CIVITAS RESOURCES INC (CIVI) Stock Fundamental Analysis
NYSE:CIVI - New York Stock Exchange, Inc. - US17888H1032 - Common Stock - Currency: USD
Overall CIVI gets a fundamental rating of 5 out of 10. We evaluated CIVI against 212 industry peers in the Oil, Gas & Consumable Fuels industry. While CIVI is still in line with the averages on profitability rating, there are concerns on its financial health. CIVI scores decently on growth, while it is valued quite cheap. This could make an interesting combination.
1. Profitability
1.1 Basic Checks
CIVI had positive earnings in the past year.
In the past year CIVI had a positive cash flow from operations.
In the past 5 years CIVI has always been profitable.
In the past 5 years CIVI always reported a positive cash flow from operatings.
1.2 Ratios
With a Return On Assets value of 6.60%, CIVI perfoms like the industry average, outperforming 59.22% of the companies in the same industry.
CIVI's Return On Equity of 14.85% is fine compared to the rest of the industry. CIVI outperforms 63.11% of its industry peers.
CIVI has a better Return On Invested Capital (11.52%) than 73.30% of its industry peers.
The Average Return On Invested Capital over the past 3 years for CIVI is significantly below the industry average of 28.73%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.6% | ||
| ROE | 14.85% | ||
| ROIC | 11.52% |
ROA(3y)7.96%
ROA(5y)7.64%
ROE(3y)13.25%
ROE(5y)11.36%
ROIC(3y)14.31%
ROIC(5y)11.08%
1.3 Margins
CIVI's Profit Margin of 19.65% is fine compared to the rest of the industry. CIVI outperforms 66.99% of its industry peers.
In the last couple of years the Profit Margin of CIVI has declined.
CIVI has a better Operating Margin (38.28%) than 77.67% of its industry peers.
CIVI's Operating Margin has declined in the last couple of years.
With an excellent Gross Margin value of 88.87%, CIVI belongs to the best of the industry, outperforming 94.17% of the companies in the same industry.
CIVI's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 38.28% | ||
| PM (TTM) | 19.65% | ||
| GM | 88.87% |
OM growth 3Y36.85%
OM growth 5Y-2.68%
PM growth 3Y-21.97%
PM growth 5Y-18%
GM growth 3Y2.72%
GM growth 5Y1.52%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so CIVI is creating value.
CIVI has more shares outstanding than it did 1 year ago.
Compared to 5 years ago, CIVI has more shares outstanding
The debt/assets ratio for CIVI is higher compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of 1.15, we must say that CIVI is in the distress zone and has some risk of bankruptcy.
The Altman-Z score of CIVI (1.15) is comparable to the rest of the industry.
CIVI has a debt to FCF ratio of 1.20. This is a very positive value and a sign of high solvency as it would only need 1.20 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 1.20, CIVI belongs to the top of the industry, outperforming 83.98% of the companies in the same industry.
A Debt/Equity ratio of 0.73 indicates that CIVI is somewhat dependend on debt financing.
CIVI has a Debt to Equity ratio of 0.73. This is in the lower half of the industry: CIVI underperforms 66.99% of its industry peers.
Although CIVI 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 | 0.73 | ||
| Debt/FCF | 1.2 | ||
| Altman-Z | 1.15 |
ROIC/WACC1.66
WACC6.95%
2.3 Liquidity
CIVI has a Current Ratio of 0.45. This is a bad value and indicates that CIVI is not financially healthy enough and could expect problems in meeting its short term obligations.
With a Current ratio value of 0.45, CIVI is not doing good in the industry: 89.32% of the companies in the same industry are doing better.
A Quick Ratio of 0.45 indicates that CIVI may have some problems paying its short term obligations.
With a Quick ratio value of 0.45, CIVI is not doing good in the industry: 87.38% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.45 | ||
| Quick Ratio | 0.45 |
3. Growth
3.1 Past
The earnings per share for CIVI have decreased strongly by -15.75% in the last year.
Measured over the past years, CIVI shows a quite strong growth in Earnings Per Share. The EPS has been growing by 16.34% on average per year.
