73.85 USD
-0.2 (-0.27%)
At close: Aug 4, 2023
73.85 USD
0 (0%)
After Hours: 8/4/2023, 8:23:12 PM
Overall PDCE gets a fundamental rating of 5 out of 10. We evaluated PDCE against 207 industry peers in the Oil, Gas & Consumable Fuels industry. PDCE has an average financial health and profitability rating. PDCE scores decently on growth, while it is valued quite cheap. This could make an interesting combination. With these ratings, PDCE could be worth investigating further for value investing!.
1. Profitability
1.1 Basic Checks
- PDCE had positive earnings in the past year.
- In the past year PDCE had a positive cash flow from operations.
1.2 Ratios
- PDCE's Return On Assets of 22.14% is fine compared to the rest of the industry. PDCE outperforms 79.34% of its industry peers.
- The Return On Equity of PDCE (41.84%) is better than 76.06% of its industry peers.
- Looking at the Return On Invested Capital, with a value of 30.10%, PDCE belongs to the top of the industry, outperforming 85.92% of the companies in the same industry.
- Measured over the past 3 years, the Average Return On Invested Capital for PDCE is significantly below the industry average of 21.94%.
- The last Return On Invested Capital (30.10%) for PDCE is above the 3 year average (15.55%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 22.14% | ||
| ROE | 41.84% | ||
| ROIC | 30.1% |
ROA(3y)N/A
ROA(5y)N/A
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)15.55%
ROIC(5y)11.87%
1.3 Margins
- PDCE's Profit Margin of 43.85% is amongst the best of the industry. PDCE outperforms 81.22% of its industry peers.
- PDCE's Operating Margin of 58.61% is amongst the best of the industry. PDCE outperforms 87.32% of its industry peers.
- PDCE's Operating Margin has improved in the last couple of years.
- Looking at the Gross Margin, with a value of 87.02%, PDCE belongs to the top of the industry, outperforming 90.14% of the companies in the same industry.
- In the last couple of years the Gross Margin of PDCE has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 58.61% | ||
| PM (TTM) | 43.85% | ||
| GM | 87.02% |
OM growth 3Y123.77%
OM growth 5Y34.18%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-2.92%
GM growth 5Y-1.85%
2. Health
2.1 Basic Checks
- The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so PDCE is creating value.
- The number of shares outstanding for PDCE has been reduced compared to 1 year ago.
- The debt/assets ratio for PDCE has been reduced compared to a year ago.
2.2 Solvency
- PDCE has an Altman-Z score of 2.66. This is not the best score and indicates that PDCE is in the grey zone with still only limited risk for bankruptcy at the moment.
- The Altman-Z score of PDCE (2.66) is better than 65.73% of its industry peers.
- PDCE has a debt to FCF ratio of 1.41. This is a very positive value and a sign of high solvency as it would only need 1.41 years to pay back of all of its debts.
- PDCE has a better Debt to FCF ratio (1.41) than 74.65% of its industry peers.
- A Debt/Equity ratio of 0.34 indicates that PDCE is not too dependend on debt financing.
- Looking at the Debt to Equity ratio, with a value of 0.34, PDCE is in line with its industry, outperforming 59.15% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.34 | ||
| Debt/FCF | 1.41 | ||
| Altman-Z | 2.66 |
ROIC/WACC3.69
WACC8.15%
2.3 Liquidity
- PDCE has a Current Ratio of 0.49. This is a bad value and indicates that PDCE is not financially healthy enough and could expect problems in meeting its short term obligations.
- PDCE has a worse Current ratio (0.49) than 87.32% of its industry peers.
- PDCE has a Quick Ratio of 0.49. This is a bad value and indicates that PDCE is not financially healthy enough and could expect problems in meeting its short term obligations.
- With a Quick ratio value of 0.49, PDCE is not doing good in the industry: 83.57% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.49 | ||
| Quick Ratio | 0.49 |
3. Growth
3.1 Past
- PDCE shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -11.96%.
- The Earnings Per Share has been growing by 167.86% on average over the past years. This is a very strong growth
- Looking at the last year, PDCE shows a very strong growth in Revenue. The Revenue has grown by 50.94%.
- The Revenue has been growing by 33.07% on average over the past years. This is a very strong growth!
EPS 1Y (TTM)-11.96%
EPS 3Y167.86%
EPS 5YN/A
EPS Q2Q%-47.36%
Revenue 1Y (TTM)50.94%
Revenue growth 3Y49.28%
Revenue growth 5Y33.07%
Sales Q2Q%-23.42%
3.2 Future
- The Earnings Per Share is expected to grow by 7.15% on average over the next years.
- PDCE is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 0.61% yearly.
EPS Next Y-22.73%
EPS Next 2Y-1.16%
EPS Next 3Y7.15%
EPS Next 5YN/A
Revenue Next Year-13.82%
Revenue Next 2Y-3.94%
Revenue Next 3Y0.61%
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
- Based on the Price/Earnings ratio of 6.01, the valuation of PDCE can be described as very cheap.
- 69.01% of the companies in the same industry are more expensive than PDCE, based on the Price/Earnings ratio.
- PDCE is valuated cheaply when we compare the Price/Earnings ratio to 28.30, which is the current average of the S&P500 Index.
- Based on the Price/Forward Earnings ratio of 4.80, the valuation of PDCE can be described as very cheap.
- Based on the Price/Forward Earnings ratio, PDCE is valued cheaply inside the industry as 86.85% of the companies are valued more expensively.
- PDCE's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 25.57.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.01 | ||
| Fwd PE | 4.8 |
4.2 Price Multiples
- PDCE's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. PDCE is cheaper than 87.79% of the companies in the same industry.
- Compared to the rest of the industry, the Price/Free Cash Flow ratio of PDCE indicates a somewhat cheap valuation: PDCE is cheaper than 73.71% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 6.02 | ||
| EV/EBITDA | 2.37 |
4.3 Compensation for Growth
- The decent profitability rating of PDCE may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-1.16%
EPS Next 3Y7.15%
5. Dividend
5.1 Amount
- PDCE has a Yearly Dividend Yield of 2.17%.
- PDCE's Dividend Yield is comparable with the industry average which is at 3.64.
- PDCE's Dividend Yield is comparable with the S&P500 average which is at 1.83.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.17% |
5.2 History
- PDCE has been paying a dividend for less than 5 years, so it still needs to build a track record.
Dividend Growth(5Y)N/A
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
- 10.55% of the earnings are spent on dividend by PDCE. This is a low number and sustainable payout ratio.
DP10.55%
EPS Next 2Y-1.16%
EPS Next 3Y7.15%
PDC ENERGY INC / PDCE FAQ
Can you provide the ChartMill fundamental rating for PDC ENERGY INC?
ChartMill assigns a fundamental rating of 6 / 10 to PDCE.
What is the valuation status of PDC ENERGY INC (PDCE) stock?
ChartMill assigns a valuation rating of 7 / 10 to PDC ENERGY INC (PDCE). This can be considered as Undervalued.
Can you provide the profitability details for PDC ENERGY INC?
PDC ENERGY INC (PDCE) has a profitability rating of 7 / 10.
Can you provide the PE and PB ratios for PDCE stock?
The Price/Earnings (PE) ratio for PDC ENERGY INC (PDCE) is 6.01 and the Price/Book (PB) ratio is 1.45.
How sustainable is the dividend of PDC ENERGY INC (PDCE) stock?
The dividend rating of PDC ENERGY INC (PDCE) is 3 / 10 and the dividend payout ratio is 10.55%.