OVINTIV INC (OVV) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:OVV - US69047Q1022 - Common Stock
42.28 USD
0 (0%)
42.25 USD
-0.03 (-0.07%)
OVV gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 209 industry peers in the Oil, Gas & Consumable Fuels industry. OVV has an average financial health and profitability rating. OVV has a bad growth rate and is valued cheaply.
1. Profitability
1.1 Basic Checks
In the past year OVV was profitable.
OVV had a positive operating cash flow in the past year.
OVV had positive earnings in 4 of the past 5 years.
Each year in the past 5 years OVV had a positive operating cash flow.
1.2 Ratios
Looking at the Return On Assets, with a value of 1.22%, OVV is doing worse than 62.68% of the companies in the same industry.
Looking at the Return On Equity, with a value of 2.31%, OVV is doing worse than 63.16% of the companies in the same industry.
OVV's Return On Invested Capital of 10.24% is amongst the best of the industry. OVV outperforms 84.21% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for OVV is below the industry average of 20.88%.
The 3 year average ROIC (16.94%) for OVV is well above the current ROIC(10.24%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.22% | ||
| ROE | 2.31% | ||
| ROIC | 10.24% |
ROA(3y)13.48%
ROA(5y)1.67%
ROE(3y)26.1%
ROE(5y)-10.54%
ROIC(3y)16.94%
ROIC(5y)12.8%
1.3 Margins
OVV's Profit Margin of 2.64% is in line compared to the rest of the industry. OVV outperforms 41.63% of its industry peers.
OVV's Profit Margin has improved in the last couple of years.
The Operating Margin of OVV (23.04%) is better than 60.77% of its industry peers.
OVV's Operating Margin has improved in the last couple of years.
The Gross Margin of OVV (70.19%) is better than 80.38% of its industry peers.
In the last couple of years the Gross Margin of OVV has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 23.04% | ||
| PM (TTM) | 2.64% | ||
| GM | 70.19% |
OM growth 3Y8.52%
OM growth 5Y15.64%
PM growth 3Y-9.08%
PM growth 5Y28.72%
GM growth 3Y7.77%
GM growth 5Y-0.35%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so OVV is creating value.
Compared to 1 year ago, OVV has less shares outstanding
Compared to 5 years ago, OVV has about the same amount of shares outstanding.
Compared to 1 year ago, OVV has an improved debt to assets ratio.
2.2 Solvency
OVV has an Altman-Z score of 1.54. This is a bad value and indicates that OVV is not financially healthy and even has some risk of bankruptcy.
With a Altman-Z score value of 1.54, OVV perfoms like the industry average, outperforming 55.98% of the companies in the same industry.
OVV has a debt to FCF ratio of 3.51. This is a good value and a sign of high solvency as OVV would need 3.51 years to pay back of all of its debts.
With a decent Debt to FCF ratio value of 3.51, OVV is doing good in the industry, outperforming 73.68% of the companies in the same industry.
OVV has a Debt/Equity ratio of 0.43. This is a healthy value indicating a solid balance between debt and equity.
Looking at the Debt to Equity ratio, with a value of 0.43, OVV is in line with its industry, outperforming 54.07% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.43 | ||
| Debt/FCF | 3.51 | ||
| Altman-Z | 1.54 |
ROIC/WACC1.14
WACC8.99%
2.3 Liquidity
A Current Ratio of 0.45 indicates that OVV may have some problems paying its short term obligations.
OVV's Current ratio of 0.45 is on the low side compared to the rest of the industry. OVV is outperformed by 88.04% of its industry peers.
OVV has a Quick Ratio of 0.45. This is a bad value and indicates that OVV is not financially healthy enough and could expect problems in meeting its short term obligations.
OVV has a worse Quick ratio (0.45) than 86.12% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.45 | ||
| Quick Ratio | 0.45 |
3. Growth
3.1 Past
The earnings per share for OVV have decreased strongly by -29.74% in the last year.
OVV shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 12.10% yearly.
The Revenue for OVV has decreased by -11.66% in the past year. This is quite bad
OVV shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 6.35% yearly.
EPS 1Y (TTM)-29.74%
EPS 3Y5.72%
EPS 5Y12.1%
EPS Q2Q%-44.32%
Revenue 1Y (TTM)-11.66%
Revenue growth 3Y1.87%
Revenue growth 5Y6.35%
Sales Q2Q%-11.1%
3.2 Future
Based on estimates for the next years, OVV will show a decrease in Earnings Per Share. The EPS will decrease by -1.03% on average per year.
