COTERRA ENERGY INC (CTRA) Stock Fundamental Analysis
NYSE:CTRA - New York Stock Exchange, Inc. - US1270971039 - Common Stock
Taking everything into account, CTRA scores 6 out of 10 in our fundamental rating. CTRA was compared to 210 industry peers in the Oil, Gas & Consumable Fuels industry. Both the profitability and the financial health of CTRA get a neutral evaluation. Nothing too spectacular is happening here. CTRA is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year CTRA was profitable.
CTRA had a positive operating cash flow in the past year.
CTRA had positive earnings in each of the past 5 years.
In the past 5 years CTRA always reported a positive cash flow from operatings.
1.2 Ratios
With a Return On Assets value of 6.15%, CTRA perfoms like the industry average, outperforming 56.80% of the companies in the same industry.
CTRA has a Return On Equity (9.48%) which is comparable to the rest of the industry.
CTRA's Return On Invested Capital of 6.67% is in line compared to the rest of the industry. CTRA outperforms 47.09% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for CTRA is significantly below the industry average of 28.71%.
The last Return On Invested Capital (6.67%) for CTRA is well below the 3 year average (12.47%), which needs to be investigated, but indicates that CTRA had better years and this may not be a problem.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.15% | ||
| ROE | 9.48% | ||
| ROIC | 6.67% |
ROA(3y)11.29%
ROA(5y)10.7%
ROE(3y)18.09%
ROE(5y)18.99%
ROIC(3y)12.47%
ROIC(5y)11.86%
1.3 Margins
CTRA's Profit Margin of 21.86% is fine compared to the rest of the industry. CTRA outperforms 69.90% of its industry peers.
CTRA's Profit Margin has been stable in the last couple of years.
CTRA has a better Operating Margin (28.96%) than 62.62% of its industry peers.
CTRA's Operating Margin has been stable in the last couple of years.
With an excellent Gross Margin value of 81.02%, CTRA belongs to the best of the industry, outperforming 90.78% of the companies in the same industry.
CTRA's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 28.96% | ||
| PM (TTM) | 21.86% | ||
| GM | 81.02% |
OM growth 3Y21.75%
OM growth 5Y0.25%
PM growth 3Y26.06%
PM growth 5Y1.48%
GM growth 3Y13.51%
GM growth 5Y4.53%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), CTRA is creating some value.
Compared to 1 year ago, CTRA has less shares outstanding
CTRA has more shares outstanding than it did 5 years ago.
The debt/assets ratio for CTRA has been reduced compared to a year ago.
2.2 Solvency
CTRA has an Altman-Z score of 2.82. This is not the best score and indicates that CTRA is in the grey zone with still only limited risk for bankruptcy at the moment.
CTRA has a Altman-Z score of 2.82. This is in the better half of the industry: CTRA outperforms 72.82% of its industry peers.
The Debt to FCF ratio of CTRA is 1.85, which is an excellent value as it means it would take CTRA, only 1.85 years of fcf income to pay off all of its debts.
Looking at the Debt to FCF ratio, with a value of 1.85, CTRA is in the better half of the industry, outperforming 78.64% of the companies in the same industry.
A Debt/Equity ratio of 0.16 indicates that CTRA is not too dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 0.16, CTRA is in the better half of the industry, outperforming 72.33% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.16 | ||
| Debt/FCF | 1.85 | ||
| Altman-Z | 2.82 |
ROIC/WACC0.77
WACC8.67%
2.3 Liquidity
CTRA has a Current Ratio of 1.61. This is a normal value and indicates that CTRA is financially healthy and should not expect problems in meeting its short term obligations.
CTRA has a Current ratio of 1.61. This is in the better half of the industry: CTRA outperforms 65.53% of its industry peers.
A Quick Ratio of 1.56 indicates that CTRA should not have too much problems paying its short term obligations.
The Quick ratio of CTRA (1.56) is better than 68.93% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.61 | ||
| Quick Ratio | 1.56 |
3. Growth
3.1 Past
The earnings per share for CTRA have decreased strongly by -41.10% in the last year.
The Earnings Per Share has been growing by 13.51% on average over the past years. This is quite good.
