EQUITRANS MIDSTREAM CORP (ETRN) Stock Fundamental Analysis

USA • New York Stock Exchange • NYSE:ETRN • US2946001011

12.42 USD
+0.07 (+0.57%)
At close: Jul 19, 2024
12.5 USD
+0.08 (+0.64%)
After Hours: 7/19/2024, 8:04:00 PM
Overview Stock Chart Technical Analysis Fundamental Analysis Analyst Ratings Earnings Estimates Financials Ownership News
Fundamental Rating

4

We assign a fundamental rating of 4 out of 10 to ETRN. ETRN was compared to 206 industry peers in the Oil, Gas & Consumable Fuels industry. ETRN has a medium profitability rating, but doesn't score so well on its financial health evaluation. ETRN is not valued too expensively and it also shows a decent growth rate.


Dividend Valuation Growth Profitability Health

5

1. Profitability

1.1 Basic Checks

  • ETRN had positive earnings in the past year.
  • In the past year ETRN had a positive cash flow from operations.
  • The reported net income has been mixed in the past 5 years: ETRN reported negative net income in multiple years.
  • In the past 5 years ETRN always reported a positive cash flow from operatings.
ETRN Yearly Net Income VS EBIT VS OCF VS FCFETRN Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 0 500M -500M 1B -1B

1.2 Ratios

  • Looking at the Return On Assets, with a value of 3.33%, ETRN is doing worse than 63.33% of the companies in the same industry.
  • ETRN has a better Return On Equity (22.40%) than 73.81% of its industry peers.
  • ETRN has a worse Return On Invested Capital (4.60%) than 66.67% of its industry peers.
  • Measured over the past 3 years, the Average Return On Invested Capital for ETRN is significantly below the industry average of 22.01%.
Industry RankSector Rank
ROA 3.33%
ROE 22.4%
ROIC 4.6%
ROA(3y)-4.45%
ROA(5y)-2.44%
ROE(3y)-21.93%
ROE(5y)-17.37%
ROIC(3y)5.32%
ROIC(5y)5.81%
ETRN Yearly ROA, ROE, ROICETRN Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 0 -50

1.3 Margins

  • ETRN's Profit Margin of 28.51% is fine compared to the rest of the industry. ETRN outperforms 74.76% of its industry peers.
  • In the last couple of years the Profit Margin of ETRN has grown nicely.
  • With an excellent Operating Margin value of 47.47%, ETRN belongs to the best of the industry, outperforming 86.19% of the companies in the same industry.
  • ETRN's Operating Margin has declined in the last couple of years.
  • ETRN's Gross Margin of 86.95% is amongst the best of the industry. ETRN outperforms 92.38% of its industry peers.
  • ETRN's Gross Margin has been stable in the last couple of years.
Industry RankSector Rank
OM 47.47%
PM (TTM) 28.51%
GM 86.95%
OM growth 3Y-6.38%
OM growth 5Y-5.82%
PM growth 3Y5.27%
PM growth 5Y13.69%
GM growth 3Y-0.96%
GM growth 5Y-0.42%
ETRN Yearly Profit, Operating, Gross MarginsETRN Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 0 50 -50 -100

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ROAROEROICOperating and Profit MarginShow most profitable peers

1

2. Health

2.1 Basic Checks

  • ETRN has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
  • The number of shares outstanding for ETRN remains at a similar level compared to 1 year ago.
  • ETRN has a better debt/assets ratio than last year.
ETRN Yearly Shares OutstandingETRN Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 100M 200M 300M 400M
ETRN Yearly Total Debt VS Total AssetsETRN Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 2023 2B 4B 6B 8B 10B

