B in FY2021, a compound +8.1%/yr. Reported net income was C$15.2M in FY2025, compounding −25.7%/yr from FY2021.

Revenue +8.1%/yr
FY21 C$4.0B
FY22 C$4.7B
FY23 C$4.6B
FY24 C$4.2B
FY25 C$5.4B
Net income −25.7%/yr
FY21 C$49.7M
FY22 C$30.4M
FY23 C$162M
FY24 −C$59.5M
FY25 C$15.2M

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Frequently asked questions

Is Aecon Group (ARE) undervalued?
As of Jun 24, 2026, our model estimates a fair value of C$6.49 versus a price of C$44.66 — about −85% (overvalued). Model-based estimate, not financial advice.
What is the fair value of ARE?
Our 21-model fair value for Aecon Group is C$6.49 (as of Jun 24, 2026), built from audited fundamentals. The current price is C$44.66.
What is the quality score of ARE?
Aecon Group has a Quality Score of 95/100, measuring profitability, growth and balance-sheet strength from non-valuation factors.
What is the revenue of Aecon Group (ARE)?
Aecon Group reported trailing-twelve-month revenue of about C$5.6B (latest available figure, as of Jun 24, 2026).
What is the net profit margin of ARE?
The net profit margin of Aecon Group is about 0.6%, meaning it keeps roughly 0.6% of revenue as net income. Based on the latest reported figures.
Does Aecon Group pay a dividend?
Aecon Group currently shows a dividend yield of about 1.67% relative to its recent price (as of Jun 24, 2026).

How we calculate Fair Value

Each company is valued through a stack of independent intrinsic-value models (DCF variants, residual-income, multiples and more), blended into one family-balanced consensus and weighted by how much trustworthy data backs it. A separate quality layer scores the fundamentals. Every input is real reported data — nothing guessed.

Educational research only · not financial advice · no buy/sell recommendation. Model-based estimates are not certainties; their reliability depends on data quality and assumptions.