GRANITE RIDGE RESOURCES INC (GRNT) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:GRNT - US3874321074 - Common Stock
5.15 USD
-0.27 (-4.98%)
5.25 USD
+0.1 (+1.94%)
GRNT gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 209 industry peers in the Oil, Gas & Consumable Fuels industry. There are concerns on the financial health of GRNT while its profitability can be described as average. GRNT has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
In the past year GRNT was profitable.
GRNT had a positive operating cash flow in the past year.
GRNT had positive earnings in 4 of the past 5 years.
Each year in the past 5 years GRNT had a positive operating cash flow.
1.2 Ratios
GRNT has a Return On Assets of 3.33%. This is comparable to the rest of the industry: GRNT outperforms 52.15% of its industry peers.
Looking at the Return On Equity, with a value of 5.84%, GRNT is in line with its industry, outperforming 46.41% of the companies in the same industry.
GRNT's Return On Invested Capital of 8.01% is fine compared to the rest of the industry. GRNT outperforms 74.64% of its industry peers.
GRNT had an Average Return On Invested Capital over the past 3 years of 16.49%. This is below the industry average of 20.87%.
The last Return On Invested Capital (8.01%) for GRNT is well below the 3 year average (16.49%), which needs to be investigated, but indicates that GRNT had better years and this may not be a problem.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.33% | ||
| ROE | 5.84% | ||
| ROIC | 8.01% |
ROA(3y)14.52%
ROA(5y)11.52%
ROE(3y)18.16%
ROE(5y)14.28%
ROIC(3y)16.49%
ROIC(5y)N/A
1.3 Margins
The Profit Margin of GRNT (8.33%) is comparable to the rest of the industry.
GRNT's Profit Margin has declined in the last couple of years.
Looking at the Operating Margin, with a value of 24.59%, GRNT is in the better half of the industry, outperforming 64.11% of the companies in the same industry.
In the last couple of years the Operating Margin of GRNT has declined.
GRNT's Gross Margin of 93.71% is amongst the best of the industry. GRNT outperforms 97.61% of its industry peers.
In the last couple of years the Gross Margin of GRNT has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 24.59% | ||
| PM (TTM) | 8.33% | ||
| GM | 93.71% |
OM growth 3Y-19.75%
OM growth 5YN/A
PM growth 3Y-49.27%
PM growth 5YN/A
GM growth 3Y-0.22%
GM growth 5YN/A
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so GRNT is creating value.
GRNT has more shares outstanding than it did 1 year ago.
GRNT has a worse debt/assets ratio than last year.
2.2 Solvency
Based on the Altman-Z score of 1.62, we must say that GRNT is in the distress zone and has some risk of bankruptcy.
GRNT has a Altman-Z score (1.62) which is comparable to the rest of the industry.
A Debt/Equity ratio of 0.47 indicates that GRNT is not too dependend on debt financing.
GRNT's Debt to Equity ratio of 0.47 is in line compared to the rest of the industry. GRNT outperforms 50.72% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.47 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 1.62 |
ROIC/WACC0.92
WACC8.74%
2.3 Liquidity
GRNT has a Current Ratio of 1.41. This is a normal value and indicates that GRNT is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Current ratio, with a value of 1.41, GRNT is in the better half of the industry, outperforming 63.16% of the companies in the same industry.
GRNT has a Quick Ratio of 1.41. This is a normal value and indicates that GRNT is financially healthy and should not expect problems in meeting its short term obligations.
GRNT has a Quick ratio of 1.41. This is in the better half of the industry: GRNT outperforms 69.86% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.41 | ||
| Quick Ratio | 1.41 |
3. Growth
3.1 Past
The earnings per share for GRNT have decreased by 0.00% in the last year.
Measured over the past years, GRNT shows a very negative growth in Earnings Per Share. The EPS has been decreasing by -43.98% on average per year.
The Revenue has grown by 18.56% in the past year. This is quite good.
GRNT shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 9.41% yearly.
