PEMBINA PIPELINE CORP (PBA) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:PBA - CA7063271034 - Common Stock
39.56 USD
+0.31 (+0.79%)
39.56 USD
0 (0%)
Taking everything into account, PBA scores 4 out of 10 in our fundamental rating. PBA was compared to 209 industry peers in the Oil, Gas & Consumable Fuels industry. PBA has an excellent profitability rating, but 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.
PBA had a positive operating cash flow in the past year.
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 4.60% is fine compared to the rest of the industry. PBA outperforms 64.59% of its industry peers.
The Return On Equity of PBA (9.59%) is better than 64.11% of its industry peers.
Looking at the Return On Invested Capital, with a value of 7.22%, PBA is in the better half of the industry, outperforming 64.11% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for PBA is significantly below the industry average of 21.47%.
The last Return On Invested Capital (7.22%) for PBA is above the 3 year average (6.98%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.6% | ||
| ROE | 9.59% | ||
| ROIC | 7.22% |
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's Profit Margin of 20.35% is fine compared to the rest of the industry. PBA outperforms 74.64% of its industry peers.
In the last couple of years the Profit Margin of PBA has grown nicely.
With an excellent Operating Margin value of 36.59%, PBA belongs to the best of the industry, outperforming 84.69% of the companies in the same industry.
In the last couple of years the Operating Margin of PBA has grown nicely.
PBA has a Gross Margin (42.32%) which is comparable to the rest of the industry.
PBA's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 36.59% | ||
| PM (TTM) | 20.35% | ||
| GM | 42.32% |
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
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so PBA is destroying value.
Compared to 1 year ago, PBA has less shares outstanding
The number of shares outstanding for PBA has been increased compared to 5 years ago.
Compared to 1 year ago, PBA has a worse debt to assets ratio.
2.2 Solvency
Based on the Altman-Z score of 1.40, we must say that PBA is in the distress zone and has some risk of bankruptcy.
PBA has a Altman-Z score of 1.40. This is comparable to the rest of the industry: PBA outperforms 52.15% of its industry peers.
PBA has a debt to FCF ratio of 5.21. This is a neutral value as PBA would need 5.21 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 5.21, PBA is in the better half of the industry, outperforming 64.59% of the companies in the same industry.
A Debt/Equity ratio of 0.71 indicates that PBA is somewhat dependend on debt financing.
With a Debt to Equity ratio value of 0.71, PBA is not doing good in the industry: 63.16% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.71 | ||
| Debt/FCF | 5.21 | ||
| Altman-Z | 1.4 |
ROIC/WACC0.98
WACC7.33%
2.3 Liquidity
A Current Ratio of 0.53 indicates that PBA may have some problems paying its short term obligations.
PBA's Current ratio of 0.53 is on the low side compared to the rest of the industry. PBA is outperformed by 85.17% of its industry peers.
PBA has a Quick Ratio of 0.53. 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 Quick ratio of 0.41. This is amonst the worse of the industry: PBA underperforms 88.52% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.53 | ||
| Quick Ratio | 0.41 |
3. Growth
3.1 Past
PBA shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -14.89%.
PBA shows a decrease in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -0.52% yearly.
Looking at the last year, PBA shows a small growth in Revenue. The Revenue has grown by 3.96% in the last year.
Measured over the past years, PBA shows a small growth in Revenue. The Revenue has been growing by 0.42% on average per year.
EPS 1Y (TTM)-14.89%
EPS 3Y14.66%
EPS 5Y-0.52%
EPS Q2Q%-28.33%
Revenue 1Y (TTM)3.96%
Revenue growth 3Y-5.05%
Revenue growth 5Y0.42%
Sales Q2Q%-2.87%
3.2 Future
Based on estimates for the next years, PBA will show a small growth in Earnings Per Share. The EPS will grow by 5.40% on average per year.
Based on estimates for the next years, PBA will show a small growth in Revenue. The Revenue will grow by 1.73% on average per year.
EPS Next Y-1.51%
EPS Next 2Y1.6%
EPS Next 3Y2.54%
EPS Next 5Y5.4%
Revenue Next Year7.08%
Revenue Next 2Y7.39%
Revenue Next 3Y5.66%
Revenue Next 5Y1.73%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
When comparing the Revenue 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 19.78, the valuation of PBA can be described as rather expensive.
PBA's Price/Earnings ratio is in line with the industry average.
When comparing the Price/Earnings ratio of PBA to the average of the S&P500 Index (26.46), we can say PBA is valued slightly cheaper.
PBA is valuated rather expensively with a Price/Forward Earnings ratio of 17.85.
PBA's Price/Forward Earnings is on the same level as the industry average.
The average S&P500 Price/Forward Earnings ratio is at 36.10. PBA is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.78 | ||
| Fwd PE | 17.85 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of PBA indicates a slightly more expensive valuation: PBA is more expensive than 60.77% of the companies listed in the same industry.
