VERMILION ENERGY INC (VET.CA) Stock Fundamental Analysis
Canada - TSX:VET - CA9237251058 - Common Stock
11.17 CAD
+0.3 (+2.76%)
Overall VET gets a fundamental rating of 3 out of 10. We evaluated VET against 216 industry peers in the Oil, Gas & Consumable Fuels industry. VET has a medium profitability rating, but doesn't score so well on its financial health evaluation. VET is valued expensive and it does not seem to be growing.
1. Profitability
1.1 Basic Checks
VET had negative earnings in the past year.
VET had a positive operating cash flow in the past year.
The reported net income has been mixed in the past 5 years: VET reported negative net income in multiple years.
In the past 5 years VET always reported a positive cash flow from operatings.
1.2 Ratios
With a Return On Assets value of -2.76%, VET perfoms like the industry average, outperforming 49.07% of the companies in the same industry.
With a Return On Equity value of -6.87%, VET perfoms like the industry average, outperforming 45.37% of the companies in the same industry.
With a Return On Invested Capital value of 3.11%, VET perfoms like the industry average, outperforming 53.24% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for VET is above the industry average of 6.96%.
The 3 year average ROIC (9.77%) for VET is well above the current ROIC(3.11%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -2.76% | ||
| ROE | -6.87% | ||
| ROIC | 3.11% |
ROA(3y)4.74%
ROA(5y)-0.65%
ROE(3y)9.7%
ROE(5y)-15.85%
ROIC(3y)9.77%
ROIC(5y)N/A
1.3 Margins
Looking at the Operating Margin, with a value of 13.76%, VET is in line with its industry, outperforming 59.26% of the companies in the same industry.
In the last couple of years the Operating Margin of VET has grown nicely.
The Gross Margin of VET (67.97%) is better than 81.02% of its industry peers.
VET's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 13.76% | ||
| PM (TTM) | N/A | ||
| GM | 67.97% |
OM growth 3Y-29.16%
OM growth 5Y2.82%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-3.52%
GM growth 5Y0.95%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), VET is creating some value.
Compared to 1 year ago, VET has less shares outstanding
Compared to 5 years ago, VET has less shares outstanding
Compared to 1 year ago, VET has a worse debt to assets ratio.
2.2 Solvency
Based on the Altman-Z score of 0.46, we must say that VET is in the distress zone and has some risk of bankruptcy.
Looking at the Altman-Z score, with a value of 0.46, VET is doing worse than 60.19% of the companies in the same industry.
A Debt/Equity ratio of 0.74 indicates that VET is somewhat dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 0.74, VET is in line with its industry, outperforming 44.91% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.74 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 0.46 |
ROIC/WACC0.37
WACC8.31%
2.3 Liquidity
VET has a Current Ratio of 1.94. This is a normal value and indicates that VET is financially healthy and should not expect problems in meeting its short term obligations.
VET's Current ratio of 1.94 is fine compared to the rest of the industry. VET outperforms 78.24% of its industry peers.
A Quick Ratio of 1.84 indicates that VET should not have too much problems paying its short term obligations.
Looking at the Quick ratio, with a value of 1.84, VET is in the better half of the industry, outperforming 79.17% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.94 | ||
| Quick Ratio | 1.84 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 76.38% over the past year.
The Revenue has decreased by -2.71% in the past year.
Measured over the past years, VET shows a small growth in Revenue. The Revenue has been growing by 1.65% on average per year.
EPS 1Y (TTM)76.38%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-190.38%
Revenue 1Y (TTM)-2.71%
Revenue growth 3Y-2.42%
Revenue growth 5Y1.65%
Sales Q2Q%-3.89%
3.2 Future
VET is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 17.68% yearly.
Based on estimates for the next years, VET will show a small growth in Revenue. The Revenue will grow by 1.11% on average per year.
EPS Next Y201%
EPS Next 2Y19.49%
EPS Next 3Y17.68%
EPS Next 5YN/A
Revenue Next Year-0.72%
Revenue Next 2Y0.43%
Revenue Next 3Y1.21%
Revenue Next 5Y1.11%
3.3 Evolution
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
The Price/Earnings Ratio is negative for VET. In the last year negative earnings were reported.
Besides the negative Price/Earnings Ratio, also the Forward Price/Earnings Ratio is negative for VET. No positive earnings are expected for the next year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | N/A |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, VET is valued cheaper than 89.35% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 3.77 |
4.3 Compensation for Growth
VET's earnings are expected to grow with 17.68% in the coming years. This may justify a more expensive valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y19.49%
EPS Next 3Y17.68%
5. Dividend
5.1 Amount
VET has a Yearly Dividend Yield of 4.44%, which is a nice return.
VET's Dividend Yield is a higher than the industry average which is at 7.62.
VET's Dividend Yield is rather good when compared to the S&P500 average which is at 2.41.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.44% |
5.2 History
The dividend of VET decreases each year by -28.87%.
VET has paid a dividend for at least 10 years, which is a reliable track record.
VET has decreased its dividend in the last 3 years.
