SOUTH BOW CORP (SOBO) Stock Fundamental Analysis
USA - NYSE:SOBO - CA83671M1059 - Common Stock
25.99 USD
+0.25 (+0.97%)
25.99 USD
0 (0%)
We assign a fundamental rating of 3 out of 10 to SOBO. SOBO was compared to 210 industry peers in the Oil, Gas & Consumable Fuels industry. SOBO has a bad profitability rating. Also its financial health evaluation is rather negative. SOBO has a valuation in line with the averages, but on the other hand it scores bad on growth.
1. Profitability
1.1 Basic Checks
In the past year SOBO was profitable.
In the past year SOBO had a positive cash flow from operations.
1.2 Ratios
SOBO has a Return On Assets of 2.61%. This is comparable to the rest of the industry: SOBO outperforms 45.24% of its industry peers.
SOBO has a Return On Equity of 11.34%. This is in the better half of the industry: SOBO outperforms 65.71% of its industry peers.
SOBO has a Return On Invested Capital of 5.90%. This is comparable to the rest of the industry: SOBO outperforms 54.29% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.61% | ||
| ROE | 11.34% | ||
| ROIC | 5.9% |
ROA(3y)N/A
ROA(5y)N/A
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
Looking at the Profit Margin, with a value of 14.73%, SOBO is in the better half of the industry, outperforming 62.86% of the companies in the same industry.
Looking at the Operating Margin, with a value of 36.48%, SOBO belongs to the top of the industry, outperforming 83.33% of the companies in the same industry.
SOBO has a Gross Margin (45.33%) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 36.48% | ||
| PM (TTM) | 14.73% | ||
| GM | 45.33% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), SOBO is destroying value.
SOBO has more shares outstanding than it did 1 year ago.
SOBO has a worse debt/assets ratio than last year.
2.2 Solvency
Based on the Altman-Z score of 0.80, we must say that SOBO is in the distress zone and has some risk of bankruptcy.
Looking at the Altman-Z score, with a value of 0.80, SOBO is in line with its industry, outperforming 42.38% of the companies in the same industry.
The Debt to FCF ratio of SOBO is 11.83, which is on the high side as it means it would take SOBO, 11.83 years of fcf income to pay off all of its debts.
SOBO has a Debt to FCF ratio of 11.83. This is comparable to the rest of the industry: SOBO outperforms 50.95% of its industry peers.
SOBO has a Debt/Equity ratio of 2.19. This is a high value indicating a heavy dependency on external financing.
The Debt to Equity ratio of SOBO (2.19) is worse than 82.86% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.19 | ||
| Debt/FCF | 11.83 | ||
| Altman-Z | 0.8 |
ROIC/WACC0.82
WACC7.22%
2.3 Liquidity
SOBO has a Current Ratio of 1.28. This is a normal value and indicates that SOBO is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Current ratio, with a value of 1.28, SOBO is in line with its industry, outperforming 59.05% of the companies in the same industry.
A Quick Ratio of 1.20 indicates that SOBO should not have too much problems paying its short term obligations.
SOBO has a Quick ratio of 1.20. This is in the better half of the industry: SOBO outperforms 60.95% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.28 | ||
| Quick Ratio | 1.2 |
3. Growth
3.1 Past
The earnings per share for SOBO have decreased strongly by -28.51% in the last year.
SOBO shows a small growth in Revenue. In the last year, the Revenue has grown by 5.74%.
EPS 1Y (TTM)-28.51%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%13.33%
Revenue 1Y (TTM)5.74%
Revenue growth 3YN/A
Revenue growth 5YN/A
Sales Q2Q%-0.67%
3.2 Future
Based on estimates for the next years, SOBO will show a small growth in Earnings Per Share. The EPS will grow by 4.19% on average per year.
The Revenue is expected to decrease by -2.20% on average over the next years.
EPS Next Y-2.49%
EPS Next 2Y1.77%
EPS Next 3Y4.19%
EPS Next 5YN/A
Revenue Next Year-12.48%
Revenue Next 2Y-4.77%
Revenue Next 3Y-2.2%
Revenue Next 5YN/A
3.3 Evolution
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 18.17 indicates a rather expensive valuation of SOBO.
SOBO's Price/Earnings ratio is in line with the industry average.
SOBO is valuated rather cheaply when we compare the Price/Earnings ratio to 25.83, which is the current average of the S&P500 Index.
A Price/Forward Earnings ratio of 14.45 indicates a correct valuation of SOBO.
SOBO's Price/Forward Earnings is on the same level as the industry average.
SOBO is valuated cheaply when we compare the Price/Forward Earnings ratio to 32.68, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.17 | ||
| Fwd PE | 14.45 |
4.2 Price Multiples
SOBO's Enterprise Value to EBITDA ratio is in line with the industry average.
72.86% of the companies in the same industry are more expensive than SOBO, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 11.09 | ||
| EV/EBITDA | 10.73 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y1.77%
EPS Next 3Y4.19%
5. Dividend
5.1 Amount
SOBO has a Yearly Dividend Yield of 7.89%, which is a nice return.
