PEABODY ENERGY CORP (BTU)
US7045511000 - Common Stock
We assign a fundamental rating of 5 out of 10 to BTU. BTU was compared to 210 industry peers in the Oil, Gas & Consumable Fuels industry. While BTU has a great health rating, its profitability is only average at the moment. BTU has a bad growth rate and is valued cheaply. These ratings would make BTU suitable for value investing!
1. Profitability
1.1 Basic Checks
BTU had positive earnings in the past year.
BTU had a positive operating cash flow in the past year.
The reported net income has been mixed in the past 5 years: BTU reported negative net income in multiple years.
Of the past 5 years BTU 4 years had a positive operating cash flow.
1.2 Ratios
With a decent Return On Assets value of 9.26%, BTU is doing good in the industry, outperforming 68.57% of the companies in the same industry.
With a Return On Equity value of 15.25%, BTU perfoms like the industry average, outperforming 56.67% of the companies in the same industry.
Looking at the Return On Invested Capital, with a value of 10.43%, BTU is in the better half of the industry, outperforming 60.95% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for BTU is significantly below the industry average of 30.77%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 9.26% | ||
| ROE | 15.25% | ||
| ROIC | 10.43% |
ROA(3y)14.38%
ROA(5y)-0.03%
ROE(3y)27.33%
ROE(5y)-25.44%
ROIC(3y)13.45%
ROIC(5y)N/A
1.3 Margins
BTU has a Profit Margin of 11.62%. This is comparable to the rest of the industry: BTU outperforms 47.62% of its industry peers.
In the last couple of years the Profit Margin of BTU has grown nicely.
Looking at the Operating Margin, with a value of 15.51%, BTU is in line with its industry, outperforming 42.38% of the companies in the same industry.
BTU's Operating Margin has improved in the last couple of years.
With a Gross Margin value of 26.58%, BTU is not doing good in the industry: 63.33% of the companies in the same industry are doing better.
In the last couple of years the Gross Margin of BTU has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 15.51% | ||
| PM (TTM) | 11.62% | ||
| GM | 26.58% |
OM growth 3YN/A
OM growth 5Y14.04%
PM growth 3YN/A
PM growth 5Y9.84%
GM growth 3Y36.68%
GM growth 5Y3.15%
2. Health
2.1 Basic Checks
BTU has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
Compared to 1 year ago, BTU has less shares outstanding
Compared to 5 years ago, BTU has more shares outstanding
The debt/assets ratio for BTU has been reduced compared to a year ago.
2.2 Solvency
BTU has an Altman-Z score of 2.45. This is not the best score and indicates that BTU is in the grey zone with still only limited risk for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 2.45, BTU is in the better half of the industry, outperforming 65.24% of the companies in the same industry.
The Debt to FCF ratio of BTU is 0.82, which is an excellent value as it means it would take BTU, only 0.82 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of BTU (0.82) is better than 87.14% of its industry peers.
BTU has a Debt/Equity ratio of 0.09. This is a healthy value indicating a solid balance between debt and equity.
With a decent Debt to Equity ratio value of 0.09, BTU is doing good in the industry, outperforming 79.05% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.09 | ||
| Debt/FCF | 0.82 | ||
| Altman-Z | 2.45 |
ROIC/WACC1.25
WACC8.35%
2.3 Liquidity
A Current Ratio of 2.36 indicates that BTU has no problem at all paying its short term obligations.
The Current ratio of BTU (2.36) is better than 79.52% of its industry peers.
BTU has a Quick Ratio of 1.86. This is a normal value and indicates that BTU is financially healthy and should not expect problems in meeting its short term obligations.
BTU's Quick ratio of 1.86 is fine compared to the rest of the industry. BTU outperforms 77.62% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.36 | ||
| Quick Ratio | 1.86 |
3. Growth
3.1 Past
BTU shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -65.71%.
BTU shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 7.81% yearly.
Looking at the last year, BTU shows a very negative growth in Revenue. The Revenue has decreased by -19.24% in the last year.
The Revenue has been decreasing by -2.39% on average over the past years.
EPS 1Y (TTM)-65.71%
EPS 3YN/A
EPS 5Y7.81%
EPS Q2Q%-82.74%
Revenue 1Y (TTM)-19.24%
Revenue growth 3Y19.74%
Revenue growth 5Y-2.39%
Sales Q2Q%-27.89%
3.2 Future
BTU is expected to show a very negative growth in Earnings Per Share. In the coming years, the EPS will decrease by -18.24% yearly.
The Revenue is expected to decrease by -2.93% on average over the next years.
EPS Next Y-50.82%
EPS Next 2Y-29.62%
EPS Next 3Y-18.24%
EPS Next 5YN/A
Revenue Next Year-14.07%
Revenue Next 2Y-8.27%
Revenue Next 3Y-2.93%
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less 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
A Price/Earnings ratio of 6.19 indicates a rather cheap valuation of BTU.
Compared to the rest of the industry, the Price/Earnings ratio of BTU indicates a rather cheap valuation: BTU is cheaper than 84.29% of the companies listed in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 24.41, BTU is valued rather cheaply.
Based on the Price/Forward Earnings ratio of 9.01, the valuation of BTU can be described as reasonable.
BTU's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. BTU is cheaper than 65.71% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of BTU to the average of the S&P500 Index (20.59), we can say BTU is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.19 | ||
| Fwd PE | 9.01 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, BTU is valued cheaper than 96.19% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, BTU is valued cheaply inside the industry as 82.86% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 6.75 | ||
| EV/EBITDA | 2.16 |
4.3 Compensation for Growth
BTU's earnings are expected to decrease with -18.24% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)0.79
EPS Next 2Y-29.62%
EPS Next 3Y-18.24%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 1.29%, BTU has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 5.93, BTU is paying slightly less dividend.
Compared to an average S&P500 Dividend Yield of 2.30, BTU's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.29% |
5.2 History
BTU has been paying a dividend for over 5 years, so it has already some track record.
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
7.59% of the earnings are spent on dividend by BTU. This is a low number and sustainable payout ratio.
DP7.59%
EPS Next 2Y-29.62%
EPS Next 3Y-18.24%
PEABODY ENERGY CORP
NYSE:BTU (7/26/2024, 7:20:23 PM)
After market: 22.3 +0.07 (+0.31%)22.23
+0.37 (+1.69%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap2.80B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.29% |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
Max EPS beat(2)
EPS beat(4)
Avg EPS beat(4)
Min EPS beat(4)
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EPS beat(8)
Avg EPS beat(8)
EPS beat(12)
Avg EPS beat(12)
EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
Avg Revenue beat(2)
Min Revenue beat(2)
Max Revenue beat(2)
Revenue beat(4)
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Revenue beat(8)
Avg Revenue beat(8)
Revenue beat(12)
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Revenue beat(16)
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PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.19 | ||
| Fwd PE | 9.01 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)N/A
PEG (5Y)0.79
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 9.26% | ||
| ROE | 15.25% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 15.51% | ||
| PM (TTM) | 11.62% | ||
| GM | 26.58% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.8
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.09 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 2.36 | ||
| Quick Ratio | 1.86 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
High Growth Momentum
Growth
EPS 1Y (TTM)-65.71%
EPS 3YN/A
EPS 5Y
EPS Q2Q%
EPS Next Y-50.82%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)-19.24%
Revenue growth 3Y19.74%
Revenue growth 5Y
Sales Q2Q%
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y