IMPERIAL OIL LTD (IMO.CA) Stock Fundamental Analysis
Canada - Toronto Stock Exchange - TSX:IMO - CA4530384086 - Common Stock
125.7 CAD
+0.07 (+0.06%)
We assign a fundamental rating of 6 out of 10 to IMO. IMO was compared to 218 industry peers in the Oil, Gas & Consumable Fuels industry. IMO scores excellent points on both the profitability and health parts. This is a solid base for a good stock. IMO is valued correctly, but it does not seem to be growing.
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.
Of the past 5 years IMO 4 years were profitable.
In the past 5 years IMO always reported a positive cash flow from operatings.
1.2 Ratios
The Return On Assets of IMO (9.31%) is better than 93.12% of its industry peers.
With an excellent Return On Equity value of 16.89%, IMO belongs to the best of the industry, outperforming 94.50% of the companies in the same industry.
IMO has a better Return On Invested Capital (10.67%) than 96.33% of its industry peers.
IMO had an Average Return On Invested Capital over the past 3 years of 15.78%. This is significantly above the industry average of 6.53%.
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
Looking at the Profit Margin, with a value of 8.30%, IMO is in the better half of the industry, outperforming 60.55% of the companies in the same industry.
In the last couple of years the Profit Margin of IMO has grown nicely.
IMO has a Operating Margin (10.43%) which is in line with 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 50.92% 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
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so IMO is creating value.
The number of shares outstanding for IMO has been reduced compared to 1 year ago.
The number of shares outstanding for IMO has been reduced compared to 5 years ago.
IMO has a better debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 4.27 indicates that IMO is not in any danger for bankruptcy at the moment.
IMO has a better Altman-Z score (4.27) than 83.94% of its industry peers.
IMO has a debt to FCF ratio of 0.84. This is a very positive value and a sign of high solvency as it would only need 0.84 years to pay back of all of its debts.
IMO has a Debt to FCF ratio of 0.84. This is amongst the best in the industry. IMO outperforms 94.50% of its industry peers.
A Debt/Equity ratio of 0.17 indicates that IMO is not too dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 0.17, IMO is in the better half of the industry, outperforming 66.51% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.17 | ||
| Debt/FCF | 0.84 | ||
| Altman-Z | 4.27 |
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.
IMO's Current ratio of 1.47 is fine compared to the rest of the industry. IMO outperforms 70.64% of its industry peers.
A Quick Ratio of 1.17 indicates that IMO should not have too much problems paying its short term obligations.
With a decent Quick ratio value of 1.17, IMO is doing good in the industry, outperforming 67.89% of the companies in the same industry.
| 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.
IMO shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 35.08% yearly.
Looking at the last year, IMO shows a decrease in Revenue. The Revenue has decreased by -6.96% in the last year.
Measured over the past years, IMO shows a quite strong growth in Revenue. The Revenue has been growing by 8.60% on average per year.
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.
The Revenue is expected to decrease by -2.20% on average over the next years.
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
Based on the Price/Earnings ratio of 14.09, the valuation of IMO can be described as correct.
Compared to the rest of the industry, the Price/Earnings ratio of IMO indicates a somewhat cheap valuation: IMO is cheaper than 68.35% of the companies listed in the same industry.
IMO is valuated rather cheaply when we compare the Price/Earnings ratio to 26.28, which is the current average of the S&P500 Index.
The Price/Forward Earnings ratio is 15.77, which indicates a correct valuation of IMO.
IMO's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. IMO is cheaper than 62.39% of the companies in the same industry.
IMO is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 23.52, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.09 | ||
| Fwd PE | 15.77 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of IMO indicates a somewhat cheap valuation: IMO is cheaper than 71.56% of the companies listed in the same industry.
IMO's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. IMO is cheaper than 73.39% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 12.92 | ||
| EV/EBITDA | 8.54 |
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 2.19%, IMO has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 6.83, IMO pays a bit more dividend than its industry peers.
Compared to an average S&P500 Dividend Yield of 2.31, IMO has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.19% |
5.2 History
The dividend of IMO is nicely growing with an annual growth rate of 23.44%!
IMO has paid a dividend for at least 10 years, which is a reliable track record.
IMO has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)23.44%
Div Incr Years30
Div Non Decr Years34
5.3 Sustainability
33.92% of the earnings are spent on dividend by IMO. This is a low number and sustainable payout ratio.
The dividend of IMO is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP33.92%
EPS Next 2Y-6.1%
EPS Next 3Y-1.96%
TSX:IMO (12/9/2025, 7:00:00 PM)
125.7
+0.07 (+0.06%)
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 Cap61.79B
Revenue(TTM)48.22B
Net Income(TTM)4.00B
Analysts50.43
Price Target114.69 (-8.76%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.19% |
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 | 14.09 | ||
| Fwd PE | 15.77 | ||
| P/S | 1.28 | ||
| P/FCF | 12.92 | ||
| P/OCF | 9.39 | ||
| P/B | 2.61 | ||
| P/tB | 2.63 | ||
| EV/EBITDA | 8.54 |
EPS(TTM)8.92
EY7.1%
EPS(NY)7.97
Fwd EY6.34%
FCF(TTM)9.73
FCFY7.74%
OCF(TTM)13.38
OCFY10.65%
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 | 4.27 |
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 6 / 10 and the dividend payout ratio is 33.92%.