GRANITE RIDGE RESOURCES INC (GRNT) Stock Fundamental Analysis
USA - NYSE:GRNT - US3874321074 - Common Stock
5.29 USD
+0.03 (+0.57%)
5.29 USD
0 (0%)
Taking everything into account, GRNT scores 5 out of 10 in our fundamental rating. GRNT was compared to 211 industry peers in the Oil, Gas & Consumable Fuels industry. GRNT has a medium profitability rating, but doesn't score so well on its financial health evaluation. GRNT is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year GRNT was profitable.
In the past year GRNT had a positive cash flow from operations.
GRNT had positive earnings in 4 of the past 5 years.
Each year in the past 5 years GRNT had a positive operating cash flow.
1.2 Ratios
GRNT's Return On Assets of 2.91% is in line compared to the rest of the industry. GRNT outperforms 48.82% of its industry peers.
GRNT has a Return On Equity of 5.00%. This is comparable to the rest of the industry: GRNT outperforms 43.13% of its industry peers.
The Return On Invested Capital of GRNT (8.64%) is better than 75.36% of its industry peers.
GRNT had an Average Return On Invested Capital over the past 3 years of 16.49%. This is significantly below the industry average of 21.53%.
The 3 year average ROIC (16.49%) for GRNT is well above the current ROIC(8.64%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.91% | ||
| ROE | 5% | ||
| ROIC | 8.64% |
ROA(3y)14.52%
ROA(5y)11.52%
ROE(3y)18.16%
ROE(5y)14.28%
ROIC(3y)16.49%
ROIC(5y)N/A
1.3 Margins
GRNT has a Profit Margin (7.43%) which is in line with its industry peers.
In the last couple of years the Profit Margin of GRNT has declined.
The Operating Margin of GRNT (26.89%) is better than 66.35% of its industry peers.
GRNT's Operating Margin has declined in the last couple of years.
GRNT's Gross Margin of 93.48% is amongst the best of the industry. GRNT outperforms 98.10% of its industry peers.
In the last couple of years the Gross Margin of GRNT has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 26.89% | ||
| PM (TTM) | 7.43% | ||
| GM | 93.48% |
OM growth 3Y-19.75%
OM growth 5YN/A
PM growth 3Y-49.27%
PM growth 5YN/A
GM growth 3Y-0.22%
GM growth 5YN/A
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), GRNT is creating value.
GRNT has more shares outstanding than it did 1 year ago.
The debt/assets ratio for GRNT is higher compared to a year ago.
2.2 Solvency
GRNT has an Altman-Z score of 1.69. This is a bad value and indicates that GRNT is not financially healthy and even has some risk of bankruptcy.
GRNT has a Altman-Z score (1.69) which is in line with its industry peers.
GRNT has a Debt/Equity ratio of 0.43. This is a healthy value indicating a solid balance between debt and equity.
GRNT has a Debt to Equity ratio (0.43) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.43 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 1.69 |
ROIC/WACC1
WACC8.67%
2.3 Liquidity
GRNT has a Current Ratio of 1.32. This is a normal value and indicates that GRNT is financially healthy and should not expect problems in meeting its short term obligations.
GRNT has a Current ratio of 1.32. This is in the better half of the industry: GRNT outperforms 60.66% of its industry peers.
GRNT has a Quick Ratio of 1.32. This is a normal value and indicates that GRNT is financially healthy and should not expect problems in meeting its short term obligations.
With a decent Quick ratio value of 1.32, GRNT is doing good in the industry, outperforming 65.40% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.32 | ||
| Quick Ratio | 1.32 |
3. Growth
3.1 Past
The earnings per share for GRNT have decreased by -3.03% in the last year.
Measured over the past years, GRNT shows a very negative growth in Earnings Per Share. The EPS has been decreasing by -43.98% on average per year.
GRNT shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 9.54%.
The Revenue has been growing by 9.41% on average over the past years. This is quite good.
EPS 1Y (TTM)-3.03%
EPS 3Y-43.98%
EPS 5YN/A
EPS Q2Q%-15.38%
Revenue 1Y (TTM)9.54%
Revenue growth 3Y9.41%
Revenue growth 5YN/A
Sales Q2Q%20.48%
3.2 Future
GRNT is expected to show a decrease in Earnings Per Share. In the coming years, the EPS will decrease by -1.35% yearly.
The Revenue is expected to grow by 9.01% on average over the next years. This is quite good.
EPS Next Y8.99%
EPS Next 2Y7.27%
EPS Next 3Y6.54%
EPS Next 5Y-1.35%
Revenue Next Year27%
Revenue Next 2Y19.36%
Revenue Next 3Y12.76%
Revenue Next 5Y9.01%
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 accelerating.
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
A Price/Earnings ratio of 8.27 indicates a reasonable valuation of GRNT.
GRNT's Price/Earnings ratio is rather cheap when compared to the industry. GRNT is cheaper than 81.99% of the companies in the same industry.
GRNT is valuated cheaply when we compare the Price/Earnings ratio to 27.29, which is the current average of the S&P500 Index.
A Price/Forward Earnings ratio of 8.21 indicates a reasonable valuation of GRNT.
