EOG RESOURCES INC (EOG) Stock Fundamental Analysis
NYSE:EOG - US26875P1012 - Common Stock
117.93 USD
-3.67 (-3.02%)
117.86 USD
-0.07 (-0.06%)
Taking everything into account, EOG scores 6 out of 10 in our fundamental rating. EOG was compared to 209 industry peers in the Oil, Gas & Consumable Fuels industry. EOG scores excellent points on both the profitability and health parts. This is a solid base for a good stock. EOG has a valuation in line with the averages, but on the other hand it scores bad on growth.
1. Profitability
1.1 Basic Checks
In the past year EOG was profitable.
EOG had a positive operating cash flow in the past year.
Of the past 5 years EOG 4 years were profitable.
In the past 5 years EOG always reported a positive cash flow from operatings.
1.2 Ratios
EOG has a Return On Assets of 12.38%. This is amongst the best in the industry. EOG outperforms 91.87% of its industry peers.
EOG has a Return On Equity of 19.60%. This is amongst the best in the industry. EOG outperforms 85.65% of its industry peers.
EOG's Return On Invested Capital of 14.62% is amongst the best of the industry. EOG outperforms 91.39% of its industry peers.
The Average Return On Invested Capital over the past 3 years for EOG is below the industry average of 21.91%.
The 3 year average ROIC (19.09%) for EOG is well above the current ROIC(14.62%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 12.38% | ||
| ROE | 19.6% | ||
| ROIC | 14.62% |
ROA(3y)16.55%
ROA(5y)12.03%
ROE(3y)26.72%
ROE(5y)19.64%
ROIC(3y)19.09%
ROIC(5y)15.18%
1.3 Margins
EOG has a Profit Margin of 25.22%. This is amongst the best in the industry. EOG outperforms 81.34% of its industry peers.
In the last couple of years the Profit Margin of EOG has grown nicely.
EOG has a Operating Margin of 33.84%. This is in the better half of the industry: EOG outperforms 79.90% of its industry peers.
EOG's Operating Margin has improved in the last couple of years.
With a decent Gross Margin value of 61.47%, EOG is doing good in the industry, outperforming 69.38% of the companies in the same industry.
In the last couple of years the Gross Margin of EOG has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 33.84% | ||
| PM (TTM) | 25.22% | ||
| GM | 61.47% |
OM growth 3Y0.97%
OM growth 5Y8.53%
PM growth 3Y2.59%
PM growth 5Y11.27%
GM growth 3Y-1.02%
GM growth 5Y2.84%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so EOG is creating value.
The number of shares outstanding for EOG has been reduced compared to 1 year ago.
Compared to 5 years ago, EOG has less shares outstanding
The debt/assets ratio for EOG is higher compared to a year ago.
2.2 Solvency
EOG has an Altman-Z score of 4.26. This indicates that EOG is financially healthy and has little risk of bankruptcy at the moment.
With an excellent Altman-Z score value of 4.26, EOG belongs to the best of the industry, outperforming 87.56% of the companies in the same industry.
The Debt to FCF ratio of EOG is 0.94, which is an excellent value as it means it would take EOG, only 0.94 years of fcf income to pay off all of its debts.
EOG has a better Debt to FCF ratio (0.94) than 90.43% of its industry peers.
A Debt/Equity ratio of 0.12 indicates that EOG is not too dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 0.12, EOG is in the better half of the industry, outperforming 74.64% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.12 | ||
| Debt/FCF | 0.94 | ||
| Altman-Z | 4.26 |
ROIC/WACC1.69
WACC8.66%
2.3 Liquidity
A Current Ratio of 1.79 indicates that EOG should not have too much problems paying its short term obligations.
The Current ratio of EOG (1.79) is better than 72.25% of its industry peers.
EOG has a Quick Ratio of 1.61. This is a normal value and indicates that EOG is financially healthy and should not expect problems in meeting its short term obligations.
EOG has a better Quick ratio (1.61) than 72.73% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.79 | ||
| Quick Ratio | 1.61 |
3. Growth
3.1 Past
EOG shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -13.37%.
