HEMISPHERE ENERGY CORP (HME.CA) Stock Fundamental Analysis
Canada - TSX Venture Exchange - TSX-V:HME - CA4236301020 - Common Stock
2.12 CAD
-0.03 (-1.4%)
Overall HME gets a fundamental rating of 7 out of 10. We evaluated HME against 218 industry peers in the Oil, Gas & Consumable Fuels industry. HME gets an excellent profitability rating and is at the same time showing great financial health properties. HME scores decently on growth, while it is valued quite cheap. This could make an interesting combination. With these ratings, HME could be worth investigating further for value investing!.
1. Profitability
1.1 Basic Checks
HME had positive earnings in the past year.
In the past year HME had a positive cash flow from operations.
HME had positive earnings in 4 of the past 5 years.
In the past 5 years HME always reported a positive cash flow from operatings.
1.2 Ratios
Looking at the Return On Assets, with a value of 26.87%, HME belongs to the top of the industry, outperforming 98.17% of the companies in the same industry.
HME's Return On Equity of 40.34% is amongst the best of the industry. HME outperforms 99.08% of its industry peers.
The Return On Invested Capital of HME (33.61%) is better than 100.00% of its industry peers.
HME had an Average Return On Invested Capital over the past 3 years of 38.31%. This is significantly above the industry average of 6.53%.
The last Return On Invested Capital (33.61%) for HME is well below the 3 year average (38.31%), which needs to be investigated, but indicates that HME had better years and this may not be a problem.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 26.87% | ||
| ROE | 40.34% | ||
| ROIC | 33.61% |
ROA(3y)27.91%
ROA(5y)18.35%
ROE(3y)41.42%
ROE(5y)28.93%
ROIC(3y)38.31%
ROIC(5y)29.36%
1.3 Margins
Looking at the Profit Margin, with a value of 31.38%, HME belongs to the top of the industry, outperforming 94.50% of the companies in the same industry.
In the last couple of years the Profit Margin of HME has grown nicely.
With an excellent Operating Margin value of 43.33%, HME belongs to the best of the industry, outperforming 92.66% of the companies in the same industry.
HME's Operating Margin has improved in the last couple of years.
HME has a better Gross Margin (60.30%) than 78.90% of its industry peers.
In the last couple of years the Gross Margin of HME has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 43.33% | ||
| PM (TTM) | 31.38% | ||
| GM | 60.3% |
OM growth 3Y2.1%
OM growth 5Y4.69%
PM growth 3Y34.16%
PM growth 5Y45.92%
GM growth 3Y-1.38%
GM growth 5Y-1.19%
2. Health
2.1 Basic Checks
HME has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
Compared to 1 year ago, HME has less shares outstanding
HME has more shares outstanding than it did 5 years ago.
The debt/assets ratio for HME has been reduced compared to a year ago.
2.2 Solvency
HME has an Altman-Z score of 5.46. This indicates that HME is financially healthy and has little risk of bankruptcy at the moment.
HME has a better Altman-Z score (5.46) than 85.32% of its industry peers.
The Debt to FCF ratio of HME is 0.08, which is an excellent value as it means it would take HME, only 0.08 years of fcf income to pay off all of its debts.
HME's Debt to FCF ratio of 0.08 is amongst the best of the industry. HME outperforms 96.33% of its industry peers.
A Debt/Equity ratio of 0.03 indicates that HME is not too dependend on debt financing.
With a decent Debt to Equity ratio value of 0.03, HME is doing good in the industry, outperforming 75.23% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.03 | ||
| Debt/FCF | 0.08 | ||
| Altman-Z | 5.46 |
ROIC/WACC4.3
WACC7.82%
2.3 Liquidity
HME has a Current Ratio of 1.62. This is a normal value and indicates that HME is financially healthy and should not expect problems in meeting its short term obligations.
HME's Current ratio of 1.62 is fine compared to the rest of the industry. HME outperforms 72.48% of its industry peers.
HME has a Quick Ratio of 1.62. This is a normal value and indicates that HME is financially healthy and should not expect problems in meeting its short term obligations.
HME has a better Quick ratio (1.62) than 74.77% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.62 | ||
| Quick Ratio | 1.62 |
3. Growth
3.1 Past
HME shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -9.09%.
Measured over the past years, HME shows a very strong growth in Earnings Per Share. The EPS has been growing by 80.04% on average per year.
The Revenue has grown by 18.31% in the past year. This is quite good.
