EPSILON ENERGY LTD (EPSN) Stock Fundamental Analysis
USA - NASDAQ:EPSN - CA2943752097 - Common Stock
4.74 USD
+0.12 (+2.6%)
4.7386 USD
0 (-0.03%)
Overall EPSN gets a fundamental rating of 6 out of 10. We evaluated EPSN against 211 industry peers in the Oil, Gas & Consumable Fuels industry. EPSN is in great health and has no worries on liquidiy or solvency at all, but the profibility rating is only average. EPSN has a valuation in line with the averages, but on the other hand it scores bad on growth.
1. Profitability
1.1 Basic Checks
EPSN had positive earnings in the past year.
In the past year EPSN had a positive cash flow from operations.
Each year in the past 5 years EPSN has been profitable.
In the past 5 years EPSN always reported a positive cash flow from operatings.
1.2 Ratios
EPSN has a Return On Assets of 4.18%. This is comparable to the rest of the industry: EPSN outperforms 57.82% of its industry peers.
With a Return On Equity value of 5.16%, EPSN perfoms like the industry average, outperforming 43.60% of the companies in the same industry.
EPSN has a better Return On Invested Capital (6.85%) than 61.14% of its industry peers.
EPSN had an Average Return On Invested Capital over the past 3 years of 10.21%. This is significantly below the industry average of 21.53%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.18% | ||
| ROE | 5.16% | ||
| ROIC | 6.85% |
ROA(3y)11.91%
ROA(5y)9.69%
ROE(3y)14.27%
ROE(5y)11.75%
ROIC(3y)10.21%
ROIC(5y)8.94%
1.3 Margins
Looking at the Profit Margin, with a value of 11.75%, EPSN is in the better half of the industry, outperforming 62.09% of the companies in the same industry.
In the last couple of years the Profit Margin of EPSN has declined.
Looking at the Operating Margin, with a value of 29.48%, EPSN is in the better half of the industry, outperforming 72.51% of the companies in the same industry.
In the last couple of years the Operating Margin of EPSN has declined.
Looking at the Gross Margin, with a value of 74.34%, EPSN belongs to the top of the industry, outperforming 86.26% of the companies in the same industry.
EPSN's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 29.48% | ||
| PM (TTM) | 11.75% | ||
| GM | 74.34% |
OM growth 3Y-31.37%
OM growth 5Y-9.53%
PM growth 3Y-39.36%
PM growth 5Y-28.44%
GM growth 3Y-4.33%
GM growth 5Y-0.17%
2. Health
2.1 Basic Checks
EPSN has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
The number of shares outstanding for EPSN has been reduced compared to 1 year ago.
The number of shares outstanding for EPSN has been reduced compared to 5 years ago.
There is no outstanding debt for EPSN. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
2.2 Solvency
EPSN has an Altman-Z score of 2.96. This is not the best score and indicates that EPSN is in the grey zone with still only limited risk for bankruptcy at the moment.
EPSN's Altman-Z score of 2.96 is amongst the best of the industry. EPSN outperforms 80.57% of its industry peers.
There is no outstanding debt for EPSN. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | 2.96 |
ROIC/WACC0.79
WACC8.62%
2.3 Liquidity
A Current Ratio of 2.23 indicates that EPSN has no problem at all paying its short term obligations.
EPSN has a better Current ratio (2.23) than 77.73% of its industry peers.
A Quick Ratio of 2.23 indicates that EPSN has no problem at all paying its short term obligations.
EPSN has a Quick ratio of 2.23. This is in the better half of the industry: EPSN outperforms 79.62% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.23 | ||
| Quick Ratio | 2.23 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 68.00% over the past year.
EPSN shows a very negative growth in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -22.77% yearly.
The Revenue has grown by 45.91% in the past year. This is a very strong growth!
EPSN shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 3.38% yearly.
EPS 1Y (TTM)68%
EPS 3Y-43.6%
EPS 5Y-22.77%
EPS Q2Q%375%
Revenue 1Y (TTM)45.91%
Revenue growth 3Y-9.41%
Revenue growth 5Y3.38%
Sales Q2Q%59.03%
3.2 Future
No EPS estimates are available, so we could not analyze the future EPS growth and evolution.
No Revenue estimates are available, so we could not analyze the future revenue growth and evolution.
EPS Next Y206%
EPS Next 2YN/A
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year38.2%
Revenue Next 2YN/A
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
No EPS estimates are available, so we could not analyze the future EPS growth and evolution.
No Revenue estimates are available, so we could not analyze the future revenue growth and evolution.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 11.29, which indicates a very decent valuation of EPSN.
Based on the Price/Earnings ratio, EPSN is valued a bit cheaper than the industry average as 70.62% of the companies are valued more expensively.
When comparing the Price/Earnings ratio of EPSN to the average of the S&P500 Index (27.57), we can say EPSN is valued rather cheaply.
Based on the Price/Forward Earnings ratio of 9.68, the valuation of EPSN can be described as reasonable.
EPSN's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. EPSN is cheaper than 72.99% of the companies in the same industry.
