PEYTO EXPLORATION & DEV CORP (PEY.CA) Stock Fundamental Analysis
TSX:PEY - Toronto Stock Exchange - CA7170461064 - Common Stock - Currency: CAD
Overall PEY gets a fundamental rating of 6 out of 10. We evaluated PEY against 208 industry peers in the Oil, Gas & Consumable Fuels industry. While PEY belongs to the best of the industry regarding profitability, there are concerns on its financial health. PEY is valued quite cheap, while showing a decent growth score. This is a good combination!
1. Profitability
1.1 Basic Checks
PEY had positive earnings in the past year.
PEY had a positive operating cash flow in the past year.
PEY had positive earnings in 4 of the past 5 years.
In the past 5 years PEY always reported a positive cash flow from operatings.
1.2 Ratios
The Return On Assets of PEY (5.50%) is better than 83.65% of its industry peers.
With an excellent Return On Equity value of 11.37%, PEY belongs to the best of the industry, outperforming 80.77% of the companies in the same industry.
With a Return On Invested Capital value of 3.18%, PEY perfoms like the industry average, outperforming 52.88% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for PEY is above the industry average of 7.11%.
The 3 year average ROIC (9.20%) for PEY is well above the current ROIC(3.18%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.5% | ||
| ROE | 11.37% | ||
| ROIC | 3.18% |
ROA(3y)6.71%
ROA(5y)4.64%
ROE(3y)13.38%
ROE(5y)9.33%
ROIC(3y)9.2%
ROIC(5y)7.53%
1.3 Margins
PEY has a better Profit Margin (32.69%) than 87.98% of its industry peers.
In the last couple of years the Profit Margin of PEY has grown nicely.
With a decent Operating Margin value of 23.07%, PEY is doing good in the industry, outperforming 74.52% of the companies in the same industry.
In the last couple of years the Operating Margin of PEY has declined.
With an excellent Gross Margin value of 80.56%, PEY belongs to the best of the industry, outperforming 94.23% of the companies in the same industry.
PEY's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 23.07% | ||
| PM (TTM) | 32.69% | ||
| GM | 80.56% |
OM growth 3Y-30.43%
OM growth 5Y-3.2%
PM growth 3Y21.8%
PM growth 5Y2.26%
GM growth 3Y-5.54%
GM growth 5Y-1.94%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), PEY is creating some value.
The number of shares outstanding for PEY has been increased compared to 1 year ago.
The number of shares outstanding for PEY has been increased compared to 5 years ago.
Compared to 1 year ago, PEY has an improved debt to assets ratio.
2.2 Solvency
Based on the Altman-Z score of 1.23, we must say that PEY is in the distress zone and has some risk of bankruptcy.
PEY has a better Altman-Z score (1.23) than 62.50% of its industry peers.
The Debt to FCF ratio of PEY is 5.27, which is a neutral value as it means it would take PEY, 5.27 years of fcf income to pay off all of its debts.
PEY has a Debt to FCF ratio of 5.27. This is in the better half of the industry: PEY outperforms 73.56% of its industry peers.
A Debt/Equity ratio of 0.45 indicates that PEY is not too dependend on debt financing.
With a Debt to Equity ratio value of 0.45, PEY perfoms like the industry average, outperforming 50.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.45 | ||
| Debt/FCF | 5.27 | ||
| Altman-Z | 1.23 |
ROIC/WACC0.4
WACC7.9%
2.3 Liquidity
A Current Ratio of 0.75 indicates that PEY may have some problems paying its short term obligations.
Looking at the Current ratio, with a value of 0.75, PEY is in line with its industry, outperforming 43.27% of the companies in the same industry.
A Quick Ratio of 0.75 indicates that PEY may have some problems paying its short term obligations.
The Quick ratio of PEY (0.75) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.75 | ||
| Quick Ratio | 0.75 |
3. Growth
3.1 Past
The earnings per share for PEY have decreased by -9.20% in the last year.
