COTERRA ENERGY INC (CTRA) Stock Fundamental Analysis
USA - NYSE:CTRA - US1270971039 - Common Stock
26.57 USD
+0.2 (+0.76%)
26.5 USD
-0.07 (-0.26%)
Taking everything into account, CTRA scores 6 out of 10 in our fundamental rating. CTRA was compared to 210 industry peers in the Oil, Gas & Consumable Fuels industry. CTRA has an excellent profitability rating, but there are some minor concerns on its financial health. CTRA is growing strongly while it also seems undervalued. This is an interesting combination This makes CTRA very considerable for value and growth investing!
1. Profitability
1.1 Basic Checks
CTRA had positive earnings in the past year.
CTRA had a positive operating cash flow in the past year.
CTRA had positive earnings in each of the past 5 years.
CTRA had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
Looking at the Return On Assets, with a value of 6.57%, CTRA is in the better half of the industry, outperforming 73.33% of the companies in the same industry.
CTRA has a better Return On Equity (10.82%) than 63.81% of its industry peers.
With a decent Return On Invested Capital value of 7.30%, CTRA is doing good in the industry, outperforming 66.19% of the companies in the same industry.
CTRA had an Average Return On Invested Capital over the past 3 years of 12.27%. This is significantly below the industry average of 21.78%.
The last Return On Invested Capital (7.30%) for CTRA is well below the 3 year average (12.27%), which needs to be investigated, but indicates that CTRA had better years and this may not be a problem.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.57% | ||
| ROE | 10.82% | ||
| ROIC | 7.3% |
ROA(3y)11.08%
ROA(5y)8.7%
ROE(3y)17.66%
ROE(5y)14.37%
ROIC(3y)12.27%
ROIC(5y)9.93%
1.3 Margins
The Profit Margin of CTRA (23.80%) is better than 79.05% of its industry peers.
In the last couple of years the Profit Margin of CTRA has declined.
Looking at the Operating Margin, with a value of 31.25%, CTRA is in the better half of the industry, outperforming 75.71% of the companies in the same industry.
CTRA's Operating Margin has declined in the last couple of years.
CTRA has a better Gross Margin (82.52%) than 91.90% of its industry peers.
In the last couple of years the Gross Margin of CTRA has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 31.25% | ||
| PM (TTM) | 23.8% | ||
| GM | 82.52% |
OM growth 3Y-19.39%
OM growth 5Y-9.76%
PM growth 3Y-15.14%
PM growth 5Y-9.04%
GM growth 3Y1.7%
GM growth 5Y3.22%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), CTRA is creating some value.
Compared to 1 year ago, CTRA has less shares outstanding
The number of shares outstanding for CTRA has been increased compared to 5 years ago.
Compared to 1 year ago, CTRA has a worse debt to assets ratio.
2.2 Solvency
An Altman-Z score of 2.23 indicates that CTRA is not a great score, but indicates only limited risk for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 2.23, CTRA is in the better half of the industry, outperforming 70.48% of the companies in the same industry.
The Debt to FCF ratio of CTRA is 2.83, which is a good value as it means it would take CTRA, 2.83 years of fcf income to pay off all of its debts.
With a decent Debt to FCF ratio value of 2.83, CTRA is doing good in the industry, outperforming 76.67% of the companies in the same industry.
A Debt/Equity ratio of 0.29 indicates that CTRA is not too dependend on debt financing.
CTRA has a Debt to Equity ratio of 0.29. This is in the better half of the industry: CTRA outperforms 61.90% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.29 | ||
| Debt/FCF | 2.83 | ||
| Altman-Z | 2.23 |
ROIC/WACC0.91
WACC8.01%
2.3 Liquidity
CTRA has a Current Ratio of 1.13. This is a normal value and indicates that CTRA is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Current ratio, with a value of 1.13, CTRA is in line with its industry, outperforming 48.10% of the companies in the same industry.
CTRA has a Quick Ratio of 1.08. This is a normal value and indicates that CTRA is financially healthy and should not expect problems in meeting its short term obligations.
CTRA's Quick ratio of 1.08 is in line compared to the rest of the industry. CTRA outperforms 56.19% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.13 | ||
| Quick Ratio | 1.08 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 26.74% over the past year.
Measured over the past 5 years, CTRA shows a small growth in Earnings Per Share. The EPS has been growing by 0.12% on average per year.
CTRA shows a decrease in Revenue. In the last year, the revenue decreased by -7.71%.
The Revenue has been growing by 21.44% on average over the past years. This is a very strong growth!
