Enerplus Corporation (ERF) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:ERF - CA2927661025 - Common Stock
20.09 USD
-0.1 (-0.5%)
20.08 USD
-0.01 (-0.05%)
Taking everything into account, ERF scores 6 out of 10 in our fundamental rating. ERF was compared to 210 industry peers in the Oil, Gas & Consumable Fuels industry. ERF gets an excellent profitability rating and is at the same time showing great financial health properties. ERF has a bad growth rate and is valued cheaply. These ratings could make ERF a good candidate for value investing.
1. Profitability
1.1 Basic Checks
ERF had positive earnings in the past year.
ERF had a positive operating cash flow in the past year.
The reported net income has been mixed in the past 5 years: ERF reported negative net income in multiple years.
Each year in the past 5 years ERF had a positive operating cash flow.
1.2 Ratios
ERF's Return On Assets of 18.87% is amongst the best of the industry. ERF outperforms 86.79% of its industry peers.
ERF has a Return On Equity of 30.88%. This is amongst the best in the industry. ERF outperforms 82.08% of its industry peers.
ERF's Return On Invested Capital of 23.71% is amongst the best of the industry. ERF outperforms 93.87% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for ERF is significantly above the industry average of 21.41%.
The 3 year average ROIC (44.47%) for ERF is well above the current ROIC(23.71%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 18.87% | ||
| ROE | 30.88% | ||
| ROIC | 23.71% |
ROA(3y)27%
ROA(5y)1.58%
ROE(3y)53.52%
ROE(5y)-5.89%
ROIC(3y)44.47%
ROIC(5y)N/A
1.3 Margins
The Profit Margin of ERF (23.87%) is better than 67.45% of its industry peers.
ERF's Profit Margin has been stable in the last couple of years.
ERF's Operating Margin of 29.94% is fine compared to the rest of the industry. ERF outperforms 60.85% of its industry peers.
ERF's Operating Margin has declined in the last couple of years.
ERF's Gross Margin of 66.55% is fine compared to the rest of the industry. ERF outperforms 70.75% of its industry peers.
ERF's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 29.94% | ||
| PM (TTM) | 23.87% | ||
| GM | 66.55% |
OM growth 3YN/A
OM growth 5Y-1.73%
PM growth 3YN/A
PM growth 5Y-1.29%
GM growth 3Y13.58%
GM growth 5Y-1.2%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so ERF is creating value.
The number of shares outstanding for ERF has been reduced compared to 1 year ago.
Compared to 5 years ago, ERF has less shares outstanding
Compared to 1 year ago, ERF has an improved debt to assets ratio.
2.2 Solvency
ERF has an Altman-Z score of 3.80. This indicates that ERF is financially healthy and has little risk of bankruptcy at the moment.
ERF has a better Altman-Z score (3.80) than 83.96% of its industry peers.
The Debt to FCF ratio of ERF is 0.66, which is an excellent value as it means it would take ERF, only 0.66 years of fcf income to pay off all of its debts.
ERF has a better Debt to FCF ratio (0.66) than 88.21% of its industry peers.
ERF has a Debt/Equity ratio of 0.08. This is a healthy value indicating a solid balance between debt and equity.
Looking at the Debt to Equity ratio, with a value of 0.08, ERF is in the better half of the industry, outperforming 79.72% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.08 | ||
| Debt/FCF | 0.66 | ||
| Altman-Z | 3.8 |
ROIC/WACC2.89
WACC8.21%
2.3 Liquidity
ERF has a Current Ratio of 0.70. This is a bad value and indicates that ERF is not financially healthy enough and could expect problems in meeting its short term obligations.
ERF has a Current ratio of 0.70. This is in the lower half of the industry: ERF underperforms 77.83% of its industry peers.
ERF has a Quick Ratio of 0.70. This is a bad value and indicates that ERF is not financially healthy enough and could expect problems in meeting its short term obligations.