2.2 Solvency

  • Based on the Altman-Z score of 0.26, we must say that ETRN is in the distress zone and has some risk of bankruptcy.
  • With a Altman-Z score value of 0.26, ETRN is not doing good in the industry: 69.52% of the companies in the same industry are doing better.
  • ETRN has a debt to FCF ratio of 13.59. This is a negative value and a sign of low solvency as ETRN would need 13.59 years to pay back of all of its debts.
  • ETRN has a worse Debt to FCF ratio (13.59) than 60.48% of its industry peers.
  • ETRN has a Debt/Equity ratio of 4.26. This is a high value indicating a heavy dependency on external financing.
  • ETRN has a Debt to Equity ratio of 4.26. This is amonst the worse of the industry: ETRN underperforms 90.00% of its industry peers.
Industry RankSector Rank
Debt/Equity 4.26
Debt/FCF 13.59
Altman-Z 0.26
ROIC/WACC0.71
WACC6.49%
ETRN Yearly LT Debt VS Equity VS FCFETRN Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 0 2B 4B 6B

2.3 Liquidity

  • ETRN has a Current Ratio of 0.63. This is a bad value and indicates that ETRN is not financially healthy enough and could expect problems in meeting its short term obligations.
  • With a Current ratio value of 0.63, ETRN is not doing good in the industry: 81.43% of the companies in the same industry are doing better.
  • A Quick Ratio of 0.63 indicates that ETRN may have some problems paying its short term obligations.
  • With a Quick ratio value of 0.63, ETRN is not doing good in the industry: 76.19% of the companies in the same industry are doing better.
Industry RankSector Rank
Current Ratio 0.63
Quick Ratio 0.63
ETRN Yearly Current Assets VS Current LiabilitesETRN Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 2023 200M 400M 600M 800M 1B

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WACCDebt/EquityHow to determine the health of a companyAltman-Z scoreShow peers with great health

4

3. Growth

3.1 Past

  • ETRN shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 63.64%, which is quite impressive.
  • ETRN shows a decrease in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -3.69% yearly.
  • The Revenue has decreased by -0.72% in the past year.
  • ETRN shows a decrease in Revenue. Measured over the last years, the Revenue has been decreasing by -1.39% yearly.
EPS 1Y (TTM)63.64%
EPS 3Y-11.86%
EPS 5Y-3.69%
EPS Q2Q%4.55%
Revenue 1Y (TTM)-0.72%
Revenue growth 3Y-2.65%
Revenue growth 5Y-1.39%
Sales Q2Q%-3.21%

3.2 Future

  • The Earnings Per Share is expected to grow by 10.69% on average over the next years. This is quite good.
  • Based on estimates for the next years, ETRN will show a small growth in Revenue. The Revenue will grow by 5.55% on average per year.
EPS Next Y-15.38%
EPS Next 2Y0.33%
EPS Next 3Y1.5%
EPS Next 5Y10.69%
Revenue Next Year5.96%
Revenue Next 2Y6.21%
Revenue Next 3Y3.41%
Revenue Next 5Y5.55%

3.3 Evolution

  • The EPS growth rate is accelerating: in the next years the growth will be better 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 accelerating.
ETRN Yearly Revenue VS EstimatesETRN Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 500M 1B 1.5B
ETRN Yearly EPS VS EstimatesETRN Yearly EPS VS EstimatesYearly EPS VS Estimates 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 0 1 2

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Find the best growth stocksShow best growing peers

4

4. Valuation

4.1 Price/Earnings Ratio

  • The Price/Earnings ratio is 13.80, which indicates a correct valuation of ETRN.
  • ETRN's Price/Earnings is on the same level as the industry average.
  • The average S&P500 Price/Earnings ratio is at 28.06. ETRN is valued rather cheaply when compared to this.
  • A Price/Forward Earnings ratio of 13.86 indicates a correct valuation of ETRN.
  • Based on the Price/Forward Earnings ratio, ETRN is valued a bit more expensive than 60.00% of the companies in the same industry.
  • ETRN is valuated cheaply when we compare the Price/Forward Earnings ratio to 27.86, which is the current average of the S&P500 Index.
Industry RankSector Rank
PE 13.8
Fwd PE 13.86
ETRN Price Earnings VS Forward Price EarningsETRN Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 10 20 30

4.2 Price Multiples

  • ETRN's Enterprise Value to EBITDA ratio is a bit more expensive when compared to the industry. ETRN is more expensive than 73.33% of the companies in the same industry.
  • 68.10% of the companies in the same industry are more expensive than ETRN, based on the Price/Free Cash Flow ratio.
Industry RankSector Rank
P/FCF 9.47
EV/EBITDA 13.13
ETRN Per share dataETRN EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 1 2 3 4