EPS 1Y (TTM)26.74%
EPS 3Y-5.3%
EPS 5Y0.12%
EPS Q2Q%28.12%
Revenue 1Y (TTM)-7.71%
Revenue growth 3Y16.53%
Revenue growth 5Y21.44%
Sales Q2Q%33.7%
3.2 Future
Based on estimates for the next years, CTRA will show a quite strong growth in Earnings Per Share. The EPS will grow by 18.98% on average per year.
CTRA is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 16.04% yearly.
EPS Next Y38.53%
EPS Next 2Y36.39%
EPS Next 3Y26.89%
EPS Next 5Y18.98%
Revenue Next Year38.25%
Revenue Next 2Y21.85%
Revenue Next 3Y16.04%
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
Although the future Revenue growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 12.19, the valuation of CTRA can be described as correct.
63.33% of the companies in the same industry are more expensive than CTRA, based on the Price/Earnings ratio.
Compared to an average S&P500 Price/Earnings ratio of 25.83, CTRA is valued rather cheaply.
The Price/Forward Earnings ratio is 8.45, which indicates a very decent valuation of CTRA.
83.33% of the companies in the same industry are more expensive than CTRA, based on the Price/Forward Earnings ratio.
When comparing the Price/Forward Earnings ratio of CTRA to the average of the S&P500 Index (32.68), we can say CTRA is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.19 | ||
| Fwd PE | 8.45 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of CTRA indicates a somewhat cheap valuation: CTRA is cheaper than 69.05% of the companies listed in the same industry.
Based on the Price/Free Cash Flow ratio, CTRA is valued a bit cheaper than the industry average as 66.19% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 13.7 | ||
| EV/EBITDA | 5.88 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
The decent profitability rating of CTRA may justify a higher PE ratio.
CTRA's earnings are expected to grow with 26.89% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.32
PEG (5Y)102.62
EPS Next 2Y36.39%
EPS Next 3Y26.89%
5. Dividend
5.1 Amount
CTRA has a Yearly Dividend Yield of 3.34%.
CTRA's Dividend Yield is comparable with the industry average which is at 6.76.
CTRA's Dividend Yield is a higher than the S&P500 average which is at 2.39.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.34% |
5.2 History
The dividend of CTRA is nicely growing with an annual growth rate of 18.85%!
CTRA has paid a dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)18.85%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
CTRA pays out 41.69% of its income as dividend. This is a bit on the high side, but may be sustainable.
CTRA's earnings are growing around the same pace than its dividend. As long as the earnings growth is kept the dividend growth is sustainable.
DP41.69%
EPS Next 2Y36.39%
EPS Next 3Y26.89%
26.57
+0.2 (+0.76%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)
Earnings (Next)
Inst Owners94.45%
Inst Owner Change0%
Ins Owners0.87%
Ins Owner Change-1.63%
Market Cap20.28B
Revenue(TTM)5.46B
Net Income(TTM)1.58B
Analysts81.94
Price Target33.09 (24.54%)
Short Float %4.18%
Short Ratio3.87
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.34% |
Yearly Dividend0.84
Dividend Growth(5Y)18.85%
DP41.69%
Div Incr Years0
Div Non Decr Years0
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)1.37%
Min EPS beat(2)-1.36%
Max EPS beat(2)4.09%
EPS beat(4)2
Avg EPS beat(4)1.6%
Min EPS beat(4)-7.3%
Max EPS beat(4)10.97%
EPS beat(8)4
Avg EPS beat(8)2.93%
EPS beat(12)8
Avg EPS beat(12)5.11%
