25.2 USD
-0.17 (-0.67%)
25.1707 USD
-0.03 (-0.12%)
We assign a fundamental rating of 6 out of 10 to APA. APA was compared to 208 industry peers in the Oil, Gas & Consumable Fuels industry. While APA belongs to the best of the industry regarding profitability, there are some minor concerns on its financial health. A decent growth rate in combination with a cheap valuation! Better keep an eye on APA. APA also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
In the past year APA was profitable.
In the past year APA had a positive cash flow from operations.
Of the past 5 years APA 4 years were profitable.
APA had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
Looking at the Return On Assets, with a value of 8.53%, APA belongs to the top of the industry, outperforming 85.58% of the companies in the same industry.
APA's Return On Equity of 25.30% is amongst the best of the industry. APA outperforms 90.87% of its industry peers.
The Return On Invested Capital of APA (14.25%) is better than 92.31% of its industry peers.
The Average Return On Invested Capital over the past 3 years for APA is in line with the industry average of 21.83%.
The 3 year average ROIC (23.28%) for APA is well above the current ROIC(14.25%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.53% | ||
| ROE | 25.3% | ||
| ROIC | 14.25% |
ROA(3y)16.94%
ROA(5y)4%
ROE(3y)330.44%
ROE(5y)N/A
ROIC(3y)23.28%
ROIC(5y)17.78%
1.3 Margins
APA has a better Profit Margin (15.65%) than 67.31% of its industry peers.
In the last couple of years the Profit Margin of APA has declined.
APA has a better Operating Margin (30.75%) than 75.96% of its industry peers.
In the last couple of years the Operating Margin of APA has grown nicely.
Looking at the Gross Margin, with a value of 69.21%, APA is in the better half of the industry, outperforming 76.92% of the companies in the same industry.
In the last couple of years the Gross Margin of APA has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 30.75% | ||
| PM (TTM) | 15.65% | ||
| GM | 69.21% |
OM growth 3Y-0.88%
OM growth 5Y16.38%
PM growth 3Y-12.17%
PM growth 5YN/A
GM growth 3Y3.59%
GM growth 5Y-0.98%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), APA is creating value.
Compared to 1 year ago, APA has more shares outstanding
The number of shares outstanding for APA has been reduced compared to 5 years ago.
APA has a better debt/assets ratio than last year.
2.2 Solvency
APA has an Altman-Z score of 1.44. This is a bad value and indicates that APA is not financially healthy and even has some risk of bankruptcy.
APA has a Altman-Z score (1.44) which is in line with its industry peers.
APA has a debt to FCF ratio of 0.94. This is a very positive value and a sign of high solvency as it would only need 0.94 years to pay back of all of its debts.
APA's Debt to FCF ratio of 0.94 is amongst the best of the industry. APA outperforms 88.46% of its industry peers.
APA has a Debt/Equity ratio of 0.72. This is a neutral value indicating APA is somewhat dependend on debt financing.
APA's Debt to Equity ratio of 0.72 is on the low side compared to the rest of the industry. APA is outperformed by 62.02% of its industry peers.
Even though the debt/equity ratio score it not favorable for APA, it has very limited outstanding debt, so we won't put too much weight on the DE evaluation.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.72 | ||
| Debt/FCF | 0.94 | ||
| Altman-Z | 1.44 |
ROIC/WACC1.77
WACC8.07%
2.3 Liquidity
A Current Ratio of 0.78 indicates that APA may have some problems paying its short term obligations.
APA's Current ratio of 0.78 is on the low side compared to the rest of the industry. APA is outperformed by 68.75% of its industry peers.
A Quick Ratio of 0.63 indicates that APA may have some problems paying its short term obligations.
APA has a Quick ratio of 0.63. This is in the lower half of the industry: APA underperforms 68.27% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.78 | ||
| Quick Ratio | 0.63 |
3. Growth
3.1 Past
APA shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -10.98%.
The Earnings Per Share has been growing by 245758.95% on average over the past years. This is a very strong growth
APA shows a small growth in Revenue. In the last year, the Revenue has grown by 4.88%.
APA shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 8.45% yearly.
