OGE ENERGY CORP (OGE) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:OGE - US6708371033 - Common Stock
42.49 USD
-0.34 (-0.79%)
42.49 USD
0 (0%)
OGE gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 46 industry peers in the Electric Utilities industry. There are concerns on the financial health of OGE while its profitability can be described as average. OGE is valied quite expensively at the moment, while it does show a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year OGE was profitable.
In the past year OGE had a positive cash flow from operations.
OGE had positive earnings in 4 of the past 5 years.
OGE had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
OGE has a better Return On Assets (3.53%) than 78.26% of its industry peers.
OGE has a Return On Equity (10.49%) which is comparable to the rest of the industry.
The Return On Invested Capital of OGE (5.41%) is better than 84.78% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for OGE is in line with the industry average of 4.58%.
The last Return On Invested Capital (5.41%) for OGE is above the 3 year average (4.95%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.53% | ||
| ROE | 10.49% | ||
| ROIC | 5.41% |
ROA(3y)3.93%
ROA(5y)3.2%
ROE(3y)11.28%
ROE(5y)9.45%
ROIC(3y)4.95%
ROIC(5y)4.65%
1.3 Margins
Looking at the Profit Margin, with a value of 15.28%, OGE is in the better half of the industry, outperforming 60.87% of the companies in the same industry.
In the last couple of years the Profit Margin of OGE has declined.
With a decent Operating Margin value of 25.60%, OGE is doing good in the industry, outperforming 69.57% of the companies in the same industry.
OGE's Operating Margin has improved in the last couple of years.
The Gross Margin of OGE (61.34%) is comparable to the rest of the industry.
In the last couple of years the Gross Margin of OGE has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 25.6% | ||
| PM (TTM) | 15.28% | ||
| GM | 61.34% |
OM growth 3Y18.79%
OM growth 5Y2.01%
PM growth 3Y-9.84%
PM growth 5Y-5.31%
GM growth 3Y15.25%
GM growth 5Y-0.25%
2. Health
2.1 Basic Checks
OGE has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
OGE has more shares outstanding than it did 1 year ago.
Compared to 5 years ago, OGE has more shares outstanding
Compared to 1 year ago, OGE has a worse debt to assets ratio.
2.2 Solvency
Based on the Altman-Z score of 1.33, we must say that OGE is in the distress zone and has some risk of bankruptcy.
OGE's Altman-Z score of 1.33 is amongst the best of the industry. OGE outperforms 80.43% of its industry peers.
A Debt/Equity ratio of 1.22 is on the high side and indicates that OGE has dependencies on debt financing.
The Debt to Equity ratio of OGE (1.22) is better than 69.57% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.22 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 1.33 |
ROIC/WACC0.76
WACC7.12%
2.3 Liquidity
A Current Ratio of 0.80 indicates that OGE may have some problems paying its short term obligations.
OGE has a Current ratio (0.80) which is comparable to the rest of the industry.
OGE has a Quick Ratio of 0.80. This is a bad value and indicates that OGE is not financially healthy enough and could expect problems in meeting its short term obligations.
Looking at the Quick ratio, with a value of 0.52, OGE is doing worse than 76.09% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.8 | ||
| Quick Ratio | 0.52 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 28.50% over the past year.
The Earnings Per Share has been growing slightly by 0.18% on average over the past years.
Looking at the last year, OGE shows a quite strong growth in Revenue. The Revenue has grown by 18.03% in the last year.
OGE shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 5.99% yearly.
EPS 1Y (TTM)28.5%
EPS 3Y-2.32%
EPS 5Y0.18%
EPS Q2Q%4.59%
Revenue 1Y (TTM)18.03%
Revenue growth 3Y-6.51%
Revenue growth 5Y5.99%
Sales Q2Q%8.25%
3.2 Future
Based on estimates for the next years, OGE will show a small growth in Earnings Per Share. The EPS will grow by 6.73% on average per year.
Based on estimates for the next years, OGE will show a small growth in Revenue. The Revenue will grow by 5.49% on average per year.