The Earnings Per Share has been growing by 37.40% on average over the past years. This is a very strong growth
The Revenue has been growing slightly by 2.92% in the past year.
The Revenue has been growing by 13.45% on average over the past years. This is quite good.
EPS 1Y (TTM)-9.2%
EPS 3Y17.29%
EPS 5Y37.4%
EPS Q2Q%11.76%
Revenue 1Y (TTM)2.92%
Revenue growth 3Y0.66%
Revenue growth 5Y13.45%
Sales Q2Q%0.63%
3.2 Future
The Earnings Per Share is expected to grow by 13.83% on average over the next years. This is quite good.
The Revenue is expected to grow by 9.50% on average over the next years. This is quite good.
EPS Next Y69.52%
EPS Next 2Y37.03%
EPS Next 3Y28.88%
EPS Next 5Y13.83%
Revenue Next Year26.79%
Revenue Next 2Y18.09%
Revenue Next 3Y14%
Revenue Next 5Y9.5%
3.3 Evolution
Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of the past 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
PEY is valuated correctly with a Price/Earnings ratio of 12.61.
PEY's Price/Earnings ratio is a bit cheaper when compared to the industry. PEY is cheaper than 64.42% of the companies in the same industry.
PEY is valuated cheaply when we compare the Price/Earnings ratio to 26.86, which is the current average of the S&P500 Index.
Based on the Price/Forward Earnings ratio of 7.00, the valuation of PEY can be described as very cheap.
Compared to the rest of the industry, the Price/Forward Earnings ratio of PEY indicates a somewhat cheap valuation: PEY is cheaper than 75.96% of the companies listed in the same industry.
PEY's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 34.94.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.61 | ||
| Fwd PE | 7 |
4.2 Price Multiples
67.31% of the companies in the same industry are more expensive than PEY, based on the Enterprise Value to EBITDA ratio.
PEY's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. PEY is cheaper than 64.42% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 14.76 | ||
| EV/EBITDA | 8.55 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
The decent profitability rating of PEY may justify a higher PE ratio.
A more expensive valuation may be justified as PEY's earnings are expected to grow with 28.88% in the coming years.
PEG (NY)0.18
PEG (5Y)0.34
EPS Next 2Y37.03%
EPS Next 3Y28.88%
5. Dividend
5.1 Amount
PEY has a Yearly Dividend Yield of 6.84%, which is a nice return.
Compared to an average industry Dividend Yield of 6.34, PEY pays a better dividend. On top of this PEY pays more dividend than 93.75% of the companies listed in the same industry.
PEY's Dividend Yield is rather good when compared to the S&P500 average which is at 2.36.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.84% |
5.2 History
The dividend of PEY is nicely growing with an annual growth rate of 36.29%!
PEY has been paying a dividend for at least 10 years, so it has a reliable track record.
PEY has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)36.29%
Div Incr Years4
Div Non Decr Years4
5.3 Sustainability
87.99% of the earnings are spent on dividend by PEY. This is not a sustainable payout ratio.