4.3 Compensation for Growth

PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y0.33%
EPS Next 3Y1.5%

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Price/EarningsPrice/FCFFCF per shareEV/EBITDAPEG RATIOShow best valued peers

5

5. Dividend

5.1 Amount

  • ETRN has a Yearly Dividend Yield of 4.83%, which is a nice return.
  • ETRN's Dividend Yield is a higher than the industry average which is at 3.64.
  • ETRN's Dividend Yield is rather good when compared to the S&P500 average which is at 1.80.
Industry RankSector Rank
Dividend Yield 4.83%

5.2 History

  • The dividend of ETRN decreases each year by -30.14%.
  • ETRN has been paying a dividend for over 5 years, so it has already some track record.
  • The dividend of ETRN decreased in the last 3 years.
Dividend Growth(5Y)-30.14%
Div Incr Years0
Div Non Decr Years2
ETRN Yearly Dividends per shareETRN Yearly Dividends per shareYearly Dividends per share 2019 2020 2021 2022 2023 2024 0.5 1 1.5

5.3 Sustainability

  • 80.84% of the earnings are spent on dividend by ETRN. This is not a sustainable payout ratio.
DP80.84%
EPS Next 2Y0.33%
EPS Next 3Y1.5%
ETRN Yearly Income VS Free CF VS DividendETRN Yearly Income VS Free CF VS DividendYearly Income VS Free CF VS Dividend 2016 2017 2018 2019 2020 2021 2022 2023 0 500M -500M 1B -1B
ETRN Dividend Payout.ETRN Dividend Payout, showing the Payout Ratio.ETRN Dividend Payout.PayoutRetained Earnings

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Find the best dividend stocksShow peers with best dividend

EQUITRANS MIDSTREAM CORP

NYSE:ETRN (7/19/2024, 8:04:00 PM)

After market: 12.5 +0.08 (+0.64%)

12.42

+0.07 (+0.57%)

Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)04-30
Earnings (Next)07-30
Inst Owners4.79%
Inst Owner Change-98.48%
Ins Owners5.92%
Ins Owner Change0%
Market Cap5.43B
Revenue(TTM)1.38B
Net Income(TTM)394.01M
Analysts74.29
Price Target13.9 (11.92%)
Short Float %N/A
Short RatioN/A
Dividend
Industry RankSector Rank
Dividend Yield 4.83%
Yearly Dividend0.74
Dividend Growth(5Y)-30.14%
DP80.84%
Div Incr Years0
Div Non Decr Years2
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)24.68%
Min EPS beat(2)-6.05%
Max EPS beat(2)55.4%
EPS beat(4)2
Avg EPS beat(4)23.21%
Min EPS beat(4)-18.89%
Max EPS beat(4)62.36%
EPS beat(8)3
Avg EPS beat(8)12.82%
EPS beat(12)3
Avg EPS beat(12)-11.84%
EPS beat(16)3
Avg EPS beat(16)-13.5%
Revenue beat(2)0
Avg Revenue beat(2)-2.13%
Min Revenue beat(2)-3.63%
Max Revenue beat(2)-0.63%
Revenue beat(4)1
Avg Revenue beat(4)-2.12%
Min Revenue beat(4)-5.38%
Max Revenue beat(4)1.18%
Revenue beat(8)3
Avg Revenue beat(8)-1.65%
Revenue beat(12)3
Avg Revenue beat(12)-5.17%
Revenue beat(16)3
Avg Revenue beat(16)-5.05%
PT rev (1m)0%
PT rev (3m)22.09%
EPS NQ rev (1m)0%
EPS NQ rev (3m)2.86%
EPS NY rev (1m)0%
EPS NY rev (3m)-7.01%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-0.68%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.91%
Valuation
Industry RankSector Rank
PE 13.8
Fwd PE 13.86
P/S 3.93
P/FCF 9.47
P/OCF 5.6
P/B 3.09
P/tB 7.08
EV/EBITDA 13.13
EPS(TTM)0.9
EY7.25%
EPS(NY)0.9
Fwd EY7.21%
FCF(TTM)1.31
FCFY10.56%
OCF(TTM)2.22
OCFY17.85%
SpS3.16
BVpS4.02
TBVpS1.75
PEG (NY)N/A
PEG (5Y)N/A
Graham NumberN/A
Profitability
Industry RankSector Rank
ROA 3.33%
ROE 22.4%
ROCE 5.82%
ROIC 4.6%
ROICexc 4.62%
ROICexgc 5.07%
OM 47.47%
PM (TTM) 28.51%
GM 86.95%
FCFM 41.47%
ROA(3y)-4.45%
ROA(5y)-2.44%
ROE(3y)-21.93%
ROE(5y)-17.37%
ROIC(3y)5.32%
ROIC(5y)5.81%
ROICexc(3y)5.39%
ROICexc(5y)5.89%
ROICexgc(3y)6.02%
ROICexgc(5y)6.58%
ROCE(3y)6.73%
ROCE(5y)7.36%
ROICexgc growth 3Y-5.64%
ROICexgc growth 5Y-10.86%
ROICexc growth 3Y-5.41%
ROICexc growth 5Y-8.91%
OM growth 3Y-6.38%
OM growth 5Y-5.82%
PM growth 3Y5.27%
PM growth 5Y13.69%
GM growth 3Y-0.96%
GM growth 5Y-0.42%
F-Score5
Asset Turnover0.12
Health
Industry RankSector Rank
Debt/Equity 4.26
Debt/FCF 13.59
Debt/EBITDA 7.47
Cap/Depr 114.25%
Cap/Sales 28.65%
Interest Coverage 1.52
Cash Conversion 96.65%
Profit Quality 145.43%
Current Ratio 0.63
Quick Ratio 0.63
Altman-Z 0.26
F-Score5
WACC6.49%
ROIC/WACC0.71
Cap/Depr(3y)103.58%
Cap/Depr(5y)159.7%
Cap/Sales(3y)25.84%
Cap/Sales(5y)33.49%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)63.64%
EPS 3Y-11.86%
EPS 5Y-3.69%
EPS Q2Q%4.55%
EPS Next Y-15.38%
EPS Next 2Y0.33%
EPS Next 3Y1.5%
EPS Next 5Y10.69%
Revenue 1Y (TTM)-0.72%
Revenue growth 3Y-2.65%
Revenue growth 5Y-1.39%
Sales Q2Q%-3.21%
Revenue Next Year5.96%
Revenue Next 2Y6.21%
Revenue Next 3Y3.41%
Revenue Next 5Y5.55%
EBIT growth 1Y-13.11%
EBIT growth 3Y-8.86%
EBIT growth 5Y-7.13%
EBIT Next Year74.2%
EBIT Next 3Y24.78%
EBIT Next 5Y18.95%
FCF growth 1Y-30.51%
FCF growth 3Y-2.48%
FCF growth 5YN/A
OCF growth 1Y-13.89%
OCF growth 3Y-3.79%
OCF growth 5Y7.08%

EQUITRANS MIDSTREAM CORP / ETRN FAQ

What is the ChartMill fundamental rating of EQUITRANS MIDSTREAM CORP (ETRN) stock?

ChartMill assigns a fundamental rating of 3 / 10 to ETRN.


What is the valuation status of EQUITRANS MIDSTREAM CORP (ETRN) stock?

ChartMill assigns a valuation rating of 3 / 10 to EQUITRANS MIDSTREAM CORP (ETRN). This can be considered as Overvalued.


How profitable is EQUITRANS MIDSTREAM CORP (ETRN) stock?

EQUITRANS MIDSTREAM CORP (ETRN) has a profitability rating of 5 / 10.


What is the valuation of EQUITRANS MIDSTREAM CORP based on its PE and PB ratios?

The Price/Earnings (PE) ratio for EQUITRANS MIDSTREAM CORP (ETRN) is 13.8 and the Price/Book (PB) ratio is 3.09.


Can you provide the dividend sustainability for ETRN stock?

The dividend rating of EQUITRANS MIDSTREAM CORP (ETRN) is 5 / 10 and the dividend payout ratio is 80.84%.