BAYTEX ENERGY CORP (BTE.CA) Stock Fundamental Analysis
TSX:BTE - Toronto Stock Exchange - CA07317Q1054 - Common Stock - Currency: CAD
We assign a fundamental rating of 5 out of 10 to BTE. BTE was compared to 221 industry peers in the Oil, Gas & Consumable Fuels industry. BTE has an average financial health and profitability rating. BTE may be a bit undervalued, certainly considering the very reasonable score on growth
1. Profitability
1.1 Basic Checks
In the past year BTE was profitable.
BTE had a positive operating cash flow in the past year.
The reported net income has been mixed in the past 5 years: BTE reported negative net income in multiple years.
In the past 5 years BTE always reported a positive cash flow from operatings.
1.2 Ratios
The Return On Assets of BTE (3.05%) is better than 66.52% of its industry peers.
BTE has a Return On Equity (5.67%) which is in line with its industry peers.
BTE has a better Return On Invested Capital (6.79%) than 74.66% of its industry peers.
The Average Return On Invested Capital over the past 3 years for BTE is in line with the industry average of 7.70%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.05% | ||
| ROE | 5.67% | ||
| ROIC | 6.79% |
ROA(3y)5.56%
ROA(5y)-4.3%
ROE(3y)9.27%
ROE(5y)-64.21%
ROIC(3y)8.42%
ROIC(5y)N/A
1.3 Margins
BTE's Profit Margin of 7.11% is in line compared to the rest of the industry. BTE outperforms 59.73% of its industry peers.
BTE's Profit Margin has declined in the last couple of years.
BTE has a better Operating Margin (23.14%) than 75.11% of its industry peers.
In the last couple of years the Operating Margin of BTE has grown nicely.
BTE has a better Gross Margin (80.36%) than 93.67% of its industry peers.
BTE's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 23.14% | ||
| PM (TTM) | 7.11% | ||
| GM | 80.36% |
OM growth 3Y-12.27%
OM growth 5Y17.02%
PM growth 3Y-59.31%
PM growth 5YN/A
GM growth 3Y1.18%
GM growth 5Y1.87%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so BTE is still creating some value.
The number of shares outstanding for BTE has been reduced compared to 1 year ago.
The number of shares outstanding for BTE has been increased compared to 5 years ago.
Compared to 1 year ago, BTE has an improved debt to assets ratio.
2.2 Solvency
Based on the Altman-Z score of 0.50, we must say that BTE is in the distress zone and has some risk of bankruptcy.
With a Altman-Z score value of 0.50, BTE perfoms like the industry average, outperforming 52.94% of the companies in the same industry.
BTE has a debt to FCF ratio of 3.84. This is a good value and a sign of high solvency as BTE would need 3.84 years to pay back of all of its debts.
With an excellent Debt to FCF ratio value of 3.84, BTE belongs to the best of the industry, outperforming 81.90% of the companies in the same industry.
A Debt/Equity ratio of 0.54 indicates that BTE is somewhat dependend on debt financing.
BTE's Debt to Equity ratio of 0.54 is in line compared to the rest of the industry. BTE outperforms 44.34% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.54 | ||
| Debt/FCF | 3.84 | ||
| Altman-Z | 0.5 |
ROIC/WACC0.91
WACC7.48%
2.3 Liquidity
BTE has a Current Ratio of 0.78. This is a bad value and indicates that BTE is not financially healthy enough and could expect problems in meeting its short term obligations.
With a Current ratio value of 0.78, BTE perfoms like the industry average, outperforming 55.20% of the companies in the same industry.
BTE has a Quick Ratio of 0.78. This is a bad value and indicates that BTE is not financially healthy enough and could expect problems in meeting its short term obligations.
The Quick ratio of BTE (0.78) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.78 | ||
| Quick Ratio | 0.78 |
3. Growth
3.1 Past
BTE shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 288.28%, which is quite impressive.
BTE shows a very negative growth in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -33.26% yearly.
