CANADIAN NATURAL RESOURCES (CNQ) Stock Fundamental Analysis
USA - NYSE:CNQ - CA1363851017 - Common Stock
31.86 USD
+0.67 (+2.15%)
CNQ gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 210 industry peers in the Oil, Gas & Consumable Fuels industry. While CNQ is still in line with the averages on profitability rating, there are concerns on its financial health. CNQ has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
In the past year CNQ was profitable.
CNQ had a positive operating cash flow in the past year.
CNQ had positive earnings in 4 of the past 5 years.
CNQ had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
CNQ has a better Return On Assets (9.76%) than 86.19% of its industry peers.
With an excellent Return On Equity value of 20.15%, CNQ belongs to the best of the industry, outperforming 87.14% of the companies in the same industry.
CNQ has a better Return On Invested Capital (10.99%) than 83.33% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for CNQ is significantly below the industry average of 21.90%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 9.76% | ||
| ROE | 20.15% | ||
| ROIC | 10.99% |
ROA(3y)10.79%
ROA(5y)8.36%
ROE(3y)21.6%
ROE(5y)16.84%
ROIC(3y)13.06%
ROIC(5y)N/A
1.3 Margins
CNQ has a Profit Margin of 21.90%. This is in the better half of the industry: CNQ outperforms 76.19% of its industry peers.
CNQ's Profit Margin has declined in the last couple of years.
CNQ's Operating Margin of 28.32% is fine compared to the rest of the industry. CNQ outperforms 69.52% of its industry peers.
In the last couple of years the Operating Margin of CNQ has grown nicely.
Looking at the Gross Margin, with a value of 49.63%, CNQ is in line with its industry, outperforming 59.05% of the companies in the same industry.
In the last couple of years the Gross Margin of CNQ has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 28.32% | ||
| PM (TTM) | 21.9% | ||
| GM | 49.63% |
OM growth 3Y-4.83%
OM growth 5Y2.21%
PM growth 3Y-12.43%
PM growth 5Y-6.28%
GM growth 3Y-3.13%
GM growth 5Y-1.06%
2. Health
2.1 Basic Checks
CNQ has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
The number of shares outstanding for CNQ has been reduced compared to 1 year ago.
Compared to 5 years ago, CNQ has less shares outstanding
Compared to 1 year ago, CNQ has a worse debt to assets ratio.
2.2 Solvency
CNQ has an Altman-Z score of 2.56. This is not the best score and indicates that CNQ is in the grey zone with still only limited risk for bankruptcy at the moment.
The Altman-Z score of CNQ (2.56) is better than 76.67% of its industry peers.
CNQ has a Debt/Equity ratio of 0.41. This is a healthy value indicating a solid balance between debt and equity.
CNQ's Debt to Equity ratio of 0.41 is in line compared to the rest of the industry. CNQ outperforms 54.76% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.41 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 2.56 |
ROIC/WACC1.46
WACC7.52%
2.3 Liquidity
CNQ has a Current Ratio of 0.85. 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 has a Current ratio of 0.85. This is in the lower half of the industry: CNQ underperforms 63.81% of its industry peers.
A Quick Ratio of 0.54 indicates that CNQ may have some problems paying its short term obligations.
With a Quick ratio value of 0.54, CNQ is not doing good in the industry: 80.00% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.85 | ||
| Quick Ratio | 0.54 |
3. Growth
3.1 Past
CNQ shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -6.45%.
The Earnings Per Share has been growing by 16.79% on average over the past years. This is quite good.
CNQ shows a small growth in Revenue. In the last year, the Revenue has grown by 3.42%.
Measured over the past years, CNQ shows a quite strong growth in Revenue. The Revenue has been growing by 9.29% on average per year.
EPS 1Y (TTM)-6.45%
EPS 3Y4.92%
EPS 5Y16.79%
EPS Q2Q%-19.32%
Revenue 1Y (TTM)3.42%
Revenue growth 3Y5.86%
Revenue growth 5Y9.29%
Sales Q2Q%-3.9%
3.2 Future
Based on estimates for the next years, CNQ will show a quite strong growth in Earnings Per Share. The EPS will grow by 17.58% on average per year.
The Revenue is expected to grow by 0.85% on average over the next years.
EPS Next Y0.7%
EPS Next 2Y-3.67%
EPS Next 3Y15.52%
EPS Next 5Y17.58%
Revenue Next Year7.41%
Revenue Next 2Y0.65%
Revenue Next 3Y2.52%
Revenue Next 5Y0.85%
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 stable.
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
A Price/Earnings ratio of 11.71 indicates a reasonable valuation of CNQ.
Compared to the rest of the industry, the Price/Earnings ratio of CNQ indicates a somewhat cheap valuation: CNQ is cheaper than 71.90% of the companies listed in the same industry.
The average S&P500 Price/Earnings ratio is at 27.30. CNQ is valued rather cheaply when compared to this.
The Price/Forward Earnings ratio is 13.72, which indicates a correct valuation of CNQ.
CNQ's Price/Forward Earnings ratio is in line with the industry average.
CNQ's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 22.73.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.71 | ||
| Fwd PE | 13.72 |
4.2 Price Multiples
CNQ's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. CNQ is cheaper than 66.19% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 6.06 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates CNQ does not grow enough to justify the current Price/Earnings ratio.
The decent profitability rating of CNQ may justify a higher PE ratio.
A more expensive valuation may be justified as CNQ's earnings are expected to grow with 15.52% in the coming years.
PEG (NY)16.76
PEG (5Y)0.7
EPS Next 2Y-3.67%
EPS Next 3Y15.52%
5. Dividend
5.1 Amount
CNQ has a Yearly Dividend Yield of 5.44%, which is a nice return.