Based on the Price/Free Cash Flow ratio, PBA is valued a bit cheaper than 69.86% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 12.59 | ||
| EV/EBITDA | 11.55 |
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 2Y1.6%
EPS Next 3Y2.54%
5. Dividend
5.1 Amount
PBA has a Yearly Dividend Yield of 5.29%, which is a nice return.
PBA's Dividend Yield is a higher than the industry average which is at 5.91.
PBA's Dividend Yield is rather good when compared to the S&P500 average which is at 2.32.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.29% |
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
PBA pays out 108.16% of its income as dividend. This is not a sustainable payout ratio.
PBA's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP108.16%
EPS Next 2Y1.6%
EPS Next 3Y2.54%
39.56
+0.31 (+0.79%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)
Earnings (Next)
Inst Owners63.71%
Inst Owner Change-2.43%
Ins Owners0.06%
Ins Owner ChangeN/A
Market Cap22.99B
Revenue(TTM)8.01B
Net Income(TTM)1.63B
Analysts76.36
Price Target43.52 (10.01%)
Short Float %1.38%
Short Ratio5.35
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.29% |
Yearly Dividend1.98
Dividend Growth(5Y)2.11%
DP108.16%
Div Incr Years2
Div Non Decr Years2
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-17.23%
Min EPS beat(2)-33.88%
Max EPS beat(2)-0.58%
EPS beat(4)1
Avg EPS beat(4)-6.91%
Min EPS beat(4)-33.88%
Max EPS beat(4)8.17%
EPS beat(8)2
Avg EPS beat(8)-1%
EPS beat(12)3
Avg EPS beat(12)-7.14%
EPS beat(16)5
Avg EPS beat(16)12.19%
Revenue beat(2)0
Avg Revenue beat(2)-10.34%
Min Revenue beat(2)-11.59%
Max Revenue beat(2)-9.09%
Revenue beat(4)2
Avg Revenue beat(4)4.44%
Min Revenue beat(4)-11.59%
Max Revenue beat(4)34.95%
Revenue beat(8)2
Avg Revenue beat(8)-5.06%
Revenue beat(12)4
Avg Revenue beat(12)-3.38%
Revenue beat(16)8
Avg Revenue beat(16)3.35%
PT rev (1m)0.84%
PT rev (3m)-0.1%
EPS NQ rev (1m)-0.52%
EPS NQ rev (3m)0.42%
EPS NY rev (1m)-0.81%
EPS NY rev (3m)-0.99%
Revenue NQ rev (1m)-2.77%
Revenue NQ rev (3m)-3.42%
Revenue NY rev (1m)-0.01%
Revenue NY rev (3m)2.46%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.78 | ||
| Fwd PE | 17.85 | ||
| P/S | 4.01 | ||
| P/FCF | 12.59 | ||
| P/OCF | 9.61 | ||
| P/B | 1.89 | ||
| P/tB | 3.03 | ||
| EV/EBITDA | 11.55 |
EPS(TTM)2
EY5.06%
EPS(NY)2.22
Fwd EY5.6%
FCF(TTM)3.14
FCFY7.94%
OCF(TTM)4.12
OCFY10.41%
SpS9.87
BVpS20.94
TBVpS13.06
PEG (NY)N/A
PEG (5Y)N/A
Graham Number30.7
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.6% | ||
| ROE | 9.59% | ||
| ROCE | 8.9% | ||
| ROIC | 7.22% | ||
| ROICexc | 7.25% | ||
| ROICexgc | 9.01% | ||
| OM | 36.59% | ||
| PM (TTM) | 20.35% | ||
| GM | 42.32% | ||
| FCFM | 31.85% |
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-Score7
Asset Turnover0.23
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.71 | ||
| Debt/FCF | 5.21 | ||
| Debt/EBITDA | 3.11 | ||
| Cap/Depr | 81.88% | ||
| Cap/Sales | 9.88% | ||
| Interest Coverage | 4.82 | ||
| Cash Conversion | 85.76% | ||
| Profit Quality | 156.5% | ||
| Current Ratio | 0.53 | ||
| Quick Ratio | 0.41 | ||
| Altman-Z | 1.4 |
F-Score7
WACC7.33%
ROIC/WACC0.98
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)-14.89%
EPS 3Y14.66%
EPS 5Y-0.52%
EPS Q2Q%-28.33%
EPS Next Y-1.51%
EPS Next 2Y1.6%
EPS Next 3Y2.54%
EPS Next 5Y5.4%
Revenue 1Y (TTM)3.96%
Revenue growth 3Y-5.05%
Revenue growth 5Y0.42%
Sales Q2Q%-2.87%
Revenue Next Year7.08%
Revenue Next 2Y7.39%
Revenue Next 3Y5.66%
Revenue Next 5Y1.73%
EBIT growth 1Y8.96%
EBIT growth 3Y3.82%
EBIT growth 5Y6.33%
EBIT Next Year34.71%
EBIT Next 3Y12.48%
EBIT Next 5Y9.84%
FCF growth 1Y22.29%
FCF growth 3Y4.28%
FCF growth 5Y20.56%
OCF growth 1Y25.73%
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 -1.51% 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 108.16%.