IMPERIAL OIL LTD (IMO.CA) Stock Fundamental Analysis
Canada - Toronto Stock Exchange - TSX:IMO - CA4530384086 - Common Stock
123.82 CAD
-3.26 (-2.57%)
IMO gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 206 industry peers in the Oil, Gas & Consumable Fuels industry. Both the health and profitability get an excellent rating, making IMO a very profitable company, without any liquidiy or solvency issues. IMO has a valuation in line with the averages, but on the other hand it scores bad on growth. Finally IMO also has an excellent dividend rating. These ratings could make IMO a good candidate for dividend investing.
1. Profitability
1.1 Basic Checks
IMO had positive earnings in the past year.
In the past year IMO had a positive cash flow from operations.
IMO had positive earnings in 4 of the past 5 years.
IMO had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
IMO's Return On Assets of 9.31% is amongst the best of the industry. IMO outperforms 93.69% of its industry peers.
IMO has a better Return On Equity (16.89%) than 94.17% of its industry peers.
The Return On Invested Capital of IMO (10.67%) is better than 96.12% of its industry peers.
The Average Return On Invested Capital over the past 3 years for IMO is significantly above the industry average of 6.55%.
The 3 year average ROIC (15.78%) for IMO is well above the current ROIC(10.67%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 9.31% | ||
| ROE | 16.89% | ||
| ROIC | 10.67% |
ROA(3y)13.3%
ROA(5y)8.22%
ROE(3y)25.05%
ROE(5y)15.58%
ROIC(3y)15.78%
ROIC(5y)N/A
1.3 Margins
The Profit Margin of IMO (8.30%) is better than 60.19% of its industry peers.
In the last couple of years the Profit Margin of IMO has grown nicely.
IMO's Operating Margin of 10.43% is in line compared to the rest of the industry. IMO outperforms 55.83% of its industry peers.
In the last couple of years the Operating Margin of IMO has grown nicely.
IMO has a Gross Margin of 22.56%. This is comparable to the rest of the industry: IMO outperforms 50.97% of its industry peers.
In the last couple of years the Gross Margin of IMO has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 10.43% | ||
| PM (TTM) | 8.3% | ||
| GM | 22.56% |
OM growth 3Y11.07%
OM growth 5Y14.66%
PM growth 3Y12.16%
PM growth 5Y7.59%
GM growth 3Y1.78%
GM growth 5Y3.23%
2. Health
2.1 Basic Checks
IMO has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
The number of shares outstanding for IMO has been reduced compared to 1 year ago.
IMO has less shares outstanding than it did 5 years ago.
The debt/assets ratio for IMO has been reduced compared to a year ago.
2.2 Solvency
IMO has an Altman-Z score of 4.28. This indicates that IMO is financially healthy and has little risk of bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 4.28, IMO belongs to the top of the industry, outperforming 83.50% of the companies in the same industry.
The Debt to FCF ratio of IMO is 0.84, which is an excellent value as it means it would take IMO, only 0.84 years of fcf income to pay off all of its debts.
IMO has a Debt to FCF ratio of 0.84. This is amongst the best in the industry. IMO outperforms 94.17% of its industry peers.
IMO has a Debt/Equity ratio of 0.17. This is a healthy value indicating a solid balance between debt and equity.
Looking at the Debt to Equity ratio, with a value of 0.17, IMO is in the better half of the industry, outperforming 65.53% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.17 | ||
| Debt/FCF | 0.84 | ||
| Altman-Z | 4.28 |
ROIC/WACC1.45
WACC7.34%
2.3 Liquidity
A Current Ratio of 1.47 indicates that IMO should not have too much problems paying its short term obligations.
With a decent Current ratio value of 1.47, IMO is doing good in the industry, outperforming 71.84% of the companies in the same industry.
IMO has a Quick Ratio of 1.17. This is a normal value and indicates that IMO is financially healthy and should not expect problems in meeting its short term obligations.
IMO has a Quick ratio of 1.17. This is in the better half of the industry: IMO outperforms 67.96% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.47 | ||
| Quick Ratio | 1.17 |
3. Growth
3.1 Past
The earnings per share for IMO have decreased by -2.41% in the last year.
The Earnings Per Share has been growing by 35.08% on average over the past years. This is a very strong growth
IMO shows a decrease in Revenue. In the last year, the revenue decreased by -6.96%.
IMO shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 8.60% yearly.
