COTERRA ENERGY INC (CTRA)
US1270971039 - Common Stock
CTRA gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 213 industry peers in the Oil, Gas & Consumable Fuels industry. While CTRA has a great health rating, its profitability is only average at the moment. CTRA has a decent growth rate and is not valued too expensively.
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.
Each year in the past 5 years CTRA had a positive operating cash flow.
1.2 Ratios
CTRA has a Return On Assets (7.94%) which is comparable to the rest of the industry.
CTRA has a Return On Equity (12.42%) which is comparable to the rest of the industry.
Looking at the Return On Invested Capital, with a value of 8.90%, CTRA is in line with its industry, outperforming 50.47% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for CTRA is significantly below the industry average of 46.07%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.94% | ||
| ROE | 12.42% | ||
| ROIC | 8.9% |
ROA(3y)11.29%
ROA(5y)10.7%
ROE(3y)18.09%
ROE(5y)18.99%
ROIC(3y)12.47%
ROIC(5y)11.86%
1.3 Margins
Looking at the Profit Margin, with a value of 27.39%, CTRA is in the better half of the industry, outperforming 66.51% of the companies in the same industry.
In the last couple of years the Profit Margin of CTRA has remained more or less at the same level.
CTRA's Operating Margin of 36.41% is fine compared to the rest of the industry. CTRA outperforms 66.98% of its industry peers.
In the last couple of years the Operating Margin of CTRA has remained more or less at the same level.
Looking at the Gross Margin, with a value of 81.99%, CTRA belongs to the top of the industry, outperforming 89.62% of the companies in the same industry.
CTRA's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 36.41% | ||
| PM (TTM) | 27.39% | ||
| GM | 81.99% |
OM growth 3Y21.75%
OM growth 5Y0.25%
PM growth 3Y26.06%
PM growth 5Y1.48%
GM growth 3Y13.51%
GM growth 5Y4.53%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so CTRA is still creating some value.
CTRA has less shares outstanding than it did 1 year ago.
Compared to 5 years ago, CTRA has more shares outstanding
The debt/assets ratio for CTRA has been reduced compared to a year ago.
2.2 Solvency
CTRA has an Altman-Z score of 2.72. This is not the best score and indicates that CTRA is in the grey zone with still only limited risk for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 2.72, CTRA is in the better half of the industry, outperforming 68.40% of the companies in the same industry.
CTRA has a debt to FCF ratio of 1.39. This is a very positive value and a sign of high solvency as it would only need 1.39 years to pay back of all of its debts.
CTRA's Debt to FCF ratio of 1.39 is amongst the best of the industry. CTRA outperforms 80.19% of its industry peers.
A Debt/Equity ratio of 0.12 indicates that CTRA is not too dependend on debt financing.
CTRA's Debt to Equity ratio of 0.12 is fine compared to the rest of the industry. CTRA outperforms 78.30% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.12 | ||
| Debt/FCF | 1.39 | ||
| Altman-Z | 2.72 |
ROIC/WACC1.04
WACC8.54%
2.3 Liquidity
CTRA has a Current Ratio of 1.21. This is a normal value and indicates that CTRA is financially healthy and should not expect problems in meeting its short term obligations.
The Current ratio of CTRA (1.21) is comparable to the rest of the industry.
A Quick Ratio of 1.18 indicates that CTRA should not have too much problems paying its short term obligations.
The Quick ratio of CTRA (1.18) is better than 63.21% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.21 | ||
| Quick Ratio | 1.18 |
3. Growth
3.1 Past
CTRA shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -53.85%.
CTRA shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 13.51% yearly.
CTRA shows a very negative growth in Revenue. In the last year, the Revenue has decreased by -34.66%.
The Revenue has been growing by 22.00% on average over the past years. This is a very strong growth!
EPS 1Y (TTM)-53.85%
EPS 3Y61.63%
EPS 5Y13.51%
EPS growth Q2Q-55.17%
Revenue 1Y (TTM)-34.66%
Revenue growth 3Y59.17%
Revenue growth 5Y22%
Revenue growth Q2Q-30%
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 9.07% on average per year.
CTRA is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 5.17% yearly.
EPS Next Y-17.16%
EPS Next 2Y14.6%
EPS Next 3Y10.03%
EPS Next 5Y9.07%
Revenue Next Year-1.3%
Revenue Next 2Y8.4%
Revenue Next 3Y5.17%
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
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
CTRA is valuated reasonably with a Price/Earnings ratio of 11.93.
The rest of the industry has a similar Price/Earnings ratio as CTRA.
When comparing the Price/Earnings ratio of CTRA to the average of the S&P500 Index (25.05), we can say CTRA is valued rather cheaply.
The Price/Forward Earnings ratio is 14.40, which indicates a correct valuation of CTRA.
The rest of the industry has a similar Price/Forward Earnings ratio as CTRA.
Compared to an average S&P500 Price/Forward Earnings ratio of 21.53, CTRA is valued a bit cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.93 | ||
| Fwd PE | 14.4 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of CTRA is on the same level as its industry peers.
The rest of the industry has a similar Price/Free Cash Flow ratio as CTRA.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 13.1 | ||
| EV/EBITDA | 5.81 |
4.3 Compensation for Growth
CTRA has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)0.88
EPS Next 2Y14.6%
EPS Next 3Y10.03%
5. Dividend
5.1 Amount
CTRA has a Yearly Dividend Yield of 2.87%.
Compared to an average industry Dividend Yield of 5.80, CTRA has a dividend in line with its industry peers.
CTRA's Dividend Yield is a higher than the S&P500 average which is at 2.39.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.87% |
5.2 History
The dividend of CTRA is nicely growing with an annual growth rate of 35.96%!
CTRA has been paying a dividend for over 5 years, so it has already some track record.
Dividend Growth(5Y)35.96%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
CTRA pays out 54.94% of its income as dividend. This is a bit on the high side, but may be sustainable.
CTRA's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP54.94%
EPS Next 2Y14.6%
EPS Next 3Y10.03%
COTERRA ENERGY INC
NYSE:CTRA (4/15/2024, 7:04:00 PM)
After market: 27.09 -0.1 (-0.37%)27.19
-0.45 (-1.63%)
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 Cap20.43B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.87% |
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)
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EPS beat(4)
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EPS beat(8)
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EPS beat(12)
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EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
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Min Revenue beat(2)
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Revenue beat(4)
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Revenue beat(8)
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Revenue beat(12)
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Revenue beat(16)
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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 | 11.93 | ||
| Fwd PE | 14.4 | ||
| 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)0.88
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.94% | ||
| ROE | 12.42% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 36.41% | ||
| PM (TTM) | 27.39% | ||
| GM | 81.99% | ||
| 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 Turnover0.29
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.12 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 1.21 | ||
| Quick Ratio | 1.18 | ||
| 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)
Growth
EPS 1Y (TTM)-53.85%
EPS 3Y61.63%
EPS 5Y
EPS growth Q2Q
EPS Next Y-17.16%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)-34.66%
Revenue growth 3Y59.17%
Revenue growth 5Y
Revenue growth 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