LAREDO PETROLEUM INC (LPI) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:LPI - US5168062058 - Common Stock
48.09 USD
+0.54 (+1.14%)
48.13 USD
+0.04 (+0.08%)
We assign a fundamental rating of 5 out of 10 to LPI. LPI was compared to 210 industry peers in the Oil, Gas & Consumable Fuels industry. LPI has a medium profitability rating, but doesn't score so well on its financial health evaluation. LPI is valued quite cheap, while showing a decent growth score. This is a good combination!
1. Profitability
1.1 Basic Checks
LPI had positive earnings in the past year.
In the past year LPI had a positive cash flow from operations.
1.2 Ratios
The Return On Assets of LPI (26.00%) is better than 87.96% of its industry peers.
LPI's Return On Equity of 72.91% is amongst the best of the industry. LPI outperforms 92.13% of its industry peers.
LPI has a Return On Invested Capital of 39.96%. This is amongst the best in the industry. LPI outperforms 92.13% of its industry peers.
The Average Return On Invested Capital over the past 3 years for LPI is significantly below the industry average of 21.09%.
The last Return On Invested Capital (39.96%) for LPI is above the 3 year average (12.39%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 26% | ||
| ROE | 72.91% | ||
| ROIC | 39.96% |
ROA(3y)N/A
ROA(5y)N/A
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)12.39%
ROIC(5y)N/A
1.3 Margins
LPI has a Profit Margin of 35.99%. This is in the better half of the industry: LPI outperforms 78.24% of its industry peers.
LPI's Profit Margin has declined in the last couple of years.
LPI's Operating Margin of 56.87% is amongst the best of the industry. LPI outperforms 81.02% of its industry peers.
LPI's Operating Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 56.87% | ||
| PM (TTM) | 35.99% | ||
| GM | N/A |
OM growth 3Y13.26%
OM growth 5Y29.85%
PM growth 3Y-29.24%
PM growth 5YN/A
GM growth 3YN/A
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 LPI is creating value.
Compared to 1 year ago, LPI has more shares outstanding
The debt/assets ratio for LPI has been reduced compared to a year ago.
2.2 Solvency
LPI has an Altman-Z score of 1.35. This is a bad value and indicates that LPI is not financially healthy and even has some risk of bankruptcy.
LPI has a Altman-Z score of 1.35. This is comparable to the rest of the industry: LPI outperforms 47.22% of its industry peers.
LPI has a debt to FCF ratio of 3.42. This is a good value and a sign of high solvency as LPI would need 3.42 years to pay back of all of its debts.
With a Debt to FCF ratio value of 3.42, LPI perfoms like the industry average, outperforming 56.94% of the companies in the same industry.
LPI has a Debt/Equity ratio of 1.18. This is a high value indicating a heavy dependency on external financing.
Looking at the Debt to Equity ratio, with a value of 1.18, LPI is doing worse than 70.37% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.18 | ||
| Debt/FCF | 3.42 | ||
| Altman-Z | 1.35 |
ROIC/WACC4.29
WACC9.31%
2.3 Liquidity
A Current Ratio of 0.47 indicates that LPI may have some problems paying its short term obligations.
With a Current ratio value of 0.47, LPI is not doing good in the industry: 85.19% of the companies in the same industry are doing better.
LPI has a Quick Ratio of 0.47. This is a bad value and indicates that LPI is not financially healthy enough and could expect problems in meeting its short term obligations.
LPI has a worse Quick ratio (0.47) than 83.80% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.47 | ||
| Quick Ratio | 0.47 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 152.65% over the past year.
LPI shows a decrease in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -2.47% yearly.
LPI shows a strong growth in Revenue. In the last year, the Revenue has grown by 82.29%.
LPI shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 18.47% yearly.
EPS 1Y (TTM)152.65%
EPS 3Y-22.24%
EPS 5Y-2.47%
EPS Q2Q%188.04%
Revenue 1Y (TTM)82.29%
Revenue growth 3Y8.03%
Revenue growth 5Y18.47%
Sales Q2Q%22.38%
3.2 Future
LPI is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 40.89% yearly.
The Revenue is expected to grow by 2.84% on average over the next years.
EPS Next Y171.8%
EPS Next 2Y93.44%
EPS Next 3Y56.92%
EPS Next 5Y40.89%
Revenue Next Year33.14%
Revenue Next 2Y9.46%
Revenue Next 3Y7.39%
Revenue Next 5Y2.84%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better 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
LPI is valuated cheaply with a Price/Earnings ratio of 2.24.
LPI's Price/Earnings ratio is rather cheap when compared to the industry. LPI is cheaper than 97.69% of the companies in the same industry.
LPI is valuated cheaply when we compare the Price/Earnings ratio to 26.39, which is the current average of the S&P500 Index.
LPI is valuated cheaply with a Price/Forward Earnings ratio of 1.49.
LPI's Price/Forward Earnings ratio is rather cheap when compared to the industry. LPI is cheaper than 100.00% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 23.84. LPI is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 2.24 | ||
| Fwd PE | 1.49 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, LPI is valued cheaper than 98.61% of the companies in the same industry.
