MEREN ENERGY INC (MER.CA) Stock Fundamental Analysis
Canada - TSX:MER - CA5889141019 - Common Stock
1.82 CAD
+0.12 (+7.06%)
Taking everything into account, MER scores 3 out of 10 in our fundamental rating. MER was compared to 212 industry peers in the Oil, Gas & Consumable Fuels industry. Both the profitability and financial health of MER have multiple concerns. MER has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
In the past year MER was profitable.
MER had a positive operating cash flow in the past year.
In multiple years MER reported negative net income over the last 5 years.
In the past 5 years MER always reported negative operating cash flow.
1.2 Ratios
The Return On Assets of MER (-9.58%) is comparable to the rest of the industry.
With a Return On Equity value of -25.41%, MER is not doing good in the industry: 64.15% of the companies in the same industry are doing better.
The Return On Invested Capital of MER (0.73%) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -9.58% | ||
| ROE | -25.41% | ||
| ROIC | 0.73% |
ROA(3y)-14.31%
ROA(5y)-5.12%
ROE(3y)-16.13%
ROE(5y)-6.12%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
MER's Operating Margin of 13.32% is in line compared to the rest of the industry. MER outperforms 58.02% of its industry peers.
The Profit Margin and Gross Margin are not available for MER so they could not be analyzed.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 13.32% | ||
| PM (TTM) | N/A | ||
| GM | N/A |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
The number of shares outstanding for MER has been reduced compared to 1 year ago.
MER has less shares outstanding than it did 5 years ago.
Compared to 1 year ago, MER has a worse debt to assets ratio.
2.2 Solvency
MER has an Altman-Z score of 0.07. This is a bad value and indicates that MER is not financially healthy and even has some risk of bankruptcy.
The Altman-Z score of MER (0.07) is worse than 67.45% of its industry peers.
A Debt/Equity ratio of 0.42 indicates that MER is not too dependend on debt financing.
The Debt to Equity ratio of MER (0.42) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.42 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 0.07 |
ROIC/WACCN/A
WACCN/A
2.3 Liquidity
MER has a Current Ratio of 1.25. This is a normal value and indicates that MER is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Current ratio, with a value of 1.25, MER is in the better half of the industry, outperforming 66.98% of the companies in the same industry.
A Quick Ratio of 1.05 indicates that MER should not have too much problems paying its short term obligations.
The Quick ratio of MER (1.05) is better than 66.98% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.25 | ||
| Quick Ratio | 1.05 |
3. Growth
3.1 Past
MER shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -437.13%.
MER shows a very negative growth in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -44.07% yearly.
EPS 1Y (TTM)-437.13%
EPS 3Y-44.07%
EPS 5YN/A
EPS Q2Q%-83.33%
Revenue 1Y (TTM)N/A
Revenue growth 3YN/A
Revenue growth 5YN/A
Sales Q2Q%N/A
3.2 Future
The Earnings Per Share is expected to grow by 51.99% on average over the next years. This is a very strong growth
The Revenue is expected to grow by 28.35% on average over the next years. This is a very strong growth
EPS Next Y359.19%
EPS Next 2Y111.72%
EPS Next 3Y51.99%
EPS Next 5YN/A
Revenue Next Year126.41%
Revenue Next 2Y55.92%
Revenue Next 3Y28.35%
Revenue Next 5YN/A
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.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 18.20, the valuation of MER can be described as rather expensive.
Compared to the rest of the industry, the Price/Earnings ratio of MER indicates a somewhat cheap valuation: MER is cheaper than 62.26% of the companies listed in the same industry.
The average S&P500 Price/Earnings ratio is at 25.89. MER is valued slightly cheaper when compared to this.
The Price/Forward Earnings ratio is 4.14, which indicates a rather cheap valuation of MER.
Based on the Price/Forward Earnings ratio, MER is valued cheaper than 96.23% of the companies in the same industry.
MER is valuated cheaply when we compare the Price/Forward Earnings ratio to 34.59, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.2 | ||
| Fwd PE | 4.14 |
4.2 Price Multiples
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
MER's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
A more expensive valuation may be justified as MER's earnings are expected to grow with 51.99% in the coming years.
PEG (NY)0.05
PEG (5Y)N/A
EPS Next 2Y111.72%
EPS Next 3Y51.99%
5. Dividend
5.1 Amount
MER has a Yearly Dividend Yield of 3.99%.
MER's Dividend Yield is a higher than the industry average which is at 5.31.
MER's Dividend Yield is rather good when compared to the S&P500 average which is at 2.44.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.99% |
5.2 History
MER 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
MER has negative earnings and hence a negative payout ratio. The dividend may be in danger.
