HEMISPHERE ENERGY CORP (HME.CA) Stock Fundamental Analysis
Canada - TSX-V:HME - CA4236301020 - Common Stock
2.06 CAD
-0.01 (-0.48%)
We assign a fundamental rating of 7 out of 10 to HME. HME was compared to 218 industry peers in the Oil, Gas & Consumable Fuels industry. HME gets an excellent profitability rating and is at the same time showing great financial health properties. HME scores decently on growth, while it is valued quite cheap. This could make an interesting combination. These ratings could make HME a good candidate for value investing.
1. Profitability
1.1 Basic Checks
In the past year HME was profitable.
In the past year HME had a positive cash flow from operations.
HME had positive earnings in 4 of the past 5 years.
HME had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
HME has a Return On Assets of 26.87%. This is amongst the best in the industry. HME outperforms 99.08% of its industry peers.
HME has a Return On Equity of 40.34%. This is amongst the best in the industry. HME outperforms 99.08% of its industry peers.
With an excellent Return On Invested Capital value of 33.61%, HME belongs to the best of the industry, outperforming 100.00% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for HME is significantly above the industry average of 6.89%.
The last Return On Invested Capital (33.61%) for HME is well below the 3 year average (38.31%), which needs to be investigated, but indicates that HME had better years and this may not be a problem.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 26.87% | ||
| ROE | 40.34% | ||
| ROIC | 33.61% |
ROA(3y)27.91%
ROA(5y)18.35%
ROE(3y)41.42%
ROE(5y)28.93%
ROIC(3y)38.31%
ROIC(5y)29.36%
1.3 Margins
HME has a better Profit Margin (31.38%) than 88.07% of its industry peers.
HME's Profit Margin has improved in the last couple of years.
With an excellent Operating Margin value of 43.33%, HME belongs to the best of the industry, outperforming 96.33% of the companies in the same industry.
HME's Operating Margin has improved in the last couple of years.
HME has a Gross Margin of 60.30%. This is in the better half of the industry: HME outperforms 78.44% of its industry peers.
In the last couple of years the Gross Margin of HME has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 43.33% | ||
| PM (TTM) | 31.38% | ||
| GM | 60.3% |
OM growth 3Y2.1%
OM growth 5Y4.69%
PM growth 3Y34.16%
PM growth 5Y45.92%
GM growth 3Y-1.38%
GM growth 5Y-1.19%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so HME is creating value.
Compared to 1 year ago, HME has less shares outstanding
The number of shares outstanding for HME has been increased compared to 5 years ago.
HME has a better debt/assets ratio than last year.
2.2 Solvency
HME has an Altman-Z score of 5.36. This indicates that HME is financially healthy and has little risk of bankruptcy at the moment.
HME has a better Altman-Z score (5.36) than 85.32% of its industry peers.
HME has a debt to FCF ratio of 0.08. This is a very positive value and a sign of high solvency as it would only need 0.08 years to pay back of all of its debts.
HME has a better Debt to FCF ratio (0.08) than 95.41% of its industry peers.
A Debt/Equity ratio of 0.03 indicates that HME is not too dependend on debt financing.
The Debt to Equity ratio of HME (0.03) is better than 75.69% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.03 | ||
| Debt/FCF | 0.08 | ||
| Altman-Z | 5.36 |
ROIC/WACC4.25
WACC7.91%
2.3 Liquidity
A Current Ratio of 1.62 indicates that HME should not have too much problems paying its short term obligations.
HME has a Current ratio of 1.62. This is in the better half of the industry: HME outperforms 74.31% of its industry peers.
A Quick Ratio of 1.62 indicates that HME should not have too much problems paying its short term obligations.
Looking at the Quick ratio, with a value of 1.62, HME is in the better half of the industry, outperforming 75.23% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.62 | ||
| Quick Ratio | 1.62 |
3. Growth
3.1 Past
The Earnings Per Share has been growing slightly by 3.23% over the past year.
Measured over the past years, HME shows a very strong growth in Earnings Per Share. The EPS has been growing by 80.04% on average per year.
Looking at the last year, HME shows a small growth in Revenue. The Revenue has grown by 5.28% in the last year.
Measured over the past years, HME shows a very strong growth in Revenue. The Revenue has been growing by 25.97% on average per year.