Looking at the last year, BTE shows a very strong growth in Revenue. The Revenue has grown by 22.71%.
The Revenue has been growing by 17.51% on average over the past years. This is quite good.
EPS 1Y (TTM)288.28%
EPS 3Y-33.26%
EPS 5YN/A
EPS Q2Q%92.32%
Revenue 1Y (TTM)22.71%
Revenue growth 3Y29.61%
Revenue growth 5Y17.51%
Sales Q2Q%25.02%
3.2 Future
Based on estimates for the next years, BTE will show a very negative growth in Earnings Per Share. The EPS will decrease by -14.87% on average per year.
The Revenue is expected to grow by 1.69% on average over the next years.
EPS Next Y28.74%
EPS Next 2Y-25.95%
EPS Next 3Y-14.87%
EPS Next 5YN/A
Revenue Next Year-7.27%
Revenue Next 2Y-3.34%
Revenue Next 3Y-0.07%
Revenue Next 5Y1.69%
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 accelerating.
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 10.43, which indicates a very decent valuation of BTE.
BTE's Price/Earnings ratio is a bit cheaper when compared to the industry. BTE is cheaper than 70.14% of the companies in the same industry.
BTE's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 29.35.
With a Price/Forward Earnings ratio of 8.03, the valuation of BTE can be described as very reasonable.
BTE's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. BTE is cheaper than 65.61% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 22.10. BTE is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.43 | ||
| Fwd PE | 8.03 |
4.2 Price Multiples
BTE's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. BTE is cheaper than 95.48% of the companies in the same industry.
96.38% of the companies in the same industry are more expensive than BTE, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 3.79 | ||
| EV/EBITDA | 2.1 |
4.3 Compensation for Growth
BTE's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
The decent profitability rating of BTE may justify a higher PE ratio.
A cheap valuation may be justified as BTE's earnings are expected to decrease with -14.87% in the coming years.
PEG (NY)0.36
PEG (5Y)N/A
EPS Next 2Y-25.95%
EPS Next 3Y-14.87%
5. Dividend
5.1 Amount
BTE has a Yearly Dividend Yield of 3.19%.
The stock price of BTE dropped by -20.22% in the last 3 months. With lower prices the dividend yield is higher, but it may be a sign investors do not trust the long term dividend.
Compared to an average industry Dividend Yield of 6.64, BTE pays a bit more dividend than its industry peers.
Compared to an average S&P500 Dividend Yield of 2.33, BTE pays a bit more dividend than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.19% |
5.2 History
The dividend of BTE decreases each year by -45.77%.
BTE has paid a dividend for at least 10 years, which is a reliable track record.
The dividend of BTE decreased recently.
Dividend Growth(5Y)-45.77%
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
BTE pays out 30.43% of its income as dividend. This is a sustainable payout ratio.
BTE's earnings and Dividend Rate are declining. This means the current dividend is most likely not sustainable.
