TC ENERGY CORP (TRP) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:TRP - CA87807B1076 - Common Stock
54.78 USD
+0.06 (+0.11%)
We assign a fundamental rating of 3 out of 10 to TRP. TRP was compared to 209 industry peers in the Oil, Gas & Consumable Fuels industry. While TRP is still in line with the averages on profitability rating, there are concerns on its financial health. TRP has a expensive valuation and it also scores bad on growth.
1. Profitability
1.1 Basic Checks
TRP had positive earnings in the past year.
TRP had a positive operating cash flow in the past year.
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 Return On Assets (2.82%) which is in line with its industry peers.
TRP's Return On Equity of 12.35% is fine compared to the rest of the industry. TRP outperforms 69.38% of its industry peers.
Looking at the Return On Invested Capital, with a value of 3.97%, TRP is doing worse than 64.59% of the companies in the same industry.
TRP had an Average Return On Invested Capital over the past 3 years of 4.35%. This is significantly below the industry average of 21.47%.
| 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 85.17% of its industry peers.
TRP's Profit Margin has improved in the last couple of years.
TRP has a better Operating Margin (44.41%) than 89.00% of its industry peers.
TRP's Operating Margin has been stable in the last couple of years.
TRP's Gross Margin of 69.05% is fine compared to the rest of the industry. TRP outperforms 77.51% 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
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), TRP is destroying value.
TRP has about the same amout of shares outstanding than it did 1 year ago.
TRP has more shares outstanding than it did 5 years ago.
TRP has a better debt/assets ratio than last year.
2.2 Solvency
TRP has an Altman-Z score of 0.66. This is a bad value and indicates that TRP is not financially healthy and even has some risk of bankruptcy.
The Altman-Z score of TRP (0.66) is worse than 62.68% of its industry peers.
The Debt to FCF ratio of TRP is 31.45, which is on the high side as it means it would take TRP, 31.45 years of fcf income to pay off all of its debts.
TRP has a Debt to FCF ratio of 31.45. This is comparable to the rest of the industry: TRP outperforms 41.15% of its industry peers.
A Debt/Equity ratio of 2.13 is on the high side and indicates that TRP has dependencies on debt financing.
The Debt to Equity ratio of TRP (2.13) is worse than 81.82% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.13 | ||
| Debt/FCF | 31.45 | ||
| Altman-Z | 0.66 |
ROIC/WACC0.52
WACC7.67%
2.3 Liquidity
TRP has a Current 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 Current ratio of 0.63 is on the low side compared to the rest of the industry. TRP is outperformed by 77.03% of its industry peers.
A Quick Ratio of 0.56 indicates that TRP may have some problems paying 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 77.99% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.63 | ||
| Quick Ratio | 0.56 |
3. Growth
3.1 Past
The earnings per share for TRP have decreased strongly by -32.89% in the last year.
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.
The Revenue for TRP has decreased by -25.33% in the past year. This is quite bad
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
Based on estimates for the next years, TRP will show a small growth in Earnings Per Share. The EPS will grow by 3.82% on average per year.
The Revenue is expected to grow by 3.20% on average over the next years.
EPS Next Y-3.62%
EPS Next 2Y1.35%
EPS Next 3Y1.21%
EPS Next 5Y3.82%
Revenue Next Year-3.3%
Revenue Next 2Y1.07%
Revenue Next 3Y1.53%
Revenue Next 5Y3.2%
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.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 25.13, the valuation of TRP can be described as expensive.
The rest of the industry has a similar Price/Earnings ratio as TRP.
TRP is valuated at similar levels of the S&P average when we compare the Price/Earnings ratio to 26.31, which is the current average of the S&P500 Index.
The Price/Forward Earnings ratio is 20.04, which indicates a rather expensive current valuation of TRP.
Compared to the rest of the industry, the Price/Forward Earnings ratio of TRP is on the same level as its industry peers.
Compared to an average S&P500 Price/Forward Earnings ratio of 36.56, TRP is valued a bit cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 25.13 | ||
| Fwd PE | 20.04 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of TRP indicates a slightly more expensive valuation: TRP is more expensive than 68.90% of the companies listed in the same industry.
The rest of the industry has a similar Price/Free Cash Flow ratio as TRP.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 40.97 | ||
| EV/EBITDA | 16.6 |
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 2Y1.35%
EPS Next 3Y1.21%
5. Dividend
5.1 Amount
TRP has a Yearly Dividend Yield of 4.48%, which is a nice return.
Compared to an average industry Dividend Yield of 5.94, TRP pays a bit more dividend than its industry peers.
Compared to an average S&P500 Dividend Yield of 2.32, TRP pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.48% |
5.2 History
On average, the dividend of TRP grows each year by 13.09%, which is quite nice.
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.
