COTERRA ENERGY INC (CTRA) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:CTRA - US1270971039 - Common Stock
27.39 USD
+0.05 (+0.18%)
27.39 USD
0 (0%)
CTRA gets a fundamental rating of 7 out of 10. The analysis compared the fundamentals against 209 industry peers in the Oil, Gas & Consumable Fuels industry. CTRA has an excellent profitability rating, but there are some minor concerns on its financial health. CTRA has both an excellent growth and valuation score. This means it is growing and it is still cheap. This is a rare combination! With these ratings, CTRA could be worth investigating further for value and growth investing!.
1. Profitability
1.1 Basic Checks
In the past year CTRA was profitable.
In the past year CTRA had a positive cash flow from operations.
CTRA had positive earnings in each of the past 5 years.
CTRA had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
The Return On Assets of CTRA (6.86%) is better than 77.51% of its industry peers.
CTRA has a better Return On Equity (11.18%) than 67.46% of its industry peers.
CTRA has a better Return On Invested Capital (7.86%) than 72.73% of its industry peers.
CTRA had an Average Return On Invested Capital over the past 3 years of 12.27%. This is significantly below the industry average of 20.88%.
The 3 year average ROIC (12.27%) for CTRA is well above the current ROIC(7.86%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.86% | ||
| ROE | 11.18% | ||
| ROIC | 7.86% |
ROA(3y)11.08%
ROA(5y)8.7%
ROE(3y)17.66%
ROE(5y)14.37%
ROIC(3y)12.27%
ROIC(5y)9.93%
1.3 Margins
CTRA's Profit Margin of 23.25% is amongst the best of the industry. CTRA outperforms 80.86% of its industry peers.
CTRA's Profit Margin has declined in the last couple of years.
With a decent Operating Margin value of 31.31%, CTRA is doing good in the industry, outperforming 77.03% of the companies in the same industry.
CTRA's Operating Margin has declined in the last couple of years.
CTRA has a better Gross Margin (82.81%) than 91.87% of its industry peers.
CTRA's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 31.31% | ||
| PM (TTM) | 23.25% | ||
| GM | 82.81% |
OM growth 3Y-19.39%
OM growth 5Y-9.76%
PM growth 3Y-15.14%
PM growth 5Y-9.04%
GM growth 3Y1.7%
GM growth 5Y3.22%
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.
CTRA has less shares outstanding than it did 1 year ago.
The number of shares outstanding for CTRA has been increased compared to 5 years ago.
Compared to 1 year ago, CTRA has a worse debt to assets ratio.
2.2 Solvency
CTRA has an Altman-Z score of 2.34. 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.
Looking at the Altman-Z score, with a value of 2.34, CTRA is in the better half of the industry, outperforming 71.77% of the companies in the same industry.
CTRA has a debt to FCF ratio of 2.71. This is a good value and a sign of high solvency as CTRA would need 2.71 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 2.71, CTRA is in the better half of the industry, outperforming 77.99% of the companies in the same industry.
A Debt/Equity ratio of 0.25 indicates that CTRA is not too dependend on debt financing.
CTRA has a Debt to Equity ratio of 0.25. This is in the better half of the industry: CTRA outperforms 66.99% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.25 | ||
| Debt/FCF | 2.71 | ||
| Altman-Z | 2.34 |
ROIC/WACC0.96
WACC8.22%
2.3 Liquidity
CTRA has a Current Ratio of 1.02. 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 (1.02) which is comparable to the rest of the industry.
CTRA has a Quick Ratio of 1.02. This is a bad value and indicates that CTRA is not financially healthy enough and could expect problems in meeting its short term obligations.
The Quick ratio of CTRA (0.98) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.02 | ||
| Quick Ratio | 0.98 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 26.74% over the past year.
CTRA shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 0.12% yearly.
CTRA shows a strong growth in Revenue. In the last year, the Revenue has grown by 25.13%.
The Revenue has been growing by 21.44% on average over the past years. This is a very strong growth!
EPS 1Y (TTM)26.74%
EPS 3Y-5.3%
EPS 5Y0.12%
EPS Q2Q%28.12%
Revenue 1Y (TTM)25.13%
Revenue growth 3Y16.53%
Revenue growth 5Y21.44%
Sales Q2Q%33.7%
3.2 Future
The Earnings Per Share is expected to grow by 16.79% on average over the next years. This is quite good.
