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1. Company Snapshot

1.a. Company Description

Fiera Capital Corporation is an employee owned investment manager.The firm primarily provides its services to institutional investors, mutual funds, charitable organizations, and private clients.It manages separate client-focused equity, fixed income, and balanced portfolios.


The firm also launches and manages equity, fixed income, and balanced mutual funds and income trusts for its clients.It invests in the public equity and fixed income markets across the globe with a focus on Canada.The firm primarily invests in growth and value stocks of small-cap companies.


It also invests in G.A.R.P. and value stocks of large-cap companies.The firm also makes investments in income trusts and preferred shares.It also applies exclusions to be fossil fuel free, integrates environmental, social, and governance considerations, and applies an ethical filter while making its investments.


The firm employs fundamental and quantitative analysis along with bottom-up stock picking approach to create its equity portfolios.It employs a top-down macro-economic research to make its fixed income investments.The firm also makes alternative investments, including the use of long/short equity strategy.


It benchmarks the performance of its portfolio against the S&P/TSX Index, MSCI ACWI Index, S&P/TSX Composite FFF Index, and S&P 500 indices.The firm conducts in-house research to make its investments.It makes investments in social infrastructure with a focus on affordable housing and community health care facilities and also makes investment in solar and wind power generation, transport, and mid-market assets.


It typically invests in Canada.It was formerly known as Fiera Sceptre Inc.Fiera Capital Corporation was founded in 2002 and is based in Montréal, Canada with an additional office in Toronto, Canada, Calgary, Canada, and Vancouver, Canada.

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1.b. Last Insights on FSZ

Fiera Capital Corporation's recent performance was negatively impacted by a series of events. The company announced a $70 million bought deal public offering of 7.75% Senior Subordinated Unsecured Debentures, which may indicate a need for additional capital. Furthermore, Fiera Capital will wind down its Canadian Equity Small Capitalization and Canadian Equity Microcap Opportunity strategies, which could lead to a decline in revenue. Additionally, the company's Annual and Special Meeting of Shareholders was scheduled for May 22, 2025, which may have distracted management's attention from operational matters.

1.c. Company Highlights

2. Fiera Capital's Q3 2025 Earnings: A Closer Look

Fiera Capital reported revenue of $167 million for the third quarter, a 3% increase from the previous quarter, driven by higher base management fees and performance fees. The company's adjusted EBITDA was $50 million, a 10% increase from the previous quarter, with an adjusted EBITDA margin of 30%. However, net earnings attributable to the company's shareholders were $6 million, and earnings per share (EPS) came in at $0.23, below estimates of $0.284. The company's financial performance was supported by a 4% increase in total assets under management to $166.9 billion.

Publication Date: Nov -18

📋 Highlights
  • Total Assets Under Management:: Increased 4% to $166.9 billion, driven by $900 million net organic growth.
  • Revenue and Adjusted EBITDA:: Revenue rose 3% to $167 million; adjusted EBITDA up 10% to $50 million with 30% margin.
  • Private Market Growth:: $850 million net organic growth, with $400 million deployed into new projects and $150 million returned to investors.
  • Share Repurchase & Dividend:: Repurchased 540,000 shares ($3.6 million) and declared $0.108/share dividend (payable Dec 22, 2025).

Assets Under Management and Organic Growth

Total assets under management increased 4% to $166.9 billion, driven by market appreciation and total net organic growth of $900 million. Public market assets under management reached $145 billion, up 3.9% from the end of Q2, while private market assets under management ended the quarter at $22 billion, up 5.3% from the prior quarter. The company's private market platform saw net organic growth of approximately $850 million for the quarter, driven by new subscriptions and market growth.

Valuation and Dividend Yield

With a P/E Ratio of 17.24 and a P/B Ratio of 2.45, Fiera Capital's valuation appears reasonable. The company's Dividend Yield is 10.69%, which is attractive for income-seeking investors. Additionally, the EV/EBITDA ratio is 8.93, indicating that the company's enterprise value is relatively in line with its EBITDA. As Maxime Ménard stated, "the organic growth story is ongoing," which could support the company's valuation.

Outlook and Challenges

The company's outlook is cautiously optimistic, with a mix of outflows and positive flows in some accounts expected in Q4. The firm is keeping a close eye on flows, and the potential for the Canadian Built Opportunities Fund to scale over time is significant. However, the company is also addressing redemption requests and watching performance fees cautiously, given the volatility in emerging markets.

Private Markets and Growth Opportunities

The company's private market platform is a significant driver of growth, with a large mandate and discussions to grow similar mandates. Lucas Pontillo discussed a $800 million capital commitment over a 3-year period, starting early next year, with a focus on deploying capital in real estate and infrastructure. This growth opportunity could support the company's revenue growth, which is estimated to be 5.8% next year.

3. NewsRoom

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Fiera Capital Corporation Announces Redemption of its 8.25% Senior Subordinated Unsecured Debentures due December 31, 2026

Dec -01

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Read This Before Considering Fiera Capital Corporation (TSE:FSZ) For Its Upcoming CA$0.108 Dividend

Nov -21

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Fiera Capital Corp (FRRPF) Q3 2025 Earnings Call Highlights: Strong Asset Growth Amid Revenue ...