EOG shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 18.45% yearly.
EOG shows a decrease in Revenue. In the last year, the revenue decreased by -7.74%.
Measured over the past years, EOG shows a small growth in Revenue. The Revenue has been growing by 6.54% on average per year.
EPS 1Y (TTM)-13.37%
EPS 3Y10.52%
EPS 5Y18.45%
EPS Q2Q%-26.58%
Revenue 1Y (TTM)-7.74%
Revenue growth 3Y8.34%
Revenue growth 5Y6.54%
Sales Q2Q%-9.48%
3.2 Future
The Earnings Per Share is expected to grow by 4.70% on average over the next years.
EOG is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 3.42% yearly.
EPS Next Y-13.09%
EPS Next 2Y-1.61%
EPS Next 3Y4.45%
EPS Next 5Y4.7%
Revenue Next Year-0.12%
Revenue Next 2Y4.85%
Revenue Next 3Y4.04%
Revenue Next 5Y3.42%
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
EOG is valuated reasonably with a Price/Earnings ratio of 10.90.
EOG's Price/Earnings ratio is a bit cheaper when compared to the industry. EOG is cheaper than 72.73% of the companies in the same industry.
When comparing the Price/Earnings ratio of EOG to the average of the S&P500 Index (27.06), we can say EOG is valued rather cheaply.
EOG is valuated reasonably with a Price/Forward Earnings ratio of 10.49.
Based on the Price/Forward Earnings ratio, EOG is valued a bit cheaper than the industry average as 66.51% of the companies are valued more expensively.
EOG's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 22.69.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.9 | ||
| Fwd PE | 10.49 |
4.2 Price Multiples
EOG's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. EOG is cheaper than 74.16% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, EOG is valued a bit cheaper than the industry average as 63.16% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 14.22 | ||
| EV/EBITDA | 5.37 |
4.3 Compensation for Growth
EOG has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)0.59
EPS Next 2Y-1.61%
EPS Next 3Y4.45%
5. Dividend
5.1 Amount
EOG has a Yearly Dividend Yield of 3.36%.
EOG's Dividend Yield is comparable with the industry average which is at 6.11.
Compared to an average S&P500 Dividend Yield of 2.41, EOG pays a bit more dividend than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.36% |
5.2 History
The dividend of EOG is nicely growing with an annual growth rate of 29.36%!
EOG has been paying a dividend for at least 10 years, so it has a reliable track record.
Dividend Growth(5Y)29.36%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
36.78% of the earnings are spent on dividend by EOG. This is a low number and sustainable payout ratio.
EOG's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP36.78%
EPS Next 2Y-1.61%
EPS Next 3Y4.45%
117.93
-3.67 (-3.02%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)
Earnings (Next)
Inst Owners95.67%
Inst Owner Change-0.91%
Ins Owners0.2%
Ins Owner Change0.19%
Market Cap64.39B
Analysts75
Price Target143.62 (21.78%)
Short Float %2.74%
Short Ratio4.8
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.36% |