PEY's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP87.99%
EPS Next 2Y37.03%
EPS Next 3Y28.88%
TSX:PEY (8/20/2025, 7:00:00 PM)
18.67
+0.03 (+0.16%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)
Earnings (Next)
Inst Owners21.89%
Inst Owner ChangeN/A
Ins Owners2.71%
Ins Owner ChangeN/A
Market Cap3.74B
Analysts73.33
Price Target21.86 (17.09%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.84% |
Yearly Dividend1.32
Dividend Growth(5Y)36.29%
DP87.99%
Div Incr Years4
Div Non Decr Years4
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-14.99%
Min EPS beat(2)-19.55%
Max EPS beat(2)-10.42%
EPS beat(4)0
Avg EPS beat(4)-8.46%
Min EPS beat(4)-19.55%
Max EPS beat(4)-0.99%
EPS beat(8)3
Avg EPS beat(8)1.87%
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)0
Avg Revenue beat(2)-11.54%
Min Revenue beat(2)-11.75%
Max Revenue beat(2)-11.33%
Revenue beat(4)1
Avg Revenue beat(4)-5.54%
Min Revenue beat(4)-11.75%
Max Revenue beat(4)1.6%
Revenue beat(8)3
Avg Revenue beat(8)-4.73%
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)1.29%
PT rev (3m)12.53%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-5.26%
EPS NY rev (1m)0%
EPS NY rev (3m)0%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-4.65%
Revenue NY rev (1m)-4.89%
Revenue NY rev (3m)-4.89%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.61 | ||
| Fwd PE | 7 | ||
| P/S | 4.15 | ||
| P/FCF | 14.76 | ||
| P/OCF | 5.39 | ||
| P/B | 1.44 | ||
| P/tB | 1.44 | ||
| EV/EBITDA | 8.55 |
EPS(TTM)1.48
EY7.93%
EPS(NY)2.67
Fwd EY14.28%
FCF(TTM)1.26
FCFY6.77%
OCF(TTM)3.46
OCFY18.55%
SpS4.5
BVpS12.93
TBVpS12.93
PEG (NY)0.18
PEG (5Y)0.34
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.5% | ||
| ROE | 11.37% | ||
| ROCE | 4.16% | ||
| ROIC | 3.18% | ||
| ROICexc | 3.22% | ||
| ROICexgc | 3.22% | ||
| OM | 23.07% | ||
| PM (TTM) | 32.69% | ||
| GM | 80.56% | ||
| FCFM | 28.12% |
ROA(3y)6.71%
ROA(5y)4.64%
ROE(3y)13.38%
ROE(5y)9.33%
ROIC(3y)9.2%
ROIC(5y)7.53%
ROICexc(3y)9.24%
ROICexc(5y)7.55%
ROICexgc(3y)9.24%
ROICexgc(5y)7.55%
ROCE(3y)12.04%
ROCE(5y)9.85%
ROICexcg growth 3Y-38.49%
ROICexcg growth 5Y1.24%
ROICexc growth 3Y-38.49%
ROICexc growth 5Y1.24%
OM growth 3Y-30.43%
OM growth 5Y-3.2%
PM growth 3Y21.8%
PM growth 5Y2.26%
GM growth 3Y-5.54%
GM growth 5Y-1.94%
F-Score6
Asset Turnover0.17
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.45 | ||
| Debt/FCF | 5.27 | ||
| Debt/EBITDA | 2 | ||
| Cap/Depr | 116.08% | ||
| Cap/Sales | 48.9% | ||
| Interest Coverage | 3.05 | ||
| Cash Conversion | 118.14% | ||
| Profit Quality | 86.03% | ||
| Current Ratio | 0.75 | ||
| Quick Ratio | 0.75 | ||
| Altman-Z | 1.23 |
F-Score6
WACC7.9%
ROIC/WACC0.4
Cap/Depr(3y)139.5%
Cap/Depr(5y)130.8%
Cap/Sales(3y)43.72%
Cap/Sales(5y)47.38%
Profit Quality(3y)78.25%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-9.2%
EPS 3Y17.29%
EPS 5Y37.4%
EPS Q2Q%11.76%
EPS Next Y69.52%
EPS Next 2Y37.03%
EPS Next 3Y28.88%
EPS Next 5Y13.83%
Revenue 1Y (TTM)2.92%
Revenue growth 3Y0.66%
Revenue growth 5Y13.45%
Sales Q2Q%0.63%
Revenue Next Year26.79%
Revenue Next 2Y18.09%
Revenue Next 3Y14%
Revenue Next 5Y9.5%
EBIT growth 1Y-20.56%
EBIT growth 3Y-29.97%
EBIT growth 5Y9.82%
EBIT Next Year183.27%
EBIT Next 3Y39.44%
EBIT Next 5Y25.55%
FCF growth 1Y-21.78%
FCF growth 3Y32.41%
FCF growth 5Y14.29%
OCF growth 1Y-14.2%
OCF growth 3Y13.66%
OCF growth 5Y16.23%