OVINTIV INC (OVV) Stock Fundamental Analysis
USA - NYSE:OVV - US69047Q1022 - Common Stock
37.54 USD
+0.03 (+0.08%)
37.54 USD
0 (0%)
Taking everything into account, OVV scores 5 out of 10 in our fundamental rating. OVV was compared to 210 industry peers in the Oil, Gas & Consumable Fuels industry. Both the profitability and the financial health of OVV get a neutral evaluation. Nothing too spectacular is happening here. OVV has a bad growth rate and is valued cheaply.
1. Profitability
1.1 Basic Checks
In the past year OVV was profitable.
In the past year OVV had a positive cash flow from operations.
Of the past 5 years OVV 4 years were profitable.
Each year in the past 5 years OVV had a positive operating cash flow.
1.2 Ratios
With a Return On Assets value of 3.02%, OVV perfoms like the industry average, outperforming 49.52% of the companies in the same industry.
The Return On Equity of OVV (5.73%) is comparable to the rest of the industry.
OVV's Return On Invested Capital of 10.72% is amongst the best of the industry. OVV outperforms 82.86% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for OVV is below the industry average of 21.75%.
The 3 year average ROIC (16.94%) for OVV is well above the current ROIC(10.72%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.02% | ||
| ROE | 5.73% | ||
| ROIC | 10.72% |
ROA(3y)13.48%
ROA(5y)1.67%
ROE(3y)26.1%
ROE(5y)-10.54%
ROIC(3y)16.94%
ROIC(5y)12.8%
1.3 Margins
OVV has a Profit Margin (6.46%) which is in line with its industry peers.
In the last couple of years the Profit Margin of OVV has grown nicely.
With a decent Operating Margin value of 23.61%, OVV is doing good in the industry, outperforming 60.48% of the companies in the same industry.
In the last couple of years the Operating Margin of OVV has grown nicely.
OVV has a better Gross Margin (69.47%) than 78.10% of its industry peers.
OVV's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 23.61% | ||
| PM (TTM) | 6.46% | ||
| GM | 69.47% |
OM growth 3Y8.52%
OM growth 5Y15.64%
PM growth 3Y-9.08%
PM growth 5Y28.72%
GM growth 3Y7.77%
GM growth 5Y-0.35%
2. Health
2.1 Basic Checks
OVV 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, OVV has less shares outstanding
The number of shares outstanding for OVV remains at a similar level compared to 5 years ago.
The debt/assets ratio for OVV has been reduced compared to a year ago.
2.2 Solvency
OVV has an Altman-Z score of 1.45. This is a bad value and indicates that OVV is not financially healthy and even has some risk of bankruptcy.
OVV has a Altman-Z score of 1.45. This is comparable to the rest of the industry: OVV outperforms 54.29% of its industry peers.
The Debt to FCF ratio of OVV is 3.14, which is a good value as it means it would take OVV, 3.14 years of fcf income to pay off all of its debts.
OVV's Debt to FCF ratio of 3.14 is fine compared to the rest of the industry. OVV outperforms 76.19% of its industry peers.
OVV has a Debt/Equity ratio of 0.42. This is a healthy value indicating a solid balance between debt and equity.
OVV has a Debt to Equity ratio (0.42) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.42 | ||
| Debt/FCF | 3.14 | ||
| Altman-Z | 1.45 |
ROIC/WACC1.21
WACC8.86%
2.3 Liquidity
OVV has a Current Ratio of 0.43. This is a bad value and indicates that OVV is not financially healthy enough and could expect problems in meeting its short term obligations.
OVV has a worse Current ratio (0.43) than 88.57% of its industry peers.
OVV has a Quick Ratio of 0.43. This is a bad value and indicates that OVV is not financially healthy enough and could expect problems in meeting its short term obligations.
Looking at the Quick ratio, with a value of 0.43, OVV is doing worse than 87.14% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.43 | ||
| Quick Ratio | 0.43 |
3. Growth
3.1 Past
The earnings per share for OVV have decreased strongly by -16.44% in the last year.
Measured over the past years, OVV shows a quite strong growth in Earnings Per Share. The EPS has been growing by 12.10% on average per year.
The Revenue for OVV has decreased by -11.94% in the past year. This is quite bad
OVV shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 6.35% yearly.
