COMSTOCK RESOURCES INC (CRK)
US2057683029 - Common Stock
CRK gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 217 industry peers in the Oil, Gas & Consumable Fuels industry. CRK has an excellent profitability rating, but there are concerns on its financial health. CRK scores decently on growth, while it is valued quite cheap. This could make an interesting combination.
1. Profitability
1.1 Basic Checks
CRK had positive earnings in the past year.
CRK had a positive operating cash flow in the past year.
In multiple years CRK reported negative net income over the last 5 years.
CRK had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
CRK has a better Return On Assets (16.34%) than 68.66% of its industry peers.
CRK has a better Return On Equity (41.46%) than 78.34% of its industry peers.
CRK has a Return On Invested Capital of 22.77%. This is in the better half of the industry: CRK outperforms 79.26% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for CRK is significantly below the industry average of 72.19%.
The 3 year average ROIC (20.73%) for CRK is below the current ROIC(22.77%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 16.34% | ||
| ROE | 41.46% | ||
| ROIC | 22.77% |
ROA(3y)N/A
ROA(5y)N/A
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)20.73%
ROIC(5y)14.82%
1.3 Margins
CRK has a Profit Margin of 32.99%. This is in the better half of the industry: CRK outperforms 67.74% of its industry peers.
CRK's Profit Margin has improved in the last couple of years.
CRK has a better Operating Margin (49.13%) than 79.26% of its industry peers.
CRK's Operating Margin has improved in the last couple of years.
CRK has a Gross Margin of 69.56%. This is in the better half of the industry: CRK outperforms 69.59% of its industry peers.
CRK's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 49.13% | ||
| PM | 32.99% | ||
| GM | 69.56% |
OM growth 3Y20.69%
OM growth 5Y29.02%
PM growth 3Y47.42%
PM growth 5YN/A
GM growth 3Y0.94%
GM growth 5Y0.39%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so CRK is creating value.
CRK has more shares outstanding than it did 1 year ago.
The number of shares outstanding for CRK has been increased compared to 5 years ago.
The debt/assets ratio for CRK has been reduced compared to a year ago.
2.2 Solvency
CRK has an Altman-Z score of 1.93. This is not the best score and indicates that CRK is in the grey zone with still only limited risk for bankruptcy at the moment.
CRK's Altman-Z score of 1.93 is in line compared to the rest of the industry. CRK outperforms 52.53% of its industry peers.
The Debt to FCF ratio of CRK is 5.01, which is a neutral value as it means it would take CRK, 5.01 years of fcf income to pay off all of its debts.
With a Debt to FCF ratio value of 5.01, CRK perfoms like the industry average, outperforming 48.85% of the companies in the same industry.
A Debt/Equity ratio of 0.95 indicates that CRK is somewhat dependend on debt financing.
CRK has a Debt to Equity ratio of 0.95. This is in the lower half of the industry: CRK underperforms 68.20% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.95 | ||
| Debt/FCF | 5.01 | ||
| Altman-Z | 1.93 |
ROIC/WACC2.73
WACC8.96%
2.3 Liquidity
A Current Ratio of 0.37 indicates that CRK may have some problems paying its short term obligations.
CRK's Current ratio of 0.37 is on the low side compared to the rest of the industry. CRK is outperformed by 91.71% of its industry peers.
CRK has a Quick Ratio of 0.37. This is a bad value and indicates that CRK is not financially healthy enough and could expect problems in meeting its short term obligations.
CRK's Quick ratio of 0.37 is on the low side compared to the rest of the industry. CRK is outperformed by 89.40% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.37 | ||
| Quick Ratio | 0.37 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 15.32% over the past year.
Measured over the past years, CRK shows a very strong growth in Earnings Per Share. The EPS has been growing by 72.39% on average per year.
The Revenue for CRK has decreased by -11.12% in the past year. This is quite bad
Measured over the past years, CRK shows a very strong growth in Revenue. The Revenue has been growing by 70.03% on average per year.
EPS 1Y15.32%
EPS 3Y72.39%
EPS 5YN/A
EPS growth Q2Q-100%
Revenue growth 1Y-11.12%
Revenue growth 3Y67.74%
Revenue growth 5Y70.03%
Revenue growth Q2Q-80.98%
3.2 Future
CRK is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 9.58% yearly.
The Revenue is expected to decrease by -4.55% on average over the next years.
EPS Next Y-80.57%
EPS Next 2Y-33.05%
EPS Next 3Y-10.12%
EPS Next 5Y9.58%
Revenue Next Year-43.89%
Revenue Next 2Y-15.42%
Revenue Next 3Y-4.55%
Revenue Next 5YN/A
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 4.32, the valuation of CRK can be described as very cheap.
CRK's Price/Earnings ratio is rather cheap when compared to the industry. CRK is cheaper than 83.87% of the companies in the same industry.
CRK is valuated cheaply when we compare the Price/Earnings ratio to 25.59, which is the current average of the S&P500 Index.
With a Price/Forward Earnings ratio of 6.60, the valuation of CRK can be described as very cheap.
CRK's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. CRK is cheaper than 77.88% of the companies in the same industry.
CRK's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 18.75.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 4.32 | ||
| Fwd PE | 6.6 |
4.2 Price Multiples
CRK's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. CRK is cheaper than 86.18% of the companies in the same industry.
CRK's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. CRK is cheaper than 66.82% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 7.1 | ||
| EV/EBITDA | 2.64 |
4.3 Compensation for Growth
CRK has a very decent profitability rating, which may justify a higher PE ratio.
