PEMBINA PIPELINE CORP (PBA) Stock Fundamental Analysis
USA - NYSE:PBA - CA7063271034 - Common Stock
37.83 USD
+0.14 (+0.37%)
37.83 USD
0 (0%)
PBA gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 209 industry peers in the Oil, Gas & Consumable Fuels industry. While PBA belongs to the best of the industry regarding profitability, there are concerns on its financial health. PBA is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year PBA was profitable.
In the past year PBA had a positive cash flow from operations.
PBA had positive earnings in 4 of the past 5 years.
PBA had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
PBA's Return On Assets of 4.87% is fine compared to the rest of the industry. PBA outperforms 62.68% of its industry peers.
Looking at the Return On Equity, with a value of 10.12%, PBA is in the better half of the industry, outperforming 62.68% of the companies in the same industry.
PBA has a better Return On Invested Capital (7.24%) than 64.59% of its industry peers.
The Average Return On Invested Capital over the past 3 years for PBA is significantly below the industry average of 21.72%.
The 3 year average ROIC (6.98%) for PBA is below the current ROIC(7.24%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.87% | ||
| ROE | 10.12% | ||
| ROIC | 7.24% |
ROA(3y)6.29%
ROA(5y)4.17%
ROE(3y)12.77%
ROE(5y)8.56%
ROIC(3y)6.98%
ROIC(5y)6.78%
1.3 Margins
PBA has a better Profit Margin (21.39%) than 75.12% of its industry peers.
PBA's Profit Margin has improved in the last couple of years.
PBA has a better Operating Margin (37.24%) than 84.69% of its industry peers.
PBA's Operating Margin has improved in the last couple of years.
Looking at the Gross Margin, with a value of 43.15%, PBA is in line with its industry, outperforming 51.67% of the companies in the same industry.
In the last couple of years the Gross Margin of PBA has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 37.24% | ||
| PM (TTM) | 21.39% | ||
| GM | 43.15% |
OM growth 3Y9.34%
OM growth 5Y5.89%
PM growth 3Y22.34%
PM growth 5Y4.14%
GM growth 3Y13.54%
GM growth 5Y5.86%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), PBA is destroying value.
PBA has less shares outstanding than it did 1 year ago.
PBA has more shares outstanding than it did 5 years ago.
The debt/assets ratio for PBA is higher compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of 1.41, we must say that PBA is in the distress zone and has some risk of bankruptcy.
With a Altman-Z score value of 1.41, PBA perfoms like the industry average, outperforming 53.11% of the companies in the same industry.
PBA has a debt to FCF ratio of 5.19. This is a neutral value as PBA would need 5.19 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 5.19, PBA is in the better half of the industry, outperforming 62.68% of the companies in the same industry.
PBA has a Debt/Equity ratio of 0.75. This is a neutral value indicating PBA is somewhat dependend on debt financing.
PBA has a Debt to Equity ratio of 0.75. This is in the lower half of the industry: PBA underperforms 63.64% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.75 | ||
| Debt/FCF | 5.19 | ||
| Altman-Z | 1.41 |
ROIC/WACC1
WACC7.25%
2.3 Liquidity
PBA has a Current Ratio of 0.77. This is a bad value and indicates that PBA is not financially healthy enough and could expect problems in meeting its short term obligations.
PBA has a Current ratio of 0.77. This is in the lower half of the industry: PBA underperforms 69.86% of its industry peers.
PBA has a Quick Ratio of 0.77. This is a bad value and indicates that PBA is not financially healthy enough and could expect problems in meeting its short term obligations.
The Quick ratio of PBA (0.62) is worse than 75.12% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.77 | ||
| Quick Ratio | 0.62 |
3. Growth
3.1 Past
The earnings per share for PBA have decreased by -8.90% in the last year.
PBA shows a decrease in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -0.52% yearly.
PBA shows a decrease in Revenue. In the last year, the revenue decreased by -1.10%.
The Revenue has been growing slightly by 0.42% on average over the past years.
EPS 1Y (TTM)-8.9%
EPS 3Y14.66%
EPS 5Y-0.52%
EPS Q2Q%-13.33%
Revenue 1Y (TTM)-1.1%
Revenue growth 3Y-5.05%
Revenue growth 5Y0.42%
Sales Q2Q%-3.4%
3.2 Future
PBA is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 11.57% yearly.
