TOPAZ ENERGY CORP (TPZ.CA) Stock Fundamental Analysis
TSX:TPZ - Toronto Stock Exchange - CA89055A2039 - Common Stock - Currency: CAD
We assign a fundamental rating of 6 out of 10 to TPZ. TPZ was compared to 214 industry peers in the Oil, Gas & Consumable Fuels industry. While TPZ has a great health rating, its profitability is only average at the moment. TPZ is not priced too expensively while it is growing strongly. Keep and eye on this one! With these ratings, TPZ could be worth investigating further for growth investing!.
1. Profitability
1.1 Basic Checks
In the past year TPZ was profitable.
In the past year TPZ had a positive cash flow from operations.
Each year in the past 5 years TPZ has been profitable.
Each year in the past 5 years TPZ had a positive operating cash flow.
1.2 Ratios
TPZ has a Return On Assets of 3.43%. This is in the better half of the industry: TPZ outperforms 68.69% of its industry peers.
TPZ has a Return On Equity (5.01%) which is comparable to the rest of the industry.
TPZ has a Return On Invested Capital of 3.83%. This is comparable to the rest of the industry: TPZ outperforms 54.21% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for TPZ is below the industry average of 7.26%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.43% | ||
| ROE | 5.01% | ||
| ROIC | 3.83% |
ROA(3y)3.58%
ROA(5y)2.55%
ROE(3y)4.88%
ROE(5y)3.41%
ROIC(3y)4.11%
ROIC(5y)2.9%
1.3 Margins
TPZ's Profit Margin of 19.12% is fine compared to the rest of the industry. TPZ outperforms 78.04% of its industry peers.
In the last couple of years the Profit Margin of TPZ has declined.
TPZ has a Operating Margin of 31.04%. This is amongst the best in the industry. TPZ outperforms 82.71% of its industry peers.
TPZ's Operating Margin has improved in the last couple of years.
Looking at the Gross Margin, with a value of 97.64%, TPZ belongs to the top of the industry, outperforming 99.53% of the companies in the same industry.
In the last couple of years the Gross Margin of TPZ has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 31.04% | ||
| PM (TTM) | 19.12% | ||
| GM | 97.64% |
OM growth 3Y13.38%
OM growth 5Y48.89%
PM growth 3Y4.45%
PM growth 5Y-19.19%
GM growth 3Y-0.12%
GM growth 5Y0.21%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), TPZ is destroying value.
TPZ has more shares outstanding than it did 1 year ago.
Compared to 5 years ago, TPZ has more shares outstanding
TPZ has a worse debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 4.00 indicates that TPZ is not in any danger for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 4.00, TPZ belongs to the top of the industry, outperforming 84.58% of the companies in the same industry.
The Debt to FCF ratio of TPZ is 1.72, which is an excellent value as it means it would take TPZ, only 1.72 years of fcf income to pay off all of its debts.
TPZ's Debt to FCF ratio of 1.72 is amongst the best of the industry. TPZ outperforms 85.51% of its industry peers.
TPZ has a Debt/Equity ratio of 0.42. This is a healthy value indicating a solid balance between debt and equity.
The Debt to Equity ratio of TPZ (0.42) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.42 | ||
| Debt/FCF | 1.72 | ||
| Altman-Z | 4 |
ROIC/WACC0.49
WACC7.82%
2.3 Liquidity
A Current Ratio of 5.14 indicates that TPZ has no problem at all paying its short term obligations.
TPZ has a Current ratio of 5.14. This is amongst the best in the industry. TPZ outperforms 90.19% of its industry peers.
TPZ has a Quick Ratio of 5.14. This indicates that TPZ is financially healthy and has no problem in meeting its short term obligations.
The Quick ratio of TPZ (5.14) is better than 90.65% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 5.14 | ||
| Quick Ratio | 5.14 |
3. Growth
3.1 Past
TPZ shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 13.89%, which is quite good.
Measured over the past years, TPZ shows a very strong growth in Earnings Per Share. The EPS has been growing by 25.82% on average per year.