A cheap valuation may be justified as CRK's earnings are expected to decrease with -10.12% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-33.05%
EPS Next 3Y-10.12%
5. Dividend
5.1 Amount
CRK has a Yearly Dividend Yield of 4.78%, which is a nice return.
CRK's Dividend Yield is a higher than the industry average which is at 6.69.
CRK's Dividend Yield is rather good when compared to the S&P500 average which is at 2.64.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.78% |
5.2 History
The dividend of CRK decreases each year by -39.89%.
CRK has been paying a dividend for less than 5 years, so it still needs to build a track record.
Dividend Growth(5Y)-39.89%
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
CRK pays out 11.68% of its income as dividend. This is a sustainable payout ratio.
DP11.68%
EPS Next 2Y-33.05%
EPS Next 3Y-10.12%
COMSTOCK RESOURCES INC
NYSE:CRK (9/28/2023, 3:15:01 PM)
After market: 11.07 0 (0%)11.07
+0.29 (+2.69%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)07-31 2023-07-31/amc
Earnings (Next)10-30 2023-10-30/amc
Inst Owners32.59%
Inst Owner Change1.93%
Ins Owners1.84%
Ins Owner Change13.74%
Market Cap3.08B
Analysts68.75
Price Target13.63 (23.13%)
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.78% |
Dividend Growth(5Y)-39.89%
DP11.68%
Div Incr Years1
Div Non Decr Years1
Ex-Date08-31 2023-08-31 (0.125)
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-52.69%
Min EPS beat(2)-100%
Max EPS beat(2)-5.39%
EPS beat(4)1
Avg EPS beat(4)-20.42%
Min EPS beat(4)-100%
Max EPS beat(4)23.94%
Revenue beat(2)2
Avg Revenue beat(2)96803.9%
Min Revenue beat(2)85613.4%
Max Revenue beat(2)107995%
Revenue beat(4)4
Avg Revenue beat(4)120848%
Min Revenue beat(4)85613.4%
Max Revenue beat(4)150912%
PT rev (1m)0.68%
PT rev (3m)1.73%
EPS NQ rev (1m)7.69%
EPS NQ rev (3m)-28.24%
EPS NY rev (1m)-12.4%
EPS NY rev (3m)-41.84%
Revenue NQ rev (1m)-99.9%
Revenue NQ rev (3m)-99.92%
Revenue NY rev (1m)-4.85%
Revenue NY rev (3m)-16.37%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 4.32 | ||
| Fwd PE | 6.6 | ||
| P/S | 1.07 | ||
| P/FCF | 7.1 | ||
| P/OCF | 1.78 | ||
| P/B | 1.34 | ||
| P/tB | 1.57 | ||
| EV/EBITDA | 2.64 |
EPS(TTM)2.56
EY23.13%
EPS(NY)1.68
Fwd EY15.15%
FCF(TTM)1.56
FCFY14.08%
OCF(TTM)6.21
OCFY56.13%
SpS10.38
BVpS8.26
TBVpS7.05
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 16.34% | ||
| ROE | 41.46% | ||
| ROCE | 27.98% | ||
| ROIC | 22.77% | ||
| ROICexc | 22.81% | ||
| ROICexgc | 24.43% | ||
| OM | 49.13% | ||
| PM | 32.99% | ||
| GM | 69.56% | ||
| FCFM | 15.02% |
ROA(3y)N/A
ROA(5y)N/A
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)20.73%
ROIC(5y)14.82%
ROICexc(3y)20.94%
ROICexc(5y)14.96%
ROICexgc(3y)22.63%
ROICexgc(5y)16.36%
ROCE(3y)25.48%
ROCE(5y)18.21%
ROICexcg growth 3Y92.52%
ROICexcg growth 5Y50.91%
ROICexc growth 3Y93.23%
ROICexc growth 5Y48.77%
OM growth 3Y20.69%
OM growth 5Y29.02%
PM growth 3Y47.42%
PM growth 5YN/A
GM growth 3Y0.94%
GM growth 5Y0.39%
F-Score5
Asset Turnover0.5
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.95 | ||
| Debt/FCF | 5.01 | ||
| Debt/EBITDA | 1.11 | ||
| Cap/Depr | 241.07% | ||
| Cap/Sales | 44.85% | ||
| Profit Quality | 45.53% | ||
| Current Ratio | 0.37 | ||
| Quick Ratio | 0.37 | ||
| Altman-Z | 1.93 |
F-Score5
WACC8.96%
ROIC/WACC2.73
Cap/Depr(3y)162.4%
Cap/Depr(5y)185.09%
Cap/Sales(3y)42.02%
Cap/Sales(5y)54.27%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
Growth
EPS 1Y15.32%
EPS 3Y72.39%
EPS 5YN/A
EPS growth Q2Q-100%
EPS Next Y-80.57%
EPS Next 2Y-33.05%
EPS Next 3Y-10.12%
EPS Next 5Y9.58%
Revenue growth 1Y-11.12%
Revenue growth 3Y67.74%
Revenue growth 5Y70.03%
Revenue growth Q2Q-80.98%
Revenue Next Year-43.89%
Revenue Next 2Y-15.42%
Revenue Next 3Y-4.55%
Revenue Next 5YN/A
EBIT growth 1Y-31.97%
EBIT growth 3Y102.45%
EBIT growth 5Y119.37%
EBIT Next Year-43.48%
EBIT Next 3Y0.18%
EBIT Next 5YN/A
FCF growth 1Y438.59%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y148.9%
OCF growth 3Y55.56%
OCF growth 5Y57.62%