TC ENERGY CORP (TRP.CA) Stock Fundamental Analysis
Canada • Toronto Stock Exchange • TSX:TRP • CA87807B1076
79.84 CAD
-0.04 (-0.05%)
Last: Jan 30, 2026, 07:00 PM
Overall TRP gets a fundamental rating of 4 out of 10. We evaluated TRP against 206 industry peers in the Oil, Gas & Consumable Fuels industry. TRP has an excellent profitability rating, but there are concerns on its financial health. TRP 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 TRP was profitable.
- In the past year TRP had a positive cash flow from operations.
- TRP had positive earnings in each of the past 5 years.
- In the past 5 years TRP always reported a positive cash flow from operatings.
1.2 Ratios
- TRP has a better Return On Assets (2.82%) than 67.48% of its industry peers.
- TRP has a better Return On Equity (12.35%) than 84.95% of its industry peers.
- TRP has a Return On Invested Capital (3.97%) which is in line with its industry peers.
- Measured over the past 3 years, the Average Return On Invested Capital for TRP is below the industry average of 6.62%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.82% | ||
| ROE | 12.35% | ||
| ROIC | 3.97% |
ROA(3y)2.24%
ROA(5y)2.58%
ROE(3y)9.37%
ROE(5y)9.55%
ROIC(3y)4.35%
ROIC(5y)4.58%
1.3 Margins
- TRP's Profit Margin of 27.28% is amongst the best of the industry. TRP outperforms 89.81% of its industry peers.
- In the last couple of years the Profit Margin of TRP has grown nicely.
- TRP has a Operating Margin of 44.41%. This is amongst the best in the industry. TRP outperforms 93.69% of its industry peers.
- In the last couple of years the Operating Margin of TRP has remained more or less at the same level.
- The Gross Margin of TRP (69.05%) is better than 84.95% of its industry peers.
- In the last couple of years the Gross Margin of TRP has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 44.41% | ||
| PM (TTM) | 27.28% | ||
| GM | 69.05% |
OM growth 3Y-1.61%
OM growth 5Y-0.76%
PM growth 3Y35%
PM growth 5Y2.15%
GM growth 3Y-0.69%
GM growth 5Y-0.74%
2. Health
2.1 Basic Checks
- TRP has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
- Compared to 1 year ago, TRP has about the same amount of shares outstanding.
- TRP has more shares outstanding than it did 5 years ago.
- TRP has a better debt/assets ratio than last year.
2.2 Solvency
- Based on the Altman-Z score of 0.68, we must say that TRP is in the distress zone and has some risk of bankruptcy.
- TRP's Altman-Z score of 0.68 is in line compared to the rest of the industry. TRP outperforms 52.91% of its industry peers.
- TRP has a debt to FCF ratio of 31.45. This is a negative value and a sign of low solvency as TRP would need 31.45 years to pay back of all of its debts.
- Looking at the Debt to FCF ratio, with a value of 31.45, TRP is in line with its industry, outperforming 55.83% of the companies in the same industry.
- TRP has a Debt/Equity ratio of 2.13. This is a high value indicating a heavy dependency on external financing.
- TRP has a Debt to Equity ratio of 2.13. This is in the lower half of the industry: TRP underperforms 75.73% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.13 | ||
| Debt/FCF | 31.45 | ||
| Altman-Z | 0.68 |
ROIC/WACC0.51
WACC7.77%
2.3 Liquidity
- A Current Ratio of 0.63 indicates that TRP may have some problems paying its short term obligations.
- Looking at the Current ratio, with a value of 0.63, TRP is doing worse than 63.11% of the companies in the same industry.
- TRP has a Quick Ratio of 0.63. This is a bad value and indicates that TRP is not financially healthy enough and could expect problems in meeting its short term obligations.
