CHEVRON CORP (CVX)
US1667641005 - Common Stock
We assign a fundamental rating of 5 out of 10 to CVX. CVX was compared to 205 industry peers in the Oil, Gas & Consumable Fuels industry. While CVX has a great health rating, its profitability is only average at the moment. CVX does not seem to be growing, but still is valued expensively. CVX also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
In the past year CVX was profitable.
CVX had a positive operating cash flow in the past year.
CVX had positive earnings in 4 of the past 5 years.
Each year in the past 5 years CVX had a positive operating cash flow.
1.2 Ratios
The Return On Assets of CVX (6.43%) is comparable to the rest of the industry.
CVX's Return On Equity of 10.68% is in line compared to the rest of the industry. CVX outperforms 47.55% of its industry peers.
CVX has a Return On Invested Capital of 6.68%. This is comparable to the rest of the industry: CVX outperforms 48.04% of its industry peers.
CVX had an Average Return On Invested Capital over the past 3 years of 9.08%. This is significantly below the industry average of 29.02%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.43% | ||
| ROE | 10.68% | ||
| ROIC | 6.68% |
ROA(3y)9.48%
ROA(5y)5.47%
ROE(3y)15.59%
ROE(5y)8.92%
ROIC(3y)9.08%
ROIC(5y)N/A
1.3 Margins
CVX has a Profit Margin (8.60%) which is comparable to the rest of the industry.
In the last couple of years the Profit Margin of CVX has grown nicely.
CVX has a Operating Margin of 10.69%. This is in the lower half of the industry: CVX underperforms 66.67% of its industry peers.
CVX's Operating Margin has improved in the last couple of years.
Looking at the Gross Margin, with a value of 39.42%, CVX is in line with its industry, outperforming 46.57% of the companies in the same industry.
In the last couple of years the Gross Margin of CVX has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 10.69% | ||
| PM (TTM) | 8.6% | ||
| GM | 39.42% |
OM growth 3YN/A
OM growth 5Y5.57%
PM growth 3YN/A
PM growth 5Y3.05%
GM growth 3Y-5.36%
GM growth 5Y-0.49%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), CVX is creating some value.
CVX has less shares outstanding than it did 1 year ago.
Compared to 5 years ago, CVX has less shares outstanding
CVX has a better debt/assets ratio than last year.
2.2 Solvency
CVX has an Altman-Z score of 3.63. This indicates that CVX is financially healthy and has little risk of bankruptcy at the moment.
The Altman-Z score of CVX (3.63) is better than 84.31% of its industry peers.
The Debt to FCF ratio of CVX is 1.38, which is an excellent value as it means it would take CVX, only 1.38 years of fcf income to pay off all of its debts.
CVX has a better Debt to FCF ratio (1.38) than 81.86% of its industry peers.
A Debt/Equity ratio of 0.13 indicates that CVX is not too dependend on debt financing.
CVX has a Debt to Equity ratio of 0.13. This is in the better half of the industry: CVX outperforms 75.98% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.13 | ||
| Debt/FCF | 1.38 | ||
| Altman-Z | 3.63 |
ROIC/WACC0.78
WACC8.6%
2.3 Liquidity
CVX has a Current Ratio of 1.07. This is a normal value and indicates that CVX is financially healthy and should not expect problems in meeting its short term obligations.
With a Current ratio value of 1.07, CVX perfoms like the industry average, outperforming 41.67% of the companies in the same industry.
CVX has a Quick Ratio of 1.07. This is a bad value and indicates that CVX is not financially healthy enough and could expect problems in meeting its short term obligations.
With a Quick ratio value of 0.80, CVX is not doing good in the industry: 64.71% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.07 | ||
| Quick Ratio | 0.8 |
3. Growth
3.1 Past
CVX shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -16.92%.
Measured over the past years, CVX shows a quite strong growth in Earnings Per Share. The EPS has been growing by 11.15% on average per year.