EPS 1Y (TTM)0%
EPS 3Y-43.98%
EPS 5YN/A
EPS Q2Q%-35.71%
Revenue 1Y (TTM)18.56%
Revenue growth 3Y9.41%
Revenue growth 5YN/A
Sales Q2Q%19.77%
3.2 Future
Based on estimates for the next years, GRNT will show a decrease in Earnings Per Share. The EPS will decrease by -1.35% on average per year.
The Revenue is expected to grow by 9.01% on average over the next years. This is quite good.
EPS Next Y-5.29%
EPS Next 2Y-7.79%
EPS Next 3Y4.48%
EPS Next 5Y-1.35%
Revenue Next Year26.76%
Revenue Next 2Y17.42%
Revenue Next 3Y12.52%
Revenue Next 5Y9.01%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 8.73, which indicates a very decent valuation of GRNT.
GRNT's Price/Earnings ratio is rather cheap when compared to the industry. GRNT is cheaper than 85.17% of the companies in the same industry.
GRNT is valuated cheaply when we compare the Price/Earnings ratio to 26.34, which is the current average of the S&P500 Index.
Based on the Price/Forward Earnings ratio of 10.82, the valuation of GRNT can be described as reasonable.
Compared to the rest of the industry, the Price/Forward Earnings ratio of GRNT indicates a somewhat cheap valuation: GRNT is cheaper than 70.81% of the companies listed in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 23.56. GRNT is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.73 | ||
| Fwd PE | 10.82 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of GRNT indicates a rather cheap valuation: GRNT is cheaper than 90.91% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 2.91 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-7.79%
EPS Next 3Y4.48%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 8.26%, GRNT is a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 5.71, GRNT pays a better dividend. On top of this GRNT pays more dividend than 84.21% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.31, GRNT pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 8.26% |
5.2 History
GRNT has been paying a dividend for less than 5 years, so it still needs to build a track record.
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years2
5.3 Sustainability
GRNT pays out 153.30% of its income as dividend. This is not a sustainable payout ratio.
DP153.3%
EPS Next 2Y-7.79%
EPS Next 3Y4.48%
5.15
-0.27 (-4.98%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)
Earnings (Next)
Inst Owners74.45%
Inst Owner Change-0.83%
Ins Owners3.25%
Ins Owner Change3.27%
Market Cap675.94M
Revenue(TTM)451.13M
Net Income(TTM)37.59M
Analysts76.67
Price Target7.06 (37.09%)
Short Float %2.53%
Short Ratio5.85
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 8.26% |
Yearly Dividend0.44
Dividend Growth(5Y)N/A
DP153.3%
Div Incr Years0
Div Non Decr Years2
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-20.02%
Min EPS beat(2)-26.32%
Max EPS beat(2)-13.73%
EPS beat(4)2
Avg EPS beat(4)-0.16%
Min EPS beat(4)-26.32%
Max EPS beat(4)31.58%
EPS beat(8)3
Avg EPS beat(8)0.24%
EPS beat(12)4
Avg EPS beat(12)-3.8%
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)0
Avg Revenue beat(2)-5.71%
Min Revenue beat(2)-8.9%
Max Revenue beat(2)-2.52%
Revenue beat(4)2
Avg Revenue beat(4)-0.78%
Min Revenue beat(4)-8.9%
Max Revenue beat(4)4.21%
