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WHITECAP RESOURCES INC (WCP.CA) Stock Fundamental Analysis

TSX:WCP - Toronto Stock Exchange - CA96467A2002 - Common Stock - Currency: CAD

9.72  -0.01 (-0.1%)

Fundamental Rating

6

Taking everything into account, WCP scores 6 out of 10 in our fundamental rating. WCP was compared to 221 industry peers in the Oil, Gas & Consumable Fuels industry. WCP has an excellent profitability rating, but there are some minor concerns on its financial health. WCP is valued quite cheap, while showing a decent growth score. This is a good combination! WCP also has an excellent dividend rating. These ratings could make WCP a good candidate for value and dividend investing.


Dividend Valuation Growth Profitability Health

8

1. Profitability

1.1 Basic Checks

WCP had positive earnings in the past year.
In the past year WCP had a positive cash flow from operations.
In multiple years WCP reported negative net income over the last 5 years.
In the past 5 years WCP always reported a positive cash flow from operatings.
WCP.CA Yearly Net Income VS EBIT VS OCF VS FCFWCP.CA Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2015 2016 2017 2018 2019 2020 2021 2022 2023 0 1B -1B 2B

1.2 Ratios

With an excellent Return On Assets value of 8.92%, WCP belongs to the best of the industry, outperforming 88.89% of the companies in the same industry.
With an excellent Return On Equity value of 15.58%, WCP belongs to the best of the industry, outperforming 85.02% of the companies in the same industry.
Looking at the Return On Invested Capital, with a value of 8.11%, WCP belongs to the top of the industry, outperforming 80.19% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for WCP is above the industry average of 7.73%.
Industry RankSector Rank
ROA 8.92%
ROE 15.58%
ROIC 8.11%
ROA(3y)17.56%
ROA(5y)-0.96%
ROE(3y)32.31%
ROE(5y)-18.69%
ROIC(3y)11.35%
ROIC(5y)7.29%
WCP.CA Yearly ROA, ROE, ROICWCP.CA Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2015 2016 2017 2018 2019 2020 2021 2022 2023 0 -50 -100 -150

1.3 Margins

WCP has a better Profit Margin (26.47%) than 86.47% of its industry peers.
In the last couple of years the Profit Margin of WCP has grown nicely.
The Operating Margin of WCP (29.30%) is better than 79.23% of its industry peers.
WCP's Operating Margin has improved in the last couple of years.
WCP has a Gross Margin of 74.13%. This is amongst the best in the industry. WCP outperforms 87.44% of its industry peers.
WCP's Gross Margin has been stable in the last couple of years.
Industry RankSector Rank
OM 29.3%
PM (TTM) 26.47%
GM 74.13%
OM growth 3Y170.47%
OM growth 5Y2.27%
PM growth 3YN/A
PM growth 5Y40.95%
GM growth 3Y6.1%
GM growth 5Y-0.02%
WCP.CA Yearly Profit, Operating, Gross MarginsWCP.CA Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2015 2016 2017 2018 2019 2020 2021 2022 2023 0 -100 -200

5

2. Health

2.1 Basic Checks

With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), WCP is creating some value.
The number of shares outstanding for WCP has been reduced compared to 1 year ago.
The number of shares outstanding for WCP has been increased compared to 5 years ago.
Compared to 1 year ago, WCP has an improved debt to assets ratio.
WCP.CA Yearly Shares OutstandingWCP.CA Yearly Shares OutstandingYearly Shares Outstanding 2015 2016 2017 2018 2019 2020 2021 2022 2023 200M 400M 600M
WCP.CA Yearly Total Debt VS Total AssetsWCP.CA Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2015 2016 2017 2018 2019 2020 2021 2022 2023 2B 4B 6B 8B

2.2 Solvency

Based on the Altman-Z score of 1.59, we must say that WCP is in the distress zone and has some risk of bankruptcy.
WCP's Altman-Z score of 1.59 is fine compared to the rest of the industry. WCP outperforms 64.73% of its industry peers.
The Debt to FCF ratio of WCP is 1.88, which is an excellent value as it means it would take WCP, only 1.88 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of WCP (1.88) is better than 85.02% of its industry peers.
WCP has a Debt/Equity ratio of 0.21. This is a healthy value indicating a solid balance between debt and equity.
With a Debt to Equity ratio value of 0.21, WCP perfoms like the industry average, outperforming 57.97% of the companies in the same industry.
Industry RankSector Rank
Debt/Equity 0.21
Debt/FCF 1.88
Altman-Z 1.59
ROIC/WACC1.14
WACC7.14%
WCP.CA Yearly LT Debt VS Equity VS FCFWCP.CA Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2015 2016 2017 2018 2019 2020 2021 2022 2023 0 2B 4B

