SITIO ROYALTIES CORP-A (STR) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:STR - US82983N1081 - Common Stock
18.12 USD
-0.18 (-0.98%)
17.3 USD
-0.82 (-4.53%)
STR gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 208 industry peers in the Oil, Gas & Consumable Fuels industry. STR scores quite bad on profitability, while its financial health is fine. Not spectacular, but in line with the averages. STR has a expensive valuation and it also scores bad on growth.
1. Profitability
1.1 Basic Checks
STR had positive earnings in the past year.
STR had a positive operating cash flow in the past year.
Of the past 5 years STR 4 years were profitable.
Each year in the past 5 years STR had a positive operating cash flow.
1.2 Ratios
Looking at the Return On Assets, with a value of 0.75%, STR is doing worse than 63.33% of the companies in the same industry.
Looking at the Return On Equity, with a value of 2.47%, STR is doing worse than 61.90% of the companies in the same industry.
The Return On Invested Capital of STR (4.20%) is worse than 61.90% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for STR is significantly below the industry average of 21.28%.
The 3 year average ROIC (4.15%) for STR is below the current ROIC(4.20%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.75% | ||
| ROE | 2.47% | ||
| ROIC | 4.2% |
ROA(3y)0.26%
ROA(5y)1.86%
ROE(3y)0.85%
ROE(5y)3.9%
ROIC(3y)4.15%
ROIC(5y)5.14%
1.3 Margins
Looking at the Profit Margin, with a value of 5.65%, STR is in line with its industry, outperforming 46.19% of the companies in the same industry.
STR's Profit Margin has declined in the last couple of years.
STR has a Operating Margin of 37.27%. This is amongst the best in the industry. STR outperforms 83.33% of its industry peers.
STR's Operating Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 37.27% | ||
| PM (TTM) | 5.65% | ||
| GM | N/A |
OM growth 3Y-6.34%
OM growth 5Y-5.99%
PM growth 3Y-30.36%
PM growth 5Y-33.28%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so STR is destroying value.
Compared to 1 year ago, STR has less shares outstanding
The number of shares outstanding for STR has been increased compared to 5 years ago.
STR has a worse debt/assets ratio than last year.
2.2 Solvency
Based on the Altman-Z score of 0.80, we must say that STR is in the distress zone and has some risk of bankruptcy.
STR has a Altman-Z score (0.80) which is in line with its industry peers.
STR has a debt to FCF ratio of 4.19. This is a neutral value as STR would need 4.19 years to pay back of all of its debts.
STR has a Debt to FCF ratio of 4.19. This is in the better half of the industry: STR outperforms 70.00% of its industry peers.
STR has a Debt/Equity ratio of 0.77. This is a neutral value indicating STR is somewhat dependend on debt financing.
STR has a worse Debt to Equity ratio (0.77) than 65.24% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.77 | ||
| Debt/FCF | 4.19 | ||
| Altman-Z | 0.8 |
ROIC/WACC0.43
WACC9.79%
2.3 Liquidity
STR has a Current Ratio of 4.04. This indicates that STR is financially healthy and has no problem in meeting its short term obligations.
The Current ratio of STR (4.04) is better than 88.57% of its industry peers.
STR has a Quick Ratio of 4.04. This indicates that STR is financially healthy and has no problem in meeting its short term obligations.
The Quick ratio of STR (4.04) is better than 89.05% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 4.04 | ||
| Quick Ratio | 4.04 |
3. Growth
3.1 Past
The earnings per share for STR have decreased strongly by -72.15% in the last year.
Measured over the past years, STR shows a very negative growth in Earnings Per Share. The EPS has been decreasing by -17.29% on average per year.
STR shows a decrease in Revenue. In the last year, the revenue decreased by -1.91%.
The Revenue has been growing by 55.58% on average over the past years. This is a very strong growth!
EPS 1Y (TTM)-72.15%
EPS 3Y-21.7%
EPS 5Y-17.29%
EPS Q2Q%-46.67%
Revenue 1Y (TTM)-1.91%
Revenue growth 3Y109.41%
Revenue growth 5Y55.58%
Sales Q2Q%-13.58%
3.2 Future
STR is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 3.44% yearly.
