EQUINOR ASA-SPON ADR (EQNR) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:EQNR - US29446M1027 - ADR
22.52 USD
-0.16 (-0.71%)
22.6 USD
+0.08 (+0.36%)
Overall EQNR gets a fundamental rating of 5 out of 10. We evaluated EQNR against 210 industry peers in the Oil, Gas & Consumable Fuels industry. EQNR scores excellent on profitability, but there are some minor concerns on its financial health. EQNR is valued quite cheap, but it does not seem to be growing. These ratings could make EQNR a good candidate for value investing.
1. Profitability
1.1 Basic Checks
In the past year EQNR was profitable.
EQNR had a positive operating cash flow in the past year.
Of the past 5 years EQNR 4 years were profitable.
EQNR had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
EQNR has a Return On Assets (4.22%) which is comparable to the rest of the industry.
EQNR has a Return On Equity of 14.13%. This is in the better half of the industry: EQNR outperforms 74.76% of its industry peers.
EQNR has a Return On Invested Capital of 23.19%. This is amongst the best in the industry. EQNR outperforms 97.14% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for EQNR is significantly above the industry average of 21.41%.
The 3 year average ROIC (33.97%) for EQNR is well above the current ROIC(23.19%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.22% | ||
| ROE | 14.13% | ||
| ROIC | 23.19% |
ROA(3y)11.06%
ROA(5y)6.92%
ROE(3y)32.85%
ROE(5y)20.85%
ROIC(3y)33.97%
ROIC(5y)25.77%
1.3 Margins
Looking at the Profit Margin, with a value of 5.35%, EQNR is in line with its industry, outperforming 45.71% of the companies in the same industry.
EQNR's Profit Margin has improved in the last couple of years.
EQNR has a better Operating Margin (27.99%) than 68.57% of its industry peers.
In the last couple of years the Operating Margin of EQNR has grown nicely.
EQNR's Gross Margin of 48.66% is in line compared to the rest of the industry. EQNR outperforms 57.62% of its industry peers.
EQNR's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 27.99% | ||
| PM (TTM) | 5.35% | ||
| GM | 48.66% |
OM growth 3Y-8.38%
OM growth 5Y5.28%
PM growth 3Y-3.8%
PM growth 5Y23.92%
GM growth 3Y-5.36%
GM growth 5Y-0.73%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so EQNR is creating value.
Compared to 1 year ago, EQNR has less shares outstanding
The number of shares outstanding for EQNR has been reduced compared to 5 years ago.
The debt/assets ratio for EQNR is higher compared to a year ago.
2.2 Solvency
EQNR has an Altman-Z score of 2.44. This is not the best score and indicates that EQNR is in the grey zone with still only limited risk for bankruptcy at the moment.
The Altman-Z score of EQNR (2.44) is better than 74.76% of its industry peers.
The Debt to FCF ratio of EQNR is 4.56, which is a neutral value as it means it would take EQNR, 4.56 years of fcf income to pay off all of its debts.
EQNR has a Debt to FCF ratio of 4.56. This is in the better half of the industry: EQNR outperforms 66.67% of its industry peers.
EQNR has a Debt/Equity ratio of 0.62. This is a neutral value indicating EQNR is somewhat dependend on debt financing.
The Debt to Equity ratio of EQNR (0.62) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.62 | ||
| Debt/FCF | 4.56 | ||
| Altman-Z | 2.44 |
ROIC/WACC3.36
WACC6.9%
2.3 Liquidity
EQNR has a Current Ratio of 1.23. This is a normal value and indicates that EQNR is financially healthy and should not expect problems in meeting its short term obligations.
EQNR has a Current ratio (1.23) which is comparable to the rest of the industry.
EQNR has a Quick Ratio of 1.12. This is a normal value and indicates that EQNR is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Quick ratio, with a value of 1.12, EQNR is in line with its industry, outperforming 58.57% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.23 | ||
| Quick Ratio | 1.12 |
3. Growth
3.1 Past
The earnings per share for EQNR have decreased strongly by -28.57% in the last year.
EQNR shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 16.82% yearly.
EQNR shows a small growth in Revenue. In the last year, the Revenue has grown by 2.15%.
EQNR shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 10.24% yearly.
EPS 1Y (TTM)-28.57%
EPS 3Y-2.27%
EPS 5Y16.82%
EPS Q2Q%-53.16%
Revenue 1Y (TTM)2.15%
Revenue growth 3Y4.92%
Revenue growth 5Y10.24%
Sales Q2Q%2.14%
3.2 Future
The Earnings Per Share is expected to decrease by -0.15% on average over the next years.