EPS 1Y (TTM)-10.98%
EPS 3Y-1.22%
EPS 5Y245758.95%
EPS Q2Q%-7%
Revenue 1Y (TTM)4.88%
Revenue growth 3Y6.84%
Revenue growth 5Y8.45%
Sales Q2Q%2.77%
3.2 Future
APA is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 7.84% yearly.
APA is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 0.39% yearly.
EPS Next Y-3.42%
EPS Next 2Y-12.69%
EPS Next 3Y-4.87%
EPS Next 5Y7.84%
Revenue Next Year3.36%
Revenue Next 2Y-6.02%
Revenue Next 3Y-2.14%
Revenue Next 5Y0.39%
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 decreasing.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
APA is valuated cheaply with a Price/Earnings ratio of 6.90.
88.46% of the companies in the same industry are more expensive than APA, based on the Price/Earnings ratio.
APA is valuated cheaply when we compare the Price/Earnings ratio to 27.19, which is the current average of the S&P500 Index.
APA is valuated reasonably with a Price/Forward Earnings ratio of 8.84.
APA's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. APA is cheaper than 79.81% of the companies in the same industry.
APA is valuated cheaply when we compare the Price/Forward Earnings ratio to 23.92, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.9 | ||
| Fwd PE | 8.84 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, APA is valued cheaply inside the industry as 95.67% of the companies are valued more expensively.
98.56% of the companies in the same industry are more expensive than APA, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 1.88 | ||
| EV/EBITDA | 2.42 |
4.3 Compensation for Growth
The decent profitability rating of APA may justify a higher PE ratio.
APA's earnings are expected to decrease with -4.87% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)0
EPS Next 2Y-12.69%
EPS Next 3Y-4.87%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 3.94%, APA has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 3.91, APA pays a bit more dividend than its industry peers.
Compared to an average S&P500 Dividend Yield of 1.92, APA pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.94% |
5.2 History
The dividend of APA has a limited annual growth rate of 1.06%.
APA has been paying a dividend for at least 10 years, so it has a reliable track record.
APA has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)1.06%
Div Incr Years0
Div Non Decr Years3
5.3 Sustainability
24.12% of the earnings are spent on dividend by APA. This is a low number and sustainable payout ratio.
APA's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP24.12%
EPS Next 2Y-12.69%
EPS Next 3Y-4.87%
25.2
-0.17 (-0.67%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)
Earnings (Next)
Inst Owners99.46%
Inst Owner Change0.1%
Ins Owners0.19%
Ins Owner Change0.06%
Market Cap8.94B
Revenue(TTM)9.64B
Net Income(TTM)1.51B
Analysts64.71
Price Target26.33 (4.48%)
Short Float %9.12%
Short Ratio4.84
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.94% |
Yearly Dividend1.06
Dividend Growth(5Y)1.06%
DP24.12%
Div Incr Years0
Div Non Decr Years3
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)48.1%
Min EPS beat(2)16.68%
Max EPS beat(2)79.53%
EPS beat(4)3
Avg EPS beat(4)25.8%
Min EPS beat(4)-19.51%
Max EPS beat(4)79.53%
EPS beat(8)4
Avg EPS beat(8)11.4%
EPS beat(12)8
Avg EPS beat(12)12.67%
EPS beat(16)10
Avg EPS beat(16)8.65%