EPS 1Y (TTM)-16.44%
EPS 3Y5.72%
EPS 5Y12.1%
EPS Q2Q%-17.07%
Revenue 1Y (TTM)-11.94%
Revenue growth 3Y1.87%
Revenue growth 5Y6.35%
Sales Q2Q%1.31%
3.2 Future
OVV is expected to show a decrease in Earnings Per Share. In the coming years, the EPS will decrease by -1.03% yearly.
Based on estimates for the next years, OVV will show a decrease in Revenue. The Revenue will decrease by -0.19% on average per year.
EPS Next Y-21.88%
EPS Next 2Y-2.98%
EPS Next 3Y6.13%
EPS Next 5Y-1.03%
Revenue Next Year-2.93%
Revenue Next 2Y-3.16%
Revenue Next 3Y-0.19%
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
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
Based on the Price/Earnings ratio of 6.66, the valuation of OVV can be described as very cheap.
Based on the Price/Earnings ratio, OVV is valued cheaper than 88.57% of the companies in the same industry.
When comparing the Price/Earnings ratio of OVV to the average of the S&P500 Index (26.51), we can say OVV is valued rather cheaply.
OVV is valuated cheaply with a Price/Forward Earnings ratio of 6.81.
OVV's Price/Forward Earnings ratio is rather cheap when compared to the industry. OVV is cheaper than 90.48% of the companies in the same industry.
OVV is valuated cheaply when we compare the Price/Forward Earnings ratio to 22.53, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.66 | ||
| Fwd PE | 6.81 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, OVV is valued cheaply inside the industry as 85.71% of the companies are valued more expensively.
Based on the Price/Free Cash Flow ratio, OVV is valued cheaper than 90.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 5.66 | ||
| EV/EBITDA | 3.38 |
4.3 Compensation for Growth
The decent profitability rating of OVV may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)0.55
EPS Next 2Y-2.98%
EPS Next 3Y6.13%
5. Dividend
5.1 Amount
OVV has a Yearly Dividend Yield of 3.25%. Purely for dividend investing, there may be better candidates out there.
OVV's Dividend Yield is comparable with the industry average which is at 6.82.
Compared to an average S&P500 Dividend Yield of 2.38, OVV pays a bit more dividend than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.25% |
5.2 History
The dividend of OVV is nicely growing with an annual growth rate of 21.30%!
OVV has been paying a dividend for at least 10 years, so it has a reliable track record.
OVV has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)21.3%
Div Incr Years4
Div Non Decr Years4
5.3 Sustainability
OVV pays out 52.27% of its income as dividend. This is a bit on the high side, but may be sustainable.
OVV's earnings are declining while the Dividend Rate has been growing. This means the dividend growth is most likely not sustainable.
DP52.27%
EPS Next 2Y-2.98%
EPS Next 3Y6.13%
37.54
+0.03 (+0.08%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)
Earnings (Next)
Inst Owners89.12%
Inst Owner Change0.84%
Ins Owners0.5%
Ins Owner Change2.85%
Market Cap9.63B
Revenue(TTM)9.21B
Net Income(TTM)595.00M
Analysts80
Price Target53.94 (43.69%)
Short Float %2.55%
Short Ratio2.21
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.25% |
Yearly Dividend1.19
Dividend Growth(5Y)21.3%
DP52.27%
Div Incr Years4
Div Non Decr Years4
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)19.62%
Min EPS beat(2)5.35%
Max EPS beat(2)33.89%
EPS beat(4)4
Avg EPS beat(4)28.79%
Min EPS beat(4)5.35%
Max EPS beat(4)60.77%
EPS beat(8)6
