TAMARACK VALLEY ENERGY LTD (TVE.CA) Stock Fundamental Analysis
Canada - Toronto Stock Exchange - TSX:TVE - CA87505Y4094 - Common Stock
8.78 CAD
-0.1 (-1.13%)
Taking everything into account, TVE scores 5 out of 10 in our fundamental rating. TVE was compared to 206 industry peers in the Oil, Gas & Consumable Fuels industry. While TVE has a great health rating, its profitability is only average at the moment. TVE does not seem to be growing, but still is valued expensively.
1. Profitability
1.1 Basic Checks
- TVE had negative earnings in the past year.
- In the past year TVE had a positive cash flow from operations.
- Of the past 5 years TVE 4 years were profitable.
- Each year in the past 5 years TVE had a positive operating cash flow.
1.2 Ratios
- TVE has a Return On Assets of -2.65%. This is comparable to the rest of the industry: TVE outperforms 50.97% of its industry peers.
- Looking at the Return On Equity, with a value of -5.02%, TVE is in line with its industry, outperforming 50.49% of the companies in the same industry.
- TVE has a better Return On Invested Capital (10.41%) than 94.17% of its industry peers.
- Measured over the past 3 years, the Average Return On Invested Capital for TVE is in line with the industry average of 6.62%.
- The 3 year average ROIC (8.20%) for TVE is below the current ROIC(10.41%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -2.65% | ||
| ROE | -5.02% | ||
| ROIC | 10.41% |
ROA(3y)4.59%
ROA(5y)0.05%
ROE(3y)9.31%
ROE(5y)-0.44%
ROIC(3y)8.2%
ROIC(5y)N/A
1.3 Margins
- TVE's Profit Margin has declined in the last couple of years.
- The Operating Margin of TVE (33.38%) is better than 87.38% of its industry peers.
- In the last couple of years the Operating Margin of TVE has grown nicely.
- With an excellent Gross Margin value of 84.03%, TVE belongs to the best of the industry, outperforming 96.12% of the companies in the same industry.
- In the last couple of years the Gross Margin of TVE has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 33.38% | ||
| PM (TTM) | N/A | ||
| GM | 84.03% |
OM growth 3Y-3.32%
OM growth 5Y12.68%
PM growth 3Y-43.83%
PM growth 5YN/A
GM growth 3Y1.51%
GM growth 5Y2.61%
2. Health
2.1 Basic Checks
- TVE has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
- Compared to 1 year ago, TVE has less shares outstanding
- TVE has more shares outstanding than it did 5 years ago.
- Compared to 1 year ago, TVE has an improved debt to assets ratio.
2.2 Solvency
- An Altman-Z score of 2.50 indicates that TVE is not a great score, but indicates only limited risk for bankruptcy at the moment.
- TVE's Altman-Z score of 2.50 is fine compared to the rest of the industry. TVE outperforms 73.30% of its industry peers.
- The Debt to FCF ratio of TVE is 0.92, which is an excellent value as it means it would take TVE, only 0.92 years of fcf income to pay off all of its debts.
- Looking at the Debt to FCF ratio, with a value of 0.92, TVE belongs to the top of the industry, outperforming 92.72% of the companies in the same industry.
- TVE has a Debt/Equity ratio of 0.39. This is a healthy value indicating a solid balance between debt and equity.
- With a Debt to Equity ratio value of 0.39, TVE perfoms like the industry average, outperforming 53.40% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.39 | ||
| Debt/FCF | 0.92 | ||
| Altman-Z | 2.5 |
ROIC/WACC1.29
WACC8.07%
2.3 Liquidity
- TVE has a Current Ratio of 1.20. This is a normal value and indicates that TVE is financially healthy and should not expect problems in meeting its short term obligations.
- With a decent Current ratio value of 1.20, TVE is doing good in the industry, outperforming 67.96% of the companies in the same industry.
- A Quick Ratio of 1.20 indicates that TVE should not have too much problems paying its short term obligations.
