SHELL PLC-ADR (SHEL) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:SHEL - US7802593050 - ADR
73.41 USD
+0.61 (+0.84%)
73.22 USD
-0.19 (-0.26%)
Taking everything into account, SHEL scores 5 out of 10 in our fundamental rating. SHEL was compared to 210 industry peers in the Oil, Gas & Consumable Fuels industry. SHEL has an average financial health and profitability rating. SHEL has a valuation in line with the averages, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
SHEL had positive earnings in the past year.
In the past year SHEL had a positive cash flow from operations.
Of the past 5 years SHEL 4 years were profitable.
In the past 5 years SHEL always reported a positive cash flow from operatings.
1.2 Ratios
Looking at the Return On Assets, with a value of 3.87%, SHEL is in line with its industry, outperforming 54.29% of the companies in the same industry.
With a Return On Equity value of 8.32%, SHEL perfoms like the industry average, outperforming 54.29% of the companies in the same industry.
SHEL has a better Return On Invested Capital (8.27%) than 73.81% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for SHEL is significantly below the industry average of 21.41%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.87% | ||
| ROE | 8.32% | ||
| ROIC | 8.27% |
ROA(3y)6.16%
ROA(5y)3.54%
ROE(3y)13.87%
ROE(5y)7.87%
ROIC(3y)11.01%
ROIC(5y)8%
1.3 Margins
SHEL has a Profit Margin (5.44%) which is comparable to the rest of the industry.
SHEL's Profit Margin has improved in the last couple of years.
Looking at the Operating Margin, with a value of 11.22%, SHEL is in line with its industry, outperforming 40.95% of the companies in the same industry.
In the last couple of years the Operating Margin of SHEL has grown nicely.
With a Gross Margin value of 25.44%, SHEL is not doing good in the industry: 63.81% of the companies in the same industry are doing better.
In the last couple of years the Gross Margin of SHEL has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 11.22% | ||
| PM (TTM) | 5.44% | ||
| GM | 25.44% |
OM growth 3Y5.7%
OM growth 5Y9.29%
PM growth 3Y-9.7%
PM growth 5Y4.27%
GM growth 3Y2.18%
GM growth 5Y6.18%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), SHEL is creating some value.
SHEL has less shares outstanding than it did 1 year ago.
The number of shares outstanding for SHEL has been reduced compared to 5 years ago.
SHEL has a better debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 2.42 indicates that SHEL is not a great score, but indicates only limited risk for bankruptcy at the moment.
SHEL has a better Altman-Z score (2.42) than 74.29% of its industry peers.
The Debt to FCF ratio of SHEL is 2.80, which is a good value as it means it would take SHEL, 2.80 years of fcf income to pay off all of its debts.
Looking at the Debt to FCF ratio, with a value of 2.80, SHEL is in the better half of the industry, outperforming 77.14% of the companies in the same industry.
SHEL has a Debt/Equity ratio of 0.36. This is a healthy value indicating a solid balance between debt and equity.
SHEL has a Debt to Equity ratio (0.36) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.36 | ||
| Debt/FCF | 2.8 | ||
| Altman-Z | 2.42 |
ROIC/WACC1
WACC8.26%
2.3 Liquidity
SHEL has a Current Ratio of 1.35. This is a normal value and indicates that SHEL is financially healthy and should not expect problems in meeting its short term obligations.
SHEL has a Current ratio of 1.35. This is in the better half of the industry: SHEL outperforms 61.43% of its industry peers.
SHEL has a Quick Ratio of 1.10. This is a normal value and indicates that SHEL is financially healthy and should not expect problems in meeting its short term obligations.
SHEL has a Quick ratio of 1.10. This is comparable to the rest of the industry: SHEL outperforms 57.14% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.35 | ||
| Quick Ratio | 1.1 |
3. Growth
3.1 Past
SHEL shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -25.23%.
Measured over the past years, SHEL shows a quite strong growth in Earnings Per Share. The EPS has been growing by 12.99% on average per year.
SHEL shows a decrease in Revenue. In the last year, the revenue decreased by -9.33%.
SHEL shows a decrease in Revenue. Measured over the last years, the Revenue has been decreasing by -3.79% yearly.