The Revenue is expected to grow by 16.05% on average over the next years. This is quite good.
EPS Next Y33.85%
EPS Next 2Y32.34%
EPS Next 3Y25.43%
EPS Next 5Y16.79%
Revenue Next Year38.66%
Revenue Next 2Y21.04%
Revenue Next 3Y16.05%
Revenue Next 5YN/A
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.
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 12.56.
CTRA's Price/Earnings ratio is a bit cheaper when compared to the industry. CTRA is cheaper than 67.46% of the companies in the same industry.
CTRA's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 26.49.
The Price/Forward Earnings ratio is 9.25, which indicates a very decent valuation of CTRA.
80.86% of the companies in the same industry are more expensive than CTRA, based on the Price/Forward Earnings ratio.
When comparing the Price/Forward Earnings ratio of CTRA to the average of the S&P500 Index (23.69), we can say CTRA is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.56 | ||
| Fwd PE | 9.25 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, CTRA is valued a bit cheaper than the industry average as 72.25% of the companies are valued more expensively.
64.11% of the companies in the same industry are more expensive than CTRA, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 14.4 | ||
| EV/EBITDA | 5.62 |
4.3 Compensation for Growth
CTRA's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
CTRA has a very decent profitability rating, which may justify a higher PE ratio.
CTRA's earnings are expected to grow with 25.43% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.37
PEG (5Y)105.79
EPS Next 2Y32.34%
EPS Next 3Y25.43%
5. Dividend
5.1 Amount
CTRA has a Yearly Dividend Yield of 3.22%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 5.71, 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 2.31.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.22% |
5.2 History
On average, the dividend of CTRA grows each year by 18.85%, which is quite nice.
CTRA has been paying a dividend for at least 10 years, so it has a reliable track record.
Dividend Growth(5Y)18.85%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
40.64% of the earnings are spent on dividend by CTRA. This is a bit on the high side, but may be sustainable.
The dividend of CTRA is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP40.64%
EPS Next 2Y32.34%
EPS Next 3Y25.43%
27.39
+0.05 (+0.18%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)
Earnings (Next)
Inst Owners94.48%
Inst Owner Change0%
Ins Owners0.85%
Ins Owner Change-0.06%
Market Cap20.85B
Revenue(TTM)7.08B
Net Income(TTM)1.65B
Analysts82.5
Price Target32.81 (19.79%)
Short Float %4.64%
Short Ratio3.66
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.22% |
Yearly Dividend0.84
Dividend Growth(5Y)18.85%
DP40.64%
Div Incr Years0
Div Non Decr Years0
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-2.46%
Min EPS beat(2)-9.02%
Max EPS beat(2)4.09%
EPS beat(4)2
Avg EPS beat(4)1.17%
Min EPS beat(4)-9.02%
Max EPS beat(4)10.97%
EPS beat(8)3
Avg EPS beat(8)0.34%
EPS beat(12)7
Avg EPS beat(12)4.24%
EPS beat(16)10
Avg EPS beat(16)3.69%
Revenue beat(2)1
Avg Revenue beat(2)6.12%
Min Revenue beat(2)-0.82%
Max Revenue beat(2)13.06%
Revenue beat(4)2
Avg Revenue beat(4)1.97%
