The Financial institution of Canada simply held its coverage fee at 2.25%, and that adjustments the temper in a quiet manner. When charges cease shifting, the market stops guessing and begins judging. Traders shift from “who wins the subsequent lower?” to “who can develop and nonetheless pay its payments?” A maintain can reward companies that plan years forward, lock in contracts, and preserve demand regular even when households really feel cautious. It could actually punish companies that depend on fixed refinancing. Deal with money circulate, balance-sheet power, and pricing energy, not only a tempting story. So now, let’s have a look at one TSX inventory to contemplate.
STN
Stantec (TSX: STN) matches the steady-builder profile Canadians usually overlook. It runs a worldwide design and engineering agency that helps construct water methods, roads, transit, hospitals, airports, and power infrastructure. It earns charges from planning, design, and mission administration quite than proudly owning the property. That mannequin retains capital wants decrease and lets it scale with expertise. In a rate-hold world, shoppers nonetheless fund security, upkeep, and compliance work, even when they pause nice-to-have tasks.
Current information during the last 12 months confirmed it’s enterprise as regular. Stantec pointed to robust demand in water and environmental providers and continued momentum in infrastructure and buildings. It additionally advantages when governments prioritize local weather resilience and growing old infrastructure repairs nationwide. It widened its footprint by way of acquisitions and integration work that strengthened its place in core markets. In January 2026, it confirmed it’s going to report fourth-quarter and full-year 2025 outcomes on Feb. 25, 2026, which provides the market a transparent checkpoint.
It additionally landed work that matches the second: massive, long-dated, and tied to important spending. In January 2026, studies highlighted a US$150 million architect-engineer contract awarded to a Stantec and AECOM three way partnership to help modernization tied to U.S. naval shipyards. That form of mandate doesn’t rely upon consumers opening their wallets. It is dependent upon public funding, which frequently retains shifting even when fee headlines fade.
Earnings help
Earnings present why buyers preserve paying consideration. Within the third quarter of 2025, Stantec delivered diluted earnings per share (EPS) of $1.32 and adjusted EPS of $1.53. It grew adjusted earnings earlier than curiosity, taxes, depreciation and amortization (EBITDA) 17.8% and lifted its adjusted EBITDA margin to a file 19%. It additional grew adjusted web revenue to $174.1 million, up 17.7%. These numbers level to strong demand and sharper execution, not luck. It additionally presents higher visibility than many TSX shares.
Contract backlog reached $8.4 billion at Sept. 30, 2025, up 12 months over 12 months, with contributions from each natural wins and acquisitions. Backlog doesn’t assure excellent quarters, nevertheless it helps you gauge momentum and staffing wants. Furthermore, it helps the outlook, which nonetheless calls for self-discipline.
Stantec should preserve hiring and retaining expertise, although wage stress can pinch margins. Venture timing can swing quarter to quarter as a result of allowing, climate, and shopper selections shift schedules. Nonetheless, water, environmental, and grid-related work provide a number of lanes for progress, and that breadth helps when one pocket cools. Whereas buying and selling at 33 occasions earnings might sound wealthy, secure charges can help it by decreasing discount-rate whiplash. The chance comes from any slip in margin momentum, as a result of high quality multiples compress quick when execution wobbles.
Backside line
So, do you have to purchase this world sustainable engineering and consulting agency now whereas the Financial institution of Canada holds? It could actually make sense if you need a Canadian compounder tied to important infrastructure, with file margins and a backlog that helps visibility. It could actually disappoint if execution slips on massive jobs, if labour prices chunk more durable than anticipated, or if governments delay begins. If you happen to can maintain by way of regular mission noise, this TSX inventory presents a peaceful option to make investments when charges keep regular and the market cares about fundamentals once more.