The Revenue for CTRA has decreased by -14.23% in the past year. This is quite bad
CTRA shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 22.00% yearly.
EPS 1Y (TTM)-41.1%
EPS 3Y61.63%
EPS 5Y13.51%
EPS Q2Q%-36%
Revenue 1Y (TTM)-14.23%
Revenue growth 3Y59.17%
Revenue growth 5Y22%
Sales Q2Q%0.22%
3.2 Future
Based on estimates for the next years, CTRA will show a quite strong growth in Earnings Per Share. The EPS will grow by 12.90% on average per year.
Based on estimates for the next years, CTRA will show a quite strong growth in Revenue. The Revenue will grow by 11.87% on average per year.
EPS Next Y-27.35%
EPS Next 2Y13.16%
EPS Next 3Y18.46%
EPS Next 5Y12.9%
Revenue Next Year-6.93%
Revenue Next 2Y12.37%
Revenue Next 3Y11.87%
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is stable: in the next years the growth will be about the same than in the last years.
The estimated forward Revenue growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
4. Valuation
4.1 Price/Earnings Ratio
CTRA is valuated correctly with a Price/Earnings ratio of 16.95.
CTRA's Price/Earnings ratio is in line with the industry average.
When comparing the Price/Earnings ratio of CTRA to the average of the S&P500 Index (28.29), we can say CTRA is valued slightly cheaper.
With a Price/Forward Earnings ratio of 9.98, the valuation of CTRA can be described as very reasonable.
Compared to the rest of the industry, the Price/Forward Earnings ratio of CTRA indicates a somewhat cheap valuation: CTRA is cheaper than 67.96% of the companies listed in the same industry.
When comparing the Price/Forward Earnings ratio of CTRA to the average of the S&P500 Index (24.44), we can say CTRA is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.95 | ||
| Fwd PE | 9.98 |
4.2 Price Multiples
The rest of the industry has a similar Enterprise Value to EBITDA ratio as CTRA.
CTRA's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 19.1 | ||
| EV/EBITDA | 6.67 |
4.3 Compensation for Growth
CTRA has a very decent profitability rating, which may justify a higher PE ratio.
A more expensive valuation may be justified as CTRA's earnings are expected to grow with 18.46% in the coming years.
PEG (NY)N/A
PEG (5Y)1.25
EPS Next 2Y13.16%
EPS Next 3Y18.46%
5. Dividend
5.1 Amount
CTRA has a Yearly Dividend Yield of 2.82%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 6.39, CTRA has a dividend in line with its industry peers.
CTRA's Dividend Yield is a higher than the S&P500 average which is at 2.28.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.82% |
5.2 History
The dividend of CTRA is nicely growing with an annual growth rate of 35.96%!
CTRA has paid a dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)35.96%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
50.20% of the earnings are spent on dividend by CTRA. This is a bit on the high side, but may be sustainable.
CTRA's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP50.2%
EPS Next 2Y13.16%
EPS Next 3Y18.46%
COTERRA ENERGY INC
NYSE:CTRA (1/21/2025, 8:04:00 PM)
After market: 29.1 -0.05 (-0.17%)29.15
-0.32 (-1.09%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)
Earnings (Next)
Inst Owners89.85%