Dividend Growth(5Y)-28.87%
Div Incr Years2
Div Non Decr Years2
5.3 Sustainability
VET has negative earnings and hence a negative payout ratio. The dividend may be in danger.
DP-41.15%
EPS Next 2Y19.49%
EPS Next 3Y17.68%
TSX:VET (10/1/2025, 7:00:00 PM)
11.17
+0.3 (+2.76%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)
Earnings (Next)
Inst Owners52.7%
Inst Owner ChangeN/A
Ins Owners0.63%
Ins Owner ChangeN/A
Market Cap1.72B
Analysts73.33
Price Target13.86 (24.08%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.44% |
Yearly Dividend0.46
Dividend Growth(5Y)-28.87%
DP-41.15%
Div Incr Years2
Div Non Decr Years2
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-913.49%
Min EPS beat(2)-1768.81%
Max EPS beat(2)-58.17%
EPS beat(4)0
Avg EPS beat(4)-494.72%
Min EPS beat(4)-1768.81%
Max EPS beat(4)-27.39%
EPS beat(8)0
Avg EPS beat(8)-391.32%
EPS beat(12)3
Avg EPS beat(12)1293.67%
EPS beat(16)5
Avg EPS beat(16)959.91%
Revenue beat(2)0
Avg Revenue beat(2)-15.59%
Min Revenue beat(2)-26.83%
Max Revenue beat(2)-4.34%
Revenue beat(4)0
Avg Revenue beat(4)-11.56%
Min Revenue beat(4)-26.83%
Max Revenue beat(4)-4.34%
Revenue beat(8)0
Avg Revenue beat(8)-12.87%
Revenue beat(12)1
Avg Revenue beat(12)-8.03%
Revenue beat(16)5
Avg Revenue beat(16)1.76%
PT rev (1m)-0.33%
PT rev (3m)1.7%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-90.38%
EPS NY rev (1m)-63.41%
EPS NY rev (3m)13.93%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)5.63%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-18.31%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | N/A | ||
| P/S | 0.9 | ||
| P/FCF | N/A | ||
| P/OCF | 2.24 | ||
| P/B | 0.64 | ||
| P/tB | 0.64 | ||
| EV/EBITDA | 3.77 |
EPS(TTM)-1.2
EYN/A
EPS(NY)-0.17
Fwd EYN/A
FCF(TTM)-6.14
FCFYN/A
OCF(TTM)4.99
OCFY44.7%
SpS12.46
BVpS17.51
TBVpS17.51
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -2.76% | ||
| ROE | -6.87% | ||
| ROCE | 4.32% | ||
| ROIC | 3.11% | ||
| ROICexc | 3.14% | ||
| ROICexgc | 3.14% | ||
| OM | 13.76% | ||
| PM (TTM) | N/A | ||
| GM | 67.97% | ||
| FCFM | N/A |
ROA(3y)4.74%
ROA(5y)-0.65%
ROE(3y)9.7%
ROE(5y)-15.85%
ROIC(3y)9.77%
ROIC(5y)N/A
ROICexc(3y)9.85%
ROICexc(5y)N/A
ROICexgc(3y)9.85%
ROICexgc(5y)N/A
ROCE(3y)13.57%
ROCE(5y)N/A
ROICexcg growth 3Y-31.83%
ROICexcg growth 5Y4.7%
ROICexc growth 3Y-31.83%
ROICexc growth 5Y4.7%
OM growth 3Y-29.16%
OM growth 5Y2.82%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-3.52%
GM growth 5Y0.95%
F-Score6
Asset Turnover0.29
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.74 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 2.07 | ||
| Cap/Depr | 243.19% | ||
| Cap/Sales | 89.36% | ||
| Interest Coverage | 2.26 | ||
| Cash Conversion | 79.35% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.94 | ||
| Quick Ratio | 1.84 | ||
| Altman-Z | 0.46 |
F-Score6
WACC8.31%
ROIC/WACC0.37
Cap/Depr(3y)126.62%
Cap/Depr(5y)107.23%
Cap/Sales(3y)33.7%
Cap/Sales(5y)32.07%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)76.38%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-190.38%
EPS Next Y201%
EPS Next 2Y19.49%
EPS Next 3Y17.68%
EPS Next 5YN/A
Revenue 1Y (TTM)-2.71%
Revenue growth 3Y-2.42%
Revenue growth 5Y1.65%
Sales Q2Q%-3.89%
Revenue Next Year-0.72%
Revenue Next 2Y0.43%
Revenue Next 3Y1.21%
Revenue Next 5Y1.11%
EBIT growth 1Y11.23%
EBIT growth 3Y-30.87%
EBIT growth 5Y4.51%
EBIT Next Year48.51%
EBIT Next 3Y14.27%
EBIT Next 5Y15.47%
FCF growth 1Y-237.3%
FCF growth 3Y0.4%
FCF growth 5Y4.86%
OCF growth 1Y-48.97%
OCF growth 3Y5.06%
OCF growth 5Y3.28%