CALLON PETROLEUM CO (CPE) Stock Fundamental Analysis
NYSE:CPE - New York Stock Exchange, Inc. - US13123X5086 - Common Stock - Currency: USD
Taking everything into account, CPE scores 3 out of 10 in our fundamental rating. CPE was compared to 209 industry peers in the Oil, Gas & Consumable Fuels industry. CPE has a medium profitability rating, but doesn't score so well on its financial health evaluation. CPE is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year CPE was profitable.
CPE had a positive operating cash flow in the past year.
Of the past 5 years CPE 4 years were profitable.
In the past 5 years CPE always reported a positive cash flow from operatings.
1.2 Ratios
The Return On Assets of CPE (5.98%) is comparable to the rest of the industry.
CPE's Return On Equity of 10.05% is on the low side compared to the rest of the industry. CPE is outperformed by 63.38% of its industry peers.
CPE's Return On Invested Capital of 9.88% is in line compared to the rest of the industry. CPE outperforms 56.34% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for CPE is significantly below the industry average of 27.48%.
The 3 year average ROIC (16.07%) for CPE is well above the current ROIC(9.88%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.98% | ||
| ROE | 10.05% | ||
| ROIC | 9.88% |
ROA(3y)8.03%
ROA(5y)-6.64%
ROE(3y)15.66%
ROE(5y)-61.53%
ROIC(3y)16.07%
ROIC(5y)10.73%
1.3 Margins
CPE's Profit Margin of 17.12% is in line compared to the rest of the industry. CPE outperforms 51.64% of its industry peers.
In the last couple of years the Profit Margin of CPE has declined.
CPE's Operating Margin of 32.37% is in line compared to the rest of the industry. CPE outperforms 59.15% of its industry peers.
CPE's Operating Margin has declined in the last couple of years.
The Gross Margin of CPE (65.17%) is better than 67.61% of its industry peers.
CPE's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 32.37% | ||
| PM (TTM) | 17.12% | ||
| GM | 65.17% |
OM growth 3Y41.16%
OM growth 5Y-6.02%
PM growth 3YN/A
PM growth 5Y-19.25%
GM growth 3Y-2.42%
GM growth 5Y-4.53%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so CPE is creating value.
CPE has more shares outstanding than it did 1 year ago.
CPE has more shares outstanding than it did 5 years ago.
Compared to 1 year ago, CPE has an improved debt to assets ratio.
2.2 Solvency
Based on the Altman-Z score of 1.14, we must say that CPE is in the distress zone and has some risk of bankruptcy.
Looking at the Altman-Z score, with a value of 1.14, CPE is in line with its industry, outperforming 44.60% of the companies in the same industry.
The Debt to FCF ratio of CPE is 15.53, which is on the high side as it means it would take CPE, 15.53 years of fcf income to pay off all of its debts.
Looking at the Debt to FCF ratio, with a value of 15.53, CPE is doing worse than 63.85% of the companies in the same industry.
CPE has a Debt/Equity ratio of 0.48. This is a healthy value indicating a solid balance between debt and equity.
CPE has a Debt to Equity ratio of 0.48. This is comparable to the rest of the industry: CPE outperforms 49.77% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.48 | ||
| Debt/FCF | 15.53 | ||
| Altman-Z | 1.14 |
ROIC/WACC1.24
WACC7.94%
2.3 Liquidity
CPE has a Current Ratio of 0.39. This is a bad value and indicates that CPE is not financially healthy enough and could expect problems in meeting its short term obligations.
With a Current ratio value of 0.39, CPE is not doing good in the industry: 92.49% of the companies in the same industry are doing better.
CPE has a Quick Ratio of 0.39. This is a bad value and indicates that CPE is not financially healthy enough and could expect problems in meeting its short term obligations.
CPE's Quick ratio of 0.39 is on the low side compared to the rest of the industry. CPE is outperformed by 88.73% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.39 | ||
| Quick Ratio | 0.39 |
3. Growth
3.1 Past
The earnings per share for CPE have decreased strongly by -49.21% in the last year.
The Earnings Per Share has been decreasing by -1.38% on average over the past years.
The Revenue for CPE has decreased by -27.48% in the past year. This is quite bad
The Revenue has been growing by 31.87% on average over the past years. This is a very strong growth!
EPS 1Y (TTM)-49.21%
EPS 3Y35.84%
EPS 5Y-1.38%
EPS Q2Q%-51.79%
Revenue 1Y (TTM)-27.48%
Revenue growth 3Y31.38%
Revenue growth 5Y31.87%
Sales Q2Q%-14.61%
3.2 Future
Based on estimates for the next years, CPE will show a small growth in Earnings Per Share. The EPS will grow by 1.18% on average per year.
CPE is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 2.11% yearly.
EPS Next Y-14.59%
EPS Next 2Y1.06%
EPS Next 3Y1.18%
EPS Next 5YN/A
Revenue Next Year-0.66%
Revenue Next 2Y3.07%
Revenue Next 3Y2.11%
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
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
Based on the Price/Earnings ratio of 4.85, the valuation of CPE can be described as very cheap.
Compared to the rest of the industry, the Price/Earnings ratio of CPE indicates a rather cheap valuation: CPE is cheaper than 88.26% of the companies listed in the same industry.
CPE's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 29.35.
Based on the Price/Forward Earnings ratio of 5.68, the valuation of CPE can be described as very cheap.
