COTERRA ENERGY INC (CTRA) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:CTRA - US1270971039 - Common Stock
24.82 USD
-0.59 (-2.32%)
24.81 USD
-0.01 (-0.04%)
We assign a fundamental rating of 7 out of 10 to CTRA. CTRA was compared to 208 industry peers in the Oil, Gas & Consumable Fuels industry. While CTRA has a great profitability rating, there are some minor concerns on its financial health. CTRA is growing strongly while it also seems undervalued. This is an interesting 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.
Each year in the past 5 years CTRA has been profitable.
CTRA had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
Looking at the Return On Assets, with a value of 6.86%, CTRA is in the better half of the industry, outperforming 76.92% of the companies in the same industry.
CTRA has a Return On Equity of 11.18%. This is in the better half of the industry: CTRA outperforms 67.31% of its industry peers.
CTRA has a better Return On Invested Capital (7.86%) than 72.60% of its industry peers.
The Average Return On Invested Capital over the past 3 years for CTRA is significantly below the industry average of 21.28%.
The last Return On Invested Capital (7.86%) for CTRA is well below the 3 year average (12.27%), which needs to be investigated, but indicates that CTRA had better years and this may not be a problem.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.86% | ||
| 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 has a Profit Margin of 23.25%. This is amongst the best in the industry. CTRA outperforms 81.25% of its industry peers.
In the last couple of years the Profit Margin of CTRA has declined.
CTRA's Operating Margin of 31.31% is fine compared to the rest of the industry. CTRA outperforms 77.40% of its industry peers.
In the last couple of years the Operating Margin of CTRA has declined.
CTRA has a better Gross Margin (82.81%) than 91.83% 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.
Compared to 1 year ago, CTRA has less shares outstanding
The number of shares outstanding for CTRA has been increased compared to 5 years ago.
CTRA has a worse debt/assets ratio than last year.
2.2 Solvency
CTRA has an Altman-Z score of 2.24. 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 better Altman-Z score (2.24) than 71.15% of its industry peers.
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.
CTRA's Debt to FCF ratio of 2.71 is fine compared to the rest of the industry. CTRA outperforms 77.88% of its industry peers.
A Debt/Equity ratio of 0.25 indicates that CTRA is not too dependend on debt financing.
CTRA has a better Debt to Equity ratio (0.25) than 68.27% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.25 | ||
| Debt/FCF | 2.71 | ||
| Altman-Z | 2.24 |
ROIC/WACC0.98
WACC8.02%
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.
With a Current ratio value of 1.02, CTRA perfoms like the industry average, outperforming 45.19% of the companies in the same 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.
With a Quick ratio value of 0.98, CTRA perfoms like the industry average, outperforming 51.44% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.02 | ||
| Quick Ratio | 0.98 |
3. Growth
3.1 Past
CTRA shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 26.74%, which is quite impressive.
Measured over the past 5 years, CTRA shows a small growth in Earnings Per Share. The EPS has been growing by 0.12% on average per year.
Looking at the last year, CTRA shows a very strong growth in Revenue. The Revenue has grown by 25.13%.
Measured over the past years, CTRA shows a very strong growth in Revenue. The Revenue has been growing by 21.44% on average per year.
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 15.97% on average over the next years. This is quite good.
EPS Next Y34.36%
EPS Next 2Y31.46%
EPS Next 3Y25.26%
EPS Next 5Y16.79%
Revenue Next Year38.68%
Revenue Next 2Y20.83%
Revenue Next 3Y15.97%
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.
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
CTRA is valuated reasonably with a Price/Earnings ratio of 11.39.
Compared to the rest of the industry, the Price/Earnings ratio of CTRA indicates a somewhat cheap valuation: CTRA is cheaper than 74.04% of the companies listed in the same industry.
CTRA is valuated cheaply when we compare the Price/Earnings ratio to 27.19, which is the current average of the S&P500 Index.
With a Price/Forward Earnings ratio of 8.50, the valuation of CTRA can be described as very reasonable.