The Revenue has grown by 59.18% in the past year. This is a very strong growth!
The Revenue has been growing by 65.92% on average over the past years. This is a very strong growth!
EPS 1Y (TTM)-15.75%
EPS 3Y19.91%
EPS 5Y16.34%
EPS Q2Q%-45.63%
Revenue 1Y (TTM)59.18%
Revenue growth 3Y151.74%
Revenue growth 5Y65.92%
Sales Q2Q%22.79%
3.2 Future
CIVI is expected to show a decrease in Earnings Per Share. In the coming years, the EPS will decrease by -5.56% yearly.
Based on estimates for the next years, CIVI will show a quite strong growth in Revenue. The Revenue will grow by 14.82% on average per year.
EPS Next Y-12.66%
EPS Next 2Y-3.71%
EPS Next 3Y1.58%
EPS Next 5Y-5.56%
Revenue Next Year49.19%
Revenue Next 2Y21.12%
Revenue Next 3Y14.82%
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
Although the future Revenue growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 5.60, the valuation of CIVI can be described as very cheap.
CIVI's Price/Earnings ratio is rather cheap when compared to the industry. CIVI is cheaper than 86.41% of the companies in the same industry.
When comparing the Price/Earnings ratio of CIVI to the average of the S&P500 Index (28.47), we can say CIVI is valued rather cheaply.
The Price/Forward Earnings ratio is 5.23, which indicates a rather cheap valuation of CIVI.
Compared to the rest of the industry, the Price/Forward Earnings ratio of CIVI indicates a rather cheap valuation: CIVI is cheaper than 89.81% of the companies listed in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 92.74. CIVI is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 5.6 | ||
| Fwd PE | 5.23 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, CIVI is valued cheaply inside the industry as 93.20% of the companies are valued more expensively.
Based on the Price/Free Cash Flow ratio, CIVI is valued cheaply inside the industry as 100.00% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 1.22 | ||
| EV/EBITDA | 2.51 |
4.3 Compensation for Growth
CIVI has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)0.34
EPS Next 2Y-3.71%
EPS Next 3Y1.58%
5. Dividend
5.1 Amount
CIVI has a Yearly Dividend Yield of 3.88%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 6.57, CIVI has a dividend in line with its industry peers.
Compared to an average S&P500 Dividend Yield of 2.28, CIVI pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.88% |
5.2 History
CIVI has been paying a dividend for less than 5 years, so it still needs to build a track record.
Dividend Growth(5Y)N/A
Div Incr Years2
Div Non Decr Years2
5.3 Sustainability
CIVI pays out 60.13% of its income as dividend. This is not a sustainable payout ratio.
DP60.13%
EPS Next 2Y-3.71%
EPS Next 3Y1.58%
CIVITAS RESOURCES INC
NYSE:CIVI (2/4/2025, 8:04:00 PM)
After market: 50.9313 +0.58 (+1.15%)50.35
+0.45 (+0.9%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)
Earnings (Next)
Inst Owners97.25%
Inst Owner Change-2.04%
Ins Owners0.62%
Ins Owner Change-0.1%
Market Cap4.89B
Analysts83.81
Price Target73.38 (45.74%)
Short Float %6.21%
Short Ratio4.56