ERF has a Quick ratio of 0.70. This is in the lower half of the industry: ERF underperforms 71.23% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.7 | ||
| Quick Ratio | 0.7 |
3. Growth
3.1 Past
The earnings per share for ERF have decreased strongly by -52.71% in the last year.
Measured over the past 5 years, ERF shows a small growth in Earnings Per Share. The EPS has been growing by 6.39% on average per year.
Looking at the last year, ERF shows a very negative growth in Revenue. The Revenue has decreased by -28.47% in the last year.
The Revenue has been growing slightly by 5.17% on average over the past years.
EPS 1Y (TTM)-52.71%
EPS 3YN/A
EPS 5Y6.39%
EPS Q2Q%-48.37%
Revenue 1Y (TTM)-28.47%
Revenue growth 3Y31.15%
Revenue growth 5Y5.17%
Sales Q2Q%-17.93%
3.2 Future
ERF is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 19.13% yearly.
The Revenue is expected to grow by 4.12% on average over the next years.
EPS Next Y28.69%
EPS Next 2Y19.13%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year2.01%
Revenue Next 2Y5.71%
Revenue Next 3YN/A
Revenue Next 5Y4.12%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
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
Based on the Price/Earnings ratio of 11.16, the valuation of ERF can be described as reasonable.
ERF's Price/Earnings is on the same level as the industry average.
The average S&P500 Price/Earnings ratio is at 26.15. ERF is valued rather cheaply when compared to this.
A Price/Forward Earnings ratio of 6.74 indicates a rather cheap valuation of ERF.
Based on the Price/Forward Earnings ratio, ERF is valued cheaper than 80.66% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 36.12, ERF is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.16 | ||
| Fwd PE | 6.74 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, ERF is valued a bit cheaper than 68.40% of the companies in the same industry.
ERF's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 15.62 | ||
| EV/EBITDA | 4.9 |
4.3 Compensation for Growth
ERF's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
ERF has a very decent profitability rating, which may justify a higher PE ratio.
ERF's earnings are expected to grow with 19.13% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.39
PEG (5Y)1.75
EPS Next 2Y19.13%
EPS Next 3YN/A
5. Dividend
5.1 Amount
No dividends for ERF!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
20.09
-0.1 (-0.5%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)
Earnings (Next)
Inst Owners0.43%
Inst Owner Change0%
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap4.10B
Revenue(TTM)1.61B
Net Income(TTM)384.73M
Analysts75.56
Price Target19.29 (-3.98%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DP12.97%
Div Incr Years4
Div Non Decr Years7
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-0.85%
Min EPS beat(2)-8.69%
Max EPS beat(2)6.99%
EPS beat(4)2
Avg EPS beat(4)-5.84%
Min EPS beat(4)-29.95%
Max EPS beat(4)8.31%
EPS beat(8)5
Avg EPS beat(8)16.37%
EPS beat(12)6
Avg EPS beat(12)-7.94%
EPS beat(16)6
Avg EPS beat(16)-240.98%
Revenue beat(2)N/A
Avg Revenue beat(2)N/A
Min Revenue beat(2)N/A
Max Revenue beat(2)N/A