EPS 1Y (TTM)-25.23%
EPS 3Y14.67%
EPS 5Y12.99%
EPS Q2Q%-3.12%
Revenue 1Y (TTM)-9.33%
Revenue growth 3Y2.83%
Revenue growth 5Y-3.79%
Sales Q2Q%-4.13%
3.2 Future
SHEL is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 6.38% yearly.
SHEL is expected to show a decrease in Revenue. In the coming years, the Revenue will decrease by -4.04% yearly.
EPS Next Y-16.98%
EPS Next 2Y-6.03%
EPS Next 3Y1.48%
EPS Next 5Y6.38%
Revenue Next Year-7.98%
Revenue Next 2Y-4.45%
Revenue Next 3Y-0.34%
Revenue Next 5Y-4.04%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 11.29 indicates a reasonable valuation of SHEL.
71.90% of the companies in the same industry are more expensive than SHEL, based on the Price/Earnings ratio.
SHEL is valuated cheaply when we compare the Price/Earnings ratio to 26.15, which is the current average of the S&P500 Index.
Based on the Price/Forward Earnings ratio of 10.81, the valuation of SHEL can be described as reasonable.
Compared to the rest of the industry, the Price/Forward Earnings ratio of SHEL indicates a somewhat cheap valuation: SHEL is cheaper than 70.48% of the companies listed in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 36.12, SHEL is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.29 | ||
| Fwd PE | 10.81 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of SHEL indicates a somewhat cheap valuation: SHEL is cheaper than 78.57% of the companies listed in the same industry.
Based on the Price/Free Cash Flow ratio, SHEL is valued cheaper than 85.24% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 7.98 | ||
| EV/EBITDA | 4.46 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)0.87
EPS Next 2Y-6.03%
EPS Next 3Y1.48%
5. Dividend
5.1 Amount
SHEL has a Yearly Dividend Yield of 3.89%. Purely for dividend investing, there may be better candidates out there.
SHEL's Dividend Yield is a higher than the industry average which is at 5.90.
SHEL's Dividend Yield is rather good when compared to the S&P500 average which is at 2.41.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.89% |
5.2 History
The dividend of SHEL decreases each year by -6.24%.
SHEL has been paying a dividend for at least 10 years, so it has a reliable track record.
SHEL has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)-6.24%
Div Incr Years3
Div Non Decr Years3
5.3 Sustainability
SHEL pays out 58.21% of its income as dividend. This is a bit on the high side, but may be sustainable.
DP58.21%
EPS Next 2Y-6.03%
EPS Next 3Y1.48%
73.41
+0.61 (+0.84%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)
Earnings (Next)
Inst Owners36.94%
Inst Owner ChangeN/A
Ins Owners0.04%
Ins Owner ChangeN/A
Market Cap210.80B
Revenue(TTM)269.07B
Net Income(TTM)14.63B
Analysts76.92
Price Target88.92 (21.13%)
Short Float %0.38%
Short Ratio2.57
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.89% |
Yearly Dividend1.37
Dividend Growth(5Y)-6.24%
DP58.21%
Div Incr Years3
Div Non Decr Years3
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-4.37%
Min EPS beat(2)-16.35%
Max EPS beat(2)7.6%
EPS beat(4)1
Avg EPS beat(4)-10.6%
Min EPS beat(4)-29.22%
Max EPS beat(4)7.6%
EPS beat(8)5
Avg EPS beat(8)0.17%
EPS beat(12)7
Avg EPS beat(12)1.09%
EPS beat(16)10
Avg EPS beat(16)2.67%
Revenue beat(2)0
Avg Revenue beat(2)-5.42%
