EOG RESOURCES INC (EOG) Stock Fundamental Analysis
USA - NYSE:EOG - US26875P1012 - Common Stock
108.08 USD
+1.87 (+1.76%)
108.08 USD
0 (0%)
EOG gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 211 industry peers in the Oil, Gas & Consumable Fuels industry. EOG gets an excellent profitability rating and is at the same time showing great financial health properties. EOG is valued correctly, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
In the past year EOG was profitable.
In the past year EOG had a positive cash flow from operations.
EOG had positive earnings in 4 of the past 5 years.
Each year in the past 5 years EOG had a positive operating cash flow.
1.2 Ratios
The Return On Assets of EOG (12.38%) is better than 92.42% of its industry peers.
EOG has a Return On Equity of 19.60%. This is amongst the best in the industry. EOG outperforms 86.26% of its industry peers.
With an excellent Return On Invested Capital value of 14.62%, EOG belongs to the best of the industry, outperforming 91.47% of the companies in the same industry.
EOG had an Average Return On Invested Capital over the past 3 years of 19.09%. This is below the industry average of 21.53%.
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
Looking at the Profit Margin, with a value of 25.22%, EOG belongs to the top of the industry, outperforming 81.99% of the companies in the same industry.
EOG's Profit Margin has improved in the last couple of years.
EOG's Operating Margin of 33.84% is amongst the best of the industry. EOG outperforms 81.04% of its industry peers.
EOG's Operating Margin has improved in the last couple of years.
EOG's Gross Margin of 61.47% is fine compared to the rest of the industry. EOG outperforms 69.19% of its industry peers.
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
EOG has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
EOG has less shares outstanding than it did 1 year ago.
The number of shares outstanding for EOG has been reduced compared to 5 years ago.
Compared to 1 year ago, EOG has a worse debt to assets ratio.
2.2 Solvency
An Altman-Z score of 4.04 indicates that EOG is not in any danger for bankruptcy at the moment.
EOG has a better Altman-Z score (4.04) than 85.78% of its industry peers.
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.
With an excellent Debt to FCF ratio value of 0.94, EOG belongs to the best of the industry, outperforming 89.57% of the companies in the same industry.
EOG has a Debt/Equity ratio of 0.12. This is a healthy value indicating a solid balance between debt and equity.
EOG has a Debt to Equity ratio of 0.12. This is in the better half of the industry: EOG outperforms 74.88% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.12 | ||
| Debt/FCF | 0.94 | ||
| Altman-Z | 4.04 |
ROIC/WACC1.78
WACC8.2%
2.3 Liquidity
EOG has a Current Ratio of 1.79. 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 Current ratio (1.79) than 72.99% of its industry peers.
A Quick Ratio of 1.61 indicates that EOG should not have too much problems paying its short term obligations.
With a decent Quick ratio value of 1.61, EOG is doing good in the industry, outperforming 72.99% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.79 | ||
| Quick Ratio | 1.61 |
3. Growth
3.1 Past
The earnings per share for EOG have decreased strongly by -13.37% in the last year.
The Earnings Per Share has been growing by 18.45% on average over the past years. This is quite good.
Looking at the last year, EOG shows a decrease in Revenue. The Revenue has decreased by -7.74% in the last year.
The Revenue has been growing slightly by 6.54% on average over the past years.
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
Based on estimates for the next years, EOG will show a small growth in Earnings Per Share. The EPS will grow by 6.37% on average per year.
The Revenue is expected to grow by 5.99% on average over the next years.
EPS Next Y-13.95%
EPS Next 2Y-2.29%
EPS Next 3Y4.21%
EPS Next 5Y6.37%
Revenue Next Year-0.95%
Revenue Next 2Y3.66%
Revenue Next 3Y4.43%
Revenue Next 5Y5.99%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
4. Valuation
4.1 Price/Earnings Ratio
EOG is valuated reasonably with a Price/Earnings ratio of 9.99.
Compared to the rest of the industry, the Price/Earnings ratio of EOG indicates a somewhat cheap valuation: EOG is cheaper than 75.83% of the companies listed in the same industry.
The average S&P500 Price/Earnings ratio is at 27.67. EOG is valued rather cheaply when compared to this.
EOG is valuated reasonably with a Price/Forward Earnings ratio of 9.75.
EOG's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. EOG is cheaper than 72.51% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of EOG to the average of the S&P500 Index (23.33), we can say EOG is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.99 | ||
| Fwd PE | 9.75 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of EOG indicates a somewhat cheap valuation: EOG is cheaper than 76.78% of the companies listed in the same industry.
Based on the Price/Free Cash Flow ratio, EOG is valued a bit cheaper than 66.82% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 13.03 | ||
| EV/EBITDA | 4.83 |
4.3 Compensation for Growth
EOG has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)0.54
EPS Next 2Y-2.29%
EPS Next 3Y4.21%
5. Dividend
5.1 Amount
EOG has a Yearly Dividend Yield of 3.80%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 6.30, EOG has a dividend in line with its industry peers.
EOG's Dividend Yield is rather good when compared to the S&P500 average which is at 2.35.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.8% |
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
EOG pays out 36.78% of its income as dividend. This is a 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-2.29%
EPS Next 3Y4.21%
108.08
+1.87 (+1.76%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)
Earnings (Next)
Inst Owners96.75%
Inst Owner Change-0.12%
Ins Owners0.2%
Ins Owner Change1.47%
Market Cap59.01B
Revenue(TTM)22.73B
Net Income(TTM)5.73B
Analysts74.05
Price Target142.6 (31.94%)
Short Float %2.68%
Short Ratio5.1
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.8% |
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)-0.17%
PT rev (3m)0.09%
EPS NQ rev (1m)2.39%
EPS NQ rev (3m)6.36%
EPS NY rev (1m)-0.99%
EPS NY rev (3m)2.41%
Revenue NQ rev (1m)2.76%
Revenue NQ rev (3m)3.5%
Revenue NY rev (1m)-0.72%
Revenue NY rev (3m)0.22%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.99 | ||
| Fwd PE | 9.75 | ||
| P/S | 2.6 | ||
| P/FCF | 13.03 | ||
| P/OCF | 5.53 | ||
| P/B | 2.02 | ||
| P/tB | 2.02 | ||
| EV/EBITDA | 4.83 |
EPS(TTM)10.82
EY10.01%
EPS(NY)11.08
Fwd EY10.25%
FCF(TTM)8.3
FCFY7.67%
OCF(TTM)19.55
OCFY18.08%
SpS41.63
BVpS53.55
TBVpS53.55
PEG (NY)N/A
PEG (5Y)0.54
Graham Number114.18
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%
ROICexgc growth 3Y2.98%
ROICexgc 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 | 4.04 |
F-Score4
WACC8.2%
ROIC/WACC1.78
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-13.95%
EPS Next 2Y-2.29%
EPS Next 3Y4.21%
EPS Next 5Y6.37%
Revenue 1Y (TTM)-7.74%
Revenue growth 3Y8.34%
Revenue growth 5Y6.54%
Sales Q2Q%-9.48%
Revenue Next Year-0.95%
Revenue Next 2Y3.66%
Revenue Next 3Y4.43%
Revenue Next 5Y5.99%
EBIT growth 1Y-19.99%
EBIT growth 3Y9.39%
EBIT growth 5Y15.62%
EBIT Next Year42.17%
EBIT Next 3Y19.31%
EBIT Next 5Y12.97%
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%