The dividend of TRP is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP110%
EPS Next 2Y1.35%
EPS Next 3Y1.21%
NYSE:TRP (12/1/2025, 10:05:02 AM)
54.78
+0.06 (+0.11%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)
Earnings (Next)
Inst Owners78.19%
Inst Owner Change4.43%
Ins Owners0.09%
Ins Owner ChangeN/A
Market Cap57.03B
Revenue(TTM)12.43B
Net Income(TTM)3.39B
Analysts72.31
Price Target55.44 (1.2%)
Short Float %0.65%
Short Ratio2.92
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.48% |
Yearly Dividend2.78
Dividend Growth(5Y)13.09%
DP110%
Div Incr Years0
Div Non Decr Years0
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-0.38%
Min EPS beat(2)-4.57%
Max EPS beat(2)3.8%
EPS beat(4)1
Avg EPS beat(4)-13.12%
Min EPS beat(4)-48.32%
Max EPS beat(4)3.8%
EPS beat(8)5
Avg EPS beat(8)-1.97%
EPS beat(12)7
Avg EPS beat(12)-0.86%
EPS beat(16)9
Avg EPS beat(16)-0.26%
Revenue beat(2)1
Avg Revenue beat(2)1.8%
Min Revenue beat(2)-0.72%
Max Revenue beat(2)4.32%
Revenue beat(4)2
Avg Revenue beat(4)-13.83%
Min Revenue beat(4)-63.24%
Max Revenue beat(4)4.32%
Revenue beat(8)4
Avg Revenue beat(8)-5.97%
Revenue beat(12)7
Avg Revenue beat(12)-3.33%
Revenue beat(16)9
Avg Revenue beat(16)-2.19%
PT rev (1m)3.54%
PT rev (3m)1.66%
EPS NQ rev (1m)-1.8%
EPS NQ rev (3m)-3.43%
EPS NY rev (1m)-1.17%
EPS NY rev (3m)-1.53%
Revenue NQ rev (1m)0.02%
Revenue NQ rev (3m)0.05%
Revenue NY rev (1m)0.05%
Revenue NY rev (3m)0.05%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 25.13 | ||
| Fwd PE | 20.04 | ||
| P/S | 6.43 | ||
| P/FCF | 40.97 | ||
| P/OCF | 10.61 | ||
| P/B | 2.91 | ||
| P/tB | 5.61 | ||
| EV/EBITDA | 16.6 |
EPS(TTM)2.18
EY3.98%
EPS(NY)2.73
Fwd EY4.99%
FCF(TTM)1.34
FCFY2.44%
OCF(TTM)5.17
OCFY9.43%
SpS8.52
BVpS18.82
TBVpS9.76
PEG (NY)N/A
PEG (5Y)N/A
Graham Number30.39
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.82% | ||
| ROE | 12.35% | ||
| ROCE | 5.11% | ||
| ROIC | 3.97% | ||
| ROICexc | 4.05% | ||
| ROICexgc | 4.62% | ||
| OM | 44.41% | ||
| PM (TTM) | 27.28% | ||
| GM | 69.05% | ||
| FCFM | 15.69% |
ROA(3y)2.24%
ROA(5y)2.58%
ROE(3y)9.37%
ROE(5y)9.55%
ROIC(3y)4.35%
ROIC(5y)4.58%
ROICexc(3y)4.42%
ROICexc(5y)4.65%
ROICexgc(3y)5.04%
ROICexgc(5y)5.34%
ROCE(3y)5.6%
ROCE(5y)5.97%
ROICexgc growth 3Y-4.34%
ROICexgc growth 5Y-4.28%
ROICexc growth 3Y-4.22%
ROICexc growth 5Y-3.48%
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%
F-Score5
Asset Turnover0.1
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.13 | ||
| Debt/FCF | 31.45 | ||
| Debt/EBITDA | 7.13 | ||
| Cap/Depr | 207.7% | ||
| Cap/Sales | 44.93% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 91.8% | ||
| Profit Quality | 57.53% | ||
| Current Ratio | 0.63 | ||
| Quick Ratio | 0.56 | ||
| Altman-Z | 0.66 |
F-Score5
WACC7.67%
ROIC/WACC0.52
Cap/Depr(3y)260.57%
Cap/Depr(5y)266.14%
Cap/Sales(3y)50.84%
Cap/Sales(5y)51.87%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-32.89%
EPS 3Y-4.48%
EPS 5Y-2.06%
EPS Q2Q%-25.24%
EPS Next Y-3.62%
EPS Next 2Y1.35%
EPS Next 3Y1.21%
EPS Next 5Y3.82%
Revenue 1Y (TTM)-25.33%
Revenue growth 3Y0.95%
Revenue growth 5Y0.77%
Sales Q2Q%-9.28%
Revenue Next Year-3.3%
Revenue Next 2Y1.07%
Revenue Next 3Y1.53%
Revenue Next 5Y3.2%
EBIT growth 1Y-20.42%
EBIT growth 3Y-0.68%
EBIT growth 5Y0%
EBIT Next Year30.1%
EBIT Next 3Y12.65%
EBIT Next 5Y9.78%
FCF growth 1Y359.1%
FCF growth 3Y11.47%
FCF growth 5YN/A
OCF growth 1Y1.39%
OCF growth 3Y3.76%
OCF growth 5Y1.68%
TC ENERGY CORP / TRP FAQ
Can you provide the ChartMill fundamental rating for TC ENERGY CORP?
ChartMill assigns a fundamental rating of 3 / 10 to TRP.
What is the valuation status of TC ENERGY CORP (TRP) stock?
ChartMill assigns a valuation rating of 2 / 10 to TC ENERGY CORP (TRP). This can be considered as Overvalued.
How profitable is TC ENERGY CORP (TRP) stock?
TC ENERGY CORP (TRP) has a profitability rating of 6 / 10.
What is the financial health of TC ENERGY CORP (TRP) stock?
The financial health rating of TC ENERGY CORP (TRP) is 1 / 10.
Can you provide the dividend sustainability for TRP stock?
The dividend rating of TC ENERGY CORP (TRP) is 5 / 10 and the dividend payout ratio is 110%.