HME shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 25.97% yearly.
EPS 1Y (TTM)-9.09%
EPS 3Y72.84%
EPS 5Y80.04%
EPS Q2Q%-22.22%
Revenue 1Y (TTM)18.31%
Revenue growth 3Y32.32%
Revenue growth 5Y25.97%
Sales Q2Q%-13.24%
3.2 Future
The Earnings Per Share is expected to decrease by -15.87% on average over the next years. This is quite bad
The Revenue is expected to decrease by -7.01% on average over the next years.
EPS Next Y-14.17%
EPS Next 2Y-9.92%
EPS Next 3Y-9.18%
EPS Next 5Y-15.87%
Revenue Next Year-5.82%
Revenue Next 2Y-3.77%
Revenue Next 3Y-4.28%
Revenue Next 5Y-7.01%
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 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
A Price/Earnings ratio of 7.07 indicates a rather cheap valuation of HME.
Based on the Price/Earnings ratio, HME is valued cheaper than 90.37% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 26.34. HME is valued rather cheaply when compared to this.
The Price/Forward Earnings ratio is 7.92, which indicates a rather cheap valuation of HME.
Based on the Price/Forward Earnings ratio, HME is valued a bit cheaper than the industry average as 79.36% of the companies are valued more expensively.
The average S&P500 Price/Forward Earnings ratio is at 23.56. HME is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.07 | ||
| Fwd PE | 7.92 |
4.2 Price Multiples
HME's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. HME is cheaper than 92.66% of the companies in the same industry.
96.33% of the companies in the same industry are more expensive than HME, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 4.96 | ||
| EV/EBITDA | 3.29 |
4.3 Compensation for Growth
HME has an outstanding profitability rating, which may justify a higher PE ratio.
A cheap valuation may be justified as HME's earnings are expected to decrease with -9.18% in the coming years.
PEG (NY)N/A
PEG (5Y)0.09
EPS Next 2Y-9.92%
EPS Next 3Y-9.18%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 4.65%, HME is a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 6.83, HME pays a bit more dividend than its industry peers.
HME's Dividend Yield is rather good when compared to the S&P500 average which is at 2.31.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.65% |
5.2 History
HME has paid a dividend for less than 5 years, so there is no long track record yet.
Dividend Growth(5Y)N/A
Div Incr Years2
Div Non Decr Years2
5.3 Sustainability
HME pays out 57.92% of its income as dividend. This is a bit on the high side, but may be sustainable.
DP57.92%
EPS Next 2Y-9.92%
EPS Next 3Y-9.18%
TSX-V:HME (12/8/2025, 7:00:00 PM)
2.12
-0.03 (-1.4%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)
Earnings (Next)
Inst Owners0.79%
Inst Owner ChangeN/A
Ins Owners15.55%
Ins Owner ChangeN/A
Market Cap200.62M
Revenue(TTM)99.94M
Net Income(TTM)31.93M
Analysts84
Price Target2.47 (16.51%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.65% |
Yearly Dividend0.16
Dividend Growth(5Y)N/A
DP57.92%
Div Incr Years2
Div Non Decr Years2
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-0.06%
Min EPS beat(2)-2.91%
Max EPS beat(2)2.8%
EPS beat(4)1
Avg EPS beat(4)-2.76%
Min EPS beat(4)-8.02%
Max EPS beat(4)2.8%
EPS beat(8)3
Avg EPS beat(8)-3.68%
EPS beat(12)6
Avg EPS beat(12)3.66%
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)2
Avg Revenue beat(2)5.19%
Min Revenue beat(2)4.39%
Max Revenue beat(2)5.99%
Revenue beat(4)3
