EQT CORP (EQT) Stock Fundamental Analysis
NYSE:EQT - New York Stock Exchange, Inc. - US26884L1098 - Common Stock - Currency: USD
EQT gets a fundamental rating of 3 out of 10. The analysis compared the fundamentals against 211 industry peers in the Oil, Gas & Consumable Fuels industry. EQT has a bad profitability rating. Also its financial health evaluation is rather negative. EQT is quite expensive at the moment. It does show a decent growth rate.
1. Profitability
1.1 Basic Checks
EQT had positive earnings in the past year.
In the past year EQT had a positive cash flow from operations.
In multiple years EQT reported negative net income over the last 5 years.
EQT had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
The Return On Assets of EQT (0.79%) is worse than 72.06% of its industry peers.
EQT has a Return On Equity of 1.55%. This is in the lower half of the industry: EQT underperforms 71.08% of its industry peers.
The Return On Invested Capital of EQT (1.06%) is worse than 79.41% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.79% | ||
| ROE | 1.55% | ||
| ROIC | 1.06% |
ROA(3y)N/A
ROA(5y)N/A
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
EQT has a Profit Margin of 5.52%. This is in the lower half of the industry: EQT underperforms 61.76% of its industry peers.
The Operating Margin of EQT (8.12%) is worse than 70.10% of its industry peers.
In the last couple of years the Operating Margin of EQT has declined.
EQT has a Gross Margin of 56.49%. This is in the better half of the industry: EQT outperforms 62.75% of its industry peers.
In the last couple of years the Gross Margin of EQT has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 8.12% | ||
| PM (TTM) | 5.52% | ||
| GM | 56.49% |
OM growth 3YN/A
OM growth 5Y-52.93%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y24.52%
GM growth 5Y-0.11%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), EQT is destroying value.
EQT has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
2.2 Solvency
EQT has an Altman-Z score of 1.19. This is a bad value and indicates that EQT is not financially healthy and even has some risk of bankruptcy.
With a Altman-Z score value of 1.19, EQT perfoms like the industry average, outperforming 43.63% of the companies in the same industry.
EQT has a debt to FCF ratio of 27.60. This is a negative value and a sign of low solvency as EQT would need 27.60 years to pay back of all of its debts.
The Debt to FCF ratio of EQT (27.60) is worse than 63.73% of its industry peers.
A Debt/Equity ratio of 0.66 indicates that EQT is somewhat dependend on debt financing.
The Debt to Equity ratio of EQT (0.66) is worse than 64.22% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.66 | ||
| Debt/FCF | 27.6 | ||
| Altman-Z | 1.19 |
ROIC/WACC0.13
WACC8.28%
2.3 Liquidity
A Current Ratio of 0.51 indicates that EQT may have some problems paying its short term obligations.
EQT has a worse Current ratio (0.51) than 87.25% of its industry peers.
A Quick Ratio of 0.51 indicates that EQT may have some problems paying its short term obligations.
EQT has a Quick ratio of 0.51. This is amonst the worse of the industry: EQT underperforms 84.31% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.51 | ||
| Quick Ratio | 0.51 |
3. Growth
3.1 Past
The earnings per share for EQT have decreased strongly by -32.90% in the last year.
Measured over the past years, EQT shows a quite strong growth in Earnings Per Share. The EPS has been growing by 13.31% on average per year.
The Revenue for EQT has decreased by -23.67% in the past year. This is quite bad
Measured over the past years, EQT shows a small growth in Revenue. The Revenue has been growing by 3.61% on average per year.
EPS 1Y (TTM)-32.9%
EPS 3Y19.87%
EPS 5Y13.31%
EPS Q2Q%43.75%
Revenue 1Y (TTM)-23.67%
Revenue growth 3Y19.83%
Revenue growth 5Y3.61%
Sales Q2Q%17.55%
3.2 Future
The Earnings Per Share is expected to grow by 26.29% on average over the next years. This is a very strong growth
The Revenue is expected to grow by 12.35% on average over the next years. This is quite good.
EPS Next Y86.57%
EPS Next 2Y60.46%
EPS Next 3Y35.17%
EPS Next 5Y26.29%
Revenue Next Year37.45%
Revenue Next 2Y22.69%
Revenue Next 3Y10.34%
Revenue Next 5Y12.35%
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.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 32.41, the valuation of EQT can be described as expensive.
Based on the Price/Earnings ratio, EQT is valued a bit more expensive than the industry average as 68.14% of the companies are valued more cheaply.
EQT is valuated at similar levels of the S&P average when we compare the Price/Earnings ratio to 29.63, which is the current average of the S&P500 Index.
Based on the Price/Forward Earnings ratio of 17.37, the valuation of EQT can be described as rather expensive.
The rest of the industry has a similar Price/Forward Earnings ratio as EQT.
EQT is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 22.68, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 32.41 | ||
| Fwd PE | 17.37 |
4.2 Price Multiples
72.55% of the companies in the same industry are cheaper than EQT, based on the Enterprise Value to EBITDA ratio.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of EQT indicates a slightly more expensive valuation: EQT is more expensive than 60.78% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 59.97 | ||
| EV/EBITDA | 17.98 |
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.
A more expensive valuation may be justified as EQT's earnings are expected to grow with 35.17% in the coming years.
