COMSTOCK RESOURCES INC (CRK) Stock Fundamental Analysis
NYSE:CRK - New York Stock Exchange, Inc. - US2057683029 - Common Stock - Currency: USD
CRK gets a fundamental rating of 3 out of 10. The analysis compared the fundamentals against 208 industry peers in the Oil, Gas & Consumable Fuels industry. Both the profitability and financial health of CRK have multiple concerns. CRK is not priced too expensively while it is growing strongly. Keep and eye on this one!
1. Profitability
1.1 Basic Checks
CRK had positive earnings in the past year.
In the past year CRK had a positive cash flow from operations.
In multiple years CRK reported negative net income over the last 5 years.
Each year in the past 5 years CRK had a positive operating cash flow.
1.2 Ratios
CRK has a worse Return On Assets (-1.25%) than 70.67% of its industry peers.
CRK's Return On Equity of -3.72% is on the low side compared to the rest of the industry. CRK is outperformed by 69.71% of its industry peers.
CRK has a worse Return On Invested Capital (2.19%) than 70.67% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -1.25% | ||
| ROE | -3.72% | ||
| ROIC | 2.19% |
ROA(3y)6.49%
ROA(5y)2.42%
ROE(3y)15.97%
ROE(5y)4.06%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
CRK has a Operating Margin of 9.16%. This is in the lower half of the industry: CRK underperforms 63.46% of its industry peers.
Looking at the Gross Margin, with a value of 56.59%, CRK is in the better half of the industry, outperforming 65.38% of the companies in the same industry.
CRK's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 9.16% | ||
| PM (TTM) | N/A | ||
| GM | 56.59% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-14.34%
GM growth 5Y-6.76%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so CRK is destroying value.
CRK has more shares outstanding than it did 1 year ago.
CRK has more shares outstanding than it did 5 years ago.
CRK has a worse debt/assets ratio than last year.
2.2 Solvency
Based on the Altman-Z score of 1.02, we must say that CRK is in the distress zone and has some risk of bankruptcy.
Looking at the Altman-Z score, with a value of 1.02, CRK is in line with its industry, outperforming 45.19% of the companies in the same industry.
CRK has a Debt/Equity ratio of 1.35. This is a high value indicating a heavy dependency on external financing.
CRK has a worse Debt to Equity ratio (1.35) than 71.63% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.35 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 1.02 |
ROIC/WACC0.23
WACC9.38%
2.3 Liquidity
A Current Ratio of 0.36 indicates that CRK may have some problems paying its short term obligations.
The Current ratio of CRK (0.36) is worse than 92.31% of its industry peers.
A Quick Ratio of 0.36 indicates that CRK may have some problems paying its short term obligations.
The Quick ratio of CRK (0.36) is worse than 91.35% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.36 | ||
| Quick Ratio | 0.36 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 433.33% over the past year.
The Revenue has grown by 20.74% in the past year. This is a very strong growth!
Measured over the past years, CRK shows a quite strong growth in Revenue. The Revenue has been growing by 10.28% on average per year.
EPS 1Y (TTM)433.33%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%165%
Revenue 1Y (TTM)20.74%
Revenue growth 3Y-12.18%
Revenue growth 5Y10.28%
Sales Q2Q%90.52%
3.2 Future
CRK is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 105.48% yearly.
Based on estimates for the next years, CRK will show a very strong growth in Revenue. The Revenue will grow by 22.32% on average per year.
EPS Next Y404.93%
EPS Next 2Y167.69%
EPS Next 3Y98.4%
EPS Next 5Y105.48%
Revenue Next Year44.5%
Revenue Next 2Y32.57%
Revenue Next 3Y22.32%
Revenue Next 5YN/A
3.3 Evolution
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
CRK is valuated quite expensively with a Price/Earnings ratio of 53.13.
Based on the Price/Earnings ratio, CRK is valued a bit more expensive than 67.79% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 26.48. CRK is valued rather expensively when compared to this.
A Price/Forward Earnings ratio of 12.86 indicates a correct valuation of CRK.
The rest of the industry has a similar Price/Forward Earnings ratio as CRK.
CRK's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 34.04.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 53.13 | ||
| Fwd PE | 12.86 |
4.2 Price Multiples
CRK's Enterprise Value to EBITDA ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 8.63 |
4.3 Compensation for Growth
CRK's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
A more expensive valuation may be justified as CRK's earnings are expected to grow with 98.40% in the coming years.
PEG (NY)0.13
PEG (5Y)N/A
EPS Next 2Y167.69%
EPS Next 3Y98.4%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 4.74%, CRK is a good candidate for dividend investing.