- TRP's Quick ratio of 0.56 is on the low side compared to the rest of the industry. TRP is outperformed by 62.62% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.63 | ||
| Quick Ratio | 0.56 |
3. Growth
3.1 Past
- TRP shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -32.89%.
- Measured over the past years, TRP shows a decrease in Earnings Per Share. The EPS has been decreasing by -2.06% on average per year.
- Looking at the last year, TRP shows a very negative growth in Revenue. The Revenue has decreased by -25.33% in the last year.
- TRP shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 0.77% yearly.
EPS 1Y (TTM)-32.89%
EPS 3Y-4.48%
EPS 5Y-2.06%
EPS Q2Q%-25.24%
Revenue 1Y (TTM)-25.33%
Revenue growth 3Y0.95%
Revenue growth 5Y0.77%
Sales Q2Q%-9.28%
3.2 Future
- The Earnings Per Share is expected to grow by 3.33% on average over the next years.
- TRP is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 2.71% yearly.
EPS Next Y-5.65%
EPS Next 2Y0.77%
EPS Next 3Y1.89%
EPS Next 5Y3.33%
Revenue Next Year-3.6%
Revenue Next 2Y1.19%
Revenue Next 3Y1.77%
Revenue Next 5Y2.71%
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.
- When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
- With a Price/Earnings ratio of 26.09, TRP can be considered very expensive at the moment.
- Compared to the rest of the industry, the Price/Earnings ratio of TRP indicates a somewhat cheap valuation: TRP is cheaper than 60.68% of the companies listed in the same industry.
- The average S&P500 Price/Earnings ratio is at 28.32. TRP is around the same levels.
- The Price/Forward Earnings ratio is 21.08, which indicates a rather expensive current valuation of TRP.
- Based on the Price/Forward Earnings ratio, TRP is valued a bit cheaper than the industry average as 60.19% of the companies are valued more expensively.
- Compared to an average S&P500 Price/Forward Earnings ratio of 25.57, TRP is valued at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 26.09 | ||
| Fwd PE | 21.08 |
4.2 Price Multiples
- The rest of the industry has a similar Enterprise Value to EBITDA ratio as TRP.
- 60.19% of the companies in the same industry are more expensive than TRP, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 42.6 | ||
| EV/EBITDA | 17 |
4.3 Compensation for Growth
- TRP has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y0.77%
EPS Next 3Y1.89%
5. Dividend
5.1 Amount
- With a Yearly Dividend Yield of 4.26%, TRP is a good candidate for dividend investing.
- TRP's Dividend Yield is a higher than the industry average which is at 3.08.
- Compared to an average S&P500 Dividend Yield of 1.83, TRP pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.26% |
5.2 History
- The dividend of TRP is nicely growing with an annual growth rate of 13.09%!
- TRP has been paying a dividend for at least 10 years, so it has a reliable track record.
Dividend Growth(5Y)13.09%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
- TRP pays out 110.00% of its income as dividend. This is not a sustainable payout ratio.
- TRP's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP110%
EPS Next 2Y0.77%
EPS Next 3Y1.89%
TC ENERGY CORP / TRP.CA FAQ
Can you provide the ChartMill fundamental rating for TC ENERGY CORP?
ChartMill assigns a fundamental rating of 4 / 10 to TRP.CA.
What is the valuation status for TRP stock?
ChartMill assigns a valuation rating of 4 / 10 to TC ENERGY CORP (TRP.CA). This can be considered as Fairly Valued.
How profitable is TC ENERGY CORP (TRP.CA) stock?
TC ENERGY CORP (TRP.CA) has a profitability rating of 7 / 10.
What is the earnings growth outlook for TC ENERGY CORP?
The Earnings per Share (EPS) of TC ENERGY CORP (TRP.CA) is expected to decline by -5.65% in the next year.
Can you provide the dividend sustainability for TRP stock?
The dividend rating of TC ENERGY CORP (TRP.CA) is 5 / 10 and the dividend payout ratio is 110%.