EPS beat(16)10
Avg EPS beat(16)2.06%
Revenue beat(2)1
Avg Revenue beat(2)3.87%
Min Revenue beat(2)-5.32%
Max Revenue beat(2)13.06%
Revenue beat(4)3
Avg Revenue beat(4)2.74%
Min Revenue beat(4)-5.32%
Max Revenue beat(4)13.06%
Revenue beat(8)5
Avg Revenue beat(8)0.75%
Revenue beat(12)8
Avg Revenue beat(12)1.3%
Revenue beat(16)10
Avg Revenue beat(16)0.7%
PT rev (1m)-1.94%
PT rev (3m)-2.49%
EPS NQ rev (1m)-13.43%
EPS NQ rev (3m)-28.49%
EPS NY rev (1m)-5.53%
EPS NY rev (3m)-13.64%
Revenue NQ rev (1m)-3.74%
Revenue NQ rev (3m)-5.82%
Revenue NY rev (1m)-0.73%
Revenue NY rev (3m)-0.12%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.19 | ||
| Fwd PE | 8.45 | ||
| P/S | 3.06 | ||
| P/FCF | 13.7 | ||
| P/OCF | 5.86 | ||
| P/B | 1.39 | ||
| P/tB | 1.39 | ||
| EV/EBITDA | 5.88 |
EPS(TTM)2.18
EY8.2%
EPS(NY)3.14
Fwd EY11.83%
FCF(TTM)1.94
FCFY7.3%
OCF(TTM)4.54
OCFY17.07%
SpS8.68
BVpS19.08
TBVpS19.08
PEG (NY)0.32
PEG (5Y)102.62
Graham Number30.6
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.57% | ||
| ROE | 10.82% | ||
| ROCE | 9.15% | ||
| ROIC | 7.3% | ||
| ROICexc | 7.37% | ||
| ROICexgc | 7.37% | ||
| OM | 31.25% | ||
| PM (TTM) | 23.8% | ||
| GM | 82.52% | ||
| FCFM | 22.35% |
ROA(3y)11.08%
ROA(5y)8.7%
ROE(3y)17.66%
ROE(5y)14.37%
ROIC(3y)12.27%
ROIC(5y)9.93%
ROICexc(3y)12.9%
ROICexc(5y)10.44%
ROICexgc(3y)12.9%
ROICexgc(5y)10.44%
ROCE(3y)15.36%
ROCE(5y)12.44%
ROICexgc growth 3Y-7.45%
ROICexgc growth 5Y-19.44%
ROICexc growth 3Y-7.45%
ROICexc growth 5Y-19.44%
OM growth 3Y-19.39%
OM growth 5Y-9.76%
PM growth 3Y-15.14%
PM growth 5Y-9.04%
GM growth 3Y1.7%
GM growth 5Y3.22%
F-Score7
Asset Turnover0.28
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.29 | ||
| Debt/FCF | 2.83 | ||
| Debt/EBITDA | 1.02 | ||
| Cap/Depr | 97.39% | ||
| Cap/Sales | 29.91% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 84.33% | ||
| Profit Quality | 93.91% | ||
| Current Ratio | 1.13 | ||
| Quick Ratio | 1.08 | ||
| Altman-Z | 2.23 |
F-Score7
WACC8.01%
ROIC/WACC0.91
Cap/Depr(3y)110.23%
Cap/Depr(5y)116.61%
Cap/Sales(3y)28.94%
Cap/Sales(5y)29.44%
Profit Quality(3y)93.33%
Profit Quality(5y)92.4%
High Growth Momentum
Growth
EPS 1Y (TTM)26.74%
EPS 3Y-5.3%
EPS 5Y0.12%
EPS Q2Q%28.12%
EPS Next Y38.53%
EPS Next 2Y36.39%
EPS Next 3Y26.89%
EPS Next 5Y18.98%
Revenue 1Y (TTM)-7.71%
Revenue growth 3Y16.53%
Revenue growth 5Y21.44%
Sales Q2Q%33.7%
Revenue Next Year38.25%
Revenue Next 2Y21.85%
Revenue Next 3Y16.04%
Revenue Next 5YN/A
EBIT growth 1Y19.58%
EBIT growth 3Y-6.06%
EBIT growth 5Y9.59%
EBIT Next Year238.86%
EBIT Next 3Y58.26%
EBIT Next 5Y32.87%
FCF growth 1Y-55.81%
FCF growth 3Y2.93%
FCF growth 5Y9.27%
OCF growth 1Y-35.85%
OCF growth 3Y18.8%
OCF growth 5Y14.09%
COTERRA ENERGY INC / CTRA FAQ
What is the fundamental rating for CTRA stock?
ChartMill assigns a fundamental rating of 6 / 10 to CTRA.
What is the valuation status of COTERRA ENERGY INC (CTRA) stock?
ChartMill assigns a valuation rating of 8 / 10 to COTERRA ENERGY INC (CTRA). This can be considered as Undervalued.
How profitable is COTERRA ENERGY INC (CTRA) stock?
COTERRA ENERGY INC (CTRA) has a profitability rating of 7 / 10.
What is the earnings growth outlook for COTERRA ENERGY INC?
The Earnings per Share (EPS) of COTERRA ENERGY INC (CTRA) is expected to grow by 38.53% in the next year.
Can you provide the dividend sustainability for CTRA stock?
The dividend rating of COTERRA ENERGY INC (CTRA) is 5 / 10 and the dividend payout ratio is 41.69%.