Based on the Price/Forward Earnings ratio, CPE is valued cheaply inside the industry as 88.73% of the companies are valued more expensively.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.10, CPE is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 4.85 | ||
| Fwd PE | 5.68 |
4.2 Price Multiples
CPE's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. CPE is cheaper than 88.73% of the companies in the same industry.
CPE's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 19.25 | ||
| EV/EBITDA | 3.32 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y1.06%
EPS Next 3Y1.18%
5. Dividend
5.1 Amount
CPE does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
35.76
+0.64 (+1.82%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)
Earnings (Next)
Inst Owners1.49%
Inst Owner Change0%
Ins Owners5.44%
Ins Owner Change0%
Market Cap2.38B
Analysts71.25
Price Target43.19 (20.78%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly Dividend0
Dividend Growth(5Y)N/A
DP0%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-0.7%
Min EPS beat(2)-1.26%
Max EPS beat(2)-0.14%
EPS beat(4)1
Avg EPS beat(4)0.66%
Min EPS beat(4)-8.23%
Max EPS beat(4)12.26%
EPS beat(8)1
Avg EPS beat(8)-2.17%
EPS beat(12)3
Avg EPS beat(12)5.19%
EPS beat(16)6
Avg EPS beat(16)4511.77%
Revenue beat(2)2
Avg Revenue beat(2)8.52%
Min Revenue beat(2)8.04%
Max Revenue beat(2)9%
Revenue beat(4)4
Avg Revenue beat(4)5.41%
Min Revenue beat(4)1.58%
Max Revenue beat(4)9%
Revenue beat(8)8
Avg Revenue beat(8)14.84%
Revenue beat(12)12
Avg Revenue beat(12)19.65%
Revenue beat(16)14
Avg Revenue beat(16)14.37%
PT rev (1m)0.46%
PT rev (3m)-6.3%
EPS NQ rev (1m)-8.44%
EPS NQ rev (3m)-30.58%
EPS NY rev (1m)0%
EPS NY rev (3m)-20.85%
Revenue NQ rev (1m)-3.95%
Revenue NQ rev (3m)-11.55%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-3.81%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 4.85 | ||
| Fwd PE | 5.68 | ||
| P/S | 1.02 | ||
| P/FCF | 19.25 | ||
| P/OCF | 2.18 | ||
| P/B | 0.6 | ||
| P/tB | 0.6 | ||
| EV/EBITDA | 3.32 |
EPS(TTM)7.37
EY20.61%
EPS(NY)6.29
Fwd EY17.6%
FCF(TTM)1.86
FCFY5.19%
OCF(TTM)16.43
OCFY45.94%
SpS35.23
BVpS60.01
TBVpS60.01
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.98% | ||
| ROE | 10.05% | ||
| ROCE | 12.51% | ||
| ROIC | 9.88% | ||
| ROICexc | 9.89% | ||
| ROICexgc | 9.89% | ||
| OM | 32.37% | ||
| PM (TTM) | 17.12% | ||
| GM | 65.17% | ||
| FCFM | 5.27% |
ROA(3y)8.03%
ROA(5y)-6.64%
ROE(3y)15.66%
ROE(5y)-61.53%
ROIC(3y)16.07%
ROIC(5y)10.73%
ROICexc(3y)16.09%
ROICexc(5y)10.74%
ROICexgc(3y)16.09%
ROICexgc(5y)10.74%
ROCE(3y)20.34%
ROCE(5y)13.58%
ROICexcg growth 3Y59.37%
ROICexcg growth 5Y11.96%
ROICexc growth 3Y59.37%
ROICexc growth 5Y11.96%
OM growth 3Y41.16%
OM growth 5Y-6.02%
PM growth 3YN/A
PM growth 5Y-19.25%
GM growth 3Y-2.42%
GM growth 5Y-4.53%
F-Score5
Asset Turnover0.35
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.48 | ||
| Debt/FCF | 15.53 | ||
| Debt/EBITDA | 1.48 | ||
| Cap/Depr | 180.9% | ||
| Cap/Sales | 41.36% | ||
| Interest Coverage | 4.33 | ||
| Cash Conversion | 84.42% | ||
| Profit Quality | 30.79% | ||
| Current Ratio | 0.39 | ||
| Quick Ratio | 0.39 | ||
| Altman-Z | 1.14 |
F-Score5
WACC7.94%
ROIC/WACC1.24
Cap/Depr(3y)156.51%
Cap/Depr(5y)174.18%
Cap/Sales(3y)29.95%
Cap/Sales(5y)50.15%
Profit Quality(3y)125.52%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-49.21%
EPS 3Y35.84%
EPS 5Y-1.38%
EPS Q2Q%-51.79%
EPS Next Y-14.59%
EPS Next 2Y1.06%
EPS Next 3Y1.18%
EPS Next 5YN/A
Revenue 1Y (TTM)-27.48%
Revenue growth 3Y31.38%
Revenue growth 5Y31.87%
Sales Q2Q%-14.61%
Revenue Next Year-0.66%
Revenue Next 2Y3.07%
Revenue Next 3Y2.11%
Revenue Next 5YN/A
EBIT growth 1Y-54.89%
EBIT growth 3Y85.46%
EBIT growth 5Y23.93%
EBIT Next Year82.29%
EBIT Next 3Y27.52%
EBIT Next 5YN/A
FCF growth 1Y-75.63%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-19.41%
OCF growth 3Y24.97%
OCF growth 5Y18.49%