LPI's Price/Free Cash Flow ratio is rather cheap when compared to the industry. LPI is cheaper than 94.91% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 2.34 | ||
| EV/EBITDA | 1.33 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
LPI's earnings are expected to grow with 56.92% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.01
PEG (5Y)N/A
EPS Next 2Y93.44%
EPS Next 3Y56.92%
5. Dividend
5.1 Amount
No dividends for LPI!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
48.09
+0.54 (+1.14%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)
Earnings (Next)
Inst Owners165.19%
Inst Owner Change-15.61%
Ins Owners380.65%
Ins Owner Change0%
Market Cap808.56M
Revenue(TTM)2.03B
Net Income(TTM)729.56M
Analysts73.33
Price Target87.98 (82.95%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr YearsN/A
Div Non Decr YearsN/A
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-8%
Min EPS beat(2)-15.66%
Max EPS beat(2)-0.34%
EPS beat(4)1
Avg EPS beat(4)-7.56%
Min EPS beat(4)-15.66%
Max EPS beat(4)0.49%
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)2
Avg Revenue beat(2)20.98%
Min Revenue beat(2)19.59%
Max Revenue beat(2)22.36%
Revenue beat(4)4
Avg Revenue beat(4)28.74%
Min Revenue beat(4)19.59%
Max Revenue beat(4)43.7%
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
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)-2.68%
PT rev (3m)N/A
EPS NQ rev (1m)-4.88%
EPS NQ rev (3m)N/A
EPS NY rev (1m)0%
EPS NY rev (3m)N/A
Revenue NQ rev (1m)-1.63%
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0%
Revenue NY rev (3m)N/A
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 2.24 | ||
| Fwd PE | 1.49 | ||
| P/S | 0.4 | ||
| P/FCF | 2.34 | ||
| P/OCF | 0.87 | ||
| P/B | 0.81 | ||
| P/tB | 0.81 | ||
| EV/EBITDA | 1.33 |
EPS(TTM)21.45
EY44.6%
EPS(NY)32.37
Fwd EY67.3%
FCF(TTM)20.53
FCFY42.69%
OCF(TTM)55.33
OCFY115.05%
SpS120.55
BVpS59.52
TBVpS59.52
PEG (NY)0.01
PEG (5Y)N/A
Graham NumberN/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 26% | ||
| ROE | 72.91% | ||
| ROCE | N/A | ||
| ROIC | 39.96% | ||
| ROICexc | 40.86% | ||
| ROICexgc | 40.86% | ||
| OM | 56.87% | ||
| PM (TTM) | 35.99% | ||
| GM | N/A | ||
| FCFM | N/A |
ROA(3y)N/A
ROA(5y)N/A
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)12.39%
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexgc growth 3Y26.49%
ROICexgc growth 5Y46.87%
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3Y13.26%
OM growth 5Y29.85%
PM growth 3Y-29.24%
PM growth 5YN/A
GM growth 3YN/A
GM growth 5YN/A
F-Score9
Asset Turnover0.72
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.18 | ||
| Debt/FCF | 3.42 | ||
| Debt/EBITDA | 0.81 | ||
| Cap/Depr | 194.29% | ||
| Cap/Sales | N/A | ||
| Interest Coverage | N/A | ||
| Cash Conversion | N/A | ||
| Profit Quality | 47.31% | ||
| Current Ratio | 0.47 | ||
| Quick Ratio | 0.47 | ||
| Altman-Z | 1.35 |
F-Score9
WACC9.31%
ROIC/WACC4.29
Cap/Depr(3y)204.47%
Cap/Depr(5y)260.57%
Cap/Sales(3y)N/A
Cap/Sales(5y)N/A
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)152.65%
EPS 3Y-22.24%
EPS 5Y-2.47%
EPS Q2Q%188.04%
EPS Next Y171.8%
EPS Next 2Y93.44%
EPS Next 3Y56.92%
EPS Next 5Y40.89%
Revenue 1Y (TTM)82.29%
Revenue growth 3Y8.03%
Revenue growth 5Y18.47%
Sales Q2Q%22.38%
Revenue Next Year33.14%
Revenue Next 2Y9.46%
Revenue Next 3Y7.39%
Revenue Next 5Y2.84%
EBIT growth 1Y170.17%
EBIT growth 3Y22.35%
EBIT growth 5Y53.83%
EBIT Next Year229.22%
EBIT Next 3Y56.48%
EBIT Next 5Y32.04%
FCF growth 1Y280.63%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y143.65%
OCF growth 3Y-2.62%
OCF growth 5Y6.87%
LAREDO PETROLEUM INC / LPI FAQ
Can you provide the ChartMill fundamental rating for LAREDO PETROLEUM INC?
ChartMill assigns a fundamental rating of 6 / 10 to LPI.
Can you provide the valuation status for LAREDO PETROLEUM INC?
ChartMill assigns a valuation rating of 10 / 10 to LAREDO PETROLEUM INC (LPI). This can be considered as Undervalued.
What is the profitability of LPI stock?
LAREDO PETROLEUM INC (LPI) has a profitability rating of 9 / 10.
What are the PE and PB ratios of LAREDO PETROLEUM INC (LPI) stock?
The Price/Earnings (PE) ratio for LAREDO PETROLEUM INC (LPI) is 2.24 and the Price/Book (PB) ratio is 0.81.