DP30.43%
EPS Next 2Y-25.95%
EPS Next 3Y-14.87%
TSX:BTE (3/7/2025, 7:00:00 PM)
2.92
+0.1 (+3.55%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)
Earnings (Next)
Inst Owners27.6%
Inst Owner ChangeN/A
Ins Owners0.84%
Ins Owner ChangeN/A
Market Cap2.25B
Analysts72.86
Price Target5.66 (93.84%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.19% |
Yearly Dividend0.09
Dividend Growth(5Y)-45.77%
DP30.43%
Div Incr Years1
Div Non Decr Years1
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-93.53%
Min EPS beat(2)-158.97%
Max EPS beat(2)-28.09%
EPS beat(4)0
Avg EPS beat(4)-80.78%
Min EPS beat(4)-158.97%
Max EPS beat(4)-19.55%
EPS beat(8)1
Avg EPS beat(8)-94.71%
EPS beat(12)4
Avg EPS beat(12)-23.11%
EPS beat(16)5
Avg EPS beat(16)9.58%
Revenue beat(2)1
Avg Revenue beat(2)1.22%
Min Revenue beat(2)-0.04%
Max Revenue beat(2)2.48%
Revenue beat(4)3
Avg Revenue beat(4)4.07%
Min Revenue beat(4)-0.04%
Max Revenue beat(4)8.33%
Revenue beat(8)5
Avg Revenue beat(8)-1.43%
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)-0.36%
PT rev (3m)-7.5%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-36.67%
EPS NY rev (1m)0%
EPS NY rev (3m)-20%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-3.73%
Revenue NY rev (1m)-1.76%
Revenue NY rev (3m)-3.92%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.43 | ||
| Fwd PE | 8.03 | ||
| P/S | 0.68 | ||
| P/FCF | 3.79 | ||
| P/OCF | 1.18 | ||
| P/B | 0.54 | ||
| P/tB | 0.54 | ||
| EV/EBITDA | 2.1 |
EPS(TTM)0.28
EY9.59%
EPS(NY)0.36
Fwd EY12.45%
FCF(TTM)0.77
FCFY26.35%
OCF(TTM)2.47
OCFY84.68%
SpS4.31
BVpS5.4
TBVpS5.4
PEG (NY)0.36
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.05% | ||
| ROE | 5.67% | ||
| ROCE | 10.72% | ||
| ROIC | 6.79% | ||
| ROICexc | 6.81% | ||
| ROICexgc | 6.81% | ||
| OM | 23.14% | ||
| PM (TTM) | 7.11% | ||
| GM | 80.36% | ||
| FCFM | 17.84% |
ROA(3y)5.56%
ROA(5y)-4.3%
ROE(3y)9.27%
ROE(5y)-64.21%
ROIC(3y)8.42%
ROIC(5y)N/A
ROICexc(3y)8.44%
ROICexc(5y)N/A
ROICexgc(3y)8.44%
ROICexgc(5y)N/A
ROCE(3y)13.28%
ROCE(5y)N/A
ROICexcg growth 3Y-2.67%
ROICexcg growth 5Y31.22%
ROICexc growth 3Y-2.67%
ROICexc growth 5Y31.22%
OM growth 3Y-12.27%
OM growth 5Y17.02%
PM growth 3Y-59.31%
PM growth 5YN/A
GM growth 3Y1.18%
GM growth 5Y1.87%
F-Score8
Asset Turnover0.43
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.54 | ||
| Debt/FCF | 3.84 | ||
| Debt/EBITDA | 1.05 | ||
| Cap/Depr | 94.84% | ||
| Cap/Sales | 39.49% | ||
| Interest Coverage | 3.85 | ||
| Cash Conversion | 88.5% | ||
| Profit Quality | 251% | ||
| Current Ratio | 0.78 | ||
| Quick Ratio | 0.78 | ||
| Altman-Z | 0.5 |
F-Score8
WACC7.48%
ROIC/WACC0.91
Cap/Depr(3y)94.96%
Cap/Depr(5y)82.19%
Cap/Sales(3y)33.65%
Cap/Sales(5y)31.28%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)288.28%
EPS 3Y-33.26%
EPS 5YN/A
EPS Q2Q%92.32%
EPS Next Y28.74%
EPS Next 2Y-25.95%
EPS Next 3Y-14.87%
EPS Next 5YN/A
Revenue 1Y (TTM)22.71%
Revenue growth 3Y29.61%
Revenue growth 5Y17.51%
Sales Q2Q%25.02%
Revenue Next Year-7.27%
Revenue Next 2Y-3.34%
Revenue Next 3Y-0.07%
Revenue Next 5Y1.69%
EBIT growth 1Y19.76%
EBIT growth 3Y13.71%
EBIT growth 5Y37.51%
EBIT Next Year113.01%
EBIT Next 3Y11.04%
EBIT Next 5Y10.2%
FCF growth 1Y147.83%
FCF growth 3Y14.4%
FCF growth 5Y16.36%
OCF growth 1Y47.27%
OCF growth 3Y38.88%
OCF growth 5Y17.98%