TPZ shows a small growth in Revenue. In the last year, the Revenue has grown by 1.21%.
Measured over the past years, TPZ shows a very strong growth in Revenue. The Revenue has been growing by 85.61% on average per year.
EPS 1Y (TTM)13.89%
EPS 3Y12.11%
EPS 5Y25.82%
EPS Q2Q%50%
Revenue 1Y (TTM)1.21%
Revenue growth 3Y13.88%
Revenue growth 5Y85.61%
Sales Q2Q%3.55%
3.2 Future
The Earnings Per Share is expected to grow by 47.15% on average over the next years. This is a very strong growth
Based on estimates for the next years, TPZ will show a quite strong growth in Revenue. The Revenue will grow by 14.37% on average per year.
EPS Next Y9.15%
EPS Next 2Y48.08%
EPS Next 3Y47.15%
EPS Next 5YN/A
Revenue Next Year20.58%
Revenue Next 2Y17.93%
Revenue Next 3Y14.37%
Revenue Next 5YN/A
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
Although the future Revenue growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 61.54 indicates a quite expensive valuation of TPZ.
TPZ's Price/Earnings is on the same level as the industry average.
Compared to an average S&P500 Price/Earnings ratio of 27.24, TPZ is valued quite expensively.
A Price/Forward Earnings ratio of 37.12 indicates a quite expensive valuation of TPZ.
TPZ's Price/Forward Earnings is on the same level as the industry average.
TPZ is valuated at similar levels of the S&P average when we compare the Price/Forward Earnings ratio to 36.42, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 61.54 | ||
| Fwd PE | 37.12 |
4.2 Price Multiples
TPZ's Enterprise Value to EBITDA is on the same level as the industry average.
70.56% of the companies in the same industry are more expensive than TPZ, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 12.67 | ||
| EV/EBITDA | 14.43 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
TPZ has a very decent profitability rating, which may justify a higher PE ratio.
TPZ's earnings are expected to grow with 47.15% in the coming years. This may justify a more expensive valuation.
PEG (NY)6.73
PEG (5Y)2.38
EPS Next 2Y48.08%
EPS Next 3Y47.15%
5. Dividend
5.1 Amount
TPZ has a Yearly Dividend Yield of 5.20%, which is a nice return.
TPZ's Dividend Yield is rather good when compared to the industry average which is at 5.75. TPZ pays more dividend than 85.51% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 2.40, TPZ pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.2% |
5.2 History
TPZ has been paying a dividend for over 5 years, so it has already some track record.
TPZ has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)N/A
Div Incr Years4
Div Non Decr Years4
5.3 Sustainability
TPZ pays out 320.24% of its income as dividend. This is not a sustainable payout ratio.
DP320.24%
EPS Next 2Y48.08%
EPS Next 3Y47.15%
TSX:TPZ (8/1/2025, 7:00:00 PM)
25.23
-0.52 (-2.02%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)
Earnings (Next)
Inst Owners28.71%
Inst Owner ChangeN/A
Ins Owners4.19%
Ins Owner ChangeN/A
Market Cap3.88B
Analysts82.22
