CHEVRON CORP (CVX) Stock Fundamental Analysis
NYSE:CVX - New York Stock Exchange, Inc. - US1667641005 - Common Stock - Currency: USD
Overall CVX gets a fundamental rating of 5 out of 10. We evaluated CVX against 212 industry peers in the Oil, Gas & Consumable Fuels industry. CVX has only an average score on both its financial health and profitability. CVX has a valuation in line with the averages, but it does not seem to be growing. Finally CVX also has an excellent dividend rating. With these ratings, CVX could be worth investigating further for dividend investing!.
1. Profitability
1.1 Basic Checks
In the past year CVX was profitable.
CVX had a positive operating cash flow in the past year.
Of the past 5 years CVX 4 years were profitable.
In the past 5 years CVX always reported a positive cash flow from operatings.
1.2 Ratios
The Return On Assets of CVX (6.87%) is better than 69.34% of its industry peers.
CVX's Return On Equity of 11.59% is fine compared to the rest of the industry. CVX outperforms 60.38% of its industry peers.
The Return On Invested Capital of CVX (7.73%) is comparable to the rest of the industry.
The Average Return On Invested Capital over the past 3 years for CVX is significantly below the industry average of 25.74%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.87% | ||
| ROE | 11.59% | ||
| ROIC | 7.73% |
ROA(3y)9.6%
ROA(5y)6.6%
ROE(3y)15.71%
ROE(5y)10.83%
ROIC(3y)9.34%
ROIC(5y)N/A
1.3 Margins
CVX has a Profit Margin (9.13%) which is comparable to the rest of the industry.
CVX's Profit Margin has improved in the last couple of years.
Looking at the Operating Margin, with a value of 12.76%, CVX is in line with its industry, outperforming 41.98% of the companies in the same industry.
In the last couple of years the Operating Margin of CVX has grown nicely.
CVX's Gross Margin of 38.37% is in line compared to the rest of the industry. CVX outperforms 45.28% of its industry peers.
In the last couple of years the Gross Margin of CVX has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 12.76% | ||
| PM (TTM) | 9.13% | ||
| GM | 38.37% |
OM growth 3Y4.53%
OM growth 5Y56.2%
PM growth 3Y-3.12%
PM growth 5Y34.35%
GM growth 3Y-3.4%
GM growth 5Y-2.19%
2. Health
2.1 Basic Checks
CVX has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
Compared to 1 year ago, CVX has less shares outstanding
CVX has less shares outstanding than it did 5 years ago.
Compared to 1 year ago, CVX has a worse debt to assets ratio.
2.2 Solvency
CVX has an Altman-Z score of 3.57. This indicates that CVX is financially healthy and has little risk of bankruptcy at the moment.
CVX has a better Altman-Z score (3.57) than 85.38% of its industry peers.
The Debt to FCF ratio of CVX is 1.63, which is an excellent value as it means it would take CVX, only 1.63 years of fcf income to pay off all of its debts.
With an excellent Debt to FCF ratio value of 1.63, CVX belongs to the best of the industry, outperforming 85.85% of the companies in the same industry.
A Debt/Equity ratio of 0.13 indicates that CVX is not too dependend on debt financing.
CVX's Debt to Equity ratio of 0.13 is fine compared to the rest of the industry. CVX outperforms 75.47% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.13 | ||
| Debt/FCF | 1.63 | ||
| Altman-Z | 3.57 |
ROIC/WACC0.78
WACC9.86%
2.3 Liquidity
A Current Ratio of 1.06 indicates that CVX should not have too much problems paying its short term obligations.
CVX has a Current ratio (1.06) which is comparable to the rest of the industry.
A Quick Ratio of 0.83 indicates that CVX may have some problems paying its short term obligations.
The Quick ratio of CVX (0.83) is worse than 60.85% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.06 | ||
| Quick Ratio | 0.83 |
3. Growth
3.1 Past
CVX shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -23.46%.
The Earnings Per Share has been growing by 10.14% on average over the past years. This is quite good.