Revenue beat(8)2
Avg Revenue beat(8)-1.74%
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)-3.04%
PT rev (3m)0.24%
EPS NQ rev (1m)17.1%
EPS NQ rev (3m)-8.69%
EPS NY rev (1m)-1.89%
EPS NY rev (3m)-12.35%
Revenue NQ rev (1m)0.14%
Revenue NQ rev (3m)1.8%
Revenue NY rev (1m)-0.87%
Revenue NY rev (3m)0.11%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.73 | ||
| Fwd PE | 10.82 | ||
| P/S | 1.5 | ||
| P/FCF | N/A | ||
| P/OCF | 2.25 | ||
| P/B | 1.05 | ||
| P/tB | 1.05 | ||
| EV/EBITDA | 2.91 |
EPS(TTM)0.59
EY11.46%
EPS(NY)0.48
Fwd EY9.25%
FCF(TTM)-0.7
FCFYN/A
OCF(TTM)2.29
OCFY44.4%
SpS3.44
BVpS4.91
TBVpS4.91
PEG (NY)N/A
PEG (5Y)N/A
Graham Number8.07
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.33% | ||
| ROE | 5.84% | ||
| ROCE | 10.55% | ||
| ROIC | 8.01% | ||
| ROICexc | 8.25% | ||
| ROICexgc | 8.25% | ||
| OM | 24.59% | ||
| PM (TTM) | 8.33% | ||
| GM | 93.71% | ||
| FCFM | N/A |
ROA(3y)14.52%
ROA(5y)11.52%
ROE(3y)18.16%
ROE(5y)14.28%
ROIC(3y)16.49%
ROIC(5y)N/A
ROICexc(3y)17.88%
ROICexc(5y)N/A
ROICexgc(3y)17.88%
ROICexgc(5y)N/A
ROCE(3y)21.7%
ROCE(5y)N/A
ROICexgc growth 3Y-29.25%
ROICexgc growth 5YN/A
ROICexc growth 3Y-29.25%
ROICexc growth 5YN/A
OM growth 3Y-19.75%
OM growth 5YN/A
PM growth 3Y-49.27%
PM growth 5YN/A
GM growth 3Y-0.22%
GM growth 5YN/A
F-Score6
Asset Turnover0.4
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.47 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 0.94 | ||
| Cap/Depr | 188.69% | ||
| Cap/Sales | 86.85% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 94.2% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.41 | ||
| Quick Ratio | 1.41 | ||
| Altman-Z | 1.62 |
F-Score6
WACC8.74%
ROIC/WACC0.92
Cap/Depr(3y)214.02%
Cap/Depr(5y)204.11%
Cap/Sales(3y)76.55%
Cap/Sales(5y)88%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)0%
EPS 3Y-43.98%
EPS 5YN/A
EPS Q2Q%-35.71%
EPS Next Y-5.29%
EPS Next 2Y-7.79%
EPS Next 3Y4.48%
EPS Next 5Y-1.35%
Revenue 1Y (TTM)18.56%
Revenue growth 3Y9.41%
Revenue growth 5YN/A
Sales Q2Q%19.77%
Revenue Next Year26.76%
Revenue Next 2Y17.42%
Revenue Next 3Y12.52%
Revenue Next 5Y9.01%
EBIT growth 1Y14.34%
EBIT growth 3Y-12.21%
EBIT growth 5YN/A
EBIT Next Year277.08%
EBIT Next 3Y63.88%
EBIT Next 5Y46.11%
FCF growth 1Y-335.5%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-46.43%
OCF growth 3Y15.02%
OCF growth 5YN/A
GRANITE RIDGE RESOURCES INC / GRNT FAQ
Can you provide the ChartMill fundamental rating for GRANITE RIDGE RESOURCES INC?
ChartMill assigns a fundamental rating of 4 / 10 to GRNT.
What is the valuation status for GRNT stock?
ChartMill assigns a valuation rating of 5 / 10 to GRANITE RIDGE RESOURCES INC (GRNT). This can be considered as Fairly Valued.
Can you provide the profitability details for GRANITE RIDGE RESOURCES INC?
GRANITE RIDGE RESOURCES INC (GRNT) has a profitability rating of 5 / 10.
What is the financial health of GRANITE RIDGE RESOURCES INC (GRNT) stock?
The financial health rating of GRANITE RIDGE RESOURCES INC (GRNT) is 3 / 10.
How sustainable is the dividend of GRANITE RIDGE RESOURCES INC (GRNT) stock?
The dividend rating of GRANITE RIDGE RESOURCES INC (GRNT) is 4 / 10 and the dividend payout ratio is 153.3%.