Min Revenue beat(4)-5.32%
Max Revenue beat(4)13.06%
Revenue beat(8)5
Avg Revenue beat(8)0.94%
Revenue beat(12)7
Avg Revenue beat(12)0.87%
Revenue beat(16)10
Avg Revenue beat(16)2.64%
PT rev (1m)-0.86%
PT rev (3m)-3.16%
EPS NQ rev (1m)-0.93%
EPS NQ rev (3m)-23.27%
EPS NY rev (1m)-3.37%
EPS NY rev (3m)-12.75%
Revenue NQ rev (1m)0.76%
Revenue NQ rev (3m)-5.55%
Revenue NY rev (1m)0.3%
Revenue NY rev (3m)-1.04%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.56 | ||
| Fwd PE | 9.25 | ||
| P/S | 2.95 | ||
| P/FCF | 14.4 | ||
| P/OCF | 5.67 | ||
| P/B | 1.42 | ||
| P/tB | 1.42 | ||
| EV/EBITDA | 5.62 |
EPS(TTM)2.18
EY7.96%
EPS(NY)2.96
Fwd EY10.81%
FCF(TTM)1.9
FCFY6.94%
OCF(TTM)4.83
OCFY17.63%
SpS9.3
BVpS19.34
TBVpS19.34
PEG (NY)0.37
PEG (5Y)105.79
Graham Number30.8
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.86% | ||
| ROE | 11.18% | ||
| ROCE | 9.85% | ||
| ROIC | 7.86% | ||
| ROICexc | 7.9% | ||
| ROICexgc | 7.9% | ||
| OM | 31.31% | ||
| PM (TTM) | 23.25% | ||
| GM | 82.81% | ||
| FCFM | 20.45% |
ROA(3y)11.08%
ROA(5y)8.7%
ROE(3y)17.66%
ROE(5y)14.37%
ROIC(3y)12.27%
ROIC(5y)9.93%
ROICexc(3y)12.9%
ROICexc(5y)10.44%
ROICexgc(3y)12.9%
ROICexgc(5y)10.44%
ROCE(3y)15.36%
ROCE(5y)12.44%
ROICexgc growth 3Y-7.45%
ROICexgc growth 5Y-19.44%
ROICexc growth 3Y-7.45%
ROICexc growth 5Y-19.44%
OM growth 3Y-19.39%
OM growth 5Y-9.76%
PM growth 3Y-15.14%
PM growth 5Y-9.04%
GM growth 3Y1.7%
GM growth 5Y3.22%
F-Score7
Asset Turnover0.29
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.25 | ||
| Debt/FCF | 2.71 | ||
| Debt/EBITDA | 0.84 | ||
| Cap/Depr | 102.44% | ||
| Cap/Sales | 31.48% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 83.7% | ||
| Profit Quality | 87.97% | ||
| Current Ratio | 1.02 | ||
| Quick Ratio | 0.98 | ||
| Altman-Z | 2.34 |
F-Score7
WACC8.22%
ROIC/WACC0.96
Cap/Depr(3y)110.23%
Cap/Depr(5y)116.61%
Cap/Sales(3y)28.94%
Cap/Sales(5y)29.44%
Profit Quality(3y)93.33%
Profit Quality(5y)92.4%
High Growth Momentum
Growth
EPS 1Y (TTM)26.74%
EPS 3Y-5.3%
EPS 5Y0.12%
EPS Q2Q%28.12%
EPS Next Y33.85%
EPS Next 2Y32.34%
EPS Next 3Y25.43%
EPS Next 5Y16.79%
Revenue 1Y (TTM)25.13%
Revenue growth 3Y16.53%
Revenue growth 5Y21.44%
Sales Q2Q%33.7%
Revenue Next Year38.66%
Revenue Next 2Y21.04%
Revenue Next 3Y16.05%
Revenue Next 5YN/A
EBIT growth 1Y35.27%
EBIT growth 3Y-6.06%
EBIT growth 5Y9.59%
EBIT Next Year222.08%
EBIT Next 3Y57.31%
EBIT Next 5Y31.87%
FCF growth 1Y-35.59%
FCF growth 3Y2.93%
FCF growth 5Y9.27%
OCF growth 1Y-16.09%
OCF growth 3Y18.8%
OCF growth 5Y14.09%
COTERRA ENERGY INC / CTRA FAQ
What is the fundamental rating for CTRA stock?
ChartMill assigns a fundamental rating of 7 / 10 to CTRA.
What is the valuation status of COTERRA ENERGY INC (CTRA) stock?
ChartMill assigns a valuation rating of 8 / 10 to COTERRA ENERGY INC (CTRA). This can be considered as Undervalued.
How profitable is COTERRA ENERGY INC (CTRA) stock?
COTERRA ENERGY INC (CTRA) has a profitability rating of 7 / 10.
What is the earnings growth outlook for COTERRA ENERGY INC?
The Earnings per Share (EPS) of COTERRA ENERGY INC (CTRA) is expected to grow by 33.85% in the next year.
Can you provide the dividend sustainability for CTRA stock?
The dividend rating of COTERRA ENERGY INC (CTRA) is 5 / 10 and the dividend payout ratio is 40.64%.