Revenue beat(4)N/A
Avg Revenue beat(4)N/A
Min Revenue beat(4)N/A
Max Revenue beat(4)N/A
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)1.23%
PT rev (3m)6.75%
EPS NQ rev (1m)-9.47%
EPS NQ rev (3m)10%
EPS NY rev (1m)-10.66%
EPS NY rev (3m)-8.24%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0%
Revenue NY rev (3m)0%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.16 | ||
| Fwd PE | 6.74 | ||
| P/S | 2.55 | ||
| P/FCF | 15.62 | ||
| P/OCF | 4.97 | ||
| P/B | 3.29 | ||
| P/tB | 3.29 | ||
| EV/EBITDA | 4.9 |
EPS(TTM)1.8
EY8.96%
EPS(NY)2.98
Fwd EY14.83%
FCF(TTM)1.29
FCFY6.4%
OCF(TTM)4.04
OCFY20.12%
SpS7.89
BVpS6.1
TBVpS6.1
PEG (NY)0.39
PEG (5Y)1.75
Graham NumberN/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 18.87% | ||
| ROE | 30.88% | ||
| ROCE | 30.38% | ||
| ROIC | 23.71% | ||
| ROICexc | 24.22% | ||
| ROICexgc | 24.22% | ||
| OM | 29.94% | ||
| PM (TTM) | 23.87% | ||
| GM | 66.55% | ||
| FCFM | 16.3% |
ROA(3y)27%
ROA(5y)1.58%
ROE(3y)53.52%
ROE(5y)-5.89%
ROIC(3y)44.47%
ROIC(5y)N/A
ROICexc(3y)46.07%
ROICexc(5y)N/A
ROICexgc(3y)46.07%
ROICexgc(5y)N/A
ROCE(3y)56.98%
ROCE(5y)N/A
ROICexgc growth 3YN/A
ROICexgc growth 5Y6.21%
ROICexc growth 3YN/A
ROICexc growth 5Y13.19%
OM growth 3YN/A
OM growth 5Y-1.73%
PM growth 3YN/A
PM growth 5Y-1.29%
GM growth 3Y13.58%
GM growth 5Y-1.2%
F-Score5
Asset Turnover0.79
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.08 | ||
| Debt/FCF | 0.66 | ||
| Debt/EBITDA | 0.11 | ||
| Cap/Depr | 146.97% | ||
| Cap/Sales | 34.91% | ||
| Interest Coverage | 29 | ||
| Cash Conversion | 95.37% | ||
| Profit Quality | 68.29% | ||
| Current Ratio | 0.7 | ||
| Quick Ratio | 0.7 | ||
| Altman-Z | 3.8 |
F-Score5
WACC8.21%
ROIC/WACC2.89
Cap/Depr(3y)132.01%
Cap/Depr(5y)138.02%
Cap/Sales(3y)23.79%
Cap/Sales(5y)33.65%
Profit Quality(3y)100.55%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-52.71%
EPS 3YN/A
EPS 5Y6.39%
EPS Q2Q%-48.37%
EPS Next Y28.69%
EPS Next 2Y19.13%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)-28.47%
Revenue growth 3Y31.15%
Revenue growth 5Y5.17%
Sales Q2Q%-17.93%
Revenue Next Year2.01%
Revenue Next 2Y5.71%
Revenue Next 3YN/A
Revenue Next 5Y4.12%
EBIT growth 1Y-58.92%
EBIT growth 3YN/A
EBIT growth 5Y3.35%
EBIT Next Year86.17%
EBIT Next 3Y38.47%
EBIT Next 5YN/A
FCF growth 1Y-43%
FCF growth 3Y55.34%
FCF growth 5Y27.23%
OCF growth 1Y8.09%
OCF growth 3Y28.09%
OCF growth 5Y4.89%
Enerplus Corporation / ERF FAQ
What is the ChartMill fundamental rating of Enerplus Corporation (ERF) stock?
ChartMill assigns a fundamental rating of 6 / 10 to ERF.
Can you provide the valuation status for Enerplus Corporation?
ChartMill assigns a valuation rating of 7 / 10 to Enerplus Corporation (ERF). This can be considered as Undervalued.
Can you provide the profitability details for Enerplus Corporation?
Enerplus Corporation (ERF) has a profitability rating of 7 / 10.
How financially healthy is Enerplus Corporation?
The financial health rating of Enerplus Corporation (ERF) is 7 / 10.
Is the dividend of Enerplus Corporation sustainable?
The dividend rating of Enerplus Corporation (ERF) is 5 / 10 and the dividend payout ratio is 12.97%.