STRATHCONA RESOURCES LTD (SCR.CA) Stock Fundamental Analysis
TSX:SCR - CA8629521086 - Common Stock
38.02 CAD
-0.65 (-1.68%)
We assign a fundamental rating of 6 out of 10 to SCR. SCR was compared to 215 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 has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
In the past year SCR was profitable.
In the past year SCR had a positive cash flow from operations.
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's Return On Assets of 5.68% is amongst the best of the industry. SCR outperforms 85.12% of its industry peers.
SCR has a better Return On Equity (11.61%) than 82.79% of its industry peers.
The Return On Invested Capital of SCR (7.40%) is better than 85.12% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for SCR is significantly above the industry average of 6.99%.
The last Return On Invested Capital (7.40%) for SCR is well below the 3 year average (12.71%), which needs to be investigated, but indicates that SCR had better years and this may not be a problem.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.68% | ||
| ROE | 11.61% | ||
| ROIC | 7.4% |
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 (15.77%) is better than 75.81% of its industry peers.
SCR's Profit Margin has declined in the last couple of years.
SCR's Operating Margin of 24.98% is fine compared to the rest of the industry. SCR outperforms 76.28% of its industry peers.
In the last couple of years the Operating Margin of SCR has declined.
With a decent Gross Margin value of 45.23%, SCR is doing good in the industry, outperforming 71.16% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 24.98% | ||
| PM (TTM) | 15.77% | ||
| GM | 45.23% |
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
SCR has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
Compared to 1 year ago, SCR has about the same amount of shares outstanding.
SCR has more shares outstanding than it did 5 years ago.
Compared to 1 year ago, SCR has an improved debt to assets ratio.
2.2 Solvency
An Altman-Z score of 1.90 indicates that SCR is not a great score, but indicates only limited risk for bankruptcy at the moment.
SCR has a better Altman-Z score (1.90) than 68.84% of its industry peers.
The Debt to FCF ratio of SCR is 7.63, which is on the high side as it means it would take SCR, 7.63 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of SCR (7.63) is better than 73.02% of its industry peers.
SCR has a Debt/Equity ratio of 0.52. This is a neutral value indicating SCR is somewhat dependend on debt financing.
SCR has a Debt to Equity ratio of 0.52. This is comparable to the rest of the industry: SCR outperforms 48.37% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.52 | ||
| Debt/FCF | 7.63 | ||
| Altman-Z | 1.9 |
ROIC/WACC0.92
WACC8.07%
2.3 Liquidity
SCR has a Current Ratio of 2.19. This indicates that SCR is financially healthy and has no problem in meeting its short term obligations.
SCR's Current ratio of 2.19 is fine compared to the rest of the industry. SCR outperforms 80.00% of its industry peers.
SCR has a Quick Ratio of 2.17. This indicates that SCR is financially healthy and has no problem in meeting its short term obligations.
Looking at the Quick ratio, with a value of 2.17, SCR belongs to the top of the industry, outperforming 82.33% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.19 | ||
| Quick Ratio | 2.17 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 13.78% over the past year.
SCR shows a decrease in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -7.40% yearly.
Looking at the last year, SCR shows a very negative growth in Revenue. The Revenue has decreased by -30.69% 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)13.78%
EPS 3Y-7.4%
EPS 5YN/A
EPS Q2Q%1.89%
Revenue 1Y (TTM)-30.69%
Revenue growth 3Y145.74%
Revenue growth 5Y141.42%
Sales Q2Q%-13.33%
3.2 Future
The Earnings Per Share is expected to grow by 26.31% on average over the next years. This is a very strong growth
SCR is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 6.58% yearly.
EPS Next Y1.66%
EPS Next 2Y-22.35%
EPS Next 3Y4.73%
EPS Next 5Y26.31%
Revenue Next Year-11.41%
Revenue Next 2Y-8.83%
Revenue Next 3Y2.5%
Revenue Next 5Y6.58%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better 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
The Price/Earnings ratio is 11.81, which indicates a very decent valuation of SCR.
Based on the Price/Earnings ratio, SCR is valued a bit cheaper than the industry average as 67.44% of the companies are valued more expensively.
SCR is valuated cheaply when we compare the Price/Earnings ratio to 26.84, which is the current average of the S&P500 Index.
With a Price/Forward Earnings ratio of 22.36, SCR is valued on the expensive side.
The rest of the industry has a similar Price/Forward Earnings ratio as SCR.
