CANADIAN NATURAL RESOURCES (CNQ)
CA1363851017 - Common Stock
Overall CNQ gets a fundamental rating of 5 out of 10. We evaluated CNQ against 210 industry peers in the Oil, Gas & Consumable Fuels industry. CNQ has only an average score on both its financial health and profitability. CNQ has a valuation in line with the averages, but on the other hand it scores bad on growth.
1. Profitability
1.1 Basic Checks
In the past year CNQ was profitable.
CNQ had a positive operating cash flow in the past year.
Of the past 5 years CNQ 4 years were profitable.
In the past 5 years CNQ always reported a positive cash flow from operatings.
1.2 Ratios
CNQ has a better Return On Assets (9.77%) than 70.00% of its industry peers.
CNQ has a better Return On Equity (18.78%) than 63.81% of its industry peers.
Looking at the Return On Invested Capital, with a value of 11.63%, CNQ is in the better half of the industry, outperforming 67.14% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for CNQ is significantly below the industry average of 30.77%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 9.77% | ||
| ROE | 18.78% | ||
| ROIC | 11.63% |
ROA(3y)11.73%
ROA(5y)8.31%
ROE(3y)23.35%
ROE(5y)16.84%
ROIC(3y)13.64%
ROIC(5y)N/A
1.3 Margins
With a decent Profit Margin value of 20.86%, CNQ is doing good in the industry, outperforming 64.76% of the companies in the same industry.
CNQ's Profit Margin has improved in the last couple of years.
The Operating Margin of CNQ (27.45%) is comparable to the rest of the industry.
In the last couple of years the Operating Margin of CNQ has grown nicely.
CNQ has a Gross Margin (50.19%) which is in line with its industry peers.
CNQ's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 27.45% | ||
| PM (TTM) | 20.86% | ||
| GM | 50.19% |
OM growth 3YN/A
OM growth 5Y4.76%
PM growth 3YN/A
PM growth 5Y13.19%
GM growth 3Y11.78%
GM growth 5Y0.49%
2. Health
2.1 Basic Checks
CNQ has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
Compared to 1 year ago, CNQ has less shares outstanding
CNQ has more shares outstanding than it did 5 years ago.
CNQ has a better debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 3.07 indicates that CNQ is not in any danger for bankruptcy at the moment.
CNQ has a Altman-Z score of 3.07. This is in the better half of the industry: CNQ outperforms 74.76% of its industry peers.
CNQ has a debt to FCF ratio of 1.37. This is a very positive value and a sign of high solvency as it would only need 1.37 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 1.37, CNQ belongs to the top of the industry, outperforming 82.86% of the companies in the same industry.
A Debt/Equity ratio of 0.27 indicates that CNQ is not too dependend on debt financing.
CNQ has a Debt to Equity ratio of 0.27. This is in the better half of the industry: CNQ outperforms 64.29% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.27 | ||
| Debt/FCF | 1.37 | ||
| Altman-Z | 3.07 |
ROIC/WACC1.54
WACC7.56%
2.3 Liquidity
A Current Ratio of 0.88 indicates that CNQ may have some problems paying its short term obligations.
CNQ has a Current ratio of 0.88. This is in the lower half of the industry: CNQ underperforms 71.43% of its industry peers.
CNQ has a Quick Ratio of 0.88. This is a bad value and indicates that CNQ is not financially healthy enough and could expect problems in meeting its short term obligations.
CNQ's Quick ratio of 0.61 is on the low side compared to the rest of the industry. CNQ is outperformed by 78.10% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.88 | ||
| Quick Ratio | 0.61 |
3. Growth
3.1 Past
CNQ shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -57.10%.
Measured over the past years, CNQ shows a quite strong growth in Earnings Per Share. The EPS has been growing by 14.85% on average per year.
CNQ shows a very negative growth in Revenue. In the last year, the Revenue has decreased by -11.60%.
Measured over the past years, CNQ shows a quite strong growth in Revenue. The Revenue has been growing by 11.33% on average per year.
EPS 1Y (TTM)-57.1%
EPS 3YN/A
EPS 5Y14.85%
EPS Q2Q%-59.47%
Revenue 1Y (TTM)-11.6%
Revenue growth 3Y28.65%
Revenue growth 5Y11.33%
Sales Q2Q%-4.47%
3.2 Future
Based on estimates for the next years, CNQ will show a small growth in Earnings Per Share. The EPS will grow by 0.40% on average per year.
CNQ is expected to show a decrease in Revenue. In the coming years, the Revenue will decrease by -1.78% yearly.
EPS Next Y-30.34%
EPS Next 2Y-6.45%
EPS Next 3Y-2.85%
EPS Next 5Y0.4%
Revenue Next Year-0.08%
Revenue Next 2Y3.51%
Revenue Next 3Y2.26%
Revenue Next 5Y-1.78%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
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 11.10, the valuation of CNQ can be described as reasonable.
CNQ's Price/Earnings is on the same level as the industry average.
Compared to an average S&P500 Price/Earnings ratio of 24.41, CNQ is valued rather cheaply.
With a Price/Forward Earnings ratio of 10.28, the valuation of CNQ can be described as very reasonable.
Compared to the rest of the industry, the Price/Forward Earnings ratio of CNQ is on the same level as its industry peers.
The average S&P500 Price/Forward Earnings ratio is at 20.59. CNQ is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.1 | ||
| Fwd PE | 10.28 |
4.2 Price Multiples
CNQ's Enterprise Value to EBITDA is on the same level as the industry average.
Based on the Price/Free Cash Flow ratio, CNQ is valued a bit cheaper than 61.90% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 11.1 | ||
| EV/EBITDA | 6.89 |
4.3 Compensation for Growth
The decent profitability rating of CNQ may justify a higher PE ratio.
A cheap valuation may be justified as CNQ's earnings are expected to decrease with -2.85% in the coming years.
PEG (NY)N/A
PEG (5Y)0.75
EPS Next 2Y-6.45%
EPS Next 3Y-2.85%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 4.29%, CNQ is a good candidate for dividend investing.
CNQ's Dividend Yield is a higher than the industry average which is at 5.93.
CNQ's Dividend Yield is rather good when compared to the S&P500 average which is at 2.30.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.29% |
5.2 History
The dividend of CNQ is nicely growing with an annual growth rate of 6.79%!
CNQ has paid a dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)6.79%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
CNQ pays out 54.29% of its income as dividend. This is a bit on the high side, but may be sustainable.
The dividend of CNQ is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP54.29%
EPS Next 2Y-6.45%
EPS Next 3Y-2.85%
CANADIAN NATURAL RESOURCES
NYSE:CNQ (7/26/2024, 5:27:53 PM)
After market: 34.1325 -0.29 (-0.84%)34.42
-0.01 (-0.03%)
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 Cap73.48B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.29% |
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)
Max EPS beat(4)
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)
Avg Revenue beat(4)
Min Revenue beat(4)
Max Revenue beat(4)
Revenue beat(8)
Avg Revenue beat(8)
Revenue beat(12)
Avg Revenue beat(12)
Revenue beat(16)
Avg Revenue beat(16)
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 | 11.1 | ||
| Fwd PE | 10.28 | ||
| 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)0.75
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 9.77% | ||
| ROE | 18.78% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 27.45% | ||
| PM (TTM) | 20.86% | ||
| GM | 50.19% | ||
| 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 Turnover0.47
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.27 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 0.88 | ||
| Quick Ratio | 0.61 | ||
| 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)-57.1%
EPS 3YN/A
EPS 5Y
EPS Q2Q%
EPS Next Y-30.34%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)-11.6%
Revenue growth 3Y28.65%
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