The Revenue is expected to decrease by -4.76% on average over the next years.
EPS Next Y-13%
EPS Next 2Y-3.96%
EPS Next 3Y-0.44%
EPS Next 5Y-0.15%
Revenue Next Year-0.1%
Revenue Next 2Y-3.36%
Revenue Next 3Y-1.86%
Revenue Next 5Y-4.76%
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
With a Price/Earnings ratio of 9.71, the valuation of EQNR can be described as very reasonable.
EQNR's Price/Earnings ratio is a bit cheaper when compared to the industry. EQNR is cheaper than 80.00% of the companies in the same industry.
When comparing the Price/Earnings ratio of EQNR to the average of the S&P500 Index (25.98), we can say EQNR is valued rather cheaply.
Based on the Price/Forward Earnings ratio of 7.52, the valuation of EQNR can be described as very cheap.
EQNR's Price/Forward Earnings ratio is rather cheap when compared to the industry. EQNR is cheaper than 86.67% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 35.79, EQNR is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.71 | ||
| Fwd PE | 7.52 |
4.2 Price Multiples
EQNR's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. EQNR is cheaper than 99.05% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, EQNR is valued cheaper than 83.33% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 8.33 | ||
| EV/EBITDA | 1.22 |
4.3 Compensation for Growth
The decent profitability rating of EQNR may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)0.58
EPS Next 2Y-3.96%
EPS Next 3Y-0.44%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 6.27%, EQNR is a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 5.88, EQNR pays a bit more dividend than its industry peers.
EQNR's Dividend Yield is rather good when compared to the S&P500 average which is at 2.41.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.27% |
5.2 History
On average, the dividend of EQNR grows each year by 24.62%, which is quite nice.
EQNR has been paying a dividend for at least 10 years, so it has a reliable track record.
Dividend Growth(5Y)24.62%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
EQNR pays out 101.05% of its income as dividend. This is not a sustainable payout ratio.
EQNR's earnings are declining while the Dividend Rate has been growing. This means the dividend growth is most likely not sustainable.
DP101.05%
EPS Next 2Y-3.96%
EPS Next 3Y-0.44%
22.52
-0.16 (-0.71%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)
Earnings (Next)
Inst Owners21.2%
Inst Owner Change14.79%
Ins Owners0%
Ins Owner ChangeN/A
Market Cap56.58B
Revenue(TTM)107.07B
Net Income(TTM)5.73B
Analysts49.44
Price Target25.03 (11.15%)
Short Float %4.93%
Short Ratio7.93
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.27% |
Yearly Dividend3.02
Dividend Growth(5Y)24.62%
DP101.05%
Div Incr Years0
Div Non Decr Years0
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-18.96%
Min EPS beat(2)-36.86%
Max EPS beat(2)-1.06%
EPS beat(4)0
Avg EPS beat(4)-18.46%
Min EPS beat(4)-36.86%
Max EPS beat(4)-1.06%
EPS beat(8)3
Avg EPS beat(8)-7.11%
EPS beat(12)6
Avg EPS beat(12)-0.27%
EPS beat(16)8
Avg EPS beat(16)0.87%
Revenue beat(2)2
Avg Revenue beat(2)9.54%
Min Revenue beat(2)8.5%
Max Revenue beat(2)10.59%
Revenue beat(4)3
Avg Revenue beat(4)7.52%
Min Revenue beat(4)-0.15%