The Revenue is expected to decrease by -0.92% on average over the next years.
EPS Next Y-26.46%
EPS Next 2Y-15.29%
EPS Next 3Y3.44%
EPS Next 5YN/A
Revenue Next Year-4.51%
Revenue Next 2Y-3.19%
Revenue Next 3Y-0.92%
Revenue Next 5YN/A
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 decreasing.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 41.18, the valuation of STR can be described as expensive.
Based on the Price/Earnings ratio, STR is valued a bit more expensive than the industry average as 63.33% of the companies are valued more cheaply.
The average S&P500 Price/Earnings ratio is at 27.19. STR is valued rather expensively when compared to this.
A Price/Forward Earnings ratio of 52.61 indicates a quite expensive valuation of STR.
Based on the Price/Forward Earnings ratio, STR is valued a bit more expensive than 66.67% of the companies in the same industry.
STR's Price/Forward Earnings ratio indicates a rather expensive valuation when compared to the S&P500 average which is at 23.88.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 41.18 | ||
| Fwd PE | 52.61 |
4.2 Price Multiples
STR's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. STR is cheaper than 61.43% of the companies in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of STR indicates a somewhat cheap valuation: STR is cheaper than 72.86% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 10.62 | ||
| EV/EBITDA | 7.06 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-15.29%
EPS Next 3Y3.44%
5. Dividend
5.1 Amount
STR has a Yearly Dividend Yield of 7.73%, which is a nice return.
Compared to an average industry Dividend Yield of 3.93, STR pays a better dividend. On top of this STR pays more dividend than 82.38% of the companies listed in the same industry.
STR's Dividend Yield is rather good when compared to the S&P500 average which is at 1.90.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 7.73% |
5.2 History
The dividend of STR is nicely growing with an annual growth rate of 6.01%!
STR has been paying a dividend for at least 10 years, so it has a reliable track record.
Dividend Growth(5Y)6.01%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
308.31% of the earnings are spent on dividend by STR. This is not a sustainable payout ratio.
STR's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP308.31%
EPS Next 2Y-15.29%
EPS Next 3Y3.44%
18.12
-0.18 (-0.98%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)
Earnings (Next)
Inst Owners91.33%
Inst Owner Change0%
Ins Owners1.3%
Ins Owner Change-3.82%
Market Cap2.74B
Revenue(TTM)613.65M
Net Income(TTM)34.65M
Analysts74.55
Price Target30.6 (68.87%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 7.73% |
Yearly Dividend0.79
Dividend Growth(5Y)6.01%
DP308.31%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)43.91%
Min EPS beat(2)35.49%
Max EPS beat(2)52.32%
EPS beat(4)3
Avg EPS beat(4)17.29%
Min EPS beat(4)-32.87%
Max EPS beat(4)52.32%
EPS beat(8)4
Avg EPS beat(8)76.89%
EPS beat(12)5
Avg EPS beat(12)37.47%
EPS beat(16)8
Avg EPS beat(16)34.39%
Revenue beat(2)2
Avg Revenue beat(2)4.95%
Min Revenue beat(2)4.21%
Max Revenue beat(2)5.7%
Revenue beat(4)3
Avg Revenue beat(4)2.97%