EPS 1Y (TTM)-2.41%
EPS 3Y35.05%
EPS 5Y35.08%
EPS Q2Q%-6.87%
Revenue 1Y (TTM)-6.96%
Revenue growth 3Y11.04%
Revenue growth 5Y8.6%
Sales Q2Q%-9.13%
3.2 Future
IMO is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 6.11% yearly.
IMO is expected to show a decrease in Revenue. In the coming years, the Revenue will decrease by -2.20% yearly.
EPS Next Y-8.1%
EPS Next 2Y-6.1%
EPS Next 3Y-1.96%
EPS Next 5Y6.11%
Revenue Next Year-5.97%
Revenue Next 2Y0.95%
Revenue Next 3Y2.04%
Revenue Next 5Y-2.2%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less 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
A Price/Earnings ratio of 13.88 indicates a correct valuation of IMO.
Compared to the rest of the industry, the Price/Earnings ratio of IMO indicates a somewhat cheap valuation: IMO is cheaper than 68.45% of the companies listed in the same industry.
The average S&P500 Price/Earnings ratio is at 26.55. IMO is valued slightly cheaper when compared to this.
The Price/Forward Earnings ratio is 15.53, which indicates a correct valuation of IMO.
Based on the Price/Forward Earnings ratio, IMO is valued a bit cheaper than 60.19% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of IMO to the average of the S&P500 Index (23.78), we can say IMO is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.88 | ||
| Fwd PE | 15.53 |
4.2 Price Multiples
69.90% of the companies in the same industry are more expensive than IMO, based on the Enterprise Value to EBITDA ratio.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of IMO indicates a somewhat cheap valuation: IMO is cheaper than 74.76% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 12.73 | ||
| EV/EBITDA | 8.6 |
4.3 Compensation for Growth
IMO has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)0.4
EPS Next 2Y-6.1%
EPS Next 3Y-1.96%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 2.27%, IMO has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 2.87, IMO pays a bit more dividend than its industry peers.
IMO's Dividend Yield is a higher than the S&P500 average which is at 1.87.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.27% |
5.2 History
The dividend of IMO is nicely growing with an annual growth rate of 23.44%!
IMO has been paying a dividend for at least 10 years, so it has a reliable track record.
IMO has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)23.44%
Div Incr Years30
Div Non Decr Years34
5.3 Sustainability
IMO pays out 33.92% of its income as dividend. This is a sustainable payout ratio.
IMO's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP33.92%
EPS Next 2Y-6.1%
EPS Next 3Y-1.96%
TSX:IMO (12/15/2025, 7:00:00 PM)
123.82
-3.26 (-2.57%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)
Earnings (Next)
Inst Owners30.16%
Inst Owner ChangeN/A
Ins Owners0%
Ins Owner ChangeN/A
Market Cap60.86B
Revenue(TTM)48.22B
Net Income(TTM)4.00B
Analysts50.43
Price Target114.69 (-7.37%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.27% |
Yearly Dividend2.37
Dividend Growth(5Y)23.44%
DP33.92%
Div Incr Years30
Div Non Decr Years34
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)12.02%
Min EPS beat(2)11.99%
Max EPS beat(2)12.06%
EPS beat(4)4
Avg EPS beat(4)12.54%
Min EPS beat(4)10.95%
Max EPS beat(4)15.18%
EPS beat(8)8
Avg EPS beat(8)12.27%
EPS beat(12)12
Avg EPS beat(12)10.25%
EPS beat(16)14
Avg EPS beat(16)10.88%
Revenue beat(2)0
