CANACOL ENERGY LTD (CNE.CA) Stock Fundamental Analysis
TSX:CNE - Toronto Stock Exchange - CA1348083025 - Common Stock - Currency: CAD
We assign a fundamental rating of 5 out of 10 to CNE. CNE was compared to 207 industry peers in the Oil, Gas & Consumable Fuels industry. CNE has a medium profitability rating, but doesn't score so well on its financial health evaluation. CNE is cheap, but on the other hand it scores bad on growth.
1. Profitability
1.1 Basic Checks
CNE had negative earnings in the past year.
In the past year CNE had a positive cash flow from operations.
In multiple years CNE reported negative net income over the last 5 years.
CNE had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
CNE has a Return On Assets (-0.37%) which is in line with its industry peers.
CNE has a Return On Equity (-1.30%) which is in line with its industry peers.
CNE has a Return On Invested Capital of 12.76%. This is amongst the best in the industry. CNE outperforms 94.20% of its industry peers.
The Average Return On Invested Capital over the past 3 years for CNE is above the industry average of 7.39%.
The last Return On Invested Capital (12.76%) for CNE is above the 3 year average (11.39%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.37% | ||
| ROE | -1.3% | ||
| ROIC | 12.76% |
ROA(3y)6.27%
ROA(5y)4%
ROE(3y)21.59%
ROE(5y)14.14%
ROIC(3y)11.39%
ROIC(5y)11.48%
1.3 Margins
The Operating Margin of CNE (51.93%) is better than 98.55% of its industry peers.
In the last couple of years the Operating Margin of CNE has grown nicely.
CNE has a Gross Margin of 92.21%. This is amongst the best in the industry. CNE outperforms 98.55% of its industry peers.
In the last couple of years the Gross Margin of CNE has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 51.93% | ||
| PM (TTM) | N/A | ||
| GM | 92.21% |
OM growth 3Y11.34%
OM growth 5Y5.24%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-0.38%
GM growth 5Y-0.14%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), CNE is creating value.
The number of shares outstanding for CNE remains at a similar level compared to 1 year ago.
The number of shares outstanding for CNE has been reduced compared to 5 years ago.
The debt/assets ratio for CNE is higher compared to a year ago.
2.2 Solvency
CNE has an Altman-Z score of 1.06. This is a bad value and indicates that CNE is not financially healthy and even has some risk of bankruptcy.
Looking at the Altman-Z score, with a value of 1.06, CNE is in the better half of the industry, outperforming 62.80% of the companies in the same industry.
CNE has a debt to FCF ratio of 18.62. This is a negative value and a sign of low solvency as CNE would need 18.62 years to pay back of all of its debts.
The Debt to FCF ratio of CNE (18.62) is better than 66.67% of its industry peers.
A Debt/Equity ratio of 1.97 is on the high side and indicates that CNE has dependencies on debt financing.
With a Debt to Equity ratio value of 1.97, CNE is not doing good in the industry: 74.40% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.97 | ||
| Debt/FCF | 18.62 | ||
| Altman-Z | 1.06 |
ROIC/WACC2.04
WACC6.26%
2.3 Liquidity
A Current Ratio of 0.91 indicates that CNE may have some problems paying its short term obligations.
The Current ratio of CNE (0.91) is comparable to the rest of the industry.
CNE has a Quick Ratio of 0.91. This is a bad value and indicates that CNE is not financially healthy enough and could expect problems in meeting its short term obligations.
The Quick ratio of CNE (0.90) is better than 64.25% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.91 | ||
| Quick Ratio | 0.9 |
3. Growth
3.1 Past
The earnings per share for CNE have decreased strongly by -106.54% in the last year.
The Revenue has grown by 14.10% in the past year. This is quite good.
The Revenue has been growing by 9.20% on average over the past years. This is quite good.
EPS 1Y (TTM)-106.54%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%745.45%
Revenue 1Y (TTM)14.1%
Revenue growth 3Y6.58%
Revenue growth 5Y9.2%
Sales Q2Q%-8.89%
3.2 Future
The Earnings Per Share is expected to grow by 112.72% on average over the next years. This is a very strong growth
Based on estimates for the next years, CNE will show a decrease in Revenue. The Revenue will decrease by -6.68% on average per year.
EPS Next Y366.18%
EPS Next 2Y112.72%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year-8%
Revenue Next 2Y-6.68%
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings Ratio is negative for CNE. In the last year negative earnings were reported.
With a Price/Forward Earnings ratio of 0.71, the valuation of CNE can be described as very cheap.
Based on the Price/Forward Earnings ratio, CNE is valued cheaply inside the industry as 99.03% of the companies are valued more expensively.
CNE's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 21.76.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 0.71 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, CNE is valued cheaper than 93.24% of the companies in the same industry.
CNE's Price/Free Cash Flow ratio is rather cheap when compared to the industry. CNE is cheaper than 100.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 1.5 | ||
| EV/EBITDA | 2.6 |
4.3 Compensation for Growth
CNE's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
CNE has a very decent profitability rating, which may justify a higher PE ratio.
