ANTERO MIDSTREAM CORP (AM) Stock Fundamental Analysis
NYSE:AM - New York Stock Exchange, Inc. - US03676B1026 - Common Stock - Currency: USD
Overall AM gets a fundamental rating of 5 out of 10. We evaluated AM against 208 industry peers in the Oil, Gas & Consumable Fuels industry. AM has an excellent profitability rating, but there are some minor concerns on its financial health. AM has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
In the past year AM was profitable.
AM had a positive operating cash flow in the past year.
Of the past 5 years AM 4 years were profitable.
In the past 5 years AM always reported a positive cash flow from operatings.
1.2 Ratios
AM has a better Return On Assets (7.91%) than 76.92% of its industry peers.
The Return On Equity of AM (21.54%) is better than 86.54% of its industry peers.
Looking at the Return On Invested Capital, with a value of 9.17%, AM is in the better half of the industry, outperforming 74.04% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for AM is significantly below the industry average of 23.62%.
The last Return On Invested Capital (9.17%) for AM is above the 3 year average (7.90%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.91% | ||
| ROE | 21.54% | ||
| ROIC | 9.17% |
ROA(3y)6.35%
ROA(5y)4.56%
ROE(3y)17.01%
ROE(5y)12.09%
ROIC(3y)7.9%
ROIC(5y)7.76%
1.3 Margins
AM has a better Profit Margin (39.48%) than 90.38% of its industry peers.
In the last couple of years the Profit Margin of AM has remained more or less at the same level.
AM's Operating Margin of 61.04% is amongst the best of the industry. AM outperforms 92.79% of its industry peers.
In the last couple of years the Operating Margin of AM has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 61.04% | ||
| PM (TTM) | 39.48% | ||
| GM | N/A |
OM growth 3Y-1.68%
OM growth 5Y5.41%
PM growth 3Y-0.61%
PM growth 5YN/A
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), AM is creating some value.
The number of shares outstanding for AM remains at a similar level compared to 1 year ago.
Compared to 5 years ago, AM has less shares outstanding
The debt/assets ratio for AM has been reduced compared to a year ago.
2.2 Solvency
AM has an Altman-Z score of 2.09. This is not the best score and indicates that AM is in the grey zone with still only limited risk for bankruptcy at the moment.
AM has a Altman-Z score of 2.09. This is in the better half of the industry: AM outperforms 69.71% of its industry peers.
AM has a debt to FCF ratio of 4.32. This is a neutral value as AM would need 4.32 years to pay back of all of its debts.
AM has a better Debt to FCF ratio (4.32) than 66.83% of its industry peers.
AM has a Debt/Equity ratio of 1.47. This is a high value indicating a heavy dependency on external financing.
AM has a worse Debt to Equity ratio (1.47) than 75.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.47 | ||
| Debt/FCF | 4.32 | ||
| Altman-Z | 2.09 |
ROIC/WACC1.06
WACC8.67%
2.3 Liquidity
AM has a Current Ratio of 1.17. This is a normal value and indicates that AM is financially healthy and should not expect problems in meeting its short term obligations.
AM has a Current ratio of 1.17. This is comparable to the rest of the industry: AM outperforms 53.37% of its industry peers.
AM has a Quick Ratio of 1.17. This is a normal value and indicates that AM is financially healthy and should not expect problems in meeting its short term obligations.
AM has a better Quick ratio (1.17) than 62.50% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.17 | ||
| Quick Ratio | 1.17 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 18.75% over the past year.
Measured over the past 5 years, AM shows a small growth in Earnings Per Share. The EPS has been growing by 3.44% on average per year.
AM shows a small growth in Revenue. In the last year, the Revenue has grown by 7.56%.
AM shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 6.89% yearly.
EPS 1Y (TTM)18.75%
EPS 3Y3.44%
EPS 5YN/A
EPS Q2Q%44.44%
Revenue 1Y (TTM)7.56%
Revenue growth 3Y7.19%
Revenue growth 5Y6.89%
Sales Q2Q%13.22%
3.2 Future
Based on estimates for the next years, AM will show a quite strong growth in Earnings Per Share. The EPS will grow by 13.97% on average per year.
The Revenue is expected to grow by 4.47% on average over the next years.
EPS Next Y21.64%
EPS Next 2Y16.65%
EPS Next 3Y13.97%
EPS Next 5YN/A
Revenue Next Year5.81%
Revenue Next 2Y4.69%
Revenue Next 3Y4.47%
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 19.66, the valuation of AM can be described as rather expensive.
AM's Price/Earnings is on the same level as the industry average.
AM's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 26.99.
A Price/Forward Earnings ratio of 16.54 indicates a correct valuation of AM.
AM's Price/Forward Earnings is on the same level as the industry average.
AM is valuated cheaply when we compare the Price/Forward Earnings ratio to 36.36, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.66 | ||
| Fwd PE | 16.54 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of AM indicates a slightly more expensive valuation: AM is more expensive than 62.50% of the companies listed in the same industry.
Based on the Price/Free Cash Flow ratio, AM is valued a bit cheaper than the industry average as 67.79% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 12.41 | ||
| EV/EBITDA | 13.22 |
4.3 Compensation for Growth
AM's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
The decent profitability rating of AM may justify a higher PE ratio.
AM's earnings are expected to grow with 13.97% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.91
PEG (5Y)N/A
EPS Next 2Y16.65%
EPS Next 3Y13.97%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 4.82%, AM is a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 6.31, AM pays a bit more dividend than its industry peers.
AM's Dividend Yield is rather good when compared to the S&P500 average which is at 2.40.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.82% |
5.2 History
The dividend of AM decreases each year by -9.21%.