PEG (NY)0.37
PEG (5Y)2.44
EPS Next 2Y60.46%
EPS Next 3Y35.17%
5. Dividend
5.1 Amount
EQT has a Yearly Dividend Yield of 1.16%.
EQT's Dividend Yield is slightly below the industry average, which is at 6.75.
Compared to an average S&P500 Dividend Yield of 2.29, EQT's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.16% |
5.2 History
The dividend of EQT is nicely growing with an annual growth rate of 36.84%!
EQT has paid a dividend for at least 10 years, which is a reliable track record.
EQT has decreased its dividend in the last 3 years.
Dividend Growth(5Y)36.84%
Div Incr Years2
Div Non Decr Years2
5.3 Sustainability
94.95% of the earnings are spent on dividend by EQT. This is not a sustainable payout ratio.
EQT's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP94.95%
EPS Next 2Y60.46%
EPS Next 3Y35.17%
50.24
-2.32 (-4.41%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)
Earnings (Next)
Inst Owners77.09%
Inst Owner Change-1.11%
Ins Owners0.54%
Ins Owner Change-9.09%
Market Cap29.98B
Analysts77.33
Price Target54.28 (8.04%)
Short Float %2.79%
Short Ratio2.24
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.16% |
Yearly Dividend0.58
Dividend Growth(5Y)36.84%
DP94.95%
Div Incr Years2
Div Non Decr Years2
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)76.68%
Min EPS beat(2)56.15%
Max EPS beat(2)97.2%
EPS beat(4)3
Avg EPS beat(4)42.79%
Min EPS beat(4)-9.87%
Max EPS beat(4)97.2%
EPS beat(8)6
Avg EPS beat(8)86.19%
EPS beat(12)6
Avg EPS beat(12)54.23%
EPS beat(16)10
Avg EPS beat(16)70.79%
Revenue beat(2)0
Avg Revenue beat(2)-8.56%
Min Revenue beat(2)-13.64%
Max Revenue beat(2)-3.47%
Revenue beat(4)1
Avg Revenue beat(4)-2.72%
Min Revenue beat(4)-13.64%
Max Revenue beat(4)8.81%
Revenue beat(8)4
Avg Revenue beat(8)16.9%
Revenue beat(12)7
Avg Revenue beat(12)19.67%
Revenue beat(16)8
Avg Revenue beat(16)-5.87%
PT rev (1m)9.71%
PT rev (3m)26.42%
EPS NQ rev (1m)1.57%
EPS NQ rev (3m)11.5%
EPS NY rev (1m)0.31%
EPS NY rev (3m)13.38%
Revenue NQ rev (1m)-1.82%
Revenue NQ rev (3m)-2.03%
Revenue NY rev (1m)-1.2%
Revenue NY rev (3m)-1.96%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 32.41 | ||
| Fwd PE | 17.37 | ||
| P/S | 5.27 | ||
| P/FCF | 59.97 | ||
| P/OCF | 11.12 | ||
| P/B | 1.47 | ||
| P/tB | 1.68 | ||
| EV/EBITDA | 17.98 |
EPS(TTM)1.55
EY3.09%
EPS(NY)2.89
Fwd EY5.76%
FCF(TTM)0.84
FCFY1.67%
OCF(TTM)4.52
OCFY8.99%
SpS9.54
BVpS34.08
TBVpS29.98
PEG (NY)0.37
PEG (5Y)2.44
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.79% | ||
| ROE | 1.55% | ||
| ROCE | 1.22% | ||
| ROIC | 1.06% | ||
| ROICexc | 1.07% | ||
| ROICexgc | 1.14% | ||
| OM | 8.12% | ||
| PM (TTM) | 5.52% | ||
| GM | 56.49% | ||
| FCFM | 8.78% |
ROA(3y)N/A
ROA(5y)N/A
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5Y-52.93%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y24.52%
GM growth 5Y-0.11%
F-Score3
Asset Turnover0.14
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.66 | ||
| Debt/FCF | 27.6 | ||
| Debt/EBITDA | 5.34 | ||
| Cap/Depr | 107.4% | ||
| Cap/Sales | 38.57% | ||
| Interest Coverage | 1.75 | ||
| Cash Conversion | 107.53% | ||
| Profit Quality | 159.06% | ||
| Current Ratio | 0.51 | ||
| Quick Ratio | 0.51 | ||
| Altman-Z | 1.19 |
F-Score3
WACC8.28%
ROIC/WACC0.13
Cap/Depr(3y)N/A
Cap/Depr(5y)N/A
Cap/Sales(3y)N/A
Cap/Sales(5y)N/A
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-32.9%
EPS 3Y19.87%
EPS 5Y13.31%
EPS Q2Q%43.75%
EPS Next Y86.57%
EPS Next 2Y60.46%
EPS Next 3Y35.17%
EPS Next 5Y26.29%
Revenue 1Y (TTM)-23.67%
Revenue growth 3Y19.83%
Revenue growth 5Y3.61%
Sales Q2Q%17.55%
Revenue Next Year37.45%
Revenue Next 2Y22.69%
Revenue Next 3Y10.34%
Revenue Next 5Y12.35%
EBIT growth 1Y-88.59%
EBIT growth 3YN/A
EBIT growth 5Y-51.23%
EBIT Next Year357.57%
EBIT Next 3Y67.97%
EBIT Next 5Y35.86%
FCF growth 1Y-71.91%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-25.51%
OCF growth 3YN/A
OCF growth 5YN/A