DUKE ENERGY CORP (DUK) Stock Fundamental Analysis
USA - NYSE:DUK - US26441C2044 - Common Stock
122.71 USD
-0.88 (-0.71%)
123 USD
+0.29 (+0.24%)
Taking everything into account, DUK scores 4 out of 10 in our fundamental rating. DUK was compared to 46 industry peers in the Electric Utilities industry. While DUK is still in line with the averages on profitability rating, there are concerns on its financial health. DUK is quite expensive at the moment. It does show a decent growth rate.
1. Profitability
1.1 Basic Checks
DUK had positive earnings in the past year.
DUK had a positive operating cash flow in the past year.
DUK had positive earnings in each of the past 5 years.
Each year in the past 5 years DUK had a positive operating cash flow.
1.2 Ratios
With a Return On Assets value of 2.51%, DUK is not doing good in the industry: 60.42% of the companies in the same industry are doing better.
DUK has a Return On Equity (9.34%) which is comparable to the rest of the industry.
DUK has a Return On Invested Capital (4.31%) which is comparable to the rest of the industry.
The Average Return On Invested Capital over the past 3 years for DUK is in line with the industry average of 5.00%.
The 3 year average ROIC (3.87%) for DUK is below the current ROIC(4.31%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.51% | ||
| ROE | 9.34% | ||
| ROIC | 4.31% |
ROA(3y)1.76%
ROA(5y)1.66%
ROE(3y)6.44%
ROE(5y)5.93%
ROIC(3y)3.87%
ROIC(5y)3.68%
1.3 Margins
Looking at the Profit Margin, with a value of 15.20%, DUK is in the better half of the industry, outperforming 64.58% of the companies in the same industry.
DUK's Profit Margin has been stable in the last couple of years.
DUK has a better Operating Margin (26.86%) than 85.42% of its industry peers.
In the last couple of years the Operating Margin of DUK has grown nicely.
Looking at the Gross Margin, with a value of 69.92%, DUK is in the better half of the industry, outperforming 64.58% of the companies in the same industry.
DUK's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 26.86% | ||
| PM (TTM) | 15.2% | ||
| GM | 69.92% |
OM growth 3Y3.31%
OM growth 5Y2.83%
PM growth 3Y-2.07%
PM growth 5Y-0.38%
GM growth 3Y-1.86%
GM growth 5Y-0.71%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), DUK is destroying value.
DUK has more shares outstanding than it did 1 year ago.
Compared to 5 years ago, DUK has more shares outstanding
DUK has a worse debt/assets ratio than last year.
2.2 Solvency
Based on the Altman-Z score of 0.71, we must say that DUK is in the distress zone and has some risk of bankruptcy.
With a Altman-Z score value of 0.71, DUK is not doing good in the industry: 70.83% of the companies in the same industry are doing better.
DUK has a Debt/Equity ratio of 1.62. This is a high value indicating a heavy dependency on external financing.
DUK's Debt to Equity ratio of 1.62 is on the low side compared to the rest of the industry. DUK is outperformed by 64.58% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.62 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 0.71 |
ROIC/WACC0.67
WACC6.39%
2.3 Liquidity
DUK has a Current Ratio of 0.66. This is a bad value and indicates that DUK is not financially healthy enough and could expect problems in meeting its short term obligations.
DUK has a Current ratio of 0.66. This is amonst the worse of the industry: DUK underperforms 83.33% of its industry peers.
DUK has a Quick Ratio of 0.66. This is a bad value and indicates that DUK is not financially healthy enough and could expect problems in meeting its short term obligations.
DUK has a worse Quick ratio (0.42) than 89.58% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.66 | ||
| Quick Ratio | 0.42 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 12.70% over the past year.
DUK shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 3.12% yearly.
DUK shows a small growth in Revenue. In the last year, the Revenue has grown by 4.46%.
Measured over the past years, DUK shows a small growth in Revenue. The Revenue has been growing by 3.89% on average per year.