Yearly Dividend3.67
Dividend Growth(5Y)29.36%
DP36.78%
Div Incr Years0
Div Non Decr Years0
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)2.79%
Min EPS beat(2)1.75%
Max EPS beat(2)3.83%
EPS beat(4)4
Avg EPS beat(4)3.55%
Min EPS beat(4)1.75%
Max EPS beat(4)5.47%
EPS beat(8)7
Avg EPS beat(8)4.38%
EPS beat(12)9
Avg EPS beat(12)3.69%
EPS beat(16)12
Avg EPS beat(16)3.42%
Revenue beat(2)0
Avg Revenue beat(2)-2.56%
Min Revenue beat(2)-4.48%
Max Revenue beat(2)-0.63%
Revenue beat(4)2
Avg Revenue beat(4)0.54%
Min Revenue beat(4)-4.48%
Max Revenue beat(4)6.78%
Revenue beat(8)6
Avg Revenue beat(8)3.03%
Revenue beat(12)10
Avg Revenue beat(12)4.49%
Revenue beat(16)13
Avg Revenue beat(16)2.73%
PT rev (1m)0.8%
PT rev (3m)2.21%
EPS NQ rev (1m)4.56%
EPS NQ rev (3m)-16.59%
EPS NY rev (1m)3.44%
EPS NY rev (3m)5.51%
Revenue NQ rev (1m)1.56%
Revenue NQ rev (3m)2.83%
Revenue NY rev (1m)0.89%
Revenue NY rev (3m)5.12%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.9 | ||
| Fwd PE | 10.49 | ||
| P/S | 2.83 | ||
| P/FCF | 14.22 | ||
| P/OCF | 6.03 | ||
| P/B | 2.2 | ||
| P/tB | 2.2 | ||
| EV/EBITDA | 5.37 |
EPS(TTM)10.82
EY9.17%
EPS(NY)11.24
Fwd EY9.53%
FCF(TTM)8.3
FCFY7.03%
OCF(TTM)19.55
OCFY16.57%
SpS41.63
BVpS53.55
TBVpS53.55
PEG (NY)N/A
PEG (5Y)0.59
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 12.38% | ||
| ROE | 19.6% | ||
| ROCE | 18.71% | ||
| ROIC | 14.62% | ||
| ROICexc | 16.75% | ||
| ROICexgc | 16.75% | ||
| OM | 33.84% | ||
| PM (TTM) | 25.22% | ||
| GM | 61.47% | ||
| FCFM | 19.93% |
ROA(3y)16.55%
ROA(5y)12.03%
ROE(3y)26.72%
ROE(5y)19.64%
ROIC(3y)19.09%
ROIC(5y)15.18%
ROICexc(3y)22.63%
ROICexc(5y)17.92%
ROICexgc(3y)22.63%
ROICexgc(5y)17.92%
ROCE(3y)24.43%
ROCE(5y)19.43%
ROICexcg growth 3Y2.98%
ROICexcg growth 5Y12.73%
ROICexc growth 3Y2.98%
ROICexc growth 5Y12.73%
OM growth 3Y0.97%
OM growth 5Y8.53%
PM growth 3Y2.59%
PM growth 5Y11.27%
GM growth 3Y-1.02%
GM growth 5Y2.84%
F-Score4
Asset Turnover0.49
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.12 | ||
| Debt/FCF | 0.94 | ||
| Debt/EBITDA | 0.29 | ||
| Cap/Depr | 149.25% | ||
| Cap/Sales | 27.03% | ||
| Interest Coverage | 46.62 | ||
| Cash Conversion | 90.38% | ||
| Profit Quality | 79.01% | ||
| Current Ratio | 1.79 | ||
| Quick Ratio | 1.61 | ||
| Altman-Z | 4.26 |
F-Score4
WACC8.66%
ROIC/WACC1.69
Cap/Depr(3y)157.8%
Cap/Depr(5y)136.15%
Cap/Sales(3y)24.03%
Cap/Sales(5y)24.81%
Profit Quality(3y)78.85%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-13.37%
EPS 3Y10.52%
EPS 5Y18.45%
EPS Q2Q%-26.58%
EPS Next Y-13.09%
EPS Next 2Y-1.61%
EPS Next 3Y4.45%
EPS Next 5Y4.7%
Revenue 1Y (TTM)-7.74%
Revenue growth 3Y8.34%
Revenue growth 5Y6.54%
Sales Q2Q%-9.48%
Revenue Next Year-0.12%
Revenue Next 2Y4.85%
Revenue Next 3Y4.04%
Revenue Next 5Y3.42%
EBIT growth 1Y-19.99%
EBIT growth 3Y9.39%
EBIT growth 5Y15.62%
EBIT Next Year40.6%
EBIT Next 3Y20.83%
EBIT Next 5Y11.57%
FCF growth 1Y-43.65%
FCF growth 3Y5.31%
FCF growth 5Y27.09%
OCF growth 1Y-22.38%
OCF growth 3Y11.37%
OCF growth 5Y8.27%