EPS Next Y5.35%
EPS Next 2Y5.86%
EPS Next 3Y6.08%
EPS Next 5Y6.73%
Revenue Next Year10.81%
Revenue Next 2Y7.5%
Revenue Next 3Y6.26%
Revenue Next 5Y5.49%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
4. Valuation
4.1 Price/Earnings Ratio
OGE is valuated rather expensively with a Price/Earnings ratio of 17.13.
OGE's Price/Earnings ratio is in line with the industry average.
Compared to an average S&P500 Price/Earnings ratio of 27.25, OGE is valued a bit cheaper.
Based on the Price/Forward Earnings ratio of 17.31, the valuation of OGE can be described as rather expensive.
Compared to the rest of the industry, the Price/Forward Earnings ratio of OGE is on the same level as its industry peers.
Compared to an average S&P500 Price/Forward Earnings ratio of 23.98, OGE is valued a bit cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 17.13 | ||
| Fwd PE | 17.31 |
4.2 Price Multiples
OGE's Enterprise Value to EBITDA ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 10.29 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates OGE does not grow enough to justify the current Price/Earnings ratio.
The decent profitability rating of OGE may justify a higher PE ratio.
PEG (NY)3.2
PEG (5Y)93.29
EPS Next 2Y5.86%
EPS Next 3Y6.08%
5. Dividend
5.1 Amount
OGE has a Yearly Dividend Yield of 3.98%. Purely for dividend investing, there may be better candidates out there.
OGE's Dividend Yield is a higher than the industry average which is at 3.46.
Compared to an average S&P500 Dividend Yield of 1.92, OGE pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.98% |
5.2 History
The dividend of OGE has a limited annual growth rate of 2.43%.
OGE has been paying a dividend for at least 10 years, so it has a reliable track record.
Dividend Growth(5Y)2.43%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
67.72% of the earnings are spent on dividend by OGE. This is not a sustainable payout ratio.
The dividend of OGE is growing, but earnings are growing more, so the dividend growth is sustainable.
DP67.72%
EPS Next 2Y5.86%
EPS Next 3Y6.08%
42.49
-0.34 (-0.79%)
Chartmill FA Rating
GICS SectorUtilities
GICS IndustryGroupUtilities
GICS IndustryElectric Utilities
Earnings (Last)
Earnings (Next)
Inst Owners71.88%
Inst Owner Change0.05%
Ins Owners0.42%
Ins Owner Change-1.48%
Market Cap8.95B
Revenue(TTM)3.29B
Net Income(TTM)503.40M
Analysts72
Price Target47.83 (12.57%)
Short Float %3.34%
Short Ratio5.27
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.98% |
Yearly Dividend1.69
Dividend Growth(5Y)2.43%
DP67.72%
Div Incr Years0
Div Non Decr Years0
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-0.14%
Min EPS beat(2)-1.16%
Max EPS beat(2)0.88%
EPS beat(4)3
Avg EPS beat(4)6.05%
Min EPS beat(4)-1.16%
Max EPS beat(4)23.62%
EPS beat(8)5
Avg EPS beat(8)3.32%
EPS beat(12)8
Avg EPS beat(12)88.63%
EPS beat(16)11
Avg EPS beat(16)96.21%
Revenue beat(2)1
Avg Revenue beat(2)-5.17%
Min Revenue beat(2)-12.33%
Max Revenue beat(2)1.98%
Revenue beat(4)3
Avg Revenue beat(4)-1.06%
Min Revenue beat(4)-12.33%
Max Revenue beat(4)5.82%
Revenue beat(8)3