Avg Revenue beat(4)2.23%
Min Revenue beat(4)-2.87%
Max Revenue beat(4)5.99%
Revenue beat(8)6
Avg Revenue beat(8)1.14%
Revenue beat(12)8
Avg Revenue beat(12)-0.62%
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)6.59%
PT rev (3m)5.43%
EPS NQ rev (1m)0%
EPS NQ rev (3m)0%
EPS NY rev (1m)-3.51%
EPS NY rev (3m)-5.17%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-4.32%
Revenue NY rev (1m)-1.77%
Revenue NY rev (3m)-2.46%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.07 | ||
| Fwd PE | 7.92 | ||
| P/S | 1.97 | ||
| P/FCF | 4.96 | ||
| P/OCF | 3.51 | ||
| P/B | 2.53 | ||
| P/tB | 2.53 | ||
| EV/EBITDA | 3.29 |
EPS(TTM)0.3
EY14.15%
EPS(NY)0.27
Fwd EY12.63%
FCF(TTM)0.43
FCFY20.18%
OCF(TTM)0.6
OCFY28.46%
SpS1.08
BVpS0.84
TBVpS0.84
PEG (NY)N/A
PEG (5Y)0.09
Graham Number2.38
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 26.87% | ||
| ROE | 40.34% | ||
| ROCE | 44.65% | ||
| ROIC | 33.61% | ||
| ROICexc | 43.9% | ||
| ROICexgc | 43.9% | ||
| OM | 43.33% | ||
| PM (TTM) | 31.38% | ||
| GM | 60.3% | ||
| FCFM | 39.77% |
ROA(3y)27.91%
ROA(5y)18.35%
ROE(3y)41.42%
ROE(5y)28.93%
ROIC(3y)38.31%
ROIC(5y)29.36%
ROICexc(3y)41.04%
ROICexc(5y)31.02%
ROICexgc(3y)41.04%
ROICexgc(5y)31.02%
ROCE(3y)50.88%
ROCE(5y)39%
ROICexgc growth 3Y12.92%
ROICexgc growth 5Y20.01%
ROICexc growth 3Y12.92%
ROICexc growth 5Y20.01%
OM growth 3Y2.1%
OM growth 5Y4.69%
PM growth 3Y34.16%
PM growth 5Y45.92%
GM growth 3Y-1.38%
GM growth 5Y-1.19%
F-Score5
Asset Turnover0.86
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.03 | ||
| Debt/FCF | 0.08 | ||
| Debt/EBITDA | 0.04 | ||
| Cap/Depr | 148.25% | ||
| Cap/Sales | 16.33% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 103.23% | ||
| Profit Quality | 126.75% | ||
| Current Ratio | 1.62 | ||
| Quick Ratio | 1.62 | ||
| Altman-Z | 5.46 |
F-Score5
WACC7.82%
ROIC/WACC4.3
Cap/Depr(3y)210.69%
Cap/Depr(5y)187.35%
Cap/Sales(3y)20.24%
Cap/Sales(5y)19.51%
Profit Quality(3y)104.52%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-9.09%
EPS 3Y72.84%
EPS 5Y80.04%
EPS Q2Q%-22.22%
EPS Next Y-14.17%
EPS Next 2Y-9.92%
EPS Next 3Y-9.18%
EPS Next 5Y-15.87%
Revenue 1Y (TTM)18.31%
Revenue growth 3Y32.32%
Revenue growth 5Y25.97%
Sales Q2Q%-13.24%
Revenue Next Year-5.82%
Revenue Next 2Y-3.77%
Revenue Next 3Y-4.28%
Revenue Next 5Y-7.01%
EBIT growth 1Y-0.96%
EBIT growth 3Y35.09%
EBIT growth 5Y31.88%
EBIT Next Year34.08%
EBIT Next 3Y-0.98%
EBIT Next 5Y-5.77%
FCF growth 1Y70.97%
FCF growth 3Y57.01%
FCF growth 5YN/A
OCF growth 1Y41.47%
OCF growth 3Y36.33%
OCF growth 5Y34.82%
HEMISPHERE ENERGY CORP / HME.CA FAQ
What is the ChartMill fundamental rating of HEMISPHERE ENERGY CORP (HME.CA) stock?
ChartMill assigns a fundamental rating of 7 / 10 to HME.CA.
What is the valuation status of HEMISPHERE ENERGY CORP (HME.CA) stock?
ChartMill assigns a valuation rating of 8 / 10 to HEMISPHERE ENERGY CORP (HME.CA). This can be considered as Undervalued.
Can you provide the profitability details for HEMISPHERE ENERGY CORP?
HEMISPHERE ENERGY CORP (HME.CA) has a profitability rating of 9 / 10.
What is the earnings growth outlook for HEMISPHERE ENERGY CORP?
The Earnings per Share (EPS) of HEMISPHERE ENERGY CORP (HME.CA) is expected to decline by -14.17% in the next year.
How sustainable is the dividend of HEMISPHERE ENERGY CORP (HME.CA) stock?
The dividend rating of HEMISPHERE ENERGY CORP (HME.CA) is 5 / 10 and the dividend payout ratio is 57.92%.