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.88% |
Yearly Dividend7.38
Dividend Growth(5Y)N/A
DP60.13%
Div Incr Years2
Div Non Decr Years2
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-15.18%
Min EPS beat(2)-28.25%
Max EPS beat(2)-2.11%
EPS beat(4)1
Avg EPS beat(4)-11.1%
Min EPS beat(4)-28.25%
Max EPS beat(4)6.92%
EPS beat(8)3
Avg EPS beat(8)1.96%
EPS beat(12)4
Avg EPS beat(12)-5.77%
EPS beat(16)7
Avg EPS beat(16)18.07%
Revenue beat(2)0
Avg Revenue beat(2)-5.22%
Min Revenue beat(2)-6.05%
Max Revenue beat(2)-4.39%
Revenue beat(4)1
Avg Revenue beat(4)-3.91%
Min Revenue beat(4)-6.26%
Max Revenue beat(4)1.08%
Revenue beat(8)4
Avg Revenue beat(8)-1.13%
Revenue beat(12)8
Avg Revenue beat(12)7.52%
Revenue beat(16)11
Avg Revenue beat(16)8.24%
PT rev (1m)-1.09%
PT rev (3m)-7.54%
EPS NQ rev (1m)5.82%
EPS NQ rev (3m)-41.62%
EPS NY rev (1m)1.98%
EPS NY rev (3m)-14.62%
Revenue NQ rev (1m)0.61%
Revenue NQ rev (3m)-7.91%
Revenue NY rev (1m)0.19%
Revenue NY rev (3m)-3.06%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 5.6 | ||
| Fwd PE | 5.23 | ||
| P/S | 0.97 | ||
| P/FCF | 1.22 | ||
| P/OCF | 1.72 | ||
| P/B | 0.73 | ||
| P/tB | 0.73 | ||
| EV/EBITDA | 2.51 |
EPS(TTM)8.99
EY17.86%
EPS(NY)9.62
Fwd EY19.11%
FCF(TTM)41.39
FCFY82.21%
OCF(TTM)29.36
OCFY58.31%
SpS51.92
BVpS68.68
TBVpS68.68
PEG (NY)N/A
PEG (5Y)0.34
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.6% | ||
| ROE | 14.85% | ||
| ROCE | 14.97% | ||
| ROIC | 11.52% | ||
| ROICexc | 11.56% | ||
| ROICexgc | 11.56% | ||
| OM | 38.28% | ||
| PM (TTM) | 19.65% | ||
| GM | 88.87% | ||
| FCFM | 79.73% |
ROA(3y)7.96%
ROA(5y)7.64%
ROE(3y)13.25%
ROE(5y)11.36%
ROIC(3y)14.31%
ROIC(5y)11.08%
ROICexc(3y)15.87%
ROICexc(5y)12.05%
ROICexgc(3y)15.87%
ROICexgc(5y)12.05%
ROCE(3y)18.59%
ROCE(5y)14.4%
ROICexcg growth 3Y58.52%
ROICexcg growth 5Y-1.3%
ROICexc growth 3Y58.52%
ROICexc growth 5Y-1.3%
OM growth 3Y36.85%
OM growth 5Y-2.68%
PM growth 3Y-21.97%
PM growth 5Y-18%
GM growth 3Y2.72%
GM growth 5Y1.52%
F-Score6
Asset Turnover0.34
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.73 | ||
| Debt/FCF | 1.2 | ||
| Debt/EBITDA | 1.25 | ||
| Cap/Depr | 60.59% | ||
| Cap/Sales | 23.18% | ||
| Interest Coverage | 5.44 | ||
| Cash Conversion | 73.88% | ||
| Profit Quality | 405.74% | ||
| Current Ratio | 0.45 | ||
| Quick Ratio | 0.45 | ||
| Altman-Z | 1.15 |
F-Score6
WACC6.95%
ROIC/WACC1.66
Cap/Depr(3y)124.93%
Cap/Depr(5y)156.11%
Cap/Sales(3y)33.31%
Cap/Sales(5y)42.24%
Profit Quality(3y)77.07%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-15.75%
EPS 3Y19.91%
EPS 5Y16.34%
EPS Q2Q%-45.63%
EPS Next Y-12.66%
EPS Next 2Y-3.71%
EPS Next 3Y1.58%
EPS Next 5Y-5.56%
Revenue 1Y (TTM)59.18%
Revenue growth 3Y151.74%
Revenue growth 5Y65.92%
Sales Q2Q%22.79%
Revenue Next Year49.19%
Revenue Next 2Y21.12%
Revenue Next 3Y14.82%
Revenue Next 5YN/A
EBIT growth 1Y29.67%
EBIT growth 3Y244.49%
EBIT growth 5Y61.47%
EBIT Next Year203.27%
EBIT Next 3Y44.77%
EBIT Next 5Y32.15%
FCF growth 1Y338.92%
FCF growth 3Y81.54%
FCF growth 5YN/A
OCF growth 1Y39.22%
OCF growth 3Y141.57%
OCF growth 5Y80.58%