VAALCO ENERGY INC (EGY) Stock Fundamental Analysis
USA - NYSE:EGY - US91851C2017 - Common Stock
3.86 USD
-0.08 (-2.03%)
3.8336 USD
-0.03 (-0.68%)
Overall EGY gets a fundamental rating of 5 out of 10. We evaluated EGY against 210 industry peers in the Oil, Gas & Consumable Fuels industry. EGY has only an average score on both its financial health and profitability. EGY is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year EGY was profitable.
In the past year EGY had a positive cash flow from operations.
EGY had positive earnings in 4 of the past 5 years.
EGY had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
EGY has a Return On Assets of 3.96%. This is comparable to the rest of the industry: EGY outperforms 55.24% of its industry peers.
EGY has a Return On Equity of 7.47%. This is comparable to the rest of the industry: EGY outperforms 50.00% of its industry peers.
Looking at the Return On Invested Capital, with a value of 12.38%, EGY belongs to the top of the industry, outperforming 88.10% of the companies in the same industry.
EGY had an Average Return On Invested Capital over the past 3 years of 17.78%. This is below the industry average of 21.72%.
The 3 year average ROIC (17.78%) for EGY is well above the current ROIC(12.38%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.96% | ||
| ROE | 7.47% | ||
| ROIC | 12.38% |
ROA(3y)6.43%
ROA(5y)3.25%
ROE(3y)11.67%
ROE(5y)2.67%
ROIC(3y)17.78%
ROIC(5y)18.24%
1.3 Margins
EGY's Profit Margin of 8.14% is in line compared to the rest of the industry. EGY outperforms 52.86% of its industry peers.
In the last couple of years the Profit Margin of EGY has grown nicely.
Looking at the Operating Margin, with a value of 26.84%, EGY is in the better half of the industry, outperforming 65.24% of the companies in the same industry.
EGY's Operating Margin has improved in the last couple of years.
EGY's Gross Margin of 65.02% is fine compared to the rest of the industry. EGY outperforms 72.86% of its industry peers.
In the last couple of years the Gross Margin of EGY has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 26.84% | ||
| PM (TTM) | 8.14% | ||
| GM | 65.02% |
OM growth 3Y-10.49%
OM growth 5Y2.58%
PM growth 3Y-33.55%
PM growth 5Y32.45%
GM growth 3Y0.33%
GM growth 5Y0.57%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), EGY is creating value.
Compared to 1 year ago, EGY has less shares outstanding
EGY has more shares outstanding than it did 5 years ago.
The debt/assets ratio for EGY has been reduced compared to a year ago.
2.2 Solvency
An Altman-Z score of 1.84 indicates that EGY is not a great score, but indicates only limited risk for bankruptcy at the moment.
EGY's Altman-Z score of 1.84 is fine compared to the rest of the industry. EGY outperforms 64.29% of its industry peers.
EGY has a Debt/Equity ratio of 0.24. This is a healthy value indicating a solid balance between debt and equity.
EGY has a better Debt to Equity ratio (0.24) than 66.67% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.24 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 1.84 |
ROIC/WACC1.42
WACC8.71%
2.3 Liquidity
A Current Ratio of 1.39 indicates that EGY should not have too much problems paying its short term obligations.
EGY's Current ratio of 1.39 is fine compared to the rest of the industry. EGY outperforms 62.38% of its industry peers.
A Quick Ratio of 1.38 indicates that EGY should not have too much problems paying its short term obligations.
EGY's Quick ratio of 1.38 is fine compared to the rest of the industry. EGY outperforms 68.57% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.39 | ||
| Quick Ratio | 1.38 |
3. Growth
3.1 Past
The earnings per share for EGY have decreased strongly by -80.82% in the last year.
EGY shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 69.33% yearly.
The Revenue has been growing slightly by 5.26% in the past year.
EGY shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 41.48% yearly.