EPSN's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 23.09.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.29 | ||
| Fwd PE | 9.68 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of EPSN indicates a rather cheap valuation: EPSN is cheaper than 82.46% of the companies listed in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of EPSN is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 16.71 | ||
| EV/EBITDA | 3.62 |
4.3 Compensation for Growth
EPSN's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
PEG (NY)0.05
PEG (5Y)N/A
EPS Next 2YN/A
EPS Next 3YN/A
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 5.30%, EPSN is a good candidate for dividend investing.
The stock price of EPSN dropped by -23.67% in the last 3 months. With lower prices the dividend yield is higher, but it may be a sign investors do not trust the long term dividend.
EPSN's Dividend Yield is a higher than the industry average which is at 6.30.
EPSN's Dividend Yield is rather good when compared to the S&P500 average which is at 2.32.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.3% |
5.2 History
EPSN 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
EPSN pays out 106.25% of its income as dividend. This is not a sustainable payout ratio.
DP106.25%
EPS Next 2YN/A
EPS Next 3YN/A
4.74
+0.12 (+2.6%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)
Earnings (Next)
Inst Owners75.39%
Inst Owner Change0.03%
Ins Owners4.75%
Ins Owner Change0.49%
Market Cap104.56M
Revenue(TTM)44.02M
Net Income(TTM)5.17M
Analysts82.86
Price Target8.57 (80.8%)
Short Float %2.8%
Short Ratio4.13
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.3% |
Yearly Dividend0.25
Dividend Growth(5Y)N/A
DP106.25%
Div Incr Years0
Div Non Decr Years2
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)79.45%
Min EPS beat(2)26.05%
Max EPS beat(2)132.84%
EPS beat(4)2
Avg EPS beat(4)16.68%
Min EPS beat(4)-50.98%
Max EPS beat(4)132.84%
EPS beat(8)N/A
Avg EPS beat(8)N/A
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)1
Avg Revenue beat(2)15.75%
Min Revenue beat(2)-3.78%
Max Revenue beat(2)35.29%
Revenue beat(4)2
Avg Revenue beat(4)8.04%
Min Revenue beat(4)-3.78%
Max Revenue beat(4)35.29%
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)0%
PT rev (3m)0%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-70%
EPS NY rev (1m)0%
EPS NY rev (3m)0%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)9.35%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.29 | ||
| Fwd PE | 9.68 | ||
| P/S | 2.38 | ||
| P/FCF | 16.71 | ||
| P/OCF | 4.24 | ||
| P/B | 1.04 | ||
| P/tB | 1.04 | ||
| EV/EBITDA | 3.62 |
EPS(TTM)0.42
EY8.86%
EPS(NY)0.49
Fwd EY10.33%
FCF(TTM)0.28
FCFY5.98%
OCF(TTM)1.12
OCFY23.61%
SpS2
BVpS4.54
TBVpS4.54
PEG (NY)0.05
PEG (5Y)N/A
Graham Number6.55
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.18% | ||
| ROE | 5.16% | ||
| ROCE | 11.17% | ||
| ROIC | 6.85% | ||
| ROICexc | 7.49% | ||
| ROICexgc | 7.49% | ||
| OM | 29.48% | ||
| PM (TTM) | 11.75% | ||
| GM | 74.34% | ||
| FCFM | 14.21% |
ROA(3y)11.91%
ROA(5y)9.69%
ROE(3y)14.27%
ROE(5y)11.75%
ROIC(3y)10.21%
ROIC(5y)8.94%
ROICexc(3y)15.79%
ROICexc(5y)13.41%
ROICexgc(3y)15.79%
ROICexgc(5y)13.41%
ROCE(3y)16.64%
ROCE(5y)14.58%
ROICexgc growth 3Y-47.2%
ROICexgc growth 5Y-12.62%
ROICexc growth 3Y-47.2%
ROICexc growth 5Y-12.62%
OM growth 3Y-31.37%
OM growth 5Y-9.53%
PM growth 3Y-39.36%
PM growth 5Y-28.44%
GM growth 3Y-4.33%
GM growth 5Y-0.17%
F-Score7
Asset Turnover0.36
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 148.22% | ||
| Cap/Sales | 41.87% | ||
| Interest Coverage | 491.49 | ||
| Cash Conversion | 97.15% | ||
| Profit Quality | 120.94% | ||
| Current Ratio | 2.23 | ||
| Quick Ratio | 2.23 | ||
| Altman-Z | 2.96 |
F-Score7
WACC8.62%
ROIC/WACC0.79
Cap/Depr(3y)242.3%
Cap/Depr(5y)173.79%
Cap/Sales(3y)62.73%
Cap/Sales(5y)45.29%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)68%
EPS 3Y-43.6%
EPS 5Y-22.77%
EPS Q2Q%375%
EPS Next Y206%
EPS Next 2YN/A
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)45.91%
Revenue growth 3Y-9.41%
Revenue growth 5Y3.38%
Sales Q2Q%59.03%
Revenue Next Year38.2%
Revenue Next 2YN/A
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y158.31%
EBIT growth 3Y-37.82%
EBIT growth 5Y-6.47%
EBIT Next Year539.19%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-60.92%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-23.93%
OCF growth 3Y-5.61%
OCF growth 5Y5.32%