STRATHCONA RESOURCES LTD (SCR.CA) Stock Fundamental Analysis
TSX:SCR - Toronto Stock Exchange - CA8629521086 - Common Stock - Currency: CAD
Taking everything into account, SCR scores 6 out of 10 in our fundamental rating. SCR was compared to 214 industry peers in the Oil, Gas & Consumable Fuels industry. SCR has an excellent profitability rating, but there are some minor concerns on its financial health. SCR is valued quite cheap, while showing a decent growth score. This is a good combination! With these ratings, SCR could be worth investigating further for value investing!.
1. Profitability
1.1 Basic Checks
SCR had positive earnings in the past year.
SCR had a positive operating cash flow in the past year.
Of the past 5 years SCR 4 years were profitable.
In the past 5 years SCR always reported a positive cash flow from operatings.
1.2 Ratios
SCR has a better Return On Assets (6.14%) than 85.51% of its industry peers.
With an excellent Return On Equity value of 11.86%, SCR belongs to the best of the industry, outperforming 81.78% of the companies in the same industry.
Looking at the Return On Invested Capital, with a value of 8.80%, SCR belongs to the top of the industry, outperforming 88.32% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for SCR is significantly above the industry average of 7.31%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.14% | ||
| ROE | 11.86% | ||
| ROIC | 8.8% |
ROA(3y)10.38%
ROA(5y)7.26%
ROE(3y)17.86%
ROE(5y)12.95%
ROIC(3y)12.71%
ROIC(5y)N/A
1.3 Margins
The Profit Margin of SCR (14.45%) is better than 76.64% of its industry peers.
In the last couple of years the Profit Margin of SCR has declined.
SCR's Operating Margin of 26.62% is fine compared to the rest of the industry. SCR outperforms 78.50% of its industry peers.
SCR's Operating Margin has declined in the last couple of years.
Looking at the Gross Margin, with a value of 47.01%, SCR is in the better half of the industry, outperforming 71.50% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 26.62% | ||
| PM (TTM) | 14.45% | ||
| GM | 47.01% |
OM growth 3Y-10.43%
OM growth 5YN/A
PM growth 3Y-15.7%
PM growth 5YN/A
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so SCR is still creating some value.
Compared to 1 year ago, SCR has about the same amount of shares outstanding.
The number of shares outstanding for SCR has been increased compared to 5 years ago.
SCR has a better debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 1.82 indicates that SCR is not a great score, but indicates only limited risk for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 1.82, SCR is in the better half of the industry, outperforming 67.29% of the companies in the same industry.
The Debt to FCF ratio of SCR is 4.58, which is a neutral value as it means it would take SCR, 4.58 years of fcf income to pay off all of its debts.
With a decent Debt to FCF ratio value of 4.58, SCR is doing good in the industry, outperforming 77.10% of the companies in the same industry.
SCR has a Debt/Equity ratio of 0.53. This is a neutral value indicating SCR is somewhat dependend on debt financing.
SCR's Debt to Equity ratio of 0.53 is in line compared to the rest of the industry. SCR outperforms 46.73% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.53 | ||
| Debt/FCF | 4.58 | ||
| Altman-Z | 1.82 |
ROIC/WACC1.1
WACC7.99%
2.3 Liquidity
SCR has a Current Ratio of 1.01. This is a normal value and indicates that SCR is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Current ratio, with a value of 1.01, SCR is in the better half of the industry, outperforming 63.55% of the companies in the same industry.
SCR has a Quick Ratio of 1.01. This is a bad value and indicates that SCR is not financially healthy enough and could expect problems in meeting its short term obligations.
SCR has a Quick ratio of 0.96. This is in the better half of the industry: SCR outperforms 66.36% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.01 | ||
| Quick Ratio | 0.96 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 42.59% over the past year.
Measured over the past years, SCR shows a decrease in Earnings Per Share. The EPS has been decreasing by -7.40% on average per year.
Looking at the last year, SCR shows a decrease in Revenue. The Revenue has decreased by -8.21% in the last year.
The Revenue has been growing by 141.42% on average over the past years. This is a very strong growth!
EPS 1Y (TTM)42.59%
EPS 3Y-7.4%
EPS 5YN/A
EPS Q2Q%80.85%
Revenue 1Y (TTM)-8.21%
Revenue growth 3Y145.74%
Revenue growth 5Y141.42%
Sales Q2Q%13.07%
3.2 Future
SCR is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 26.31% yearly.
The Revenue is expected to decrease by -1.05% on average over the next years.
EPS Next Y37.68%
EPS Next 2Y-0.08%
EPS Next 3Y11.17%
EPS Next 5Y26.31%
Revenue Next Year-16.9%
Revenue Next 2Y-10.12%
Revenue Next 3Y-1.05%
Revenue Next 5YN/A
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 decreasing.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 10.27, which indicates a very decent valuation of SCR.
Based on the Price/Earnings ratio, SCR is valued a bit cheaper than 70.56% of the companies in the same industry.
SCR is valuated cheaply when we compare the Price/Earnings ratio to 27.50, which is the current average of the S&P500 Index.
A Price/Forward Earnings ratio of 11.67 indicates a reasonable valuation of SCR.
SCR's Price/Forward Earnings is on the same level as the industry average.
SCR is valuated cheaply when we compare the Price/Forward Earnings ratio to 36.44, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.27 | ||
| Fwd PE | 11.67 |
4.2 Price Multiples
86.45% of the companies in the same industry are more expensive than SCR, based on the Enterprise Value to EBITDA ratio.