Based on estimates for the next years, PBA will show a small growth in Revenue. The Revenue will grow by 2.45% on average per year.
EPS Next Y-0.71%
EPS Next 2Y1.47%
EPS Next 3Y2.9%
EPS Next 5Y11.57%
Revenue Next Year7.09%
Revenue Next 2Y7.32%
Revenue Next 3Y5.59%
Revenue Next 5Y2.45%
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.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 17.84, the valuation of PBA can be described as rather expensive.
PBA's Price/Earnings ratio is in line with the industry average.
The average S&P500 Price/Earnings ratio is at 26.10. PBA is valued slightly cheaper when compared to this.
A Price/Forward Earnings ratio of 17.18 indicates a rather expensive valuation of PBA.
PBA's Price/Forward Earnings is on the same level as the industry average.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.52, PBA is valued a bit cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 17.84 | ||
| Fwd PE | 17.18 |
4.2 Price Multiples
PBA's Enterprise Value to EBITDA ratio is in line with the industry average.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of PBA indicates a somewhat cheap valuation: PBA is cheaper than 70.33% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 11.95 | ||
| EV/EBITDA | 11.11 |
4.3 Compensation for Growth
PBA has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y1.47%
EPS Next 3Y2.9%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 5.38%, PBA is a good candidate for dividend investing.
PBA's Dividend Yield is a higher than the industry average which is at 6.26.
Compared to an average S&P500 Dividend Yield of 2.37, PBA pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.38% |
5.2 History
The dividend of PBA has a limited annual growth rate of 2.11%.
PBA has paid a dividend for at least 10 years, which is a reliable track record.
PBA has decreased its dividend in the last 3 years.
Dividend Growth(5Y)2.11%
Div Incr Years2
Div Non Decr Years2
5.3 Sustainability
101.62% of the earnings are spent on dividend by PBA. This is not a sustainable payout ratio.
PBA's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP101.62%
EPS Next 2Y1.47%
EPS Next 3Y2.9%
37.83
+0.14 (+0.37%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)
Earnings (Next)
Inst Owners63.71%
Inst Owner Change2.41%
Ins Owners0.06%
Ins Owner ChangeN/A
Market Cap21.98B
Revenue(TTM)8.06B
Net Income(TTM)1.73B
Analysts76.36
Price Target43.68 (15.46%)
Short Float %2.11%
Short Ratio8.35
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.38% |
Yearly Dividend1.98
Dividend Growth(5Y)2.11%
DP101.62%
Div Incr Years2
Div Non Decr Years2
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-0.97%
Min EPS beat(2)-1.36%
Max EPS beat(2)-0.58%
EPS beat(4)1
Avg EPS beat(4)-2.8%
Min EPS beat(4)-17.44%
Max EPS beat(4)8.17%
EPS beat(8)2
Avg EPS beat(8)1.27%
EPS beat(12)4
Avg EPS beat(12)26.5%
EPS beat(16)6
Avg EPS beat(16)17.31%
Revenue beat(2)1
Avg Revenue beat(2)11.68%
Min Revenue beat(2)-11.59%
Max Revenue beat(2)34.95%
Revenue beat(4)2
Avg Revenue beat(4)4.56%
Min Revenue beat(4)-11.59%
Max Revenue beat(4)34.95%
Revenue beat(8)3
Avg Revenue beat(8)-3.41%
Revenue beat(12)5
