COTERRA ENERGY INC (CTRA) Stock Fundamental Analysis
USA - NYSE:CTRA - US1270971039 - Common Stock
23.83 USD
+0.13 (+0.55%)
23.83 USD
0 (0%)
Overall CTRA gets a fundamental rating of 6 out of 10. We evaluated CTRA against 210 industry peers in the Oil, Gas & Consumable Fuels industry. CTRA scores excellent on profitability, but there are some minor concerns on its financial health. An interesting combination arises when we look at growth and value: CTRA is growing strongly while it also seems undervalued. With these ratings, CTRA could be worth investigating further for value and growth investing!.
1. Profitability
1.1 Basic Checks
In the past year CTRA was profitable.
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 better Return On Assets (6.57%) than 71.43% of its industry peers.
CTRA's Return On Equity of 10.82% is fine compared to the rest of the industry. CTRA outperforms 63.33% of its industry peers.
The Return On Invested Capital of CTRA (7.30%) is better than 65.24% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for CTRA is significantly below the industry average of 21.71%.
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
With a decent Profit Margin value of 23.80%, CTRA is doing good in the industry, outperforming 79.05% of the companies in the same industry.
CTRA's Profit Margin has declined in the last couple of years.
The Operating Margin of CTRA (31.25%) is better than 75.71% of its industry peers.
CTRA's Operating Margin has declined in the last couple of years.
CTRA's Gross Margin of 82.52% is amongst the best of the industry. CTRA outperforms 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
CTRA has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it 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.
CTRA has a worse debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 2.10 indicates that CTRA is not a great score, but indicates only limited risk for bankruptcy at the moment.
CTRA has a Altman-Z score of 2.10. This is in the better half of the industry: CTRA outperforms 68.10% of its industry peers.
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.
The Debt to FCF ratio of CTRA (2.83) is better than 78.10% of its industry peers.
CTRA has a Debt/Equity ratio of 0.29. This is a healthy value indicating a solid balance between debt and equity.
The Debt to Equity ratio of CTRA (0.29) is better than 62.86% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.29 | ||
| Debt/FCF | 2.83 | ||
| Altman-Z | 2.1 |
ROIC/WACC0.87
WACC8.36%
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 49.05% 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 has a Quick ratio of 1.08. This is comparable to the rest of the industry: CTRA outperforms 58.10% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.13 | ||
| Quick Ratio | 1.08 |
3. Growth
3.1 Past
CTRA shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 10.00%, which is quite good.
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.
Looking at the last year, CTRA shows a quite strong growth in Revenue. The Revenue has grown by 17.10% in the last year.
Measured over the past years, CTRA shows a very strong growth in Revenue. The Revenue has been growing by 21.44% on average per year.
EPS 1Y (TTM)10%
EPS 3Y-5.3%
EPS 5Y0.12%
EPS Q2Q%29.73%
Revenue 1Y (TTM)17.1%
Revenue growth 3Y16.53%
Revenue growth 5Y21.44%
Sales Q2Q%54.6%
3.2 Future
CTRA is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 14.42% yearly.
CTRA is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 16.72% yearly.
EPS Next Y53.41%
EPS Next 2Y42.83%
EPS Next 3Y31.41%
EPS Next 5Y14.42%
Revenue Next Year41.05%
Revenue Next 2Y23.14%
Revenue Next 3Y16.72%
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 accelerating.
The estimated forward Revenue growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 11.40, the valuation of CTRA can be described as reasonable.
Based on the Price/Earnings ratio, CTRA is valued a bit cheaper than 72.38% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 27.32, CTRA is valued rather cheaply.
With a Price/Forward Earnings ratio of 6.91, the valuation of CTRA can be described as very cheap.
Based on the Price/Forward Earnings ratio, CTRA is valued cheaply inside the industry as 88.57% of the companies are valued more expensively.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.89, CTRA is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.4 | ||
| Fwd PE | 6.91 |
4.2 Price Multiples
CTRA's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. CTRA is cheaper than 72.86% of the companies in the same industry.
69.05% of the companies in the same industry are more expensive than CTRA, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 12.29 | ||
| EV/EBITDA | 5.38 |
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.
A more expensive valuation may be justified as CTRA's earnings are expected to grow with 31.41% in the coming years.
PEG (NY)0.21
PEG (5Y)96
EPS Next 2Y42.83%
EPS Next 3Y31.41%
5. Dividend
5.1 Amount
CTRA has a Yearly Dividend Yield of 3.61%. Purely for dividend investing, there may be better candidates out there.
CTRA's Dividend Yield is comparable with the industry average which is at 6.00.
Compared to an average S&P500 Dividend Yield of 2.38, CTRA pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.61% |
5.2 History
On average, the dividend of CTRA grows each year by 18.85%, which is quite nice.
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
41.69% of the earnings are spent on dividend by CTRA. This is a bit on the high side, but may be sustainable.
The dividend of CTRA is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP41.69%
EPS Next 2Y42.83%
EPS Next 3Y31.41%
23.83
+0.13 (+0.55%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)
Earnings (Next)
Inst Owners92.39%
Inst Owner Change0%
Ins Owners0.87%
Ins Owner Change-1.63%
Market Cap18.19B
Analysts81.94
Price Target33.75 (41.63%)
Short Float %3.85%
Short Ratio4.72
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.61% |
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)-0.38%
PT rev (3m)1.31%
EPS NQ rev (1m)-5.93%
EPS NQ rev (3m)-15.14%
EPS NY rev (1m)0%
EPS NY rev (3m)-9.7%
Revenue NQ rev (1m)-0.32%
Revenue NQ rev (3m)-1.04%
Revenue NY rev (1m)0.67%
Revenue NY rev (3m)1.93%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.4 | ||
| Fwd PE | 6.91 | ||
| P/S | 2.75 | ||
| P/FCF | 12.29 | ||
| P/OCF | 5.25 | ||
| P/B | 1.25 | ||
| P/tB | 1.25 | ||
| EV/EBITDA | 5.38 |
EPS(TTM)2.09
EY8.77%
EPS(NY)3.45
Fwd EY14.47%
FCF(TTM)1.94
FCFY8.14%
OCF(TTM)4.54
OCFY19.03%
SpS8.68
BVpS19.08
TBVpS19.08
PEG (NY)0.21
PEG (5Y)96
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%
ROICexcg growth 3Y-7.45%
ROICexcg 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 | 2.1 |
F-Score7
WACC8.36%
ROIC/WACC0.87
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)10%
EPS 3Y-5.3%
EPS 5Y0.12%
EPS Q2Q%29.73%
EPS Next Y53.41%
EPS Next 2Y42.83%
EPS Next 3Y31.41%
EPS Next 5Y14.42%
Revenue 1Y (TTM)17.1%
Revenue growth 3Y16.53%
Revenue growth 5Y21.44%
Sales Q2Q%54.6%
Revenue Next Year41.05%
Revenue Next 2Y23.14%
Revenue Next 3Y16.72%
Revenue Next 5YN/A
EBIT growth 1Y19.58%
EBIT growth 3Y-6.06%
EBIT growth 5Y9.59%
EBIT Next Year239.19%
EBIT Next 3Y58.57%
EBIT Next 5Y31.69%
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%