25.93 USD
-0.02 (-0.08%)
26.05 USD
+0.12 (+0.46%)
Overall APA gets a fundamental rating of 6 out of 10. We evaluated APA against 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. APA is valued quite cheap, while showing a decent growth score. This is a good combination! APA also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
APA had positive earnings in the past year.
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
APA has a Return On Assets of 8.53%. This is amongst the best in the industry. APA outperforms 86.06% of its industry peers.
Looking at the Return On Equity, with a value of 25.30%, APA belongs to the top of the industry, outperforming 91.35% of the companies in the same industry.
With an excellent Return On Invested Capital value of 14.25%, APA belongs to the best of the industry, outperforming 92.31% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for APA is above the industry average of 20.87%.
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 66.83% of its industry peers.
APA's Profit Margin has declined in the last couple of years.
With a decent Operating Margin value of 30.75%, APA is doing good in the industry, outperforming 75.48% of the companies in the same industry.
APA's Operating Margin has improved in the last couple of years.
With a decent Gross Margin value of 69.21%, APA is doing good in the industry, outperforming 77.88% of the companies in the same industry.
APA's Gross Margin has been stable in the last couple of years.
| 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
APA has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
Compared to 1 year ago, APA has more shares outstanding
Compared to 5 years ago, APA has less shares outstanding
APA has a better debt/assets ratio than last year.
2.2 Solvency
APA has an Altman-Z score of 1.45. 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 of 1.45. This is comparable to the rest of the industry: APA outperforms 54.81% of its industry peers.
The Debt to FCF ratio of APA is 0.94, which is an excellent value as it means it would take APA, only 0.94 years of fcf income to pay off all of its debts.
APA has a better Debt to FCF ratio (0.94) than 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 has a Debt to Equity ratio of 0.72. This is in the lower half of the industry: APA underperforms 63.94% of its industry peers.
Although APA does not score too well on debt/equity it has very limited outstanding debt, which is well covered by the FCF. We will not put too much weight on the debt/equity number as it may be because of low equity, which could be a consequence of a share buyback program for instance. This needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.72 | ||
| Debt/FCF | 0.94 | ||
| Altman-Z | 1.45 |
ROIC/WACC1.72
WACC8.27%
2.3 Liquidity
APA has a Current Ratio of 0.78. This is a bad value and indicates that APA is not financially healthy enough and could expect problems in meeting its short term obligations.
APA has a worse Current ratio (0.78) than 69.71% of its industry peers.
A Quick Ratio of 0.63 indicates that APA may have some problems paying its short term obligations.
Looking at the Quick ratio, with a value of 0.63, APA is doing worse than 69.71% of the companies in the same industry.
| 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%.
Measured over the past years, APA shows a very strong growth in Earnings Per Share. The EPS has been growing by 245758.95% on average per year.
APA shows a small growth in Revenue. In the last year, the Revenue has grown by 4.88%.
Measured over the past years, APA shows a quite strong growth in Revenue. The Revenue has been growing by 8.45% on average per year.
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 quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 10.32% yearly.
The Revenue is expected to grow by 0.39% on average over the next years.
EPS Next Y-3.51%
EPS Next 2Y-11.99%
EPS Next 3Y-4.4%
EPS Next 5Y10.32%
Revenue Next Year2.72%
Revenue Next 2Y-5.78%
Revenue Next 3Y-1.96%
Revenue Next 5Y0.39%
3.3 Evolution
The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past 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
With a Price/Earnings ratio of 7.10, the valuation of APA can be described as very cheap.
Based on the Price/Earnings ratio, APA is valued cheaper than 88.94% of the companies in the same industry.
When comparing the Price/Earnings ratio of APA to the average of the S&P500 Index (26.56), we can say APA is valued rather cheaply.
Based on the Price/Forward Earnings ratio of 8.95, the valuation of APA can be described as reasonable.
Based on the Price/Forward Earnings ratio, APA is valued cheaply inside the industry as 80.29% of the companies are valued more expensively.
When comparing the Price/Forward Earnings ratio of APA to the average of the S&P500 Index (23.79), we can say APA is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.1 | ||
| Fwd PE | 8.95 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, APA is valued cheaply inside the industry as 94.23% 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 | 1.93 | ||
| EV/EBITDA | 2.47 |
4.3 Compensation for Growth
The excellent profitability rating of APA may justify a higher PE ratio.
APA's earnings are expected to decrease with -4.40% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)0
EPS Next 2Y-11.99%
EPS Next 3Y-4.4%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 3.85%, APA has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 3.83, APA pays a bit more dividend than its industry peers.
Compared to an average S&P500 Dividend Yield of 1.87, APA pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.85% |
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
APA pays out 24.12% of its income as dividend. This is a sustainable payout ratio.
The dividend of APA is growing, but earnings are growing more, so the dividend growth is sustainable.
DP24.12%
EPS Next 2Y-11.99%
EPS Next 3Y-4.4%
25.93
-0.02 (-0.08%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)
Earnings (Next)
Inst Owners99.18%
Inst Owner Change0.96%
Ins Owners0.2%
Ins Owner Change0%
Market Cap9.20B
Revenue(TTM)9.64B
Net Income(TTM)1.51B
Analysts64
Price Target26 (0.27%)
Short Float %9.76%
Short Ratio4.67
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.85% |
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)3.11%
PT rev (3m)6.1%
EPS NQ rev (1m)-5.26%
EPS NQ rev (3m)-5.23%
EPS NY rev (1m)1.78%
EPS NY rev (3m)6.61%
Revenue NQ rev (1m)-2.07%
Revenue NQ rev (3m)-6.04%
Revenue NY rev (1m)-1.08%
Revenue NY rev (3m)-1.89%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.1 | ||
| Fwd PE | 8.95 | ||
| P/S | 0.95 | ||
| P/FCF | 1.93 | ||
| P/OCF | 1.93 | ||
| P/B | 1.54 | ||
| P/tB | 1.54 | ||
| EV/EBITDA | 2.47 |
EPS(TTM)3.65
EY14.08%
EPS(NY)2.9
Fwd EY11.17%
FCF(TTM)13.4
FCFY51.69%
OCF(TTM)13.46
OCFY51.9%
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 | 1.45 |
F-Score6
WACC8.27%
ROIC/WACC1.72
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-3.51%
EPS Next 2Y-11.99%
EPS Next 3Y-4.4%
EPS Next 5Y10.32%
Revenue 1Y (TTM)4.88%
Revenue growth 3Y6.84%
Revenue growth 5Y8.45%
Sales Q2Q%2.77%
Revenue Next Year2.72%
Revenue Next 2Y-5.78%
Revenue Next 3Y-1.96%
Revenue Next 5Y0.39%
EBIT growth 1Y-9.93%
EBIT growth 3Y5.9%
EBIT growth 5Y26.21%
EBIT Next Year51.59%
EBIT Next 3Y12.77%
EBIT Next 5Y9.62%
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 of APA CORP (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.
Can you provide the expected EPS growth for APA stock?
The Earnings per Share (EPS) of APA CORP (APA) is expected to decline by -3.51% in the next year.
Is the dividend of APA CORP sustainable?
The dividend rating of APA CORP (APA) is 7 / 10 and the dividend payout ratio is 24.12%.