EPS 1Y (TTM)12.7%
EPS 3Y4.1%
EPS 5Y3.12%
EPS Q2Q%11.73%
Revenue 1Y (TTM)4.46%
Revenue growth 3Y7.23%
Revenue growth 5Y3.89%
Sales Q2Q%4.76%
3.2 Future
The Earnings Per Share is expected to grow by 6.81% on average over the next years.
The Revenue is expected to grow by 4.78% on average over the next years.
EPS Next Y8.34%
EPS Next 2Y7.19%
EPS Next 3Y7.13%
EPS Next 5Y6.81%
Revenue Next Year4.81%
Revenue Next 2Y4.1%
Revenue Next 3Y3.99%
Revenue Next 5Y4.78%
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 Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 18.94, the valuation of DUK can be described as rather expensive.
DUK's Price/Earnings is on the same level as the industry average.
DUK's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 25.89.
DUK is valuated rather expensively with a Price/Forward Earnings ratio of 18.10.
DUK's Price/Forward Earnings is on the same level as the industry average.
DUK is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 34.59, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.94 | ||
| Fwd PE | 18.1 |
4.2 Price Multiples
The rest of the industry has a similar Enterprise Value to EBITDA ratio as DUK.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 11.64 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
DUK has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)2.27
PEG (5Y)6.07
EPS Next 2Y7.19%
EPS Next 3Y7.13%
5. Dividend
5.1 Amount
DUK has a Yearly Dividend Yield of 3.45%.
DUK's Dividend Yield is comparable with the industry average which is at 3.77.
Compared to an average S&P500 Dividend Yield of 2.44, DUK pays a bit more dividend than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.45% |
5.2 History
The dividend of DUK has a limited annual growth rate of 2.59%.
DUK has been paying a dividend for at least 10 years, so it has a reliable track record.
DUK has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)2.59%
Div Incr Years11
Div Non Decr Years11
5.3 Sustainability
68.02% of the earnings are spent on dividend by DUK. This is not a sustainable payout ratio.
The dividend of DUK is growing, but earnings are growing more, so the dividend growth is sustainable.
DP68.02%
EPS Next 2Y7.19%
EPS Next 3Y7.13%
122.71
-0.88 (-0.71%)
Chartmill FA Rating
GICS SectorUtilities
GICS IndustryGroupUtilities
GICS IndustryElectric Utilities
Earnings (Last)
Earnings (Next)
Inst Owners69.51%
Inst Owner Change3.13%
Ins Owners0.04%
Ins Owner Change-1.1%
Market Cap95.42B
Revenue(TTM)30.36B
Net Income(TTM)4.75B
Analysts72.14
Price Target138.67 (13.01%)
Short Float %1.86%
Short Ratio5.33
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.45% |
Yearly Dividend4.15
Dividend Growth(5Y)2.59%
DP68.02%
Div Incr Years11
Div Non Decr Years11
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)6.98%
Min EPS beat(2)5.29%
Max EPS beat(2)8.68%
EPS beat(4)2
Avg EPS beat(4)1.86%
Min EPS beat(4)-5.36%
Max EPS beat(4)8.68%
EPS beat(8)5
Avg EPS beat(8)2.84%
EPS beat(12)6
Avg EPS beat(12)0.58%
EPS beat(16)8
Avg EPS beat(16)0.66%
Revenue beat(2)2
Avg Revenue beat(2)2.21%
Min Revenue beat(2)1.39%
Max Revenue beat(2)3.03%
Revenue beat(4)3
Avg Revenue beat(4)1.02%
Min Revenue beat(4)-0.53%