In the last 3 months the price of CRK has falen by -31.71%. A price decline artificially increases the dividend yield. It may be a sign investors do not expect the dividend to last.
CRK's Dividend Yield is a higher than the industry average which is at 6.32.
Compared to an average S&P500 Dividend Yield of 2.39, CRK pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.74% |
5.2 History
CRK has paid a dividend for less than 5 years, so there is no long track record yet.
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
DP0%
EPS Next 2Y167.69%
EPS Next 3Y98.4%
15.94
-0.14 (-0.87%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)
Earnings (Next)
Inst Owners30.62%
Inst Owner Change-0.19%
Ins Owners2.22%
Ins Owner Change0.27%
Market Cap4.67B
Analysts56.52
Price Target22.24 (39.52%)
Short Float %24.04%
Short Ratio7.65
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.74% |
Yearly Dividend0
Dividend Growth(5Y)N/A
DP0%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)25.14%
Min EPS beat(2)14.38%
Max EPS beat(2)35.9%
EPS beat(4)3
Avg EPS beat(4)149.1%
Min EPS beat(4)-5.01%
Max EPS beat(4)551.11%
EPS beat(8)4
Avg EPS beat(8)74.36%
EPS beat(12)5
Avg EPS beat(12)42.76%
EPS beat(16)7
Avg EPS beat(16)30.9%
Revenue beat(2)2
Avg Revenue beat(2)15.58%
Min Revenue beat(2)10.97%
Max Revenue beat(2)20.2%
Revenue beat(4)2
Avg Revenue beat(4)5.47%
Min Revenue beat(4)-6.71%
Max Revenue beat(4)20.2%
Revenue beat(8)4
Avg Revenue beat(8)1.55%
Revenue beat(12)7
Avg Revenue beat(12)8.01%
Revenue beat(16)11
Avg Revenue beat(16)21.48%
PT rev (1m)2.51%
PT rev (3m)16.79%
EPS NQ rev (1m)-18.28%
EPS NQ rev (3m)-1.17%
EPS NY rev (1m)0%
EPS NY rev (3m)-7.44%
Revenue NQ rev (1m)-1.56%
Revenue NQ rev (3m)8.5%
Revenue NY rev (1m)-0.16%
Revenue NY rev (3m)2.93%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 53.13 | ||
| Fwd PE | 12.86 | ||
| P/S | 2.82 | ||
| P/FCF | N/A | ||
| P/OCF | 5.26 | ||
| P/B | 2.08 | ||
| P/tB | 2.45 | ||
| EV/EBITDA | 8.63 |
EPS(TTM)0.3
EY1.88%
EPS(NY)1.24
Fwd EY7.78%
FCF(TTM)-0.9
FCFYN/A
OCF(TTM)3.03
OCFY19.01%
SpS5.65
BVpS7.66
TBVpS6.51
PEG (NY)0.13
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -1.25% | ||
| ROE | -3.72% | ||
| ROCE | 2.55% | ||
| ROIC | 2.19% | ||
| ROICexc | 2.19% | ||
| ROICexgc | 2.33% | ||
| OM | 9.16% | ||
| PM (TTM) | N/A | ||
| GM | 56.59% | ||
| FCFM | N/A |
ROA(3y)6.49%
ROA(5y)2.42%
ROE(3y)15.97%
ROE(5y)4.06%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-14.34%
GM growth 5Y-6.76%
F-Score5
Asset Turnover0.25
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.35 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 3.4 | ||
| Cap/Depr | 156.31% | ||
| Cap/Sales | 69.62% | ||
| Interest Coverage | 0.74 | ||
| Cash Conversion | 99.92% | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.36 | ||
| Quick Ratio | 0.36 | ||
| Altman-Z | 1.02 |
F-Score5
WACC9.38%
ROIC/WACC0.23
Cap/Depr(3y)196.86%
Cap/Depr(5y)171.92%
Cap/Sales(3y)69.34%
Cap/Sales(5y)60.93%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)433.33%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%165%
EPS Next Y404.93%
EPS Next 2Y167.69%
EPS Next 3Y98.4%
EPS Next 5Y105.48%
Revenue 1Y (TTM)20.74%
Revenue growth 3Y-12.18%
Revenue growth 5Y10.28%
Sales Q2Q%90.52%
Revenue Next Year44.5%
Revenue Next 2Y32.57%
Revenue Next 3Y22.32%
Revenue Next 5YN/A
EBIT growth 1Y2175.99%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year2354.54%
EBIT Next 3Y223.01%
EBIT Next 5Y145.7%
FCF growth 1Y-160.83%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-48.71%
OCF growth 3Y-10.28%
OCF growth 5Y6.57%