EPS 1Y (TTM)-80.82%
EPS 3Y-25.5%
EPS 5Y69.33%
EPS Q2Q%-225%
Revenue 1Y (TTM)5.26%
Revenue growth 3Y34%
Revenue growth 5Y41.48%
Sales Q2Q%-56.53%
3.2 Future
EGY is expected to show a very negative growth in Earnings Per Share. In the coming years, the EPS will decrease by -11.96% yearly.
The Revenue is expected to decrease by -3.77% on average over the next years.
EPS Next Y-90.6%
EPS Next 2Y-11.96%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year-24.83%
Revenue Next 2Y-3.77%
Revenue Next 3YN/A
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
EGY is valuated quite expensively with a Price/Earnings ratio of 27.57.
The rest of the industry has a similar Price/Earnings ratio as EGY.
The average S&P500 Price/Earnings ratio is at 25.89. EGY is around the same levels.
With a Price/Forward Earnings ratio of 11.58, the valuation of EGY can be described as very reasonable.
Based on the Price/Forward Earnings ratio, EGY is valued a bit cheaper than 66.67% of the companies in the same industry.
EGY is valuated cheaply when we compare the Price/Forward Earnings ratio to 34.59, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 27.57 | ||
| Fwd PE | 11.58 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of EGY indicates a rather cheap valuation: EGY is cheaper than 98.10% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 1.75 |
4.3 Compensation for Growth
The decent profitability rating of EGY may justify a higher PE ratio.
A cheap valuation may be justified as EGY's earnings are expected to decrease with -11.96% in the coming years.
PEG (NY)N/A
PEG (5Y)0.4
EPS Next 2Y-11.96%
EPS Next 3YN/A
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 6.48%, EGY is a good candidate for dividend investing.
EGY's Dividend Yield is a higher than the industry average which is at 5.87.
Compared to an average S&P500 Dividend Yield of 2.44, EGY pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.48% |
5.2 History
EGY has been paying a dividend for less than 5 years, so it still needs to build a track record.
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years2
5.3 Sustainability
EGY pays out 68.86% of its income as dividend. This is not a sustainable payout ratio.
DP68.86%
EPS Next 2Y-11.96%
EPS Next 3YN/A
3.86
-0.08 (-2.03%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)
Earnings (Next)
Inst Owners62.05%
Inst Owner Change-4.67%
Ins Owners2.7%
Ins Owner Change-1.52%
Market Cap402.44M
Revenue(TTM)478.99M
Net Income(TTM)38.20M
Analysts80
Price Target8.67 (124.61%)
Short Float %3.82%
Short Ratio5.28
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.48% |
Yearly Dividend0.25
Dividend Growth(5Y)N/A
DP68.86%
Div Incr Years0
Div Non Decr Years2
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)155.78%
Min EPS beat(2)15.51%
Max EPS beat(2)296.04%
EPS beat(4)3
Avg EPS beat(4)80.05%
Min EPS beat(4)-45.37%
Max EPS beat(4)296.04%
EPS beat(8)6
Avg EPS beat(8)80.91%
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)2
Avg Revenue beat(2)3.34%
Min Revenue beat(2)2.78%
Max Revenue beat(2)3.9%
Revenue beat(4)4
Avg Revenue beat(4)5.29%
Min Revenue beat(4)2.68%
Max Revenue beat(4)11.79%
Revenue beat(8)7