CNQ's Dividend Yield is a higher than the industry average which is at 6.18.
CNQ's Dividend Yield is rather good when compared to the S&P500 average which is at 2.38.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.44% |
5.2 History
The dividend of CNQ is nicely growing with an annual growth rate of 23.37%!
CNQ has paid a dividend for at least 10 years, which is a reliable track record.
The dividend of CNQ decreased recently.
Dividend Growth(5Y)23.37%
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
55.82% of the earnings are spent on dividend by CNQ. 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.
DP55.82%
EPS Next 2Y-3.67%
EPS Next 3Y15.52%
NYSE:CNQ (9/15/2025, 11:20:02 AM)
31.86
+0.67 (+2.15%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)
Earnings (Next)
Inst Owners77.66%
Inst Owner Change-3.98%
Ins Owners2.18%
Ins Owner ChangeN/A
Market Cap66.49B
Analysts75.83
Price Target38.76 (21.66%)
Short Float %0.9%
Short Ratio3.39
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.44% |
Yearly Dividend1.51
Dividend Growth(5Y)23.37%
DP55.82%
Div Incr Years1
Div Non Decr Years1
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)11.15%
Min EPS beat(2)9.38%
Max EPS beat(2)12.93%
EPS beat(4)3
Avg EPS beat(4)7%
Min EPS beat(4)-0.9%
Max EPS beat(4)12.93%
EPS beat(8)6
Avg EPS beat(8)5.45%
EPS beat(12)8
Avg EPS beat(12)3.79%
EPS beat(16)12
Avg EPS beat(16)4.8%
Revenue beat(2)1
Avg Revenue beat(2)0.78%
Min Revenue beat(2)-2.6%
Max Revenue beat(2)4.16%
Revenue beat(4)2
Avg Revenue beat(4)-0.02%
Min Revenue beat(4)-4.04%
Max Revenue beat(4)4.16%
Revenue beat(8)5
Avg Revenue beat(8)0.82%
Revenue beat(12)9
Avg Revenue beat(12)2.08%
Revenue beat(16)13
Avg Revenue beat(16)5.56%
PT rev (1m)2.09%
PT rev (3m)1.35%
EPS NQ rev (1m)-4.03%
EPS NQ rev (3m)-12.35%
EPS NY rev (1m)0.64%
EPS NY rev (3m)0.64%
Revenue NQ rev (1m)3.03%
Revenue NQ rev (3m)-0.57%
Revenue NY rev (1m)0.1%
Revenue NY rev (3m)-8.57%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.71 | ||
| Fwd PE | 13.72 | ||
| P/S | 2.42 | ||
| P/FCF | N/A | ||
| P/OCF | 6.66 | ||
| P/B | 2.23 | ||
| P/tB | 2.23 | ||
| EV/EBITDA | 6.06 |
EPS(TTM)2.72
EY8.54%
EPS(NY)2.32
Fwd EY7.29%
FCF(TTM)-0.41
FCFYN/A
OCF(TTM)4.79
OCFY15.02%
SpS13.15
BVpS14.29
TBVpS14.29
PEG (NY)16.76
PEG (5Y)0.7
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 9.76% | ||
| ROE | 20.15% | ||
| ROCE | 14.02% | ||
| ROIC | 10.99% | ||
| ROICexc | 11% | ||
| ROICexgc | 11% | ||
| OM | 28.32% | ||
| PM (TTM) | 21.9% | ||
| GM | 49.63% | ||
| FCFM | N/A |
ROA(3y)10.79%
ROA(5y)8.36%
ROE(3y)21.6%
ROE(5y)16.84%
ROIC(3y)13.06%
ROIC(5y)N/A
ROICexc(3y)13.27%
ROICexc(5y)N/A
ROICexgc(3y)13.27%
ROICexgc(5y)N/A
ROCE(3y)16.66%
ROCE(5y)N/A
ROICexcg growth 3Y-2.66%
ROICexcg growth 5Y10.27%
ROICexc growth 3Y-2.66%
ROICexc growth 5Y10.27%
OM growth 3Y-4.83%
OM growth 5Y2.21%
PM growth 3Y-12.43%
PM growth 5Y-6.28%
GM growth 3Y-3.13%
GM growth 5Y-1.06%
F-Score4
Asset Turnover0.45
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.41 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 0.94 | ||
| Cap/Depr | 210.68% | ||
| Cap/Sales | 39.55% | ||
| Interest Coverage | 13.92 | ||
| Cash Conversion | 77.29% | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.85 | ||
| Quick Ratio | 0.54 | ||
| Altman-Z | 2.56 |
F-Score4
WACC7.52%
ROIC/WACC1.46
Cap/Depr(3y)121.37%
Cap/Depr(5y)96.99%
Cap/Sales(3y)22.2%
Cap/Sales(5y)19.34%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-6.45%
EPS 3Y4.92%
EPS 5Y16.79%
EPS Q2Q%-19.32%
EPS Next Y0.7%
EPS Next 2Y-3.67%
EPS Next 3Y15.52%
EPS Next 5Y17.58%
Revenue 1Y (TTM)3.42%
Revenue growth 3Y5.86%
Revenue growth 5Y9.29%
Sales Q2Q%-3.9%
Revenue Next Year7.41%
Revenue Next 2Y0.65%
Revenue Next 3Y2.52%
Revenue Next 5Y0.85%
EBIT growth 1Y1%
EBIT growth 3Y0.75%
EBIT growth 5Y11.71%
EBIT Next Year115.1%
EBIT Next 3Y25.61%
EBIT Next 5Y17.84%
FCF growth 1Y-112.63%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-5.79%
OCF growth 3Y-2.58%
OCF growth 5Y8.68%