Based on estimates for the next years, OVV will show a small growth in Revenue. The Revenue will grow by 1.76% on average per year.
EPS Next Y-25.04%
EPS Next 2Y-4.75%
EPS Next 3Y6.31%
EPS Next 5Y-1.03%
Revenue Next Year-2.4%
Revenue Next 2Y-0.4%
Revenue Next 3Y1.76%
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 decreasing.
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
The Price/Earnings ratio is 8.77, which indicates a very decent valuation of OVV.
85.65% of the companies in the same industry are more expensive than OVV, based on the Price/Earnings ratio.
The average S&P500 Price/Earnings ratio is at 26.49. OVV is valued rather cheaply when compared to this.
With a Price/Forward Earnings ratio of 7.95, the valuation of OVV can be described as very cheap.
Based on the Price/Forward Earnings ratio, OVV is valued cheaper than 88.04% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 23.69, OVV is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.77 | ||
| Fwd PE | 7.95 |
4.2 Price Multiples
84.69% of the companies in the same industry are more expensive than OVV, based on the Enterprise Value to EBITDA ratio.
Based on the Price/Free Cash Flow ratio, OVV is valued cheaper than 87.56% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 7.22 | ||
| EV/EBITDA | 3.74 |
4.3 Compensation for Growth
The decent profitability rating of OVV may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)0.72
EPS Next 2Y-4.75%
EPS Next 3Y6.31%
5. Dividend
5.1 Amount
OVV has a Yearly Dividend Yield of 2.84%.
Compared to an average industry Dividend Yield of 5.71, OVV has a dividend in line with its industry peers.
Compared to an average S&P500 Dividend Yield of 2.31, OVV pays a bit more dividend than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.84% |
5.2 History
The dividend of OVV is nicely growing with an annual growth rate of 21.30%!
OVV has paid a dividend for at least 10 years, which is a reliable track record.
OVV has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)21.3%
Div Incr Years4
Div Non Decr Years4
5.3 Sustainability
OVV pays out 131.36% of its income as dividend. This is not a sustainable payout ratio.
OVV's earnings are declining while the Dividend Rate has been growing. This means the dividend growth is most likely not sustainable.
DP131.36%
EPS Next 2Y-4.75%
EPS Next 3Y6.31%
42.28
0 (0%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)
Earnings (Next)
Inst Owners91.48%
Inst Owner Change1.8%
Ins Owners0.5%
Ins Owner Change0%
Market Cap10.71B
Revenue(TTM)8.95B
Net Income(TTM)236.00M
Analysts81.43
Price Target55.14 (30.42%)
Short Float %4.02%
Short Ratio3.05
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.84% |
Yearly Dividend1.19
Dividend Growth(5Y)21.3%
DP131.36%
Div Incr Years4
Div Non Decr Years4
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)8.01%
Min EPS beat(2)5.35%
Max EPS beat(2)10.67%
EPS beat(4)4
Avg EPS beat(4)16.27%
Min EPS beat(4)5.35%
Max EPS beat(4)33.89%
EPS beat(8)7
Avg EPS beat(8)17.75%
EPS beat(12)8
Avg EPS beat(12)8.22%
EPS beat(16)8
Avg EPS beat(16)1.3%
Revenue beat(2)2
Avg Revenue beat(2)11.04%
Min Revenue beat(2)3.15%
Max Revenue beat(2)18.93%
Revenue beat(4)4
Avg Revenue beat(4)7.87%