Revenue beat(2)2
Avg Revenue beat(2)13.62%
Min Revenue beat(2)1.54%
Max Revenue beat(2)25.7%
Revenue beat(4)2
Avg Revenue beat(4)2.21%
Min Revenue beat(4)-12.36%
Max Revenue beat(4)25.7%
Revenue beat(8)3
Avg Revenue beat(8)-3.93%
Revenue beat(12)6
Avg Revenue beat(12)-0.81%
Revenue beat(16)10
Avg Revenue beat(16)3.56%
PT rev (1m)1.26%
PT rev (3m)7.11%
EPS NQ rev (1m)0.24%
EPS NQ rev (3m)-4.45%
EPS NY rev (1m)0.09%
EPS NY rev (3m)2.36%
Revenue NQ rev (1m)0.4%
Revenue NQ rev (3m)-4.58%
Revenue NY rev (1m)0.62%
Revenue NY rev (3m)-1.45%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.9 | ||
| Fwd PE | 8.84 | ||
| P/S | 0.93 | ||
| P/FCF | 1.88 | ||
| P/OCF | 1.87 | ||
| P/B | 1.5 | ||
| P/tB | 1.5 | ||
| EV/EBITDA | 2.42 |
EPS(TTM)3.65
EY14.48%
EPS(NY)2.85
Fwd EY11.31%
FCF(TTM)13.4
FCFY53.19%
OCF(TTM)13.46
OCFY53.4%
SpS27.18
BVpS16.82
TBVpS16.82
PEG (NY)N/A
PEG (5Y)0
Graham Number37.16
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.53% | ||
| ROE | 25.3% | ||
| ROCE | 19.57% | ||
| ROIC | 14.25% | ||
| ROICexc | 14.71% | ||
| ROICexgc | 14.71% | ||
| OM | 30.75% | ||
| PM (TTM) | 15.65% | ||
| GM | 69.21% | ||
| FCFM | 49.31% |
ROA(3y)16.94%
ROA(5y)4%
ROE(3y)330.44%
ROE(5y)N/A
ROIC(3y)23.28%
ROIC(5y)17.78%
ROICexc(3y)23.81%
ROICexc(5y)18.21%
ROICexgc(3y)23.81%
ROICexgc(5y)18.21%
ROCE(3y)31.97%
ROCE(5y)24.42%
ROICexgc growth 3Y-6.49%
ROICexgc growth 5Y26.52%
ROICexc growth 3Y-6.49%
ROICexc growth 5Y26.52%
OM growth 3Y-0.88%
OM growth 5Y16.38%
PM growth 3Y-12.17%
PM growth 5YN/A
GM growth 3Y3.59%
GM growth 5Y-0.98%
F-Score6
Asset Turnover0.54
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.72 | ||
| Debt/FCF | 0.94 | ||
| Debt/EBITDA | 0.8 | ||
| Cap/Depr | 0.79% | ||
| Cap/Sales | 0.2% | ||
| Interest Coverage | 9.29 | ||
| Cash Conversion | 89.12% | ||
| Profit Quality | 315.04% | ||
| Current Ratio | 0.78 | ||
| Quick Ratio | 0.63 | ||
| Altman-Z | 1.44 |
F-Score6
WACC8.07%
ROIC/WACC1.77
Cap/Depr(3y)158.67%
Cap/Depr(5y)126.26%
Cap/Sales(3y)26.67%
Cap/Sales(5y)24.66%
Profit Quality(3y)61.5%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-10.98%
EPS 3Y-1.22%
EPS 5Y245758.95%
EPS Q2Q%-7%
EPS Next Y-3.42%
EPS Next 2Y-12.69%
EPS Next 3Y-4.87%
EPS Next 5Y7.84%
Revenue 1Y (TTM)4.88%
Revenue growth 3Y6.84%
Revenue growth 5Y8.45%
Sales Q2Q%2.77%
Revenue Next Year3.36%
Revenue Next 2Y-6.02%
Revenue Next 3Y-2.14%
Revenue Next 5Y0.39%
EBIT growth 1Y-9.93%
EBIT growth 3Y5.9%
EBIT growth 5Y26.21%
EBIT Next Year51.85%
EBIT Next 3Y12.59%
EBIT Next 5Y12.12%
FCF growth 1Y334.95%
FCF growth 3Y-33.24%
FCF growth 5YN/A
OCF growth 1Y35.91%
OCF growth 3Y1.17%
OCF growth 5Y4.77%
APA CORP / APA FAQ
Can you provide the ChartMill fundamental rating for APA CORP?
ChartMill assigns a fundamental rating of 6 / 10 to APA.
What is the valuation status for APA stock?
ChartMill assigns a valuation rating of 8 / 10 to APA CORP (APA). This can be considered as Undervalued.
Can you provide the profitability details for APA CORP?
APA CORP (APA) has a profitability rating of 8 / 10.
What is the valuation of APA CORP based on its PE and PB ratios?
The Price/Earnings (PE) ratio for APA CORP (APA) is 6.9 and the Price/Book (PB) ratio is 1.5.
Can you provide the expected EPS growth for APA stock?
The Earnings per Share (EPS) of APA CORP (APA) is expected to decline by -3.42% in the next year.