SCR is valuated at similar levels of the S&P average when we compare the Price/Forward Earnings ratio to 22.48, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.81 | ||
| Fwd PE | 22.36 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, SCR is valued cheaper than 86.05% of the companies in the same industry.
62.79% of the companies in the same industry are more expensive than SCR, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 19.22 | ||
| EV/EBITDA | 4.93 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates SCR does not grow enough to justify the current Price/Earnings ratio.
SCR has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)7.1
PEG (5Y)N/A
EPS Next 2Y-22.35%
EPS Next 3Y4.73%
5. Dividend
5.1 Amount
SCR has a Yearly Dividend Yield of 2.89%. 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 6.00.
Compared to an average S&P500 Dividend Yield of 2.32, SCR pays a bit more dividend than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.89% |
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
31.89% of the earnings are spent on dividend by SCR. This is a low number and sustainable payout ratio.
DP31.89%
EPS Next 2Y-22.35%
EPS Next 3Y4.73%
TSX:SCR (9/3/2025, 7:00:00 PM)
38.02
-0.65 (-1.68%)
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 Cap8.15B
Analysts70
Price Target36.72 (-3.42%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.89% |
Yearly Dividend0.5
Dividend Growth(5Y)N/A
DP31.89%
Div Incr Years2
Div Non Decr Years2
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)16.03%
Min EPS beat(2)-28.5%
Max EPS beat(2)60.56%
EPS beat(4)1
Avg EPS beat(4)-10.56%
Min EPS beat(4)-50.81%
Max EPS beat(4)60.56%
EPS beat(8)2
Avg EPS beat(8)-26.25%
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)36.45%
Min Revenue beat(2)35.63%
Max Revenue beat(2)37.26%
Revenue beat(4)4
Avg Revenue beat(4)26.84%
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)6.78%
PT rev (3m)12.94%
EPS NQ rev (1m)4.26%
EPS NQ rev (3m)-40.58%
EPS NY rev (1m)-26.16%
EPS NY rev (3m)-26.16%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)-3.04%
Revenue NY rev (3m)6.61%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.81 | ||
| Fwd PE | 22.36 | ||
| P/S | 1.8 | ||
| P/FCF | 19.22 | ||
| P/OCF | 4.17 | ||
| P/B | 1.33 | ||
| P/tB | 1.33 | ||
| EV/EBITDA | 4.93 |
EPS(TTM)3.22
EY8.47%
EPS(NY)1.7
Fwd EY4.47%
FCF(TTM)1.98
FCFY5.2%
OCF(TTM)9.12
OCFY23.98%
SpS21.08
BVpS28.63
TBVpS28.63
PEG (NY)7.1
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.68% | ||
| ROE | 11.61% | ||
| ROCE | 10.49% | ||
| ROIC | 7.4% | ||
| ROICexc | 8.07% | ||
| ROICexgc | 8.07% | ||
| OM | 24.98% | ||
| PM (TTM) | 15.77% | ||
| GM | 45.23% | ||
| FCFM | 9.38% |
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 Turnover0.36
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.52 | ||
| Debt/FCF | 7.63 | ||
| Debt/EBITDA | 1.65 | ||
| Cap/Depr | 187.54% | ||
| Cap/Sales | 33.86% | ||
| Interest Coverage | 6.73 | ||
| Cash Conversion | 100.49% | ||
| Profit Quality | 59.5% | ||
| Current Ratio | 2.19 | ||
| Quick Ratio | 2.17 | ||
| Altman-Z | 1.9 |
F-Score6
WACC8.07%
ROIC/WACC0.92
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)13.78%
EPS 3Y-7.4%
EPS 5YN/A
EPS Q2Q%1.89%
EPS Next Y1.66%
EPS Next 2Y-22.35%
EPS Next 3Y4.73%
EPS Next 5Y26.31%
Revenue 1Y (TTM)-30.69%
Revenue growth 3Y145.74%
Revenue growth 5Y141.42%
Sales Q2Q%-13.33%
Revenue Next Year-11.41%
Revenue Next 2Y-8.83%
Revenue Next 3Y2.5%
Revenue Next 5Y6.58%
EBIT growth 1Y-32.15%
EBIT growth 3Y120.11%
EBIT growth 5YN/A
EBIT Next Year219.71%
EBIT Next 3Y48.25%
EBIT Next 5YN/A
FCF growth 1Y913.64%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y542.11%
OCF growth 3Y132.82%
OCF growth 5Y184.99%