Compared to the rest of the industry, the Price/Forward Earnings ratio of GRNT indicates a somewhat cheap valuation: GRNT is cheaper than 78.67% of the companies listed in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.85, GRNT is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.27 | ||
| Fwd PE | 8.21 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, GRNT is valued cheaper than 89.10% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 2.97 |
4.3 Compensation for Growth
GRNT's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
PEG (NY)0.92
PEG (5Y)N/A
EPS Next 2Y7.27%
EPS Next 3Y6.54%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 8.01%, GRNT is a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 6.15, GRNT pays a better dividend. On top of this GRNT pays more dividend than 81.99% of the companies listed in the same industry.
GRNT's Dividend Yield is rather good when compared to the S&P500 average which is at 2.38.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 8.01% |
5.2 History
GRNT 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
GRNT pays out 179.08% of its income as dividend. This is not a sustainable payout ratio.
DP179.08%
EPS Next 2Y7.27%
EPS Next 3Y6.54%
5.29
+0.03 (+0.57%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)
Earnings (Next)
Inst Owners75.19%
Inst Owner Change-0.01%
Ins Owners3.23%
Ins Owner Change3.2%
Market Cap694.31M
Analysts78.33
Price Target7.28 (37.62%)
Short Float %2.54%
Short Ratio5
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 8.01% |
Yearly Dividend0.44
Dividend Growth(5Y)N/A
DP179.08%
Div Incr Years0
Div Non Decr Years2
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-2.94%
Min EPS beat(2)-13.73%
Max EPS beat(2)7.84%
EPS beat(4)2
Avg EPS beat(4)5.14%
Min EPS beat(4)-13.73%
Max EPS beat(4)31.58%
EPS beat(8)3
Avg EPS beat(8)1.64%
EPS beat(12)4
Avg EPS beat(12)-9.64%
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)1
Avg Revenue beat(2)0.79%
Min Revenue beat(2)-2.52%
Max Revenue beat(2)4.09%
Revenue beat(4)2
Avg Revenue beat(4)0.44%
Min Revenue beat(4)-4.01%
Max Revenue beat(4)4.21%
Revenue beat(8)3
Avg Revenue beat(8)-0.06%
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)3.38%
PT rev (3m)-4.47%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-16.45%
EPS NY rev (1m)0.87%
EPS NY rev (3m)-19.95%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0.99%
Revenue NY rev (1m)0%
Revenue NY rev (3m)3.51%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.27 | ||
| Fwd PE | 8.21 | ||
| P/S | 1.61 | ||
| P/FCF | N/A | ||
| P/OCF | 2.34 | ||
| P/B | 1.08 | ||
| P/tB | 1.08 | ||
| EV/EBITDA | 2.97 |
EPS(TTM)0.64
EY12.1%
EPS(NY)0.64
Fwd EY12.18%
FCF(TTM)-0.78
FCFYN/A
OCF(TTM)2.26
OCFY42.78%
SpS3.3
BVpS4.89
TBVpS4.89
PEG (NY)0.92
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.91% | ||
| ROE | 5% | ||
| ROCE | 11.38% | ||
| ROIC | 8.64% | ||
| ROICexc | 8.83% | ||
| ROICexgc | 8.83% | ||
| OM | 26.89% | ||
| PM (TTM) | 7.43% | ||
| GM | 93.48% | ||
| FCFM | N/A |
ROA(3y)14.52%
ROA(5y)11.52%
ROE(3y)18.16%
ROE(5y)14.28%
ROIC(3y)16.49%
ROIC(5y)N/A
ROICexc(3y)17.88%
ROICexc(5y)N/A
ROICexgc(3y)17.88%
ROICexgc(5y)N/A
ROCE(3y)21.7%
ROCE(5y)N/A
ROICexcg growth 3Y-29.25%
ROICexcg growth 5YN/A
ROICexc growth 3Y-29.25%
ROICexc growth 5YN/A
OM growth 3Y-19.75%
OM growth 5YN/A
PM growth 3Y-49.27%
PM growth 5YN/A
GM growth 3Y-0.22%
GM growth 5YN/A
F-Score5
Asset Turnover0.39
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.43 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 0.88 | ||
| Cap/Depr | 204.05% | ||
| Cap/Sales | 92.4% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 95.15% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.32 | ||
| Quick Ratio | 1.32 | ||
| Altman-Z | 1.69 |
F-Score5
WACC8.67%
ROIC/WACC1
Cap/Depr(3y)214.02%
Cap/Depr(5y)204.11%
Cap/Sales(3y)76.55%
Cap/Sales(5y)88%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-3.03%
EPS 3Y-43.98%
EPS 5YN/A
EPS Q2Q%-15.38%
EPS Next Y8.99%
EPS Next 2Y7.27%
EPS Next 3Y6.54%
EPS Next 5Y-1.35%
Revenue 1Y (TTM)9.54%
Revenue growth 3Y9.41%
Revenue growth 5YN/A
Sales Q2Q%20.48%
Revenue Next Year27%
Revenue Next 2Y19.36%
Revenue Next 3Y12.76%
Revenue Next 5Y9.01%
EBIT growth 1Y9.5%
EBIT growth 3Y-12.21%
EBIT growth 5YN/A
EBIT Next Year290.25%
EBIT Next 3Y64.13%
EBIT Next 5Y46.11%
FCF growth 1Y-281.33%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-40.96%
OCF growth 3Y15.02%
OCF growth 5YN/A