- With a decent Quick ratio value of 1.20, TVE is doing good in the industry, outperforming 71.36% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.2 | ||
| Quick Ratio | 1.2 |
3. Growth
3.1 Past
- TVE shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -150.62%.
- The earnings per share for TVE have been decreasing by -35.05% on average. This is quite bad
- Looking at the last year, TVE shows a decrease in Revenue. The Revenue has decreased by -1.36% in the last year.
- Measured over the past years, TVE shows a very strong growth in Revenue. The Revenue has been growing by 32.50% on average per year.
EPS 1Y (TTM)-150.62%
EPS 3Y-35.05%
EPS 5YN/A
EPS Q2Q%-391.56%
Revenue 1Y (TTM)-1.36%
Revenue growth 3Y32.85%
Revenue growth 5Y32.5%
Sales Q2Q%-3.2%
3.2 Future
- TVE is expected to show a very negative growth in Earnings Per Share. In the coming years, the EPS will decrease by -21.21% yearly.
- The Revenue is expected to decrease by -3.56% on average over the next years.
EPS Next Y-40.22%
EPS Next 2Y-50%
EPS Next 3Y-21.21%
EPS Next 5YN/A
Revenue Next Year-6.59%
Revenue Next 2Y-3.56%
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
- The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
- When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
- TVE reported negative earnings for the last year, which makes the Price/Earnings Ratio negative.
- TVE is valuated quite expensively with a Price/Forward Earnings ratio of 37.80.
- Compared to the rest of the industry, the Price/Forward Earnings ratio of TVE is on the same level as its industry peers.
- Compared to an average S&P500 Price/Forward Earnings ratio of 25.98, TVE is valued a bit more expensive.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 37.8 |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, TVE is valued cheaper than 88.35% of the companies in the same industry.
- Based on the Price/Free Cash Flow ratio, TVE is valued cheaply inside the industry as 96.12% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 5.38 | ||
| EV/EBITDA | 4.94 |
4.3 Compensation for Growth
- TVE has a very decent profitability rating, which may justify a higher PE ratio.
- A cheap valuation may be justified as TVE's earnings are expected to decrease with -21.21% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-50%
EPS Next 3Y-21.21%
5. Dividend
5.1 Amount
- TVE has a Yearly Dividend Yield of 1.80%.
- Compared to an average industry Dividend Yield of 3.29, TVE pays a bit more dividend than its industry peers.
- Compared to an average S&P500 Dividend Yield of 1.81, TVE has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.8% |
5.2 History
- TVE has been paying a dividend for less than 5 years, so it still needs to build a track record.
Dividend Growth(5Y)N/A
Div Incr Years2
Div Non Decr Years2
5.3 Sustainability
- TVE has negative earnings and hence a negative payout ratio. The dividend may be in danger.
DP-84.72%
EPS Next 2Y-50%
EPS Next 3Y-21.21%
TAMARACK VALLEY ENERGY LTD / TVE.CA FAQ
Can you provide the ChartMill fundamental rating for TAMARACK VALLEY ENERGY LTD?
ChartMill assigns a fundamental rating of 5 / 10 to TVE.CA.
What is the valuation status of TAMARACK VALLEY ENERGY LTD (TVE.CA) stock?
ChartMill assigns a valuation rating of 3 / 10 to TAMARACK VALLEY ENERGY LTD (TVE.CA). This can be considered as Overvalued.
How profitable is TAMARACK VALLEY ENERGY LTD (TVE.CA) stock?
TAMARACK VALLEY ENERGY LTD (TVE.CA) has a profitability rating of 6 / 10.
Can you provide the financial health for TVE stock?
The financial health rating of TAMARACK VALLEY ENERGY LTD (TVE.CA) is 7 / 10.
Can you provide the dividend sustainability for TVE stock?
The dividend rating of TAMARACK VALLEY ENERGY LTD (TVE.CA) is 2 / 10 and the dividend payout ratio is -84.72%.