Max Revenue beat(4)11.14%
Revenue beat(8)5
Avg Revenue beat(8)3.15%
Revenue beat(12)6
Avg Revenue beat(12)-1.48%
Revenue beat(16)10
Avg Revenue beat(16)-0.2%
PT rev (1m)-4.45%
PT rev (3m)-3.52%
EPS NQ rev (1m)-3.75%
EPS NQ rev (3m)-7.67%
EPS NY rev (1m)-9.13%
EPS NY rev (3m)-8.34%
Revenue NQ rev (1m)2.92%
Revenue NQ rev (3m)0.65%
Revenue NY rev (1m)1.08%
Revenue NY rev (3m)0.84%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.71 | ||
| Fwd PE | 7.52 | ||
| P/S | 0.53 | ||
| P/FCF | 8.33 | ||
| P/OCF | 2.79 | ||
| P/B | 1.4 | ||
| P/tB | 1.66 | ||
| EV/EBITDA | 1.22 |
EPS(TTM)2.32
EY10.3%
EPS(NY)3
Fwd EY13.31%
FCF(TTM)2.7
FCFY12%
OCF(TTM)8.07
OCFY35.85%
SpS42.61
BVpS16.13
TBVpS13.57
PEG (NY)N/A
PEG (5Y)0.58
Graham Number29.02
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.22% | ||
| ROE | 14.13% | ||
| ROCE | 29.35% | ||
| ROIC | 23.19% | ||
| ROICexc | 29.7% | ||
| ROICexgc | 32.3% | ||
| OM | 27.99% | ||
| PM (TTM) | 5.35% | ||
| GM | 48.66% | ||
| FCFM | 6.34% |
ROA(3y)11.06%
ROA(5y)6.92%
ROE(3y)32.85%
ROE(5y)20.85%
ROIC(3y)33.97%
ROIC(5y)25.77%
ROICexc(3y)49.28%
ROICexc(5y)37.09%
ROICexgc(3y)53.02%
ROICexgc(5y)40%
ROCE(3y)44.25%
ROCE(5y)33.68%
ROICexgc growth 3Y-4.25%
ROICexgc growth 5Y16.79%
ROICexc growth 3Y-3.9%
ROICexc growth 5Y18.15%
OM growth 3Y-8.38%
OM growth 5Y5.28%
PM growth 3Y-3.8%
PM growth 5Y23.92%
GM growth 3Y-5.36%
GM growth 5Y-0.73%
F-Score5
Asset Turnover0.79
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.62 | ||
| Debt/FCF | 4.56 | ||
| Debt/EBITDA | 0.6 | ||
| Cap/Depr | 113.26% | ||
| Cap/Sales | 12.6% | ||
| Interest Coverage | 44.4 | ||
| Cash Conversion | 48.43% | ||
| Profit Quality | 118.62% | ||
| Current Ratio | 1.23 | ||
| Quick Ratio | 1.12 | ||
| Altman-Z | 2.44 |
F-Score5
WACC6.9%
ROIC/WACC3.36
Cap/Depr(3y)119.04%
Cap/Depr(5y)96.27%
Cap/Sales(3y)9.19%
Cap/Sales(5y)11.03%
Profit Quality(3y)100.41%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-28.57%
EPS 3Y-2.27%
EPS 5Y16.82%
EPS Q2Q%-53.16%
EPS Next Y-13%
EPS Next 2Y-3.96%
EPS Next 3Y-0.44%
EPS Next 5Y-0.15%
Revenue 1Y (TTM)2.15%
Revenue growth 3Y4.92%
Revenue growth 5Y10.24%
Sales Q2Q%2.14%
Revenue Next Year-0.1%
Revenue Next 2Y-3.36%
Revenue Next 3Y-1.86%
Revenue Next 5Y-4.76%
EBIT growth 1Y-3.66%
EBIT growth 3Y-3.87%
EBIT growth 5Y16.06%
EBIT Next Year30.46%
EBIT Next 3Y6.74%
EBIT Next 5Y1.93%
FCF growth 1Y-57.61%
FCF growth 3Y-27.45%
FCF growth 5Y17.48%
OCF growth 1Y-22.67%
OCF growth 3Y-11.3%
OCF growth 5Y7.9%
EQUINOR ASA-SPON ADR / EQNR FAQ
What is the ChartMill fundamental rating of EQUINOR ASA-SPON ADR (EQNR) stock?
ChartMill assigns a fundamental rating of 5 / 10 to EQNR.
Can you provide the valuation status for EQUINOR ASA-SPON ADR?
ChartMill assigns a valuation rating of 7 / 10 to EQUINOR ASA-SPON ADR (EQNR). This can be considered as Undervalued.
Can you provide the profitability details for EQUINOR ASA-SPON ADR?
EQUINOR ASA-SPON ADR (EQNR) has a profitability rating of 7 / 10.
What is the valuation of EQUINOR ASA-SPON ADR based on its PE and PB ratios?
The Price/Earnings (PE) ratio for EQUINOR ASA-SPON ADR (EQNR) is 9.71 and the Price/Book (PB) ratio is 1.4.
Can you provide the financial health for EQNR stock?
The financial health rating of EQUINOR ASA-SPON ADR (EQNR) is 5 / 10.