DP-26.72%
EPS Next 2Y111.72%
EPS Next 3Y51.99%
TSX:MER (11/14/2025, 7:00:00 PM)
1.82
+0.12 (+7.06%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)
Earnings (Next)
Inst Owners42.7%
Inst Owner ChangeN/A
Ins Owners0.61%
Ins Owner ChangeN/A
Market Cap1.23B
Revenue(TTM)N/A
Net Income(TTM)-229.00M
Analysts86.67
Price Target3.12 (71.43%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.99% |
Yearly Dividend0.07
Dividend Growth(5Y)N/A
DP-26.72%
Div Incr Years0
Div Non Decr Years2
Ex-Date
Surprises & Revisions
EPS beat(2)N/A
Avg EPS beat(2)N/A
Min EPS beat(2)N/A
Max EPS beat(2)N/A
EPS beat(4)N/A
Avg EPS beat(4)N/A
Min EPS beat(4)N/A
Max EPS beat(4)N/A
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)N/A
Avg Revenue beat(2)N/A
Min Revenue beat(2)N/A
Max Revenue beat(2)N/A
Revenue beat(4)N/A
Avg Revenue beat(4)N/A
Min Revenue beat(4)N/A
Max Revenue beat(4)N/A
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)-4.63%
PT rev (3m)-4.63%
EPS NQ rev (1m)0%
EPS NQ rev (3m)0%
EPS NY rev (1m)10.63%
EPS NY rev (3m)94.95%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.2 | ||
| Fwd PE | 4.14 | ||
| P/S | 6.02 | ||
| P/FCF | N/A | ||
| P/OCF | 42.98 | ||
| P/B | 0.97 | ||
| P/tB | 0.97 | ||
| EV/EBITDA | N/A |
EPS(TTM)0.1
EY5.49%
EPS(NY)0.44
Fwd EY24.17%
FCF(TTM)-0.03
FCFYN/A
OCF(TTM)0.04
OCFY2.33%
SpS0.3
BVpS1.87
TBVpS1.87
PEG (NY)0.05
PEG (5Y)N/A
Graham Number2.05
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -9.58% | ||
| ROE | -25.41% | ||
| ROCE | 1.01% | ||
| ROIC | 0.73% | ||
| ROICexc | 0.85% | ||
| ROICexgc | 0.85% | ||
| OM | 13.32% | ||
| PM (TTM) | N/A | ||
| GM | N/A | ||
| FCFM | N/A |
ROA(3y)-14.31%
ROA(5y)-5.12%
ROE(3y)-16.13%
ROE(5y)-6.12%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3YN/A
GM growth 5YN/A
F-Score5
Asset Turnover0.06
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.42 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | N/A | ||
| Cap/Depr | N/A | ||
| Cap/Sales | 24.71% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | N/A | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.25 | ||
| Quick Ratio | 1.05 | ||
| Altman-Z | 0.07 |
F-Score5
WACCN/A
ROIC/WACCN/A
Cap/Depr(3y)N/A
Cap/Depr(5y)N/A
Cap/Sales(3y)N/A
Cap/Sales(5y)N/A
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-437.13%
EPS 3Y-44.07%
EPS 5YN/A
EPS Q2Q%-83.33%
EPS Next Y359.19%
EPS Next 2Y111.72%
EPS Next 3Y51.99%
EPS Next 5YN/A
Revenue 1Y (TTM)N/A
Revenue growth 3YN/A
Revenue growth 5YN/A
Sales Q2Q%N/A
Revenue Next Year126.41%
Revenue Next 2Y55.92%
Revenue Next 3Y28.35%
Revenue Next 5YN/A
EBIT growth 1Y167.6%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year712.06%
EBIT Next 3Y98.19%
EBIT Next 5YN/A
FCF growth 1Y74.73%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y142.43%
OCF growth 3YN/A
OCF growth 5YN/A
MEREN ENERGY INC / MER.CA FAQ
Can you provide the ChartMill fundamental rating for MEREN ENERGY INC?
ChartMill assigns a fundamental rating of 3 / 10 to MER.CA.
What is the valuation status for MER stock?
ChartMill assigns a valuation rating of 5 / 10 to MEREN ENERGY INC (MER.CA). This can be considered as Fairly Valued.
How profitable is MEREN ENERGY INC (MER.CA) stock?
MEREN ENERGY INC (MER.CA) has a profitability rating of 2 / 10.
Can you provide the PE and PB ratios for MER stock?
The Price/Earnings (PE) ratio for MEREN ENERGY INC (MER.CA) is 18.2 and the Price/Book (PB) ratio is 0.97.
What is the financial health of MEREN ENERGY INC (MER.CA) stock?
The financial health rating of MEREN ENERGY INC (MER.CA) is 3 / 10.