Avg EPS beat(8)16.25%
EPS beat(12)7
Avg EPS beat(12)5.02%
EPS beat(16)7
Avg EPS beat(16)0.22%
Revenue beat(2)2
Avg Revenue beat(2)13.51%
Min Revenue beat(2)8.09%
Max Revenue beat(2)18.93%
Revenue beat(4)4
Avg Revenue beat(4)9.5%
Min Revenue beat(4)1.3%
Max Revenue beat(4)18.93%
Revenue beat(8)6
Avg Revenue beat(8)5.61%
Revenue beat(12)9
Avg Revenue beat(12)9.95%
Revenue beat(16)11
Avg Revenue beat(16)12.76%
PT rev (1m)-3.63%
PT rev (3m)-0.24%
EPS NQ rev (1m)-10.38%
EPS NQ rev (3m)-14.85%
EPS NY rev (1m)-2.93%
EPS NY rev (3m)-6.23%
Revenue NQ rev (1m)-1.08%
Revenue NQ rev (3m)0.55%
Revenue NY rev (1m)-0.14%
Revenue NY rev (3m)1.68%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.66 | ||
| Fwd PE | 6.81 | ||
| P/S | 1.05 | ||
| P/FCF | 5.66 | ||
| P/OCF | 2.45 | ||
| P/B | 0.93 | ||
| P/tB | 1.23 | ||
| EV/EBITDA | 3.38 |
EPS(TTM)5.64
EY15.02%
EPS(NY)5.52
Fwd EY14.69%
FCF(TTM)6.63
FCFY17.65%
OCF(TTM)15.31
OCFY40.79%
SpS35.89
BVpS40.45
TBVpS30.4
PEG (NY)N/A
PEG (5Y)0.55
Graham Number71.65
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.02% | ||
| ROE | 5.73% | ||
| ROCE | 12.89% | ||
| ROIC | 10.72% | ||
| ROICexc | 10.74% | ||
| ROICexgc | 12.68% | ||
| OM | 23.61% | ||
| PM (TTM) | 6.46% | ||
| GM | 69.47% | ||
| FCFM | 18.46% |
ROA(3y)13.48%
ROA(5y)1.67%
ROE(3y)26.1%
ROE(5y)-10.54%
ROIC(3y)16.94%
ROIC(5y)12.8%
ROICexc(3y)16.95%
ROICexc(5y)12.84%
ROICexgc(3y)20.76%
ROICexgc(5y)15.94%
ROCE(3y)20.37%
ROCE(5y)15.38%
ROICexgc growth 3Y-6.42%
ROICexgc growth 5Y26.74%
ROICexc growth 3Y-3.16%
ROICexc growth 5Y26.28%
OM growth 3Y8.52%
OM growth 5Y15.64%
PM growth 3Y-9.08%
PM growth 5Y28.72%
GM growth 3Y7.77%
GM growth 5Y-0.35%
F-Score6
Asset Turnover0.47
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.42 | ||
| Debt/FCF | 3.14 | ||
| Debt/EBITDA | 1 | ||
| Cap/Depr | 99.24% | ||
| Cap/Sales | 24.2% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 88.89% | ||
| Profit Quality | 285.71% | ||
| Current Ratio | 0.43 | ||
| Quick Ratio | 0.43 | ||
| Altman-Z | 1.45 |
F-Score6
WACC8.86%
ROIC/WACC1.21
Cap/Depr(3y)138.48%
Cap/Depr(5y)127.55%
Cap/Sales(3y)21.69%
Cap/Sales(5y)22.23%
Profit Quality(3y)83.42%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-16.44%
EPS 3Y5.72%
EPS 5Y12.1%
EPS Q2Q%-17.07%
EPS Next Y-21.88%
EPS Next 2Y-2.98%
EPS Next 3Y6.13%
EPS Next 5Y-1.03%
Revenue 1Y (TTM)-11.94%
Revenue growth 3Y1.87%
Revenue growth 5Y6.35%
Sales Q2Q%1.31%
Revenue Next Year-2.93%
Revenue Next 2Y-3.16%
Revenue Next 3Y-0.19%
Revenue Next 5YN/A
EBIT growth 1Y-19.66%
EBIT growth 3Y10.55%
EBIT growth 5Y22.99%
EBIT Next Year99.63%
EBIT Next 3Y29.68%
EBIT Next 5Y12.76%
FCF growth 1Y5.13%
FCF growth 3Y-4.14%
FCF growth 5Y36.89%
OCF growth 1Y5.14%
OCF growth 3Y5.95%
OCF growth 5Y4.96%
OVINTIV INC / OVV FAQ
What is the ChartMill fundamental rating of OVINTIV INC (OVV) stock?
ChartMill assigns a fundamental rating of 5 / 10 to OVV.
What is the valuation status of OVINTIV INC (OVV) stock?
ChartMill assigns a valuation rating of 8 / 10 to OVINTIV INC (OVV). This can be considered as Undervalued.
What is the profitability of OVV stock?
OVINTIV INC (OVV) has a profitability rating of 6 / 10.
What is the earnings growth outlook for OVINTIV INC?
The Earnings per Share (EPS) of OVINTIV INC (OVV) is expected to decline by -21.88% in the next year.
Can you provide the dividend sustainability for OVV stock?
The dividend rating of OVINTIV INC (OVV) is 5 / 10 and the dividend payout ratio is 52.27%.