CVX shows a decrease in Revenue. In the last year, the revenue decreased by -4.19%.
The Revenue has been growing slightly by 4.40% on average over the past years.
EPS 1Y (TTM)-16.92%
EPS 3YN/A
EPS 5Y11.15%
EPS Q2Q%-17.7%
Revenue 1Y (TTM)-4.19%
Revenue growth 3Y27.74%
Revenue growth 5Y4.4%
Sales Q2Q%-6.31%
3.2 Future
CVX is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 1.21% yearly.
The Revenue is expected to decrease by -4.70% on average over the next years.
EPS Next Y-20.17%
EPS Next 2Y-7.76%
EPS Next 3Y-0.08%
EPS Next 5Y1.21%
Revenue Next Year-3.32%
Revenue Next 2Y-3.62%
Revenue Next 3Y-0.62%
Revenue Next 5Y-4.7%
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 decreasing.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 12.49, which indicates a correct valuation of CVX.
CVX's Price/Earnings is on the same level as the industry average.
The average S&P500 Price/Earnings ratio is at 27.73. CVX is valued rather cheaply when compared to this.
CVX is valuated correctly with a Price/Forward Earnings ratio of 12.79.
CVX's Price/Forward Earnings ratio is in line with the industry average.
When comparing the Price/Forward Earnings ratio of CVX to the average of the S&P500 Index (22.83), we can say CVX is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.49 | ||
| Fwd PE | 12.79 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of CVX is on the same level as its industry peers.
The rest of the industry has a similar Price/Free Cash Flow ratio as CVX.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 13.68 | ||
| EV/EBITDA | 7.07 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)1.12
EPS Next 2Y-7.76%
EPS Next 3Y-0.08%
5. Dividend
5.1 Amount
CVX has a Yearly Dividend Yield of 4.62%, which is a nice return.
Compared to an average industry Dividend Yield of 7.08, CVX pays a bit more dividend than its industry peers.
Compared to an average S&P500 Dividend Yield of 2.34, CVX pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.62% |
5.2 History
The dividend of CVX is nicely growing with an annual growth rate of 6.07%!
CVX has been paying a dividend for at least 10 years, so it has a reliable track record.
CVX has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)6.07%
Div Incr Years23
Div Non Decr Years23
5.3 Sustainability
CVX pays out 70.28% of its income as dividend. This is not a sustainable payout ratio.
The dividend of CVX is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP70.28%
EPS Next 2Y-7.76%
EPS Next 3Y-0.08%
CHEVRON CORP
NYSE:CVX (12/20/2024, 8:04:32 PM)
After market: 142.999 +0.15 (+0.1%)142.85
+1.7 (+1.2%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)
Earnings (Next)
Inst Owners69.29%
Inst Owner Change-0.68%
Ins Owners0.04%
Ins Owner Change-1.89%
Market Cap256.71B
Analysts78.67
Price Target177.5 (24.26%)
Short Float %3.8%
Short Ratio8.77
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.62% |
Dividend Growth(5Y)6.07%
DP70.28%