Inst Owner Change0%
Ins Owners0.98%
Ins Owner Change-4.96%
Market Cap21.47B
Analysts81.33
Price Target33.69 (15.57%)
Short Float %2.84%
Short Ratio3.17
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.82% |
Yearly Dividend1.17
Dividend Growth(5Y)35.96%
DP50.2%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-7.54%
Min EPS beat(2)-7.78%
Max EPS beat(2)-7.3%
EPS beat(4)1
Avg EPS beat(4)-0.48%
Min EPS beat(4)-7.78%
Max EPS beat(4)20.53%
EPS beat(8)5
Avg EPS beat(8)5.77%
EPS beat(12)8
Avg EPS beat(12)4.53%
EPS beat(16)10
Avg EPS beat(16)2.49%
Revenue beat(2)1
Avg Revenue beat(2)-1.97%
Min Revenue beat(2)-6.2%
Max Revenue beat(2)2.26%
Revenue beat(4)3
Avg Revenue beat(4)-0.1%
Min Revenue beat(4)-6.2%
Max Revenue beat(4)2.57%
Revenue beat(8)5
Avg Revenue beat(8)0.32%
Revenue beat(12)8
Avg Revenue beat(12)2.86%
Revenue beat(16)9
Avg Revenue beat(16)-1.37%
PT rev (1m)1.38%
PT rev (3m)4.32%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-28.62%
EPS NY rev (1m)0%
EPS NY rev (3m)-17.07%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-10.82%
Revenue NY rev (1m)-0.16%
Revenue NY rev (3m)-1.94%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.95 | ||
| Fwd PE | 9.98 | ||
| P/S | 3.79 | ||
| P/FCF | 19.1 | ||
| P/OCF | 7.33 | ||
| P/B | 1.65 | ||
| P/tB | 1.65 | ||
| EV/EBITDA | 6.67 |
EPS(TTM)1.72
EY5.9%
EPS(NY)2.92
Fwd EY10.02%
FCF(TTM)1.53
FCFY5.24%
OCF(TTM)3.98
OCFY13.64%
SpS7.68
BVpS17.71
TBVpS17.71
PEG (NY)N/A
PEG (5Y)1.25
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.15% | ||
| ROE | 9.48% | ||
| ROCE | 8.61% | ||
| ROIC | 6.67% | ||
| ROICexc | 6.98% | ||
| ROICexgc | 6.98% | ||
| OM | 28.96% | ||
| PM (TTM) | 21.86% | ||
| GM | 81.02% | ||
| FCFM | 19.86% |
ROA(3y)11.29%
ROA(5y)10.7%
ROE(3y)18.09%
ROE(5y)18.99%
ROIC(3y)12.47%
ROIC(5y)11.86%
ROICexc(3y)13.03%
ROICexc(5y)12.4%
ROICexgc(3y)13.03%
ROICexgc(5y)12.4%
ROCE(3y)16.09%
ROCE(5y)15.3%
ROICexcg growth 3Y17.75%
ROICexcg growth 5Y-9.68%
ROICexc growth 3Y17.75%
ROICexc growth 5Y-9.68%
OM growth 3Y21.75%
OM growth 5Y0.25%
PM growth 3Y26.06%
PM growth 5Y1.48%
GM growth 3Y13.51%
GM growth 5Y4.53%
F-Score5
Asset Turnover0.28
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.16 | ||
| Debt/FCF | 1.85 | ||
| Debt/EBITDA | 0.6 | ||
| Cap/Depr | 100.28% | ||
| Cap/Sales | 31.9% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 85.17% | ||
| Profit Quality | 90.87% | ||
| Current Ratio | 1.61 | ||
| Quick Ratio | 1.56 | ||
| Altman-Z | 2.82 |
F-Score5
WACC8.67%
ROIC/WACC0.77
Cap/Depr(3y)112.97%
Cap/Depr(5y)136.11%
Cap/Sales(3y)25.16%
Cap/Sales(5y)30.58%
Profit Quality(3y)89.89%
Profit Quality(5y)93.42%
High Growth Momentum
Growth
EPS 1Y (TTM)-41.1%
EPS 3Y61.63%
EPS 5Y13.51%
EPS Q2Q%-36%
EPS Next Y-27.35%
EPS Next 2Y13.16%
EPS Next 3Y18.46%
EPS Next 5Y12.9%
Revenue 1Y (TTM)-14.23%
Revenue growth 3Y59.17%
Revenue growth 5Y22%
Sales Q2Q%0.22%
Revenue Next Year-6.93%
Revenue Next 2Y12.37%
Revenue Next 3Y11.87%
Revenue Next 5YN/A
EBIT growth 1Y-43.09%
EBIT growth 3Y93.78%
EBIT growth 5Y22.31%
EBIT Next Year56.38%
EBIT Next 3Y37.33%
EBIT Next 5Y23.42%
FCF growth 1Y-67.42%
FCF growth 3Y97.49%
FCF growth 5Y49.26%
OCF growth 1Y-40.52%
OCF growth 3Y67.51%
OCF growth 5Y27.05%