Min Revenue beat(4)1.3%
Max Revenue beat(4)18.93%
Revenue beat(8)6
Avg Revenue beat(8)5.43%
Revenue beat(12)9
Avg Revenue beat(12)7%
Revenue beat(16)12
Avg Revenue beat(16)13.45%
PT rev (1m)2.21%
PT rev (3m)-1.49%
EPS NQ rev (1m)-5.94%
EPS NQ rev (3m)-25.24%
EPS NY rev (1m)-2.84%
EPS NY rev (3m)-7.5%
Revenue NQ rev (1m)0.59%
Revenue NQ rev (3m)-4.31%
Revenue NY rev (1m)0.98%
Revenue NY rev (3m)0.54%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.77 | ||
| Fwd PE | 7.95 | ||
| P/S | 1.2 | ||
| P/FCF | 7.22 | ||
| P/OCF | 2.88 | ||
| P/B | 1.05 | ||
| P/tB | 1.4 | ||
| EV/EBITDA | 3.74 |
EPS(TTM)4.82
EY11.4%
EPS(NY)5.32
Fwd EY12.57%
FCF(TTM)5.86
FCFY13.86%
OCF(TTM)14.68
OCFY34.72%
SpS35.34
BVpS40.41
TBVpS30.28
PEG (NY)N/A
PEG (5Y)0.72
Graham Number66.2
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.22% | ||
| ROE | 2.31% | ||
| ROCE | 12.31% | ||
| ROIC | 10.24% | ||
| ROICexc | 10.25% | ||
| ROICexgc | 12.11% | ||
| OM | 23.04% | ||
| PM (TTM) | 2.64% | ||
| GM | 70.19% | ||
| FCFM | 16.58% |
ROA(3y)13.48%
ROA(5y)1.67%
ROE(3y)26.1%
ROE(5y)-10.54%
ROIC(3y)16.94%
ROIC(5y)12.8%
ROICexc(3y)16.95%
ROICexc(5y)12.84%
ROICexgc(3y)20.76%
ROICexgc(5y)15.94%
ROCE(3y)20.37%
ROCE(5y)15.38%
ROICexgc growth 3Y-6.42%
ROICexgc growth 5Y26.74%
ROICexc growth 3Y-3.16%
ROICexc growth 5Y26.28%
OM growth 3Y8.52%
OM growth 5Y15.64%
PM growth 3Y-9.08%
PM growth 5Y28.72%
GM growth 3Y7.77%
GM growth 5Y-0.35%
F-Score6
Asset Turnover0.46
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.43 | ||
| Debt/FCF | 3.51 | ||
| Debt/EBITDA | 1.03 | ||
| Cap/Depr | 101.96% | ||
| Cap/Sales | 24.96% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 87.42% | ||
| Profit Quality | 628.81% | ||
| Current Ratio | 0.45 | ||
| Quick Ratio | 0.45 | ||
| Altman-Z | 1.54 |
F-Score6
WACC8.99%
ROIC/WACC1.14
Cap/Depr(3y)138.48%
Cap/Depr(5y)127.55%
Cap/Sales(3y)21.69%
Cap/Sales(5y)22.23%
Profit Quality(3y)83.42%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-29.74%
EPS 3Y5.72%
EPS 5Y12.1%
EPS Q2Q%-44.32%
EPS Next Y-25.04%
EPS Next 2Y-4.75%
EPS Next 3Y6.31%
EPS Next 5Y-1.03%
Revenue 1Y (TTM)-11.66%
Revenue growth 3Y1.87%
Revenue growth 5Y6.35%
Sales Q2Q%-11.1%
Revenue Next Year-2.4%
Revenue Next 2Y-0.4%
Revenue Next 3Y1.76%
Revenue Next 5YN/A
EBIT growth 1Y-25.45%
EBIT growth 3Y10.55%
EBIT growth 5Y22.99%
EBIT Next Year94.42%
EBIT Next 3Y32.79%
EBIT Next 5Y12.76%
FCF growth 1Y19.87%
FCF growth 3Y-4.14%
FCF growth 5Y36.89%
OCF growth 1Y1.03%
OCF growth 3Y5.95%
OCF growth 5Y4.96%
OVINTIV INC / OVV FAQ
What is the ChartMill fundamental rating of OVINTIV INC (OVV) stock?
ChartMill assigns a fundamental rating of 5 / 10 to OVV.
What is the valuation status of OVINTIV INC (OVV) stock?
ChartMill assigns a valuation rating of 8 / 10 to OVINTIV INC (OVV). This can be considered as Undervalued.
What is the profitability of OVV stock?
OVINTIV INC (OVV) has a profitability rating of 6 / 10.
What is the earnings growth outlook for OVINTIV INC?
The Earnings per Share (EPS) of OVINTIV INC (OVV) is expected to decline by -25.04% in the next year.
Can you provide the dividend sustainability for OVV stock?
The dividend rating of OVINTIV INC (OVV) is 4 / 10 and the dividend payout ratio is 131.36%.