Min Revenue beat(2)-8.18%
Max Revenue beat(2)-2.67%
Revenue beat(4)0
Avg Revenue beat(4)-8.27%
Min Revenue beat(4)-13.37%
Max Revenue beat(4)-2.67%
Revenue beat(8)0
Avg Revenue beat(8)-8.8%
Revenue beat(12)2
Avg Revenue beat(12)-8.9%
Revenue beat(16)3
Avg Revenue beat(16)-8.78%
PT rev (1m)1.67%
PT rev (3m)1.12%
EPS NQ rev (1m)1.46%
EPS NQ rev (3m)-4.86%
EPS NY rev (1m)-3.61%
EPS NY rev (3m)-5%
Revenue NQ rev (1m)11.4%
Revenue NQ rev (3m)8.82%
Revenue NY rev (1m)-0.4%
Revenue NY rev (3m)-0.44%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.29 | ||
| Fwd PE | 10.81 | ||
| P/S | 0.78 | ||
| P/FCF | 7.98 | ||
| P/OCF | 4.52 | ||
| P/B | 1.2 | ||
| P/tB | 1.4 | ||
| EV/EBITDA | 4.46 |
EPS(TTM)6.5
EY8.85%
EPS(NY)6.79
Fwd EY9.25%
FCF(TTM)9.2
FCFY12.53%
OCF(TTM)16.22
OCFY22.1%
SpS93.7
BVpS61.23
TBVpS52.32
PEG (NY)N/A
PEG (5Y)0.87
Graham Number94.63
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.87% | ||
| ROE | 8.32% | ||
| ROCE | 10.47% | ||
| ROIC | 8.27% | ||
| ROICexc | 9.35% | ||
| ROICexgc | 10.39% | ||
| OM | 11.22% | ||
| PM (TTM) | 5.44% | ||
| GM | 25.44% | ||
| FCFM | 9.81% |
ROA(3y)6.16%
ROA(5y)3.54%
ROE(3y)13.87%
ROE(5y)7.87%
ROIC(3y)11.01%
ROIC(5y)8%
ROICexc(3y)12.58%
ROICexc(5y)9.13%
ROICexgc(3y)13.91%
ROICexgc(5y)10.08%
ROCE(3y)13.98%
ROCE(5y)10.15%
ROICexgc growth 3Y11.44%
ROICexgc growth 5Y9.96%
ROICexc growth 3Y11.06%
ROICexc growth 5Y9.38%
OM growth 3Y5.7%
OM growth 5Y9.29%
PM growth 3Y-9.7%
PM growth 5Y4.27%
GM growth 3Y2.18%
GM growth 5Y6.18%
F-Score5
Asset Turnover0.71
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.36 | ||
| Debt/FCF | 2.8 | ||
| Debt/EBITDA | 1.13 | ||
| Cap/Depr | 76.93% | ||
| Cap/Sales | 7.5% | ||
| Interest Coverage | 7.04 | ||
| Cash Conversion | 82.58% | ||
| Profit Quality | 180.47% | ||
| Current Ratio | 1.35 | ||
| Quick Ratio | 1.1 | ||
| Altman-Z | 2.42 |
F-Score5
WACC8.26%
ROIC/WACC1
Cap/Depr(3y)89.47%
Cap/Depr(5y)74.12%
Cap/Sales(3y)6.69%
Cap/Sales(5y)7.31%
Profit Quality(3y)162.48%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-25.23%
EPS 3Y14.67%
EPS 5Y12.99%
EPS Q2Q%-3.12%
EPS Next Y-16.98%
EPS Next 2Y-6.03%
EPS Next 3Y1.48%
EPS Next 5Y6.38%
Revenue 1Y (TTM)-9.33%
Revenue growth 3Y2.83%
Revenue growth 5Y-3.79%
Sales Q2Q%-4.13%
Revenue Next Year-7.98%
Revenue Next 2Y-4.45%
Revenue Next 3Y-0.34%
Revenue Next 5Y-4.04%
EBIT growth 1Y-11.8%
EBIT growth 3Y8.68%
EBIT growth 5Y5.15%
EBIT Next Year42.27%
EBIT Next 3Y13.13%
EBIT Next 5Y9.5%
FCF growth 1Y-36.49%
FCF growth 3Y10.36%
FCF growth 5Y12.81%
OCF growth 1Y-27.23%
OCF growth 3Y6.63%
OCF growth 5Y5.33%
SHELL PLC-ADR / SHEL FAQ
What is the fundamental rating for SHEL stock?
ChartMill assigns a fundamental rating of 5 / 10 to SHEL.
Can you provide the valuation status for SHELL PLC-ADR?
ChartMill assigns a valuation rating of 6 / 10 to SHELL PLC-ADR (SHEL). This can be considered as Fairly Valued.
Can you provide the profitability details for SHELL PLC-ADR?
SHELL PLC-ADR (SHEL) has a profitability rating of 5 / 10.
Can you provide the financial health for SHEL stock?
The financial health rating of SHELL PLC-ADR (SHEL) is 6 / 10.
What is the earnings growth outlook for SHELL PLC-ADR?
The Earnings per Share (EPS) of SHELL PLC-ADR (SHEL) is expected to decline by -16.98% in the next year.