Avg Revenue beat(2)-13.99%
Min Revenue beat(2)-19.09%
Max Revenue beat(2)-8.9%
Revenue beat(4)0
Avg Revenue beat(4)-16.26%
Min Revenue beat(4)-27.99%
Max Revenue beat(4)-8.9%
Revenue beat(8)0
Avg Revenue beat(8)-18.12%
Revenue beat(12)0
Avg Revenue beat(12)-17.56%
Revenue beat(16)1
Avg Revenue beat(16)-16.55%
PT rev (1m)2.98%
PT rev (3m)5.67%
EPS NQ rev (1m)2.16%
EPS NQ rev (3m)17.66%
EPS NY rev (1m)0.99%
EPS NY rev (3m)2.31%
Revenue NQ rev (1m)-1.97%
Revenue NQ rev (3m)-1.97%
Revenue NY rev (1m)-3.24%
Revenue NY rev (3m)-5.77%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.88 | ||
| Fwd PE | 15.53 | ||
| P/S | 1.26 | ||
| P/FCF | 12.73 | ||
| P/OCF | 9.25 | ||
| P/B | 2.57 | ||
| P/tB | 2.59 | ||
| EV/EBITDA | 8.6 |
EPS(TTM)8.92
EY7.2%
EPS(NY)7.97
Fwd EY6.44%
FCF(TTM)9.73
FCFY7.86%
OCF(TTM)13.38
OCFY10.81%
SpS98.09
BVpS48.18
TBVpS47.84
PEG (NY)N/A
PEG (5Y)0.4
Graham Number98.34
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 9.31% | ||
| ROE | 16.89% | ||
| ROCE | 13.9% | ||
| ROIC | 10.67% | ||
| ROICexc | 11.25% | ||
| ROICexgc | 11.3% | ||
| OM | 10.43% | ||
| PM (TTM) | 8.3% | ||
| GM | 22.56% | ||
| FCFM | 9.92% |
ROA(3y)13.3%
ROA(5y)8.22%
ROE(3y)25.05%
ROE(5y)15.58%
ROIC(3y)15.78%
ROIC(5y)N/A
ROICexc(3y)16.85%
ROICexc(5y)N/A
ROICexgc(3y)16.94%
ROICexgc(5y)N/A
ROCE(3y)20.55%
ROCE(5y)N/A
ROICexgc growth 3Y20.23%
ROICexgc growth 5Y25.24%
ROICexc growth 3Y20.24%
ROICexc growth 5Y25.25%
OM growth 3Y11.07%
OM growth 5Y14.66%
PM growth 3Y12.16%
PM growth 5Y7.59%
GM growth 3Y1.78%
GM growth 5Y3.23%
F-Score7
Asset Turnover1.12
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.17 | ||
| Debt/FCF | 0.84 | ||
| Debt/EBITDA | 0.53 | ||
| Cap/Depr | 73.34% | ||
| Cap/Sales | 3.72% | ||
| Interest Coverage | 201.2 | ||
| Cash Conversion | 87.97% | ||
| Profit Quality | 119.55% | ||
| Current Ratio | 1.47 | ||
| Quick Ratio | 1.17 | ||
| Altman-Z | 4.28 |
F-Score7
WACC7.34%
ROIC/WACC1.45
Cap/Depr(3y)89.4%
Cap/Depr(5y)70.15%
Cap/Sales(3y)3.24%
Cap/Sales(5y)3.31%
Profit Quality(3y)82.59%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-2.41%
EPS 3Y35.05%
EPS 5Y35.08%
EPS Q2Q%-6.87%
EPS Next Y-8.1%
EPS Next 2Y-6.1%
EPS Next 3Y-1.96%
EPS Next 5Y6.11%
Revenue 1Y (TTM)-6.96%
Revenue growth 3Y11.04%
Revenue growth 5Y8.6%
Sales Q2Q%-9.13%
Revenue Next Year-5.97%
Revenue Next 2Y0.95%
Revenue Next 3Y2.04%
Revenue Next 5Y-2.2%
EBIT growth 1Y-19.46%
EBIT growth 3Y23.34%
EBIT growth 5Y24.52%
EBIT Next Year31.5%
EBIT Next 3Y10.27%
EBIT Next 5Y7.59%
FCF growth 1Y40.14%
FCF growth 3Y-1.98%
FCF growth 5Y8.05%
OCF growth 1Y26.03%
OCF growth 3Y2.98%
OCF growth 5Y6.19%
IMPERIAL OIL LTD / IMO.CA FAQ
Can you provide the ChartMill fundamental rating for IMPERIAL OIL LTD?
ChartMill assigns a fundamental rating of 6 / 10 to IMO.CA.
What is the valuation status for IMO stock?
ChartMill assigns a valuation rating of 5 / 10 to IMPERIAL OIL LTD (IMO.CA). This can be considered as Fairly Valued.
Can you provide the profitability details for IMPERIAL OIL LTD?
IMPERIAL OIL LTD (IMO.CA) has a profitability rating of 8 / 10.
Can you provide the expected EPS growth for IMO stock?
The Earnings per Share (EPS) of IMPERIAL OIL LTD (IMO.CA) is expected to decline by -8.1% in the next year.
How sustainable is the dividend of IMPERIAL OIL LTD (IMO.CA) stock?
The dividend rating of IMPERIAL OIL LTD (IMO.CA) is 7 / 10 and the dividend payout ratio is 33.92%.