Max Revenue beat(4)3.03%
Revenue beat(8)5
Avg Revenue beat(8)1.16%
Revenue beat(12)9
Avg Revenue beat(12)5.59%
Revenue beat(16)11
Avg Revenue beat(16)4.24%
PT rev (1m)4.84%
PT rev (3m)6.03%
EPS NQ rev (1m)1.58%
EPS NQ rev (3m)-1.93%
EPS NY rev (1m)0.01%
EPS NY rev (3m)0.14%
Revenue NQ rev (1m)-0.21%
Revenue NQ rev (3m)0.08%
Revenue NY rev (1m)0.13%
Revenue NY rev (3m)0.24%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.94 | ||
| Fwd PE | 18.1 | ||
| P/S | 3.05 | ||
| P/FCF | N/A | ||
| P/OCF | 7.99 | ||
| P/B | 1.88 | ||
| P/tB | 3.02 | ||
| EV/EBITDA | 11.64 |
EPS(TTM)6.48
EY5.28%
EPS(NY)6.78
Fwd EY5.52%
FCF(TTM)-0.72
FCFYN/A
OCF(TTM)15.36
OCFY12.51%
SpS40.21
BVpS65.44
TBVpS40.62
PEG (NY)2.27
PEG (5Y)6.07
Graham Number97.68
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.51% | ||
| ROE | 9.34% | ||
| ROCE | 4.9% | ||
| ROIC | 4.31% | ||
| ROICexc | 4.32% | ||
| ROICexgc | 4.86% | ||
| OM | 26.86% | ||
| PM (TTM) | 15.2% | ||
| GM | 69.92% | ||
| FCFM | N/A |
ROA(3y)1.76%
ROA(5y)1.66%
ROE(3y)6.44%
ROE(5y)5.93%
ROIC(3y)3.87%
ROIC(5y)3.68%
ROICexc(3y)3.88%
ROICexc(5y)3.68%
ROICexgc(3y)4.39%
ROICexgc(5y)4.19%
ROCE(3y)4.42%
ROCE(5y)4.19%
ROICexgc growth 3Y7.33%
ROICexgc growth 5Y3.3%
ROICexc growth 3Y7.73%
ROICexc growth 5Y3.73%
OM growth 3Y3.31%
OM growth 5Y2.83%
PM growth 3Y-2.07%
PM growth 5Y-0.38%
GM growth 3Y-1.86%
GM growth 5Y-0.71%
F-Score7
Asset Turnover0.16
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.62 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 5.36 | ||
| Cap/Depr | 179.19% | ||
| Cap/Sales | 39.99% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 77.65% | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.66 | ||
| Quick Ratio | 0.42 | ||
| Altman-Z | 0.71 |
F-Score7
WACC6.39%
ROIC/WACC0.67
Cap/Depr(3y)197.67%
Cap/Depr(5y)189.03%
Cap/Sales(3y)41.11%
Cap/Sales(5y)40.86%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)12.7%
EPS 3Y4.1%
EPS 5Y3.12%
EPS Q2Q%11.73%
EPS Next Y8.34%
EPS Next 2Y7.19%
EPS Next 3Y7.13%
EPS Next 5Y6.81%
Revenue 1Y (TTM)4.46%
Revenue growth 3Y7.23%
Revenue growth 5Y3.89%
Sales Q2Q%4.76%
Revenue Next Year4.81%
Revenue Next 2Y4.1%
Revenue Next 3Y3.99%
Revenue Next 5Y4.78%
EBIT growth 1Y8.51%
EBIT growth 3Y10.78%
EBIT growth 5Y6.83%
EBIT Next Year86.13%
EBIT Next 3Y28.93%
EBIT Next 5Y21.36%
FCF growth 1Y91.77%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y110.34%
OCF growth 3Y14.14%
OCF growth 5Y8.47%
DUKE ENERGY CORP / DUK FAQ
Can you provide the ChartMill fundamental rating for DUKE ENERGY CORP?
ChartMill assigns a fundamental rating of 4 / 10 to DUK.
What is the valuation status for DUK stock?
ChartMill assigns a valuation rating of 2 / 10 to DUKE ENERGY CORP (DUK). This can be considered as Overvalued.
Can you provide the profitability details for DUKE ENERGY CORP?
DUKE ENERGY CORP (DUK) has a profitability rating of 6 / 10.
What are the PE and PB ratios of DUKE ENERGY CORP (DUK) stock?
The Price/Earnings (PE) ratio for DUKE ENERGY CORP (DUK) is 18.94 and the Price/Book (PB) ratio is 1.88.
Is the dividend of DUKE ENERGY CORP sustainable?
The dividend rating of DUKE ENERGY CORP (DUK) is 6 / 10 and the dividend payout ratio is 68.02%.