A more expensive valuation may be justified as CNE's earnings are expected to grow with 112.72% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y112.72%
EPS Next 3YN/A
5. Dividend
5.1 Amount
CNE has a Yearly Dividend Yield of 14.84%, which is a nice return.
In the last 3 months the price of CNE has falen by -27.91%. A price decline artificially increases the dividend yield. It may be a sign investors do not expect the dividend to last.
Compared to an average industry Dividend Yield of 6.35, CNE pays a better dividend. On top of this CNE pays more dividend than 99.52% of the companies listed in the same industry.
CNE's Dividend Yield is rather good when compared to the S&P500 average which is at 2.37.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 14.84% |
5.2 History
The dividend of CNE decreases each year by -0.14%.
CNE has been paying a dividend for over 5 years, so it has already some track record.
Dividend Growth(5Y)-0.14%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
DP0%
EPS Next 2Y112.72%
EPS Next 3YN/A
TSX:CNE (7/11/2025, 7:00:00 PM)
2.35
-0.03 (-1.26%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)
Earnings (Next)
Inst Owners27.68%
Inst Owner ChangeN/A
Ins Owners0.97%
Ins Owner ChangeN/A
Market Cap80.18M
Analysts47.27
Price Target3.65 (55.32%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 14.84% |
Yearly Dividend0.27
Dividend Growth(5Y)-0.14%
DP0%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)N/A
Avg EPS beat(2)N/A
Min EPS beat(2)N/A
Max EPS beat(2)N/A
EPS beat(4)N/A
Avg EPS beat(4)N/A
Min EPS beat(4)N/A
Max EPS beat(4)N/A
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)N/A
Avg Revenue beat(2)N/A
Min Revenue beat(2)N/A
Max Revenue beat(2)N/A
Revenue beat(4)N/A
Avg Revenue beat(4)N/A
Min Revenue beat(4)N/A
Max Revenue beat(4)N/A
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)-31.75%
PT rev (3m)-23.22%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)0%
EPS NY rev (3m)0%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0%
Revenue NY rev (3m)1.87%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 0.71 | ||
| P/S | 0.16 | ||
| P/FCF | 1.5 | ||
| P/OCF | 0.33 | ||
| P/B | 0.17 | ||
| P/tB | 0.17 | ||
| EV/EBITDA | 2.6 |
EPS(TTM)-0.19
EYN/A
EPS(NY)3.32
Fwd EY141.2%
FCF(TTM)1.56
FCFY66.49%
OCF(TTM)7.06
OCFY300.31%
SpS14.78
BVpS14.16
TBVpS14.16
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.37% | ||
| ROE | -1.3% | ||
| ROCE | 17.72% | ||
| ROIC | 12.76% | ||
| ROICexc | 13.77% | ||
| ROICexgc | 13.77% | ||
| OM | 51.93% | ||
| PM (TTM) | N/A | ||
| GM | 92.21% | ||
| FCFM | 10.57% |
ROA(3y)6.27%
ROA(5y)4%
ROE(3y)21.59%
ROE(5y)14.14%
ROIC(3y)11.39%
ROIC(5y)11.48%
ROICexc(3y)11.7%
ROICexc(5y)12.43%
ROICexgc(3y)11.7%
ROICexgc(5y)12.43%
ROCE(3y)15.82%
ROCE(5y)15.95%
ROICexcg growth 3Y-0.67%
ROICexcg growth 5Y2.86%
ROICexc growth 3Y-0.67%
ROICexc growth 5Y2.86%
OM growth 3Y11.34%
OM growth 5Y5.24%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-0.38%
GM growth 5Y-0.14%
F-Score5
Asset Turnover0.3
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.97 | ||
| Debt/FCF | 18.62 | ||
| Debt/EBITDA | 2.56 | ||
| Cap/Depr | 171.17% | ||
| Cap/Sales | 37.17% | ||
| Interest Coverage | 3.6 | ||
| Cash Conversion | 64.82% | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.91 | ||
| Quick Ratio | 0.9 | ||
| Altman-Z | 1.06 |
F-Score5
WACC6.26%
ROIC/WACC2.04
Cap/Depr(3y)225.39%
Cap/Depr(5y)190.9%
Cap/Sales(3y)50.13%
Cap/Sales(5y)42.57%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-106.54%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%745.45%
EPS Next Y366.18%
EPS Next 2Y112.72%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)14.1%
Revenue growth 3Y6.58%
Revenue growth 5Y9.2%
Sales Q2Q%-8.89%
Revenue Next Year-8%
Revenue Next 2Y-6.68%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y32.98%
EBIT growth 3Y18.67%
EBIT growth 5Y14.93%
EBIT Next Year22.65%
EBIT Next 3Y6.74%
EBIT Next 5YN/A
FCF growth 1Y586.83%
FCF growth 3Y22.04%
FCF growth 5Y53.81%
OCF growth 1Y-1.34%
OCF growth 3Y10.72%
OCF growth 5Y9.16%