Avg Revenue beat(8)-9.57%
Revenue beat(12)3
Avg Revenue beat(12)-13.18%
Revenue beat(16)5
Avg Revenue beat(16)-3.87%
PT rev (1m)-0.42%
PT rev (3m)2.24%
EPS NQ rev (1m)0%
EPS NQ rev (3m)1.15%
EPS NY rev (1m)-0.1%
EPS NY rev (3m)0.15%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-31.79%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.19%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 17.13 | ||
| Fwd PE | 17.31 | ||
| P/S | 2.72 | ||
| P/FCF | N/A | ||
| P/OCF | 10.15 | ||
| P/B | 1.87 | ||
| P/tB | 1.87 | ||
| EV/EBITDA | 10.29 |
EPS(TTM)2.48
EY5.84%
EPS(NY)2.45
Fwd EY5.78%
FCF(TTM)-0.79
FCFYN/A
OCF(TTM)4.18
OCFY9.85%
SpS15.63
BVpS22.76
TBVpS22.76
PEG (NY)3.2
PEG (5Y)93.29
Graham Number35.64
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.53% | ||
| ROE | 10.49% | ||
| ROCE | 6.48% | ||
| ROIC | 5.41% | ||
| ROICexc | 5.41% | ||
| ROICexgc | 5.41% | ||
| OM | 25.6% | ||
| PM (TTM) | 15.28% | ||
| GM | 61.34% | ||
| FCFM | N/A |
ROA(3y)3.93%
ROA(5y)3.2%
ROE(3y)11.28%
ROE(5y)9.45%
ROIC(3y)4.95%
ROIC(5y)4.65%
ROICexc(3y)4.96%
ROICexc(5y)4.65%
ROICexgc(3y)4.96%
ROICexgc(5y)4.65%
ROCE(3y)5.87%
ROCE(5y)5.51%
ROICexgc growth 3Y8.26%
ROICexgc growth 5Y3.63%
ROICexc growth 3Y8.26%
ROICexc growth 5Y3.63%
OM growth 3Y18.79%
OM growth 5Y2.01%
PM growth 3Y-9.84%
PM growth 5Y-5.31%
GM growth 3Y15.25%
GM growth 5Y-0.25%
F-Score5
Asset Turnover0.23
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.22 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 4.17 | ||
| Cap/Depr | 188.89% | ||
| Cap/Sales | 31.85% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 63.04% | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.8 | ||
| Quick Ratio | 0.52 | ||
| Altman-Z | 1.33 |
F-Score5
WACC7.12%
ROIC/WACC0.76
Cap/Depr(3y)220.93%
Cap/Depr(5y)203.23%
Cap/Sales(3y)37.24%
Cap/Sales(5y)32.74%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)28.5%
EPS 3Y-2.32%
EPS 5Y0.18%
EPS Q2Q%4.59%
EPS Next Y5.35%
EPS Next 2Y5.86%
EPS Next 3Y6.08%
EPS Next 5Y6.73%
Revenue 1Y (TTM)18.03%
Revenue growth 3Y-6.51%
Revenue growth 5Y5.99%
Sales Q2Q%8.25%
Revenue Next Year10.81%
Revenue Next 2Y7.5%
Revenue Next 3Y6.26%
Revenue Next 5Y5.49%
EBIT growth 1Y27.92%
EBIT growth 3Y11.05%
EBIT growth 5Y8.13%
EBIT Next Year88.84%
EBIT Next 3Y28.8%
EBIT Next 5Y19.89%
FCF growth 1Y46.94%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-4.58%
OCF growth 3YN/A
OCF growth 5Y3.59%
OGE ENERGY CORP / OGE FAQ
Can you provide the ChartMill fundamental rating for OGE ENERGY CORP?
ChartMill assigns a fundamental rating of 4 / 10 to OGE.
What is the valuation status for OGE stock?
ChartMill assigns a valuation rating of 2 / 10 to OGE ENERGY CORP (OGE). This can be considered as Overvalued.
Can you provide the profitability details for OGE ENERGY CORP?
OGE ENERGY CORP (OGE) has a profitability rating of 6 / 10.
What is the financial health of OGE ENERGY CORP (OGE) stock?
The financial health rating of OGE ENERGY CORP (OGE) is 1 / 10.
Is the dividend of OGE ENERGY CORP sustainable?
The dividend rating of OGE ENERGY CORP (OGE) is 5 / 10 and the dividend payout ratio is 67.72%.