EPS 1Y (TTM)3.23%
EPS 3Y72.84%
EPS 5Y80.04%
EPS Q2Q%-30%
Revenue 1Y (TTM)5.28%
Revenue growth 3Y32.32%
Revenue growth 5Y25.97%
Sales Q2Q%-15.7%
3.2 Future
The Earnings Per Share is expected to decrease by -15.87% on average over the next years. This is quite bad
The Revenue is expected to decrease by -7.01% on average over the next years.
EPS Next Y-6.36%
EPS Next 2Y-9.92%
EPS Next 3Y-9.18%
EPS Next 5Y-15.87%
Revenue Next Year-2.08%
Revenue Next 2Y-4.7%
Revenue Next 3Y-4.84%
Revenue Next 5Y-7.01%
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 decreasing.
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
The Price/Earnings ratio is 6.44, which indicates a rather cheap valuation of HME.
Based on the Price/Earnings ratio, HME is valued cheaply inside the industry as 89.45% of the companies are valued more expensively.
When comparing the Price/Earnings ratio of HME to the average of the S&P500 Index (25.67), we can say HME is valued rather cheaply.
The Price/Forward Earnings ratio is 7.69, which indicates a rather cheap valuation of HME.
Based on the Price/Forward Earnings ratio, HME is valued a bit cheaper than the industry average as 77.52% of the companies are valued more expensively.
Compared to an average S&P500 Price/Forward Earnings ratio of 31.86, HME is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.44 | ||
| Fwd PE | 7.69 |
4.2 Price Multiples
HME's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. HME is cheaper than 92.66% of the companies in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of HME indicates a rather cheap valuation: HME is cheaper than 95.41% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 4.82 | ||
| EV/EBITDA | 3.17 |
4.3 Compensation for Growth
The excellent profitability rating of HME may justify a higher PE ratio.
A cheap valuation may be justified as HME's earnings are expected to decrease with -9.18% in the coming years.
PEG (NY)N/A
PEG (5Y)0.08
EPS Next 2Y-9.92%
EPS Next 3Y-9.18%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 4.74%, HME is a good candidate for dividend investing.
HME's Dividend Yield is a higher than the industry average which is at 5.34.
Compared to an average S&P500 Dividend Yield of 2.40, HME pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.74% |
5.2 History
HME 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 Years2
Div Non Decr Years2
5.3 Sustainability
HME pays out 57.92% of its income as dividend. This is a bit on the high side, but may be sustainable.
DP57.92%
EPS Next 2Y-9.92%
EPS Next 3Y-9.18%
TSX-V:HME (11/6/2025, 7:00:00 PM)
2.06
-0.01 (-0.48%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)
Earnings (Next)
Inst Owners0.79%
Inst Owner ChangeN/A
Ins Owners15.55%
Ins Owner ChangeN/A
Market Cap195.08M
Revenue(TTM)101.77M
Net Income(TTM)31.93M
Analysts84
Price Target2.32 (12.62%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.74% |
Yearly Dividend0.16
Dividend Growth(5Y)N/A
DP57.92%
Div Incr Years2
Div Non Decr Years2
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-0.06%
Min EPS beat(2)-2.91%
Max EPS beat(2)2.8%
EPS beat(4)1
Avg EPS beat(4)-2.76%
Min EPS beat(4)-8.02%
Max EPS beat(4)2.8%
EPS beat(8)3
Avg EPS beat(8)-3.68%
EPS beat(12)6
Avg EPS beat(12)3.66%
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)2
Avg Revenue beat(2)5.19%
Min Revenue beat(2)4.39%
Max Revenue beat(2)5.99%
Revenue beat(4)3
Avg Revenue beat(4)2.23%
