COTERRA ENERGY INC (CTRA) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:CTRA - US1270971039 - Common Stock
26.32 USD
-0.24 (-0.9%)
26.32 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. An interesting combination arises when we look at growth and value: CTRA is growing strongly while it also seems undervalued. 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.
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
CTRA's Return On Assets of 6.86% is fine compared to the rest of the industry. CTRA outperforms 77.51% of its industry peers.
Looking at the Return On Equity, with a value of 11.18%, CTRA is in the better half of the industry, outperforming 67.94% of the companies in the same industry.
CTRA has a better Return On Invested Capital (7.86%) than 73.21% 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 21.27%.
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
The Profit Margin of CTRA (23.25%) is better than 81.82% of its industry peers.
CTRA's Profit Margin has declined in the last couple of years.
Looking at the Operating Margin, with a value of 31.31%, CTRA is in the better half of the industry, outperforming 77.51% of the companies in the same industry.
CTRA's Operating Margin has declined in the last couple of years.
CTRA has a Gross Margin of 82.81%. This is amongst the best in the industry. CTRA outperforms 91.87% of its industry peers.
In the last couple of years the Gross Margin of CTRA has grown nicely.
| 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.
Compared to 1 year ago, CTRA has less shares outstanding
Compared to 5 years ago, CTRA has more shares outstanding
Compared to 1 year ago, CTRA has a worse debt to assets ratio.
2.2 Solvency
An Altman-Z score of 2.29 indicates that CTRA is not a great score, but indicates only limited risk for bankruptcy at the moment.
CTRA has a Altman-Z score of 2.29. This is in the better half of the industry: CTRA outperforms 73.21% of its industry peers.
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.
With a decent Debt to FCF ratio value of 2.71, CTRA is doing good in the industry, outperforming 77.99% of the companies in the same industry.
CTRA has a Debt/Equity ratio of 0.25. This is a healthy value indicating a solid balance between debt and equity.
With a decent Debt to Equity ratio value of 0.25, CTRA is doing good in the industry, outperforming 67.46% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.25 | ||
| Debt/FCF | 2.71 | ||
| Altman-Z | 2.29 |
ROIC/WACC0.96
WACC8.19%
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's Current ratio of 1.02 is in line compared to the rest of the industry. CTRA outperforms 45.45% of its industry peers.
A Quick Ratio of 0.98 indicates that CTRA may have some problems paying 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.
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.
The Revenue has grown by 25.13% in the past year. This is a very strong growth!
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
CTRA is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 16.79% yearly.
Based on estimates for the next years, CTRA will show a quite strong growth in Revenue. The Revenue will grow by 15.97% on average per year.
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
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
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
The Price/Earnings ratio is 12.07, which indicates a correct valuation of CTRA.
Based on the Price/Earnings ratio, CTRA is valued a bit cheaper than the industry average as 68.90% of the companies are valued more expensively.
CTRA's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 26.51.
Based on the Price/Forward Earnings ratio of 9.01, the valuation of CTRA can be described as reasonable.
80.38% 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 23.13, CTRA is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.07 | ||
| Fwd PE | 9.01 |
4.2 Price Multiples
72.73% 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 the industry average as 63.64% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 13.84 | ||
| EV/EBITDA | 5.43 |
4.3 Compensation for Growth
The 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)0.35
PEG (5Y)101.66
EPS Next 2Y31.46%
EPS Next 3Y25.26%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 3.43%, CTRA has a reasonable but not impressive dividend return.
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
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 2Y31.46%
EPS Next 3Y25.26%
26.32
-0.24 (-0.9%)
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 Cap20.04B
Revenue(TTM)7.08B
Net Income(TTM)1.65B
Analysts82.5
Price Target32.81 (24.66%)
Short Float %4.53%
Short Ratio4.44
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-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)-2.79%
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 | 12.07 | ||
| Fwd PE | 9.01 | ||
| P/S | 2.83 | ||
| P/FCF | 13.84 | ||
| P/OCF | 5.45 | ||
| P/B | 1.36 | ||
| P/tB | 1.36 | ||
| EV/EBITDA | 5.43 |
EPS(TTM)2.18
EY8.28%
EPS(NY)2.92
Fwd EY11.1%
FCF(TTM)1.9
FCFY7.23%
OCF(TTM)4.83
OCFY18.35%
SpS9.3
BVpS19.34
TBVpS19.34
PEG (NY)0.35
PEG (5Y)101.66
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 | 2.29 |
F-Score7
WACC8.19%
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 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.