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
PDCE gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 207 industry peers in the Oil, Gas & Consumable Fuels industry. PDCE has an average financial health and profitability rating. PDCE may be a bit undervalued, certainly considering the very reasonable score on growth These ratings would make PDCE suitable for value investing!
1. Profitability
1.1 Basic Checks
- PDCE had positive earnings in the past year.
- PDCE had a positive operating cash flow in the past year.
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.
- PDCE has a Return On Equity of 41.84%. This is in the better half of the industry: PDCE outperforms 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.
- The Average Return On Invested Capital over the past 3 years for PDCE is significantly below the industry average of 21.94%.
- The 3 year average ROIC (15.55%) for PDCE is below the current ROIC(30.10%), indicating increased profibility in the last year.
| 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 has a Profit Margin of 43.85%. This is amongst the best in the industry. PDCE outperforms 81.22% of its industry peers.
- PDCE has a better Operating Margin (58.61%) than 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
- With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), PDCE is creating value.
- PDCE has less shares outstanding than it did 1 year ago.
- Compared to 1 year ago, PDCE has an improved debt to assets ratio.
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.
- With a decent Altman-Z score value of 2.66, PDCE is doing good in the industry, outperforming 65.73% of the companies in the same industry.
- 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.
- PDCE has a Debt to Equity ratio (0.34) which is in line with its industry peers.
| 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.
- Looking at the Quick ratio, with a value of 0.49, PDCE is doing worse than 83.57% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.49 | ||
| Quick Ratio | 0.49 |
3. Growth
3.1 Past
- The earnings per share for PDCE have decreased strongly by -11.96% in the last year.
- PDCE shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 167.86% yearly.
- The Revenue has grown by 50.94% in the past year. This is a very strong growth!
- Measured over the past years, PDCE shows a very strong growth in Revenue. The Revenue has been growing by 33.07% on average per year.
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.
- Based on the Price/Earnings ratio, PDCE is valued a bit cheaper than the industry average as 69.01% of the companies are valued more expensively.
- When comparing the Price/Earnings ratio of PDCE to the average of the S&P500 Index (28.32), we can say PDCE is valued rather cheaply.
- With a Price/Forward Earnings ratio of 4.80, the valuation of PDCE can be described as very cheap.
- PDCE's Price/Forward Earnings ratio is rather cheap when compared to the industry. PDCE is cheaper than 86.85% of the companies in the same industry.
- The average S&P500 Price/Forward Earnings ratio is at 25.57. PDCE is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.01 | ||
| Fwd PE | 4.8 |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, PDCE is valued cheaper than 87.79% of the companies in the same industry.
- Based on the Price/Free Cash Flow ratio, PDCE is valued a bit cheaper than 73.71% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 6.02 | ||
| EV/EBITDA | 2.37 |
4.3 Compensation for Growth
- PDCE has a very decent profitability rating, which 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%. Purely for dividend investing, there may be better candidates out there.
- PDCE's Dividend Yield is comparable with the industry average which is at 3.64.
- Compared to an average S&P500 Dividend Yield of 1.83, PDCE has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.17% |
5.2 History
- PDCE has paid a dividend for less than 5 years, so there is no long track record yet.
Dividend Growth(5Y)N/A
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
- PDCE pays out 10.55% of its income as dividend. This is a 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%.