Min Revenue beat(4)-3.49%
Max Revenue beat(4)5.7%
Revenue beat(8)5
Avg Revenue beat(8)1.26%
Revenue beat(12)5
Avg Revenue beat(12)-0.78%
Revenue beat(16)8
Avg Revenue beat(16)-5.56%
PT rev (1m)20%
PT rev (3m)13.51%
EPS NQ rev (1m)-6.45%
EPS NQ rev (3m)-40.67%
EPS NY rev (1m)4.41%
EPS NY rev (3m)0.58%
Revenue NQ rev (1m)1.45%
Revenue NQ rev (3m)-9.21%
Revenue NY rev (1m)2.49%
Revenue NY rev (3m)3.42%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 41.18 | ||
| Fwd PE | 52.61 | ||
| P/S | 4.46 | ||
| P/FCF | 10.62 | ||
| P/OCF | 6.32 | ||
| P/B | 1.95 | ||
| P/tB | 1.95 | ||
| EV/EBITDA | 7.06 |
EPS(TTM)0.44
EY2.43%
EPS(NY)0.34
Fwd EY1.9%
FCF(TTM)1.71
FCFY9.42%
OCF(TTM)2.87
OCFY15.83%
SpS4.07
BVpS9.28
TBVpS9.28
PEG (NY)N/A
PEG (5Y)N/A
Graham NumberN/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.75% | ||
| ROE | 2.47% | ||
| ROCE | 5% | ||
| ROIC | 4.2% | ||
| ROICexc | 4.2% | ||
| ROICexgc | 4.2% | ||
| OM | 37.27% | ||
| PM (TTM) | 5.65% | ||
| GM | N/A | ||
| FCFM | 41.97% |
ROA(3y)0.26%
ROA(5y)1.86%
ROE(3y)0.85%
ROE(5y)3.9%
ROIC(3y)4.15%
ROIC(5y)5.14%
ROICexc(3y)4.16%
ROICexc(5y)5.17%
ROICexgc(3y)4.16%
ROICexgc(5y)13.68%
ROCE(3y)4.94%
ROCE(5y)6.11%
ROICexgc growth 3Y-53.76%
ROICexgc growth 5Y-37.61%
ROICexc growth 3Y-25.71%
ROICexc growth 5Y-16.45%
OM growth 3Y-6.34%
OM growth 5Y-5.99%
PM growth 3Y-30.36%
PM growth 5Y-33.28%
GM growth 3YN/A
GM growth 5YN/A
F-Score7
Asset Turnover0.13
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.77 | ||
| Debt/FCF | 4.19 | ||
| Debt/EBITDA | 2 | ||
| Cap/Depr | 56.34% | ||
| Cap/Sales | 28.59% | ||
| Interest Coverage | 2.71 | ||
| Cash Conversion | 80.17% | ||
| Profit Quality | 743.39% | ||
| Current Ratio | 4.04 | ||
| Quick Ratio | 4.04 | ||
| Altman-Z | 0.8 |
F-Score7
WACC9.79%
ROIC/WACC0.43
Cap/Depr(3y)232.31%
Cap/Depr(5y)144.47%
Cap/Sales(3y)77.7%
Cap/Sales(5y)48.23%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-72.15%
EPS 3Y-21.7%
EPS 5Y-17.29%
EPS Q2Q%-46.67%
EPS Next Y-26.46%
EPS Next 2Y-15.29%
EPS Next 3Y3.44%
EPS Next 5YN/A
Revenue 1Y (TTM)-1.91%
Revenue growth 3Y109.41%
Revenue growth 5Y55.58%
Sales Q2Q%-13.58%
Revenue Next Year-4.51%
Revenue Next 2Y-3.19%
Revenue Next 3Y-0.92%
Revenue Next 5YN/A
EBIT growth 1Y-13.6%
EBIT growth 3Y96.14%
EBIT growth 5Y46.26%
EBIT Next Year148.31%
EBIT Next 3Y37.32%
EBIT Next 5YN/A
FCF growth 1Y137.59%
FCF growth 3Y46.83%
FCF growth 5Y32.93%
OCF growth 1Y39.98%
OCF growth 3Y120.66%
OCF growth 5Y52.95%
SITIO ROYALTIES CORP-A / STR FAQ
Can you provide the ChartMill fundamental rating for SITIO ROYALTIES CORP-A?
ChartMill assigns a fundamental rating of 4 / 10 to STR.
What is the valuation status of SITIO ROYALTIES CORP-A (STR) stock?
ChartMill assigns a valuation rating of 2 / 10 to SITIO ROYALTIES CORP-A (STR). This can be considered as Overvalued.
How profitable is SITIO ROYALTIES CORP-A (STR) stock?
SITIO ROYALTIES CORP-A (STR) has a profitability rating of 3 / 10.
How financially healthy is SITIO ROYALTIES CORP-A?
The financial health rating of SITIO ROYALTIES CORP-A (STR) is 5 / 10.
Can you provide the dividend sustainability for STR stock?
The dividend rating of SITIO ROYALTIES CORP-A (STR) is 6 / 10 and the dividend payout ratio is 308.31%.