Nov -13

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Fiera Capital Q3 Net Earnings Fall; Company Declares Dividend

Nov -13

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Rally in Gold Miners Falters as Gains Outstripped Metal’s Surge

Oct -17

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The United Brotherhood of Carpenters and Joiners of America and Fiera Capital Launch Canadian Built Opportunities Platform

Sep -23

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Fiera Capital Expands Global Infrastructure Capabilities, Broadening Client Access Across the Capital Stack

Sep -15

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Independent Advisor Solutions Launches Canadian Corporate Bond Plus in Expanded Partnership with Fiera Capital

Aug -28

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4. Business Breakdown

4.a. Revenues by Country

4.b. Revenues by Segment

5. Expected revenues mid-term growth (3.00%)

6. Segments

Asset Management Services

Expected Growth: 3.0%

Fiera Capital Corporation's 3.0% growth in Asset Management Services is driven by increasing demand for diversified investment portfolios, expansion into new markets, and strategic acquisitions. Additionally, the company's expertise in alternative investments and ESG solutions resonates with institutional clients seeking sustainable returns. Effective cost management and operational efficiencies also contribute to the segment's growth.

7. Detailed Products

Equity Strategies

Fiera Capital Corporation offers a range of equity strategies that cater to different investor needs, including core equity, dividend-focused, and small-cap equity portfolios.

Fixed Income Strategies

The company provides a variety of fixed income strategies, including government bonds, corporate bonds, and high-yield bonds, to help investors generate income and manage risk.

Alternative Investments

Fiera Capital Corporation offers alternative investment solutions, including real estate, private equity, and infrastructure investments, to provide diversification and potentially higher returns.

Multi-Asset Strategies

The company provides multi-asset strategies that combine different asset classes to provide a balanced portfolio and manage risk.

Sustainable Investing

Fiera Capital Corporation offers sustainable investment solutions that integrate environmental, social, and governance (ESG) factors to promote responsible investing.

Private Wealth Management

The company provides private wealth management services, including customized investment portfolios and wealth planning, to high-net-worth individuals and families.

8. Fiera Capital Corporation's Porter Forces

Forces Ranking

Threat Of Substitutes

Fiera Capital Corporation operates in a highly competitive industry, and there are many substitutes available to clients. However, the company's strong brand reputation and diversified product offerings help to mitigate the threat of substitutes.

Bargaining Power Of Customers

Fiera Capital Corporation's clients are primarily institutional investors, who have limited bargaining power due to the company's strong market position and diversified product offerings.

Bargaining Power Of Suppliers

Fiera Capital Corporation has a diversified supplier base, and the company's scale and market position give it significant bargaining power over its suppliers.

Threat Of New Entrants

The asset management industry has high barriers to entry, including significant capital requirements and regulatory hurdles. This limits the threat of new entrants to Fiera Capital Corporation.

Intensity Of Rivalry

The asset management industry is highly competitive, with many established players competing for market share. Fiera Capital Corporation must continually innovate and differentiate itself to maintain its market position.

9. SWOT Analysis

Strength

Weaknesses

Opportunities

Threats

10. Capital Structure

10.a. Balance Sheet

10.b. Weighted Average Cost of capital

Value
Debt Weight 67.43%
Debt Cost 9.09%
Equity Weight 32.57%
Equity Cost 12.35%
WACC 10.15%
Leverage 207.03%

11. Quality Control: Fiera Capital Corporation passed 2 out of 9 key points

12.a Historical Valuation

12.b Price/Earnings Ratio

12.c Margin Valuation

12.d Peers Valuation

Peers Group Analysis

Stock-Card
NAF 15 Split

A-Score: 8.1/10

Value: 7.7

Growth: 7.6

Quality: 8.2

Yield: 10.0

Momentum: 7.0

Volatility: 8.0

1-Year Total Return ->

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Gladstone Capital

A-Score: 7.2/10

Value: 6.9

Growth: 6.1

Quality: 8.0

Yield: 10.0

Momentum: 3.0

Volatility: 9.3

1-Year Total Return ->

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Grosvenor Capital Management

A-Score: 6.5/10

Value: 4.9

Growth: 4.3

Quality: 6.0

Yield: 8.0

Momentum: 6.0

Volatility: 10.0

1-Year Total Return ->

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Hennessy Advisors

A-Score: 6.5/10

Value: 7.8

Growth: 2.7

Quality: 8.0

Yield: 9.0

Momentum: 6.0

Volatility: 5.3

1-Year Total Return ->

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Stock-Card
Fiera Capital

A-Score: 5.8/10

Value: 6.3

Growth: 3.6

Quality: 6.3

Yield: 10.0

Momentum: 1.5

Volatility: 7.3

1-Year Total Return ->

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Portman Ridge Finance

A-Score: 5.7/10

Value: 6.0

Growth: 4.7

Quality: 3.2

Yield: 10.0

Momentum: 0.5

Volatility: 10.0

1-Year Total Return ->

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Peers Metrics

12.e Scoring Insights

12.f DCF BETA

Parameters

Short Term Growth

Short term Time

Long-Term Growth

WACC

Target Price

5.96$

Current Price

5.96$

Potential

-0.00%

Expected Cash-Flows