AM has been paying a dividend for at least 10 years, so it has a reliable track record.
The dividend of AM decreased in the last 3 years.
Dividend Growth(5Y)-9.21%
Div Incr Years1
Div Non Decr Years2
5.3 Sustainability
AM pays out 96.92% of its income as dividend. This is not a sustainable payout ratio.
DP96.92%
EPS Next 2Y16.65%
EPS Next 3Y13.97%
18.68
+0.18 (+0.97%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)
Earnings (Next)
Inst Owners57.72%
Inst Owner Change0.02%
Ins Owners1.32%
Ins Owner Change1.01%
Market Cap8.95B
Analysts46.25
Price Target17.6 (-5.78%)
Short Float %2.87%
Short Ratio3.76
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.82% |
Yearly Dividend0.91
Dividend Growth(5Y)-9.21%
DP96.92%
Div Incr Years1
Div Non Decr Years2
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)0.73%
Min EPS beat(2)-0.34%
Max EPS beat(2)1.8%
EPS beat(4)1
Avg EPS beat(4)-3.59%
Min EPS beat(4)-11.35%
Max EPS beat(4)1.8%
EPS beat(8)1
Avg EPS beat(8)-6.82%
EPS beat(12)1
Avg EPS beat(12)-8.43%
EPS beat(16)1
Avg EPS beat(16)-8.61%
Revenue beat(2)2
Avg Revenue beat(2)1.15%
Min Revenue beat(2)0.66%
Max Revenue beat(2)1.64%
Revenue beat(4)3
Avg Revenue beat(4)0.19%
Min Revenue beat(4)-3.73%
Max Revenue beat(4)2.2%
Revenue beat(8)3
Avg Revenue beat(8)-0.74%
Revenue beat(12)3
Avg Revenue beat(12)-2.51%
Revenue beat(16)3
Avg Revenue beat(16)-3.27%
PT rev (1m)0%
PT rev (3m)2.01%
EPS NQ rev (1m)0%
EPS NQ rev (3m)0%
EPS NY rev (1m)0%
EPS NY rev (3m)-1.86%
Revenue NQ rev (1m)-0.17%
Revenue NQ rev (3m)-0.17%
Revenue NY rev (1m)0.92%
Revenue NY rev (3m)0.25%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.66 | ||
| Fwd PE | 16.54 | ||
| P/S | 7.76 | ||
| P/FCF | 12.41 | ||
| P/OCF | 10.15 | ||
| P/B | 4.23 | ||
| P/tB | 9.22 | ||
| EV/EBITDA | 13.22 |
EPS(TTM)0.95
EY5.09%
EPS(NY)1.13
Fwd EY6.05%
FCF(TTM)1.51
FCFY8.06%
OCF(TTM)1.84
OCFY9.85%
SpS2.41
BVpS4.41
TBVpS2.02
PEG (NY)0.91
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.91% | ||
| ROE | 21.54% | ||
| ROCE | 12.44% | ||
| ROIC | 9.17% | ||
| ROICexc | 9.17% | ||
| ROICexgc | 11.49% | ||
| OM | 61.04% | ||
| PM (TTM) | 39.48% | ||
| GM | N/A | ||
| FCFM | 62.5% |
ROA(3y)6.35%
ROA(5y)4.56%
ROE(3y)17.01%
ROE(5y)12.09%
ROIC(3y)7.9%
ROIC(5y)7.76%
ROICexc(3y)7.9%
ROICexc(5y)7.76%
ROICexgc(3y)10.05%
ROICexgc(5y)10.08%
ROCE(3y)10.71%
ROCE(5y)10.53%
ROICexcg growth 3Y1.82%
ROICexcg growth 5Y9.79%
ROICexc growth 3Y3.94%
ROICexc growth 5Y14.15%
OM growth 3Y-1.68%
OM growth 5Y5.41%
PM growth 3Y-0.61%
PM growth 5YN/A
GM growth 3YN/A
GM growth 5YN/A
F-Score8
Asset Turnover0.2
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.47 | ||
| Debt/FCF | 4.32 | ||
| Debt/EBITDA | 3.44 | ||
| Cap/Depr | 79.41% | ||
| Cap/Sales | 13.91% | ||
| Interest Coverage | 3.62 | ||
| Cash Conversion | 97.28% | ||
| Profit Quality | 158.3% | ||
| Current Ratio | 1.17 | ||
| Quick Ratio | 1.17 | ||
| Altman-Z | 2.09 |
F-Score8
WACC8.67%
ROIC/WACC1.06
Cap/Depr(3y)152.9%
Cap/Depr(5y)139.6%
Cap/Sales(3y)31.87%
Cap/Sales(5y)28.68%
Profit Quality(3y)122.35%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)18.75%
EPS 3Y3.44%
EPS 5YN/A
EPS Q2Q%44.44%
EPS Next Y21.64%
EPS Next 2Y16.65%
EPS Next 3Y13.97%
EPS Next 5YN/A
Revenue 1Y (TTM)7.56%
Revenue growth 3Y7.19%
Revenue growth 5Y6.89%
Sales Q2Q%13.22%
Revenue Next Year5.81%
Revenue Next 2Y4.69%
Revenue Next 3Y4.47%
Revenue Next 5YN/A
EBIT growth 1Y10.19%
EBIT growth 3Y5.39%
EBIT growth 5Y12.68%
EBIT Next Year45.53%
EBIT Next 3Y15.6%
EBIT Next 5Y9.1%
FCF growth 1Y162.28%
FCF growth 3Y8.05%
FCF growth 5Y21.27%
OCF growth 1Y23.55%
OCF growth 3Y5.94%
OCF growth 5Y6.28%