Price Target31.8 (26.04%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.2% |
Yearly Dividend1.28
Dividend Growth(5Y)N/A
DP320.24%
Div Incr Years4
Div Non Decr Years4
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)85.45%
Min EPS beat(2)-11.99%
Max EPS beat(2)182.89%
EPS beat(4)2
Avg EPS beat(4)42.63%
Min EPS beat(4)-67.71%
Max EPS beat(4)182.89%
EPS beat(8)4
Avg EPS beat(8)40.48%
EPS beat(12)4
Avg EPS beat(12)16.92%
EPS beat(16)5
Avg EPS beat(16)8.65%
Revenue beat(2)1
Avg Revenue beat(2)-0.89%
Min Revenue beat(2)-3.15%
Max Revenue beat(2)1.38%
Revenue beat(4)1
Avg Revenue beat(4)-4.84%
Min Revenue beat(4)-12.21%
Max Revenue beat(4)1.38%
Revenue beat(8)4
Avg Revenue beat(8)-0.63%
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)0.11%
PT rev (3m)-0.46%
EPS NQ rev (1m)-1.06%
EPS NQ rev (3m)-23.48%
EPS NY rev (1m)0%
EPS NY rev (3m)0%
Revenue NQ rev (1m)-5.56%
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.55%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 61.54 | ||
| Fwd PE | 37.12 | ||
| P/S | 11.79 | ||
| P/FCF | 12.67 | ||
| P/OCF | 13.03 | ||
| P/B | 3.09 | ||
| P/tB | 3.09 | ||
| EV/EBITDA | 14.43 |
EPS(TTM)0.41
EY1.63%
EPS(NY)0.68
Fwd EY2.69%
FCF(TTM)1.99
FCFY7.89%
OCF(TTM)1.94
OCFY7.67%
SpS2.14
BVpS8.17
TBVpS8.17
PEG (NY)6.73
PEG (5Y)2.38
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.43% | ||
| ROE | 5.01% | ||
| ROCE | 5.61% | ||
| ROIC | 3.83% | ||
| ROICexc | 3.83% | ||
| ROICexgc | 3.83% | ||
| OM | 31.04% | ||
| PM (TTM) | 19.12% | ||
| GM | 97.64% | ||
| FCFM | 93.05% |
ROA(3y)3.58%
ROA(5y)2.55%
ROE(3y)4.88%
ROE(5y)3.41%
ROIC(3y)4.11%
ROIC(5y)2.9%
ROICexc(3y)4.11%
ROICexc(5y)2.92%
ROICexgc(3y)4.11%
ROICexgc(5y)2.92%
ROCE(3y)6.01%
ROCE(5y)4.24%
ROICexcg growth 3Y22.47%
ROICexcg growth 5Y125.99%
ROICexc growth 3Y22.47%
ROICexc growth 5Y125.99%
OM growth 3Y13.38%
OM growth 5Y48.89%
PM growth 3Y4.45%
PM growth 5Y-19.19%
GM growth 3Y-0.12%
GM growth 5Y0.21%
F-Score5
Asset Turnover0.18
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.42 | ||
| Debt/FCF | 1.72 | ||
| Debt/EBITDA | 1.72 | ||
| Cap/Depr | 4.23% | ||
| Cap/Sales | 2.61% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 97.51% | ||
| Profit Quality | 486.79% | ||
| Current Ratio | 5.14 | ||
| Quick Ratio | 5.14 | ||
| Altman-Z | 4 |
F-Score5
WACC7.82%
ROIC/WACC0.49
Cap/Depr(3y)3.1%
Cap/Depr(5y)2.51%
Cap/Sales(3y)1.97%
Cap/Sales(5y)1.7%
Profit Quality(3y)503.21%
Profit Quality(5y)952.85%
High Growth Momentum
Growth
EPS 1Y (TTM)13.89%
EPS 3Y12.11%
EPS 5Y25.82%
EPS Q2Q%50%
EPS Next Y9.15%
EPS Next 2Y48.08%
EPS Next 3Y47.15%
EPS Next 5YN/A
Revenue 1Y (TTM)1.21%
Revenue growth 3Y13.88%
Revenue growth 5Y85.61%
Sales Q2Q%3.55%
Revenue Next Year20.58%
Revenue Next 2Y17.93%
Revenue Next 3Y14.37%
Revenue Next 5YN/A
EBIT growth 1Y1.13%
EBIT growth 3Y29.11%
EBIT growth 5Y176.36%
EBIT Next Year10.8%
EBIT Next 3Y9.91%
EBIT Next 5YN/A
FCF growth 1Y-5.59%
FCF growth 3Y18.35%
FCF growth 5YN/A
OCF growth 1Y-9.29%
OCF growth 3Y18.74%
OCF growth 5Y79.71%