SOBO's Dividend Yield is rather good when compared to the industry average which is at 6.76. SOBO pays more dividend than 80.95% of the companies in the same industry.
SOBO's Dividend Yield is rather good when compared to the S&P500 average which is at 2.39.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 7.89% |
5.2 History
SOBO does not have a reliable dividend history as it only pays dividend since a couple or years.
Dividend Growth(5Y)N/A
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
DPN/A
EPS Next 2Y1.77%
EPS Next 3Y4.19%
25.99
+0.25 (+0.97%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)
Earnings (Next)
Inst Owners72.11%
Inst Owner ChangeN/A
Ins Owners0.15%
Ins Owner ChangeN/A
Market Cap5.41B
Revenue(TTM)2.03B
Net Income(TTM)299.15M
Analysts53.33
Price Target25.98 (-0.04%)
Short Float %2.76%
Short Ratio7.26
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 7.89% |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years1
Div Non Decr Years1
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)15.45%
Min EPS beat(2)11.29%
Max EPS beat(2)19.6%
EPS beat(4)N/A
Avg EPS beat(4)N/A
Min EPS beat(4)N/A
Max EPS beat(4)N/A
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)1
Avg Revenue beat(2)3.53%
Min Revenue beat(2)-7.36%
Max Revenue beat(2)14.42%
Revenue beat(4)N/A
Avg Revenue beat(4)N/A
Min Revenue beat(4)N/A
Max Revenue beat(4)N/A
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)0.32%
PT rev (3m)3.54%
EPS NQ rev (1m)0.12%
EPS NQ rev (3m)17.04%
EPS NY rev (1m)0%
EPS NY rev (3m)1.95%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)13.44%
Revenue NY rev (1m)0%
Revenue NY rev (3m)1.74%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.17 | ||
| Fwd PE | 14.45 | ||
| P/S | 2.67 | ||
| P/FCF | 11.09 | ||
| P/OCF | 8.39 | ||
| P/B | 2.05 | ||
| P/tB | 2.05 | ||
| EV/EBITDA | 10.73 |
EPS(TTM)1.43
EY5.5%
EPS(NY)1.8
Fwd EY6.92%
FCF(TTM)2.34
FCFY9.02%
OCF(TTM)3.1
OCFY11.93%
SpS9.75
BVpS12.66
TBVpS12.66
PEG (NY)N/A
PEG (5Y)N/A
Graham Number20.18
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.61% | ||
| ROE | 11.34% | ||
| ROCE | 7.64% | ||
| ROIC | 5.9% | ||
| ROICexc | 6.18% | ||
| ROICexgc | 6.18% | ||
| OM | 36.48% | ||
| PM (TTM) | 14.73% | ||
| GM | 45.33% | ||
| FCFM | 24.03% |
ROA(3y)N/A
ROA(5y)N/A
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3YN/A
GM growth 5YN/A
F-Score4
Asset Turnover0.18
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.19 | ||
| Debt/FCF | 11.83 | ||
| Debt/EBITDA | 5.8 | ||
| Cap/Depr | 61.77% | ||
| Cap/Sales | 7.75% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 64.83% | ||
| Profit Quality | 163.16% | ||
| Current Ratio | 1.28 | ||
| Quick Ratio | 1.2 | ||
| Altman-Z | 0.8 |
F-Score4
WACC7.22%
ROIC/WACC0.82
Cap/Depr(3y)N/A
Cap/Depr(5y)N/A
Cap/Sales(3y)N/A
Cap/Sales(5y)N/A
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-28.51%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%13.33%
EPS Next Y-2.49%
EPS Next 2Y1.77%
EPS Next 3Y4.19%
EPS Next 5YN/A
Revenue 1Y (TTM)5.74%
Revenue growth 3YN/A
Revenue growth 5YN/A
Sales Q2Q%-0.67%
Revenue Next Year-12.48%
Revenue Next 2Y-4.77%
Revenue Next 3Y-2.2%
Revenue Next 5YN/A
EBIT growth 1Y6.43%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year22.86%
EBIT Next 3Y10.52%
EBIT Next 5YN/A
FCF growth 1Y-45.15%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-32.09%
OCF growth 3YN/A
OCF growth 5YN/A
SOUTH BOW CORP / SOBO FAQ
Can you provide the ChartMill fundamental rating for SOUTH BOW CORP?
ChartMill assigns a fundamental rating of 3 / 10 to SOBO.
What is the valuation status for SOBO stock?
ChartMill assigns a valuation rating of 4 / 10 to SOUTH BOW CORP (SOBO). This can be considered as Fairly Valued.
What is the profitability of SOBO stock?
SOUTH BOW CORP (SOBO) has a profitability rating of 3 / 10.
Can you provide the financial health for SOBO stock?
The financial health rating of SOUTH BOW CORP (SOBO) is 2 / 10.
What is the expected EPS growth for SOUTH BOW CORP (SOBO) stock?
The Earnings per Share (EPS) of SOUTH BOW CORP (SOBO) is expected to decline by -2.49% in the next year.