IMPERIAL OIL LTD (IMO)
CA4530384086 - Common Stock
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. While IMO has a great health rating, its profitability is only average at the moment. IMO is not valued too expensively and it also shows a decent growth rate. Finally IMO also has an excellent dividend rating. These ratings would make IMO suitable for dividend investing!
1. Profitability
1.1 Basic Checks
In the past year IMO was profitable.
IMO had a positive operating cash flow in the past year.
Of the past 5 years IMO 4 years were profitable.
IMO had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
With a decent Return On Assets value of 12.00%, IMO is doing good in the industry, outperforming 78.64% of the companies in the same industry.
IMO has a better Return On Equity (22.12%) than 74.27% of its industry peers.
The Return On Invested Capital of IMO (14.34%) is better than 80.10% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 12% | ||
| ROE | 22.12% | ||
| ROIC | 14.34% |
ROA(3y)N/A
ROA(5y)N/A
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
IMO's Profit Margin of 10.09% is in line compared to the rest of the industry. IMO outperforms 43.20% of its industry peers.
IMO's Profit Margin has improved in the last couple of years.
Looking at the Operating Margin, with a value of 12.86%, IMO is doing worse than 62.14% of the companies in the same industry.
IMO's Operating Margin has improved in the last couple of years.
Looking at the Gross Margin, with a value of 23.17%, IMO is doing worse than 66.50% of the companies in the same industry.
IMO's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 12.86% | ||
| PM (TTM) | 10.09% | ||
| GM | 23.17% |
OM growth 3YN/A
OM growth 5Y6.92%
PM growth 3YN/A
PM growth 5Y7.82%
GM growth 3Y15%
GM growth 5Y1.53%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), IMO is creating value.
IMO has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
2.2 Solvency
IMO has an Altman-Z score of 4.20. This indicates that IMO is financially healthy and has little risk of bankruptcy at the moment.
IMO has a better Altman-Z score (4.20) than 83.98% of its industry peers.
The Debt to FCF ratio of IMO is 0.90, which is an excellent value as it means it would take IMO, only 0.90 years of fcf income to pay off all of its debts.
IMO has a Debt to FCF ratio of 0.90. This is amongst the best in the industry. IMO outperforms 86.41% 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.
IMO has a Debt to Equity ratio of 0.17. This is in the better half of the industry: IMO outperforms 70.87% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.17 | ||
| Debt/FCF | 0.9 | ||
| Altman-Z | 4.2 |
ROIC/WACC1.91
WACC7.49%
2.3 Liquidity
A Current Ratio of 1.40 indicates that IMO should not have too much problems paying its short term obligations.
IMO's Current ratio of 1.40 is in line compared to the rest of the industry. IMO outperforms 58.25% of its industry peers.
IMO has a Quick Ratio of 1.03. 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 1.03. This is comparable to the rest of the industry: IMO outperforms 52.91% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.4 | ||
| Quick Ratio | 1.03 |
3. Growth
3.1 Past
IMO shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 2.03%.
The Earnings Per Share has been growing by 23.85% 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 -1.53%.
The Revenue has been growing slightly by 7.72% on average over the past years.
EPS 1Y (TTM)2.03%
EPS 3YN/A
EPS 5Y23.85%
EPS Q2Q%83.48%
Revenue 1Y (TTM)-1.53%
Revenue growth 3Y31.53%
Revenue growth 5Y7.72%
Sales Q2Q%13.23%
3.2 Future
Based on estimates for the next years, IMO will show a very strong growth in Earnings Per Share. The EPS will grow by 22.66% on average per year.
Based on estimates for the next years, IMO will show a decrease in Revenue. The Revenue will decrease by -1.36% on average per year.
EPS Next Y4.8%
EPS Next 2Y2.37%
EPS Next 3Y1.41%
EPS Next 5Y22.66%
Revenue Next Year7.95%
Revenue Next 2Y5.53%
Revenue Next 3Y-1.36%
Revenue Next 5YN/A
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 stable.
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
IMO is valuated reasonably with a Price/Earnings ratio of 11.15.
The rest of the industry has a similar Price/Earnings ratio as IMO.
IMO is valuated cheaply when we compare the Price/Earnings ratio to 31.77, which is the current average of the S&P500 Index.
The Price/Forward Earnings ratio is 11.97, which indicates a very decent valuation of IMO.
The rest of the industry has a similar Price/Forward Earnings ratio as IMO.
When comparing the Price/Forward Earnings ratio of IMO to the average of the S&P500 Index (22.70), we can say IMO is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.15 | ||
| Fwd PE | 11.97 |
4.2 Price Multiples
The rest of the industry has a similar Enterprise Value to EBITDA ratio as IMO.
The rest of the industry has a similar Price/Free Cash Flow ratio as IMO.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 12.55 | ||
| EV/EBITDA | 6.75 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates IMO does not grow enough to justify the current Price/Earnings ratio.
IMO has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)2.32
PEG (5Y)0.47
EPS Next 2Y2.37%
EPS Next 3Y1.41%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 2.22%, IMO has a reasonable but not impressive dividend return.
IMO's Dividend Yield is comparable with the industry average which is at 6.38.
IMO's Dividend Yield is comparable with the S&P500 average which is at 2.21.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.22% |
5.2 History
On average, the dividend of IMO grows each year by 16.65%, which is quite nice.
IMO has paid a dividend for at least 10 years, which is a reliable track record.
IMO has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)16.65%
Div Incr Years19
Div Non Decr Years19
5.3 Sustainability
IMO pays out 22.27% of its income as dividend. This is a sustainable payout ratio.
IMO's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP22.27%
EPS Next 2Y2.37%
EPS Next 3Y1.41%
IMPERIAL OIL LTD
NYSEARCA:IMO (10/17/2024, 8:42:45 PM)
After market: 77.5 0 (0%)77.5
+1.24 (+1.63%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap41.53B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.22% |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
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EPS beat(4)
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EPS beat(8)
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EPS beat(12)
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EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
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Min Revenue beat(2)
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Revenue beat(4)
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Revenue beat(8)
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Revenue beat(12)
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Revenue beat(16)
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PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.15 | ||
| Fwd PE | 11.97 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)2.32
PEG (5Y)0.47
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 12% | ||
| ROE | 22.12% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 12.86% | ||
| PM (TTM) | 10.09% | ||
| GM | 23.17% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover1.19
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.17 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 1.4 | ||
| Quick Ratio | 1.03 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
High Growth Momentum
Growth
EPS 1Y (TTM)2.03%
EPS 3YN/A
EPS 5Y
EPS Q2Q%
EPS Next Y4.8%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)-1.53%
Revenue growth 3Y31.53%
Revenue growth 5Y
Sales Q2Q%
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y