83.17% of the companies in the same industry are more expensive than CTRA, based on the Price/Forward Earnings ratio.
Compared to an average S&P500 Price/Forward Earnings ratio of 23.88, CTRA is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.39 | ||
| Fwd PE | 8.5 |
4.2 Price Multiples
75.00% of the companies in the same industry are more expensive than CTRA, based on the Enterprise Value to EBITDA ratio.
Based on the Price/Free Cash Flow ratio, CTRA is valued a bit cheaper than 66.35% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 13.05 | ||
| EV/EBITDA | 5.27 |
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.
The decent profitability rating of CTRA may justify a higher PE ratio.
A more expensive valuation may be justified as CTRA's earnings are expected to grow with 25.26% in the coming years.
PEG (NY)0.33
PEG (5Y)95.86
EPS Next 2Y31.46%
EPS Next 3Y25.26%
5. Dividend
5.1 Amount
CTRA has a Yearly Dividend Yield of 3.46%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 3.93, CTRA has a dividend in line with its industry peers.
Compared to an average S&P500 Dividend Yield of 1.90, CTRA pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.46% |
5.2 History
The dividend of CTRA is nicely growing with an annual growth rate of 18.85%!
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
CTRA pays out 40.64% of its income as dividend. 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.
DP40.64%
EPS Next 2Y31.46%
EPS Next 3Y25.26%
24.82
-0.59 (-2.32%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)
Earnings (Next)
Inst Owners95.23%
Inst Owner Change0%
Ins Owners0.85%
Ins Owner Change-0.06%
Market Cap18.90B
Revenue(TTM)7.08B
Net Income(TTM)1.65B
Analysts82.42
Price Target32.81 (32.19%)
Short Float %4.53%
Short Ratio4.44
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.46% |
Yearly Dividend0.84
Dividend Growth(5Y)18.85%
DP40.64%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
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)0.63%
PT rev (3m)-2.42%
EPS NQ rev (1m)0.42%
EPS NQ rev (3m)-21.2%
EPS NY rev (1m)0.38%
EPS NY rev (3m)-11.55%
Revenue NQ rev (1m)0.25%
Revenue NQ rev (3m)-4.22%
Revenue NY rev (1m)0.01%
Revenue NY rev (3m)-1.34%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.39 | ||
| Fwd PE | 8.5 | ||
| P/S | 2.67 | ||
| P/FCF | 13.05 | ||
| P/OCF | 5.14 | ||
| P/B | 1.28 | ||
| P/tB | 1.28 | ||
| EV/EBITDA | 5.27 |
EPS(TTM)2.18
EY8.78%
EPS(NY)2.92
Fwd EY11.77%
FCF(TTM)1.9
FCFY7.66%
OCF(TTM)4.83
OCFY19.46%
SpS9.3
BVpS19.34
TBVpS19.34
PEG (NY)0.33
PEG (5Y)95.86
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 | 2.24 |
F-Score7
WACC8.02%
ROIC/WACC0.98
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 Y34.36%
EPS Next 2Y31.46%
EPS Next 3Y25.26%
EPS Next 5Y16.79%
Revenue 1Y (TTM)25.13%
Revenue growth 3Y16.53%
Revenue growth 5Y21.44%
Sales Q2Q%33.7%
Revenue Next Year38.68%
Revenue Next 2Y20.83%
Revenue Next 3Y15.97%
Revenue Next 5YN/A
EBIT growth 1Y35.27%
EBIT growth 3Y-6.06%
EBIT growth 5Y9.59%
EBIT Next Year222.27%
EBIT Next 3Y57.19%
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.
Can you provide the valuation status for COTERRA ENERGY INC?
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.
How financially healthy is COTERRA ENERGY INC?
The financial health rating of COTERRA ENERGY INC (CTRA) is 5 / 10.
Can you provide the expected EPS growth for CTRA stock?
The Earnings per Share (EPS) of COTERRA ENERGY INC (CTRA) is expected to grow by 34.36% in the next year.