COTERRA ENERGY INC (CTRA)
US1270971039 - Common Stock
CTRA gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 204 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 has a correct valuation and a medium 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.
In the past 5 years CTRA has always been profitable.
CTRA had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
With a Return On Assets value of 6.15%, CTRA perfoms like the industry average, outperforming 55.17% of the companies in the same industry.
CTRA has a Return On Equity of 9.48%. This is comparable to the rest of the industry: CTRA outperforms 41.87% of its industry peers.
CTRA's Return On Invested Capital of 6.67% is in line compared to the rest of the industry. CTRA outperforms 45.81% of its industry peers.
The Average Return On Invested Capital over the past 3 years for CTRA is significantly below the industry average of 22.54%.
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 has a Profit Margin of 21.86%. This is in the better half of the industry: CTRA outperforms 68.97% of its industry peers.
In the last couple of years the Profit Margin of CTRA has remained more or less at the same level.
The Operating Margin of CTRA (28.96%) is better than 60.10% of its industry peers.
In the last couple of years the Operating Margin of CTRA has remained more or less at the same level.
CTRA has a Gross Margin of 81.02%. This is amongst the best in the industry. CTRA outperforms 90.15% of its industry peers.
In the last couple of years the Gross Margin of CTRA has grown nicely.
| 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
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so CTRA is still 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.
Compared to 1 year ago, CTRA has an improved debt to assets ratio.
2.2 Solvency
CTRA has an Altman-Z score of 2.70. 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 2.70, CTRA is in the better half of the industry, outperforming 69.95% of the companies in the same industry.
CTRA has a debt to FCF ratio of 1.85. This is a very positive value and a sign of high solvency as it would only need 1.85 years to pay back of 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 78.82% of the companies in the same industry.
CTRA has a Debt/Equity ratio of 0.16. This is a healthy value indicating a solid balance between debt and equity.
CTRA's Debt to Equity ratio of 0.16 is fine compared to the rest of the industry. CTRA outperforms 72.91% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.16 | ||
| Debt/FCF | 1.85 | ||
| Altman-Z | 2.7 |
ROIC/WACC0.79
WACC8.46%
2.3 Liquidity
A Current Ratio of 1.61 indicates that CTRA should not have too much problems paying its short term obligations.
With a decent Current ratio value of 1.61, CTRA is doing good in the industry, outperforming 68.47% of the companies in the same industry.
CTRA has a Quick Ratio of 1.56. 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 decent Quick ratio value of 1.56, CTRA is doing good in the industry, outperforming 70.44% of the companies in the same industry.
| 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.
Measured over the past years, CTRA shows a quite strong growth in Earnings Per Share. The EPS has been growing by 13.51% on average per year.
CTRA shows a very negative growth in Revenue. In the last year, the Revenue has decreased by -14.23%.
Measured over the past years, CTRA shows a very strong growth in Revenue. The Revenue has been growing by 22.00% on average per year.
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
The Earnings Per Share is expected to grow by 16.27% on average over the next years. This is quite good.
The Revenue is expected to grow by 6.09% on average over the next years.
EPS Next Y-27.49%
EPS Next 2Y2.31%
EPS Next 3Y11.69%
EPS Next 5Y16.27%
Revenue Next Year-6.71%
Revenue Next 2Y3.98%
Revenue Next 3Y6.09%
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 15.95, the valuation of CTRA can be described as correct.
Compared to the rest of the industry, the Price/Earnings ratio of CTRA is on the same level as its industry peers.
Compared to an average S&P500 Price/Earnings ratio of 28.96, CTRA is valued a bit cheaper.
Based on the Price/Forward Earnings ratio of 11.50, the valuation of CTRA can be described as reasonable.
Compared to the rest of the industry, the Price/Forward Earnings ratio of CTRA indicates a somewhat cheap valuation: CTRA is cheaper than 60.10% of the companies listed in the same industry.
CTRA is valuated cheaply when we compare the Price/Forward Earnings ratio to 23.82, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.95 | ||
| Fwd PE | 11.5 |
4.2 Price Multiples
CTRA's Enterprise Value to EBITDA is on the same level as the industry average.
CTRA's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 17.98 | ||
| EV/EBITDA | 6.24 |
4.3 Compensation for Growth
CTRA has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)1.18
EPS Next 2Y2.31%
EPS Next 3Y11.69%
5. Dividend
5.1 Amount
CTRA has a Yearly Dividend Yield of 3.30%. Purely for dividend investing, there may be better candidates out there.
CTRA's Dividend Yield is comparable with the industry average which is at 6.45.
CTRA's Dividend Yield is a higher than the S&P500 average which is at 2.23.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.3% |
5.2 History
On average, the dividend of CTRA grows each year by 35.96%, which is quite nice.
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
CTRA pays out 50.20% 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.
DP50.2%
EPS Next 2Y2.31%
EPS Next 3Y11.69%
COTERRA ENERGY INC
NYSE:CTRA (11/21/2024, 8:21:27 PM)
Premarket: 27.07 -0.37 (-1.35%)27.44
+0.61 (+2.27%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap20.21B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.3% |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
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EPS beat(4)
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EPS beat(8)
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EPS beat(12)
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EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
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Min Revenue beat(2)
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Revenue beat(4)
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Revenue beat(8)
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Revenue beat(12)
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Revenue beat(16)
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PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.95 | ||
| Fwd PE | 11.5 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)N/A
PEG (5Y)1.18
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.15% | ||
| ROE | 9.48% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 28.96% | ||
| PM (TTM) | 21.86% | ||
| GM | 81.02% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.28
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.16 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 1.61 | ||
| Quick Ratio | 1.56 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
High Growth Momentum
Growth
EPS 1Y (TTM)-41.1%
EPS 3Y61.63%
EPS 5Y
EPS Q2Q%
EPS Next Y-27.49%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)-14.23%
Revenue growth 3Y59.17%
Revenue growth 5Y
Sales Q2Q%
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y