2.3 Liquidity

WCP has a Current Ratio of 0.88. This is a bad value and indicates that WCP is not financially healthy enough and could expect problems in meeting its short term obligations.
WCP has a Current ratio (0.88) which is comparable to the rest of the industry.
WCP has a Quick Ratio of 0.88. This is a bad value and indicates that WCP is not financially healthy enough and could expect problems in meeting its short term obligations.
WCP has a Quick ratio (0.88) which is in line with its industry peers.
Industry RankSector Rank
Current Ratio 0.88
Quick Ratio 0.88
WCP.CA Yearly Current Assets VS Current LiabilitesWCP.CA Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2015 2016 2017 2018 2019 2020 2021 2022 2023 200M 400M 600M 800M

5

3. Growth

3.1 Past

The earnings per share for WCP have decreased by -2.01% in the last year.
WCP shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 53.74% yearly.
WCP shows a decrease in Revenue. In the last year, the revenue decreased by -2.90%.
Measured over the past years, WCP shows a quite strong growth in Revenue. The Revenue has been growing by 19.68% on average per year.
EPS 1Y (TTM)-2.01%
EPS 3YN/A
EPS 5Y53.74%
EPS Q2Q%84%
Revenue 1Y (TTM)-2.9%
Revenue growth 3Y58.52%
Revenue growth 5Y19.68%
Sales Q2Q%-6.31%

3.2 Future

WCP is expected to show a very negative growth in Earnings Per Share. In the coming years, the EPS will decrease by -14.42% yearly.
The Revenue is expected to grow by 20.03% on average over the next years. This is a very strong growth
EPS Next Y-7.14%
EPS Next 2Y1.77%
EPS Next 3Y-14.42%
EPS Next 5YN/A
Revenue Next Year97.12%
Revenue Next 2Y41.83%
Revenue Next 3Y24.19%
Revenue Next 5Y20.03%

3.3 Evolution

The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
WCP.CA Yearly Revenue VS EstimatesWCP.CA Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 1B 2B 3B 4B
WCP.CA Yearly EPS VS EstimatesWCP.CA Yearly EPS VS EstimatesYearly EPS VS Estimates 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 0 2 -2 -4

7

4. Valuation

4.1 Price/Earnings Ratio

The Price/Earnings ratio is 6.66, which indicates a rather cheap valuation of WCP.
Based on the Price/Earnings ratio, WCP is valued cheaper than 86.47% of the companies in the same industry.
WCP's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 30.19.
WCP is valuated cheaply with a Price/Forward Earnings ratio of 6.43.
Compared to the rest of the industry, the Price/Forward Earnings ratio of WCP indicates a somewhat cheap valuation: WCP is cheaper than 77.29% of the companies listed in the same industry.
WCP's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 23.58.
Industry RankSector Rank
PE 6.66
Fwd PE 6.43
WCP.CA Price Earnings VS Forward Price EarningsWCP.CA Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 10 20 30

4.2 Price Multiples

WCP's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. WCP is cheaper than 85.02% of the companies in the same industry.
71.50% of the companies in the same industry are more expensive than WCP, based on the Price/Free Cash Flow ratio.
Industry RankSector Rank
P/FCF 8.85
EV/EBITDA 3.61
WCP.CA Per share dataWCP.CA EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 2 4 6 8

4.3 Compensation for Growth

WCP has an outstanding profitability rating, which may justify a higher PE ratio.
WCP's earnings are expected to decrease with -14.42% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)0.12
EPS Next 2Y1.77%
EPS Next 3Y-14.42%

7

5. Dividend

5.1 Amount

With a Yearly Dividend Yield of 7.50%, WCP is a good candidate for dividend investing.
WCP's Dividend Yield is rather good when compared to the industry average which is at 6.30. WCP pays more dividend than 93.72% of the companies in the same industry.
WCP's Dividend Yield is rather good when compared to the S&P500 average which is at 2.30.
Industry RankSector Rank
Dividend Yield 7.5%

5.2 History

The dividend of WCP is nicely growing with an annual growth rate of 14.21%!
WCP has paid a dividend for at least 10 years, which is a reliable track record.
WCP has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)14.21%
Div Incr Years3
Div Non Decr Years3
WCP.CA Yearly Dividends per shareWCP.CA Yearly Dividends per shareYearly Dividends per share 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0.2 0.4 0.6

5.3 Sustainability

49.70% of the earnings are spent on dividend by WCP. This is a bit on the high side, but may be sustainable.
DP49.7%
EPS Next 2Y1.77%
EPS Next 3Y-14.42%
WCP.CA Yearly Income VS Free CF VS DividendWCP.CA Yearly Income VS Free CF VS DividendYearly Income VS Free CF VS Dividend 2015 2016 2017 2018 2019 2020 2021 2022 2023 0 1B -1B
WCP.CA Dividend Payout.WCP.CA Dividend Payout, showing the Payout Ratio.WCP.CA Dividend Payout.PayoutRetained Earnings

WHITECAP RESOURCES INC

TSX:WCP (2/14/2025, 7:00:00 PM)

9.72

-0.01 (-0.1%)

Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)10-23 2024-10-23/bmo
Earnings (Next)02-19 2025-02-19
Inst Owners24.16%
Inst Owner ChangeN/A
Ins Owners0.92%
Ins Owner ChangeN/A
Market Cap5.71B
Analysts77.78
Price Target13.84 (42.39%)
Short Float %N/A
Short RatioN/A
Dividend
Industry RankSector Rank
Dividend Yield 7.5%
Yearly Dividend0.62
Dividend Growth(5Y)14.21%
DP49.7%
Div Incr Years3
Div Non Decr Years3
Ex-Date01-31 2025-01-31 (0.0608)
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)14.78%
Min EPS beat(2)5.9%
Max EPS beat(2)23.65%
EPS beat(4)3
Avg EPS beat(4)3.09%
Min EPS beat(4)-71.19%
Max EPS beat(4)54.02%
EPS beat(8)6
Avg EPS beat(8)7.08%
EPS beat(12)9
Avg EPS beat(12)7.73%
EPS beat(16)11
Avg EPS beat(16)202.95%
Revenue beat(2)2
Avg Revenue beat(2)9.31%
Min Revenue beat(2)7.28%
Max Revenue beat(2)11.34%
Revenue beat(4)N/A
Avg Revenue beat(4)N/A
Min Revenue beat(4)N/A
Max Revenue beat(4)N/A
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
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)0.26%
PT rev (3m)0.1%
EPS NQ rev (1m)6.67%
EPS NQ rev (3m)6.67%
EPS NY rev (1m)-0.57%
EPS NY rev (3m)5.56%
Revenue NQ rev (1m)13.25%
Revenue NQ rev (3m)13.73%
Revenue NY rev (1m)0%
Revenue NY rev (3m)1.57%
Valuation
Industry RankSector Rank
PE 6.66
Fwd PE 6.43
P/S 1.72
P/FCF 8.85
P/OCF 3.02
P/B 1.01
P/tB 1.01
EV/EBITDA 3.61
EPS(TTM)1.46
EY15.02%
EPS(NY)1.51
Fwd EY15.56%
FCF(TTM)1.1
FCFY11.29%
OCF(TTM)3.22
OCFY33.1%
SpS5.64
BVpS9.58
TBVpS9.58
PEG (NY)N/A
PEG (5Y)0.12
Profitability
Industry RankSector Rank
ROA 8.92%
ROE 15.58%
ROCE 10.72%
ROIC 8.11%
ROICexc 8.11%
ROICexgc 8.11%
OM 29.3%
PM (TTM) 26.47%
GM 74.13%
FCFM 19.47%
ROA(3y)17.56%
ROA(5y)-0.96%
ROE(3y)32.31%
ROE(5y)-18.69%
ROIC(3y)11.35%
ROIC(5y)7.29%
ROICexc(3y)11.35%
ROICexc(5y)7.29%
ROICexgc(3y)11.35%
ROICexgc(5y)7.3%
ROCE(3y)15.01%
ROCE(5y)9.64%
ROICexcg growth 3Y203.85%
ROICexcg growth 5Y11.46%
ROICexc growth 3Y203.85%
ROICexc growth 5Y11.94%
OM growth 3Y170.47%
OM growth 5Y2.27%
PM growth 3YN/A
PM growth 5Y40.95%
GM growth 3Y6.1%
GM growth 5Y-0.02%
F-Score6
Asset Turnover0.34
Health
Industry RankSector Rank
Debt/Equity 0.21
Debt/FCF 1.88
Debt/EBITDA 0.63
Cap/Depr 131.33%
Cap/Sales 37.59%
Interest Coverage 12.92
Cash Conversion 98.51%
Profit Quality 73.55%
Current Ratio 0.88
Quick Ratio 0.88
Altman-Z 1.59
F-Score6
WACC7.14%
ROIC/WACC1.14
Cap/Depr(3y)106.18%
Cap/Depr(5y)91.75%
Cap/Sales(3y)25.7%
Cap/Sales(5y)27.85%
Profit Quality(3y)63.36%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-2.01%
EPS 3YN/A
EPS 5Y53.74%
EPS Q2Q%84%
EPS Next Y-7.14%
EPS Next 2Y1.77%
EPS Next 3Y-14.42%
EPS Next 5YN/A
Revenue 1Y (TTM)-2.9%
Revenue growth 3Y58.52%
Revenue growth 5Y19.68%
Sales Q2Q%-6.31%
Revenue Next Year97.12%
Revenue Next 2Y41.83%
Revenue Next 3Y24.19%
Revenue Next 5Y20.03%
EBIT growth 1Y-16.76%
EBIT growth 3Y328.74%
EBIT growth 5Y22.39%
EBIT Next Year180.01%
EBIT Next 3Y40.8%
EBIT Next 5YN/A
FCF growth 1Y-48.39%
FCF growth 3Y35.38%
FCF growth 5Y19.62%
OCF growth 1Y-3.4%
OCF growth 3Y57.01%
OCF growth 5Y19.07%