CVX shows a decrease in Revenue. In the last year, the revenue decreased by -1.78%.
Measured over the past years, CVX shows a small growth in Revenue. The Revenue has been growing by 6.65% on average per year.
EPS 1Y (TTM)-23.46%
EPS 3Y7.32%
EPS 5Y10.14%
EPS Q2Q%-40.29%
Revenue 1Y (TTM)-1.78%
Revenue growth 3Y7.52%
Revenue growth 5Y6.65%
Sales Q2Q%10.7%
3.2 Future
The Earnings Per Share is expected to grow by 7.06% on average over the next years.
CVX is expected to show a decrease in Revenue. In the coming years, the Revenue will decrease by -4.98% yearly.
EPS Next Y-8.75%
EPS Next 2Y5.34%
EPS Next 3Y9.58%
EPS Next 5Y7.06%
Revenue Next Year-4.89%
Revenue Next 2Y-1.91%
Revenue Next 3Y-0.31%
Revenue Next 5Y-4.98%
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.
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
The Price/Earnings ratio is 13.56, which indicates a correct valuation of CVX.
The rest of the industry has a similar Price/Earnings ratio as CVX.
CVX is valuated cheaply when we compare the Price/Earnings ratio to 27.85, which is the current average of the S&P500 Index.
With a Price/Forward Earnings ratio of 14.86, CVX is valued correctly.
CVX's Price/Forward Earnings is on the same level as the industry average.
CVX is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 20.77, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.56 | ||
| Fwd PE | 14.86 |
4.2 Price Multiples
CVX's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. CVX is cheaper than 64.15% of the companies in the same industry.
CVX's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 15.82 | ||
| EV/EBITDA | 6.08 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)1.34
EPS Next 2Y5.34%
EPS Next 3Y9.58%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 4.92%, CVX is a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 7.31, CVX pays a bit more dividend than its industry peers.
CVX's Dividend Yield is rather good when compared to the S&P500 average which is at 2.45.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.92% |
5.2 History
On average, the dividend of CVX grows each year by 6.53%, which is quite nice.
CVX has paid a dividend for at least 10 years, which is a reliable track record.
CVX has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)6.53%
Div Incr Years23
Div Non Decr Years23
5.3 Sustainability
CVX pays out 66.82% of its income as dividend. This is not a sustainable payout ratio.
The dividend of CVX is growing around the same rate as the earnings are growing. If this keeps up the dividend growth is sustainable.
DP66.82%
EPS Next 2Y5.34%
EPS Next 3Y9.58%
136.26
+0.2 (+0.15%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)
Earnings (Next)
Inst Owners68.58%
Inst Owner Change0.4%
Ins Owners0.04%
Ins Owner Change2.63%
Market Cap238.01B
Analysts78.62
Price Target171.71 (26.02%)
Short Float %3.8%
Short Ratio6.39
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.92% |
Yearly Dividend6.49