Based on the Price/Free Cash Flow ratio, SCR is valued a bit cheaper than the industry average as 77.57% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 10.06 | ||
| EV/EBITDA | 4.2 |
4.3 Compensation for Growth
SCR's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
The decent profitability rating of SCR may justify a higher PE ratio.
PEG (NY)0.27
PEG (5Y)N/A
EPS Next 2Y-0.08%
EPS Next 3Y11.17%
5. Dividend
5.1 Amount
SCR has a Yearly Dividend Yield of 3.48%. Purely for dividend investing, there may be better candidates out there.
SCR's Dividend Yield is a higher than the industry average which is at 6.24.
Compared to an average S&P500 Dividend Yield of 2.35, SCR pays a bit more dividend than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.48% |
5.2 History
SCR has been paying a dividend for at least 10 years, so it has a reliable track record.
The dividend of SCR decreased in the last 3 years.
Dividend Growth(5Y)N/A
Div Incr Years2
Div Non Decr Years2
5.3 Sustainability
22.98% of the earnings are spent on dividend by SCR. This is a low number and sustainable payout ratio.
DP22.98%
EPS Next 2Y-0.08%
EPS Next 3Y11.17%
TSX:SCR (7/18/2025, 7:00:00 PM)
32.85
+0.7 (+2.18%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)
Earnings (Next)
Inst Owners0.37%
Inst Owner ChangeN/A
Ins Owners2.1%
Ins Owner ChangeN/A
Market Cap7.04B
Analysts70.91
Price Target32.44 (-1.25%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.48% |
Yearly Dividend0.5
Dividend Growth(5Y)N/A
DP22.98%
Div Incr Years2
Div Non Decr Years2
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-39.66%
Min EPS beat(2)-50.81%
Max EPS beat(2)-28.5%
EPS beat(4)0
Avg EPS beat(4)-33.98%
Min EPS beat(4)-50.81%
Max EPS beat(4)-23.5%
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)2
Avg Revenue beat(2)31.36%
Min Revenue beat(2)25.46%
Max Revenue beat(2)37.26%
Revenue beat(4)4
Avg Revenue beat(4)25.62%
Min Revenue beat(4)9.02%
Max Revenue beat(4)37.26%
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)-0.1%
PT rev (3m)-7.49%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-1.82%
EPS NY rev (1m)0%
EPS NY rev (3m)0%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-4.22%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-16.98%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.27 | ||
| Fwd PE | 11.67 | ||
| P/S | 1.44 | ||
| P/FCF | 10.06 | ||
| P/OCF | 3.35 | ||
| P/B | 1.18 | ||
| P/tB | 1.18 | ||
| EV/EBITDA | 4.2 |
EPS(TTM)3.2
EY9.74%
EPS(NY)2.82
Fwd EY8.57%
FCF(TTM)3.27
FCFY9.94%
OCF(TTM)9.81
OCFY29.85%
SpS22.89
BVpS27.88
TBVpS27.88
PEG (NY)0.27
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.14% | ||
| ROE | 11.86% | ||
| ROCE | 12.48% | ||
| ROIC | 8.8% | ||
| ROICexc | 9.22% | ||
| ROICexgc | 9.22% | ||
| OM | 26.62% | ||
| PM (TTM) | 14.45% | ||
| GM | 47.01% | ||
| FCFM | 14.27% |
ROA(3y)10.38%
ROA(5y)7.26%
ROE(3y)17.86%
ROE(5y)12.95%
ROIC(3y)12.71%
ROIC(5y)N/A
ROICexc(3y)12.71%
ROICexc(5y)N/A
ROICexgc(3y)12.71%
ROICexgc(5y)N/A
ROCE(3y)18.04%
ROCE(5y)N/A
ROICexcg growth 3Y-5%
ROICexcg growth 5YN/A
ROICexc growth 3Y-5%
ROICexc growth 5YN/A
OM growth 3Y-10.43%
OM growth 5YN/A
PM growth 3Y-15.7%
PM growth 5YN/A
GM growth 3YN/A
GM growth 5YN/A
F-Score6
Asset Turnover0.42
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.53 | ||
| Debt/FCF | 4.58 | ||
| Debt/EBITDA | 1.45 | ||
| Cap/Depr | 161.53% | ||
| Cap/Sales | 28.57% | ||
| Interest Coverage | 7.95 | ||
| Cash Conversion | 96.69% | ||
| Profit Quality | 98.79% | ||
| Current Ratio | 1.01 | ||
| Quick Ratio | 0.96 | ||
| Altman-Z | 1.82 |
F-Score6
WACC7.99%
ROIC/WACC1.1
Cap/Depr(3y)185.15%
Cap/Depr(5y)208.49%
Cap/Sales(3y)30.89%
Cap/Sales(5y)45.3%
Profit Quality(3y)84.64%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)42.59%
EPS 3Y-7.4%
EPS 5YN/A
EPS Q2Q%80.85%
EPS Next Y37.68%
EPS Next 2Y-0.08%
EPS Next 3Y11.17%
EPS Next 5Y26.31%
Revenue 1Y (TTM)-8.21%
Revenue growth 3Y145.74%
Revenue growth 5Y141.42%
Sales Q2Q%13.07%
Revenue Next Year-16.9%
Revenue Next 2Y-10.12%
Revenue Next 3Y-1.05%
Revenue Next 5YN/A
EBIT growth 1Y-1.27%
EBIT growth 3Y120.11%
EBIT growth 5YN/A
EBIT Next Year219.71%
EBIT Next 3Y48.25%
EBIT Next 5YN/A
FCF growth 1Y495.07%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y434.85%
OCF growth 3Y132.82%
OCF growth 5Y184.99%