COTERRA ENERGY INC (CTRA) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:CTRA - US1270971039 - Common Stock
25.79 USD
+0.1 (+0.39%)
25.6 USD
-0.19 (-0.74%)
Taking everything into account, CTRA scores 7 out of 10 in our fundamental rating. CTRA was compared to 209 industry peers in the Oil, Gas & Consumable Fuels industry. CTRA scores excellent on profitability, 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! These ratings could make CTRA a good candidate for value and growth investing.
1. Profitability
1.1 Basic Checks
CTRA had positive earnings in the past year.
CTRA had a positive operating cash flow in the past year.
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
CTRA's Return On Assets of 6.86% is fine compared to the rest of the industry. CTRA outperforms 77.14% of its industry peers.
With a decent Return On Equity value of 11.18%, CTRA is doing good in the industry, outperforming 68.10% of the companies in the same industry.
CTRA's Return On Invested Capital of 7.86% is fine compared to the rest of the industry. CTRA outperforms 73.33% of its industry peers.
The Average Return On Invested Capital over the past 3 years for CTRA is significantly below the industry average of 21.18%.
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 has a Profit Margin of 23.25%. This is amongst the best in the industry. CTRA outperforms 81.43% 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 77.14% of the companies in the same industry.
CTRA's Operating Margin has declined in the last couple of years.
With an excellent Gross Margin value of 82.81%, CTRA belongs to the best of the industry, outperforming 91.90% of the companies in the same industry.
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
CTRA has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
The number of shares outstanding for CTRA has been reduced compared to 1 year ago.
CTRA has more shares outstanding than it did 5 years ago.
CTRA has a worse debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 2.26 indicates that CTRA is not a great score, but indicates only limited risk for bankruptcy at the moment.
With a decent Altman-Z score value of 2.26, CTRA is doing good in the industry, outperforming 72.86% of the companies in the same industry.
The Debt to FCF ratio of CTRA is 2.71, which is a good value as it means it would take CTRA, 2.71 years of fcf income to pay off 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 78.10% 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 better Debt to Equity ratio (0.25) than 67.14% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.25 | ||
| Debt/FCF | 2.71 | ||
| Altman-Z | 2.26 |
ROIC/WACC0.97
WACC8.1%
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 in line with its industry peers.
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.
CTRA's Quick ratio of 0.98 is in line compared to the rest of the industry. CTRA outperforms 51.43% of its industry peers.
| 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%.
CTRA shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 21.44% yearly.
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
Based on estimates for the next years, CTRA will show a quite strong growth in Earnings Per Share. The EPS will grow by 16.79% on average per year.
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.
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 reasonably with a Price/Earnings ratio of 11.83.
Based on the Price/Earnings ratio, CTRA is valued a bit cheaper than 69.05% of the companies in the same industry.
When comparing the Price/Earnings ratio of CTRA to the average of the S&P500 Index (26.92), we can say CTRA is valued rather cheaply.
The Price/Forward Earnings ratio is 8.83, which indicates a very decent valuation of CTRA.
Based on the Price/Forward Earnings ratio, CTRA is valued a bit cheaper than 80.00% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 23.46, CTRA is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.83 | ||
| Fwd PE | 8.83 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of CTRA indicates a somewhat cheap valuation: CTRA is cheaper than 73.33% of the companies listed in the same industry.
CTRA's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. CTRA is cheaper than 64.29% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 13.56 | ||
| EV/EBITDA | 5.34 |
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.
A more expensive valuation may be justified as CTRA's earnings are expected to grow with 25.26% in the coming years.
PEG (NY)0.34
PEG (5Y)99.61
EPS Next 2Y31.46%
EPS Next 3Y25.26%
5. Dividend
5.1 Amount
CTRA has a Yearly Dividend Yield of 3.43%.
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 2.00, CTRA pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.43% |
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%
25.79
+0.1 (+0.39%)
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 Cap19.64B
Revenue(TTM)7.08B
Net Income(TTM)1.65B
Analysts82.5
Price Target32.81 (27.22%)
Short Float %4.55%
Short Ratio3.81
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.43% |
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)0.63%
PT rev (3m)-2.79%
EPS NQ rev (1m)1.98%
EPS NQ rev (3m)-22.56%
EPS NY rev (1m)-3.01%
EPS NY rev (3m)-11.55%
Revenue NQ rev (1m)1.12%
Revenue NQ rev (3m)-5.09%
Revenue NY rev (1m)0.31%
Revenue NY rev (3m)-1.68%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.83 | ||
| Fwd PE | 8.83 | ||
| P/S | 2.77 | ||
| P/FCF | 13.56 | ||
| P/OCF | 5.34 | ||
| P/B | 1.33 | ||
| P/tB | 1.33 | ||
| EV/EBITDA | 5.34 |
EPS(TTM)2.18
EY8.45%
EPS(NY)2.92
Fwd EY11.32%
FCF(TTM)1.9
FCFY7.37%
OCF(TTM)4.83
OCFY18.73%
SpS9.3
BVpS19.34
TBVpS19.34
PEG (NY)0.34
PEG (5Y)99.61
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 | 2.26 |
F-Score7
WACC8.1%
ROIC/WACC0.97
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.
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 34.36% 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%.