Avg Revenue beat(12)-1.89%
Revenue beat(16)9
Avg Revenue beat(16)5.47%
PT rev (1m)0.24%
PT rev (3m)-3.66%
EPS NQ rev (1m)-3.89%
EPS NQ rev (3m)-4.73%
EPS NY rev (1m)0%
EPS NY rev (3m)-5%
Revenue NQ rev (1m)-0.35%
Revenue NQ rev (3m)-4.37%
Revenue NY rev (1m)0%
Revenue NY rev (3m)1.66%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 17.84 | ||
| Fwd PE | 17.18 | ||
| P/S | 3.82 | ||
| P/FCF | 11.95 | ||
| P/OCF | 8.92 | ||
| P/B | 1.81 | ||
| P/tB | 2.9 | ||
| EV/EBITDA | 11.11 |
EPS(TTM)2.12
EY5.6%
EPS(NY)2.2
Fwd EY5.82%
FCF(TTM)3.16
FCFY8.37%
OCF(TTM)4.24
OCFY11.2%
SpS9.89
BVpS20.91
TBVpS13.06
PEG (NY)N/A
PEG (5Y)N/A
Graham Number31.58
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.87% | ||
| ROE | 10.12% | ||
| ROCE | 8.93% | ||
| ROIC | 7.24% | ||
| ROICexc | 7.29% | ||
| ROICexgc | 9.01% | ||
| OM | 37.24% | ||
| PM (TTM) | 21.39% | ||
| GM | 43.15% | ||
| FCFM | 31.99% |
ROA(3y)6.29%
ROA(5y)4.17%
ROE(3y)12.77%
ROE(5y)8.56%
ROIC(3y)6.98%
ROIC(5y)6.78%
ROICexc(3y)7.01%
ROICexc(5y)6.8%
ROICexgc(3y)9.56%
ROICexgc(5y)9.04%
ROCE(3y)8.61%
ROCE(5y)8.36%
ROICexgc growth 3Y-1.14%
ROICexgc growth 5Y4.96%
ROICexc growth 3Y-0.45%
ROICexc growth 5Y5.18%
OM growth 3Y9.34%
OM growth 5Y5.89%
PM growth 3Y22.34%
PM growth 5Y4.14%
GM growth 3Y13.54%
GM growth 5Y5.86%
F-Score6
Asset Turnover0.23
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.75 | ||
| Debt/FCF | 5.19 | ||
| Debt/EBITDA | 3.21 | ||
| Cap/Depr | 91.53% | ||
| Cap/Sales | 10.85% | ||
| Interest Coverage | 4.96 | ||
| Cash Conversion | 87.24% | ||
| Profit Quality | 149.51% | ||
| Current Ratio | 0.77 | ||
| Quick Ratio | 0.62 | ||
| Altman-Z | 1.41 |
F-Score6
WACC7.25%
ROIC/WACC1
Cap/Depr(3y)96.92%
Cap/Depr(5y)105.76%
Cap/Sales(3y)9.24%
Cap/Sales(5y)10.39%
Profit Quality(3y)112.05%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-8.9%
EPS 3Y14.66%
EPS 5Y-0.52%
EPS Q2Q%-13.33%
EPS Next Y-0.71%
EPS Next 2Y1.47%
EPS Next 3Y2.9%
EPS Next 5Y11.57%
Revenue 1Y (TTM)-1.1%
Revenue growth 3Y-5.05%
Revenue growth 5Y0.42%
Sales Q2Q%-3.4%
Revenue Next Year7.09%
Revenue Next 2Y7.32%
Revenue Next 3Y5.59%
Revenue Next 5Y2.45%
EBIT growth 1Y13.79%
EBIT growth 3Y3.82%
EBIT growth 5Y6.33%
EBIT Next Year34.71%
EBIT Next 3Y12.48%
EBIT Next 5Y10.06%
FCF growth 1Y7.73%
FCF growth 3Y4.28%
FCF growth 5Y20.56%
OCF growth 1Y17.96%
OCF growth 3Y6.64%
OCF growth 5Y4.89%
PEMBINA PIPELINE CORP / PBA FAQ
What is the fundamental rating for PBA stock?
ChartMill assigns a fundamental rating of 4 / 10 to PBA.
What is the valuation status for PBA stock?
ChartMill assigns a valuation rating of 4 / 10 to PEMBINA PIPELINE CORP (PBA). This can be considered as Fairly Valued.
Can you provide the profitability details for PEMBINA PIPELINE CORP?
PEMBINA PIPELINE CORP (PBA) has a profitability rating of 7 / 10.
What is the earnings growth outlook for PEMBINA PIPELINE CORP?
The Earnings per Share (EPS) of PEMBINA PIPELINE CORP (PBA) is expected to decline by -0.71% in the next year.
How sustainable is the dividend of PEMBINA PIPELINE CORP (PBA) stock?
The dividend rating of PEMBINA PIPELINE CORP (PBA) is 6 / 10 and the dividend payout ratio is 101.62%.