EQT CORP (EQT)
US26884L1098 - Common Stock
EQT gets a fundamental rating of 2 out of 10. The analysis compared the fundamentals against 204 industry peers in the Oil, Gas & Consumable Fuels industry. EQT may be in some trouble as it scores bad on both profitability and health. EQT has a expensive valuation and it also scores bad on growth.
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.
The reported net income has been mixed in the past 5 years: EQT reported negative net income in multiple years.
Each year in the past 5 years EQT had a positive operating cash flow.
1.2 Ratios
EQT has a worse Return On Assets (0.79%) than 74.88% of its industry peers.
The Return On Equity of EQT (1.55%) is worse than 73.40% of its industry peers.
The Return On Invested Capital of EQT (0.97%) is worse than 79.31% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.79% | ||
| ROE | 1.55% | ||
| ROIC | 0.97% |
ROA(3y)3.13%
ROA(5y)-0.49%
ROE(3y)5.37%
ROE(5y)-1.36%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
The Profit Margin of EQT (5.52%) is worse than 64.04% of its industry peers.
Looking at the Operating Margin, with a value of 8.12%, EQT is doing worse than 72.41% of the companies in the same industry.
EQT's Operating Margin has improved in the last couple of years.
EQT has a better Gross Margin (56.49%) than 63.55% of its industry peers.
In the last couple of years the Gross Margin of EQT has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 8.12% | ||
| PM (TTM) | 5.52% | ||
| GM | 56.49% |
OM growth 3YN/A
OM growth 5Y16.83%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y18.63%
GM growth 5Y2.17%
2. Health
2.1 Basic Checks
EQT has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
EQT has more shares outstanding than it did 1 year ago.
The number of shares outstanding for EQT has been increased compared to 5 years ago.
EQT has a better debt/assets ratio than last year.
2.2 Solvency
Based on the Altman-Z score of 1.08, we must say that EQT is in the distress zone and has some risk of bankruptcy.
EQT's Altman-Z score of 1.08 is on the low side compared to the rest of the industry. EQT is outperformed by 60.10% of its industry peers.
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.
EQT has a worse Debt to FCF ratio (27.60) than 65.02% of its industry peers.
A Debt/Equity ratio of 0.66 indicates that EQT is somewhat dependend on debt financing.
EQT has a worse Debt to Equity ratio (0.66) than 63.55% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.66 | ||
| Debt/FCF | 27.6 | ||
| Altman-Z | 1.08 |
ROIC/WACC0.12
WACC8.01%
2.3 Liquidity
A Current Ratio of 0.51 indicates that EQT may have some problems paying its short term obligations.
EQT's Current ratio of 0.51 is on the low side compared to the rest of the industry. EQT is outperformed by 88.18% of its industry peers.
EQT has a Quick Ratio of 0.51. This is a bad value and indicates that EQT is not financially healthy enough and could expect problems in meeting its short term obligations.
EQT has a worse Quick ratio (0.51) than 85.71% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.51 | ||
| Quick Ratio | 0.51 |
3. Growth
3.1 Past
EQT shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -40.44%.
The Earnings Per Share has been decreasing by -2.26% on average over the past years.
The Revenue for EQT has decreased by -31.80% in the past year. This is quite bad
EQT shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 8.67% yearly.
EPS 1Y (TTM)-40.44%
EPS 3YN/A
EPS 5Y-2.26%
EPS Q2Q%-60%
Revenue 1Y (TTM)-31.8%
Revenue growth 3Y31.21%
Revenue growth 5Y8.67%
Sales Q2Q%7.66%
3.2 Future
The Earnings Per Share is expected to grow by 1.05% on average over the next years.
EQT is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 1.21% yearly.
EPS Next Y-47.15%
EPS Next 2Y5.07%
EPS Next 3Y14.18%
EPS Next 5Y1.05%
Revenue Next Year-6.87%
Revenue Next 2Y11.62%
Revenue Next 3Y9.84%
Revenue Next 5Y1.21%
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 decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
EQT is valuated quite expensively with a Price/Earnings ratio of 34.99.
Based on the Price/Earnings ratio, EQT is valued a bit more expensive than the industry average as 69.95% of the companies are valued more cheaply.
EQT is valuated rather expensively when we compare the Price/Earnings ratio to 28.96, which is the current average of the S&P500 Index.
A Price/Forward Earnings ratio of 18.39 indicates a rather expensive valuation of EQT.
Compared to the rest of the industry, the Price/Forward Earnings ratio of EQT is on the same level as its industry peers.
EQT's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 23.82.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 34.99 | ||
| Fwd PE | 18.39 |
4.2 Price Multiples
74.38% of the companies in the same industry are cheaper than EQT, based on the Enterprise Value to EBITDA ratio.
Based on the Price/Free Cash Flow ratio, EQT is valued a bit more expensive than 61.58% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 55.98 | ||
| EV/EBITDA | 16.55 |
4.3 Compensation for Growth
A more expensive valuation may be justified as EQT's earnings are expected to grow with 14.18% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y5.07%
EPS Next 3Y14.18%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 1.47%, EQT has a reasonable but not impressive dividend return.
EQT's Dividend Yield is slightly below the industry average, which is at 6.45.
EQT's Dividend Yield is slightly below the S&P500 average, which is at 2.23.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.47% |
5.2 History
On average, the dividend of EQT grows each year by 36.84%, which is quite nice.
EQT has been paying a dividend for at least 10 years, so it has a reliable track record.
EQT has decreased its dividend recently.
Dividend Growth(5Y)36.84%
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
EQT pays out 94.95% of its income as dividend. This is not a sustainable payout ratio.
The dividend of EQT is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP94.95%
EPS Next 2Y5.07%
EPS Next 3Y14.18%
EQT CORP
NYSE:EQT (11/21/2024, 5:10:12 PM)
After market: 46.89 0 (0%)46.89
+0.35 (+0.75%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap27.98B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.47% |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
Max EPS beat(2)
EPS beat(4)
Avg EPS beat(4)
Min EPS beat(4)
Max EPS beat(4)
EPS beat(8)
Avg EPS beat(8)
EPS beat(12)
Avg EPS beat(12)
EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
Avg Revenue beat(2)
Min Revenue beat(2)
Max Revenue beat(2)
Revenue beat(4)
Avg Revenue beat(4)
Min Revenue beat(4)
Max Revenue beat(4)
Revenue beat(8)
Avg Revenue beat(8)
Revenue beat(12)
Avg Revenue beat(12)
Revenue beat(16)
Avg Revenue beat(16)
PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 34.99 | ||
| Fwd PE | 18.39 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.79% | ||
| ROE | 1.55% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 8.12% | ||
| PM (TTM) | 5.52% | ||
| GM | 56.49% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.14
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.66 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 0.51 | ||
| Quick Ratio | 0.51 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
High Growth Momentum
Growth
EPS 1Y (TTM)-40.44%
EPS 3YN/A
EPS 5Y
EPS Q2Q%
EPS Next Y-47.15%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)-31.8%
Revenue growth 3Y31.21%
Revenue growth 5Y
Sales Q2Q%
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y