Avg Revenue beat(8)16.1%
Revenue beat(12)9
Avg Revenue beat(12)8.83%
Revenue beat(16)12
Avg Revenue beat(16)9.35%
PT rev (1m)7343.08%
PT rev (3m)7734.1%
EPS NQ rev (1m)-100%
EPS NQ rev (3m)-900%
EPS NY rev (1m)0%
EPS NY rev (3m)100%
Revenue NQ rev (1m)-15.88%
Revenue NQ rev (3m)-19.84%
Revenue NY rev (1m)0%
Revenue NY rev (3m)1.15%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 27.57 | ||
| Fwd PE | 11.58 | ||
| P/S | 0.86 | ||
| P/FCF | N/A | ||
| P/OCF | 2.81 | ||
| P/B | 0.79 | ||
| P/tB | 0.79 | ||
| EV/EBITDA | 1.75 |
EPS(TTM)0.14
EY3.63%
EPS(NY)0.33
Fwd EY8.63%
FCF(TTM)-0.17
FCFYN/A
OCF(TTM)1.38
OCFY35.63%
SpS4.5
BVpS4.91
TBVpS4.91
PEG (NY)N/A
PEG (5Y)0.4
Graham Number3.93
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.96% | ||
| ROE | 7.47% | ||
| ROCE | 15.67% | ||
| ROIC | 12.38% | ||
| ROICexc | 13.52% | ||
| ROICexgc | 13.52% | ||
| OM | 26.84% | ||
| PM (TTM) | 8.14% | ||
| GM | 65.02% | ||
| FCFM | N/A |
ROA(3y)6.43%
ROA(5y)3.25%
ROE(3y)11.67%
ROE(5y)2.67%
ROIC(3y)17.78%
ROIC(5y)18.24%
ROICexc(3y)20.04%
ROICexc(5y)22.91%
ROICexgc(3y)20.04%
ROICexgc(5y)22.91%
ROCE(3y)22.5%
ROCE(5y)23.09%
ROICexgc growth 3Y-31.23%
ROICexgc growth 5Y-1.04%
ROICexc growth 3Y-31.23%
ROICexc growth 5Y-1.04%
OM growth 3Y-10.49%
OM growth 5Y2.58%
PM growth 3Y-33.55%
PM growth 5Y32.45%
GM growth 3Y0.33%
GM growth 5Y0.57%
F-Score5
Asset Turnover0.49
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.24 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 0.46 | ||
| Cap/Depr | 113.11% | ||
| Cap/Sales | 34.38% | ||
| Interest Coverage | 20.9 | ||
| Cash Conversion | 53.37% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.39 | ||
| Quick Ratio | 1.38 | ||
| Altman-Z | 1.84 |
F-Score5
WACC8.71%
ROIC/WACC1.42
Cap/Depr(3y)162.82%
Cap/Depr(5y)186.49%
Cap/Sales(3y)29.33%
Cap/Sales(5y)28.76%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-80.82%
EPS 3Y-25.5%
EPS 5Y69.33%
EPS Q2Q%-225%
EPS Next Y-90.6%
EPS Next 2Y-11.96%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)5.26%
Revenue growth 3Y34%
Revenue growth 5Y41.48%
Sales Q2Q%-56.53%
Revenue Next Year-24.83%
Revenue Next 2Y-3.77%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y-38.77%
EBIT growth 3Y19.94%
EBIT growth 5Y45.13%
EBIT Next Year51.11%
EBIT Next 3Y39.19%
EBIT Next 5Y36.89%
FCF growth 1Y-5.52%
FCF growth 3Y-1.01%
FCF growth 5Y-7.92%
OCF growth 1Y4.34%
OCF growth 3Y31.41%
OCF growth 5Y33.82%
VAALCO ENERGY INC / EGY FAQ
What is the fundamental rating for EGY stock?
ChartMill assigns a fundamental rating of 5 / 10 to EGY.
What is the valuation status of VAALCO ENERGY INC (EGY) stock?
ChartMill assigns a valuation rating of 5 / 10 to VAALCO ENERGY INC (EGY). This can be considered as Fairly Valued.
How profitable is VAALCO ENERGY INC (EGY) stock?
VAALCO ENERGY INC (EGY) has a profitability rating of 6 / 10.
What is the expected EPS growth for VAALCO ENERGY INC (EGY) stock?
The Earnings per Share (EPS) of VAALCO ENERGY INC (EGY) is expected to decline by -90.6% in the next year.
How sustainable is the dividend of VAALCO ENERGY INC (EGY) stock?
The dividend rating of VAALCO ENERGY INC (EGY) is 4 / 10 and the dividend payout ratio is 68.86%.