Min Revenue beat(4)-2.87%
Max Revenue beat(4)5.99%
Revenue beat(8)6
Avg Revenue beat(8)1.14%
Revenue beat(12)8
Avg Revenue beat(12)-0.62%
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)-1.09%
PT rev (3m)1.11%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-6.67%
EPS NY rev (1m)0%
EPS NY rev (3m)-16.67%
Revenue NQ rev (1m)-3.91%
Revenue NQ rev (3m)-6.7%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.94%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.44 | ||
| Fwd PE | 7.69 | ||
| P/S | 1.92 | ||
| P/FCF | 4.82 | ||
| P/OCF | 3.42 | ||
| P/B | 2.46 | ||
| P/tB | 2.46 | ||
| EV/EBITDA | 3.17 |
EPS(TTM)0.32
EY15.53%
EPS(NY)0.27
Fwd EY13%
FCF(TTM)0.43
FCFY20.75%
OCF(TTM)0.6
OCFY29.27%
SpS1.07
BVpS0.84
TBVpS0.84
PEG (NY)N/A
PEG (5Y)0.08
Graham Number2.45
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 26.87% | ||
| ROE | 40.34% | ||
| ROCE | 44.65% | ||
| ROIC | 33.61% | ||
| ROICexc | 43.9% | ||
| ROICexgc | 43.9% | ||
| OM | 43.33% | ||
| PM (TTM) | 31.38% | ||
| GM | 60.3% | ||
| FCFM | 39.77% |
ROA(3y)27.91%
ROA(5y)18.35%
ROE(3y)41.42%
ROE(5y)28.93%
ROIC(3y)38.31%
ROIC(5y)29.36%
ROICexc(3y)41.04%
ROICexc(5y)31.02%
ROICexgc(3y)41.04%
ROICexgc(5y)31.02%
ROCE(3y)50.88%
ROCE(5y)39%
ROICexgc growth 3Y12.92%
ROICexgc growth 5Y20.01%
ROICexc growth 3Y12.92%
ROICexc growth 5Y20.01%
OM growth 3Y2.1%
OM growth 5Y4.69%
PM growth 3Y34.16%
PM growth 5Y45.92%
GM growth 3Y-1.38%
GM growth 5Y-1.19%
F-Score5
Asset Turnover0.86
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.03 | ||
| Debt/FCF | 0.08 | ||
| Debt/EBITDA | 0.04 | ||
| Cap/Depr | 148.25% | ||
| Cap/Sales | 16.33% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 103.23% | ||
| Profit Quality | 126.75% | ||
| Current Ratio | 1.62 | ||
| Quick Ratio | 1.62 | ||
| Altman-Z | 5.36 |
F-Score5
WACC7.91%
ROIC/WACC4.25
Cap/Depr(3y)210.69%
Cap/Depr(5y)187.35%
Cap/Sales(3y)20.24%
Cap/Sales(5y)19.51%
Profit Quality(3y)104.52%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)3.23%
EPS 3Y72.84%
EPS 5Y80.04%
EPS Q2Q%-30%
EPS Next Y-6.36%
EPS Next 2Y-9.92%
EPS Next 3Y-9.18%
EPS Next 5Y-15.87%
Revenue 1Y (TTM)5.28%
Revenue growth 3Y32.32%
Revenue growth 5Y25.97%
Sales Q2Q%-15.7%
Revenue Next Year-2.08%
Revenue Next 2Y-4.7%
Revenue Next 3Y-4.84%
Revenue Next 5Y-7.01%
EBIT growth 1Y-0.96%
EBIT growth 3Y35.09%
EBIT growth 5Y31.88%
EBIT Next Year34.08%
EBIT Next 3Y-0.98%
EBIT Next 5Y-5.77%
FCF growth 1Y70.97%
FCF growth 3Y57.01%
FCF growth 5YN/A
OCF growth 1Y41.47%
OCF growth 3Y36.33%
OCF growth 5Y34.82%
HEMISPHERE ENERGY CORP / HME.CA FAQ
What is the ChartMill fundamental rating of HEMISPHERE ENERGY CORP (HME.CA) stock?
ChartMill assigns a fundamental rating of 7 / 10 to HME.CA.
What is the valuation status of HEMISPHERE ENERGY CORP (HME.CA) stock?
ChartMill assigns a valuation rating of 8 / 10 to HEMISPHERE ENERGY CORP (HME.CA). This can be considered as Undervalued.
Can you provide the profitability details for HEMISPHERE ENERGY CORP?
HEMISPHERE ENERGY CORP (HME.CA) has a profitability rating of 9 / 10.
What is the earnings growth outlook for HEMISPHERE ENERGY CORP?
The Earnings per Share (EPS) of HEMISPHERE ENERGY CORP (HME.CA) is expected to decline by -6.36% in the next year.
How sustainable is the dividend of HEMISPHERE ENERGY CORP (HME.CA) stock?
The dividend rating of HEMISPHERE ENERGY CORP (HME.CA) is 5 / 10 and the dividend payout ratio is 57.92%.