Dividend Growth(5Y)6.53%
DP66.82%
Div Incr Years23
Div Non Decr Years23
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-0.39%
Min EPS beat(2)-3.41%
Max EPS beat(2)2.63%
EPS beat(4)2
Avg EPS beat(4)-3.42%
Min EPS beat(4)-13.86%
Max EPS beat(4)2.63%
EPS beat(8)5
Avg EPS beat(8)-2.64%
EPS beat(12)8
Avg EPS beat(12)0.02%
EPS beat(16)10
Avg EPS beat(16)1.24%
Revenue beat(2)2
Avg Revenue beat(2)6.51%
Min Revenue beat(2)2.41%
Max Revenue beat(2)10.61%
Revenue beat(4)2
Avg Revenue beat(4)2%
Min Revenue beat(4)-4.79%
Max Revenue beat(4)10.61%
Revenue beat(8)5
Avg Revenue beat(8)1.22%
Revenue beat(12)8
Avg Revenue beat(12)3.12%
Revenue beat(16)10
Avg Revenue beat(16)2.66%
PT rev (1m)-4.73%
PT rev (3m)-4.14%
EPS NQ rev (1m)-8.21%
EPS NQ rev (3m)-13.28%
EPS NY rev (1m)-12.03%
EPS NY rev (3m)-17.91%
Revenue NQ rev (1m)-0.6%
Revenue NQ rev (3m)1.23%
Revenue NY rev (1m)-1.13%
Revenue NY rev (3m)0.3%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.56 | ||
| Fwd PE | 14.86 | ||
| P/S | 1.23 | ||
| P/FCF | 15.82 | ||
| P/OCF | 7.56 | ||
| P/B | 1.56 | ||
| P/tB | 1.61 | ||
| EV/EBITDA | 6.08 |
EPS(TTM)10.05
EY7.38%
EPS(NY)9.17
Fwd EY6.73%
FCF(TTM)8.61
FCFY6.32%
OCF(TTM)18.03
OCFY13.23%
SpS110.73
BVpS87.2
TBVpS84.58
PEG (NY)N/A
PEG (5Y)1.34
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.87% | ||
| ROE | 11.59% | ||
| ROCE | 11.3% | ||
| ROIC | 7.73% | ||
| ROICexc | 7.98% | ||
| ROICexgc | 8.16% | ||
| OM | 12.76% | ||
| PM (TTM) | 9.13% | ||
| GM | 38.37% | ||
| FCFM | 7.78% |
ROA(3y)9.6%
ROA(5y)6.6%
ROE(3y)15.71%
ROE(5y)10.83%
ROIC(3y)9.34%
ROIC(5y)N/A
ROICexc(3y)9.89%
ROICexc(5y)N/A
ROICexgc(3y)10.11%
ROICexgc(5y)N/A
ROCE(3y)13.67%
ROCE(5y)N/A
ROICexcg growth 3Y11.59%
ROICexcg growth 5Y65.58%
ROICexc growth 3Y11.57%
ROICexc growth 5Y65.59%
OM growth 3Y4.53%
OM growth 5Y56.2%
PM growth 3Y-3.12%
PM growth 5Y34.35%
GM growth 3Y-3.4%
GM growth 5Y-2.19%
F-Score5
Asset Turnover0.75
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.13 | ||
| Debt/FCF | 1.63 | ||
| Debt/EBITDA | 0.48 | ||
| Cap/Depr | 95.17% | ||
| Cap/Sales | 8.5% | ||
| Interest Coverage | 42.04 | ||
| Cash Conversion | 75.05% | ||
| Profit Quality | 85.18% | ||
| Current Ratio | 1.06 | ||
| Quick Ratio | 0.83 | ||
| Altman-Z | 3.57 |
F-Score5
WACC9.86%
ROIC/WACC0.78
Cap/Depr(3y)86.64%
Cap/Depr(5y)70.12%
Cap/Sales(3y)7.21%
Cap/Sales(5y)7.25%
Profit Quality(3y)94.62%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-23.46%
EPS 3Y7.32%
EPS 5Y10.14%
EPS Q2Q%-40.29%
EPS Next Y-8.75%
EPS Next 2Y5.34%
EPS Next 3Y9.58%
EPS Next 5Y7.06%
Revenue 1Y (TTM)-1.78%
Revenue growth 3Y7.52%
Revenue growth 5Y6.65%
Sales Q2Q%10.7%
Revenue Next Year-4.89%
Revenue Next 2Y-1.91%
Revenue Next 3Y-0.31%
Revenue Next 5Y-4.98%
EBIT growth 1Y-1.81%
EBIT growth 3Y12.39%
EBIT growth 5Y66.6%
EBIT Next Year59.54%
EBIT Next 3Y24.21%
EBIT Next 5Y17.43%
FCF growth 1Y-23.94%
FCF growth 3Y-10.71%
FCF growth 5Y2.65%
OCF growth 1Y-11.56%
OCF growth 3Y2.57%
OCF growth 5Y2.89%