Div Incr Years23
Div Non Decr Years23
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-5.62%
Min EPS beat(2)-13.86%
Max EPS beat(2)2.63%
EPS beat(4)3
Avg EPS beat(4)-0.93%
Min EPS beat(4)-13.86%
Max EPS beat(4)6.55%
EPS beat(8)5
Avg EPS beat(8)-3.16%
EPS beat(12)8
Avg EPS beat(12)-1.26%
EPS beat(16)10
Avg EPS beat(16)-5.66%
Revenue beat(2)1
Avg Revenue beat(2)1.09%
Min Revenue beat(2)-0.24%
Max Revenue beat(2)2.41%
Revenue beat(4)1
Avg Revenue beat(4)-3.03%
Min Revenue beat(4)-9.51%
Max Revenue beat(4)2.41%
Revenue beat(8)4
Avg Revenue beat(8)-0.25%
Revenue beat(12)7
Avg Revenue beat(12)2.19%
Revenue beat(16)9
Avg Revenue beat(16)1.61%
PT rev (1m)2.97%
PT rev (3m)-1.2%
EPS NQ rev (1m)-0.07%
EPS NQ rev (3m)-26.45%
EPS NY rev (1m)-1.15%
EPS NY rev (3m)-9.17%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-3.47%
Revenue NY rev (1m)-0.11%
Revenue NY rev (3m)-1.3%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.49 | ||
| Fwd PE | 12.79 | ||
| P/S | 1.32 | ||
| P/FCF | 13.68 | ||
| P/OCF | 7.29 | ||
| P/B | 1.64 | ||
| P/tB | 1.69 | ||
| EV/EBITDA | 7.07 |
EPS(TTM)11.44
EY8.01%
EPS(NY)11.17
Fwd EY7.82%
FCF(TTM)10.44
FCFY7.31%
OCF(TTM)19.6
OCFY13.72%
SpS107.96
BVpS86.92
TBVpS84.29
PEG (NY)N/A
PEG (5Y)1.12
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.43% | ||
| ROE | 10.68% | ||
| ROCE | 9.28% | ||
| ROIC | 6.68% | ||
| ROICexc | 6.83% | ||
| ROICexgc | 6.98% | ||
| OM | 10.69% | ||
| PM (TTM) | 8.6% | ||
| GM | 39.42% | ||
| FCFM | 9.67% |
ROA(3y)9.48%
ROA(5y)5.47%
ROE(3y)15.59%
ROE(5y)8.92%
ROIC(3y)9.08%
ROIC(5y)N/A
ROICexc(3y)9.62%
ROICexc(5y)N/A
ROICexgc(3y)9.84%
ROICexgc(5y)N/A
ROCE(3y)12.63%
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5Y9.7%
ROICexc growth 3YN/A
ROICexc growth 5Y9.69%
OM growth 3YN/A
OM growth 5Y5.57%
PM growth 3YN/A
PM growth 5Y3.05%
GM growth 3Y-5.36%
GM growth 5Y-0.49%
F-Score5
Asset Turnover0.75
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.13 | ||
| Debt/FCF | 1.38 | ||
| Debt/EBITDA | 0.53 | ||
| Cap/Depr | 88.73% | ||
| Cap/Sales | 8.49% | ||
| Interest Coverage | 41.57 | ||
| Cash Conversion | 89.63% | ||
| Profit Quality | 112.46% | ||
| Current Ratio | 1.07 | ||
| Quick Ratio | 0.8 | ||
| Altman-Z | 3.63 |
F-Score5
WACC8.6%
ROIC/WACC0.78
Cap/Depr(3y)69.89%
Cap/Depr(5y)60.75%
Cap/Sales(3y)6.1%
Cap/Sales(5y)7.56%
Profit Quality(3y)111.3%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-16.92%
EPS 3YN/A
EPS 5Y11.15%
EPS Q2Q%-17.7%
EPS Next Y-20.17%
EPS Next 2Y-7.76%
EPS Next 3Y-0.08%
EPS Next 5Y1.21%
Revenue 1Y (TTM)-4.19%
Revenue growth 3Y27.74%
Revenue growth 5Y4.4%
Sales Q2Q%-6.31%
Revenue Next Year-3.32%
Revenue Next 2Y-3.62%
Revenue Next 3Y-0.62%
Revenue Next 5Y-4.7%
EBIT growth 1Y-32.68%
EBIT growth 3YN/A
EBIT growth 5Y10.22%
EBIT Next Year27.85%
EBIT Next 3Y17.12%
EBIT Next 5Y1.5%
FCF growth 1Y-47.62%
FCF growth 3Y128.64%
FCF growth 5Y3.29%
OCF growth 1Y-24.34%
OCF growth 3Y49.88%
OCF growth 5Y3.07%