SUNCOR ENERGY INC (SU.CA) Stock Fundamental Analysis
Canada - Toronto Stock Exchange - TSX:SU - CA8672241079 - Common Stock
65 CAD
+1.67 (+2.64%)
We assign a fundamental rating of 6 out of 10 to SU. SU was compared to 211 industry peers in the Oil, Gas & Consumable Fuels industry. SU gets an excellent profitability rating and is at the same time showing great financial health properties. SU is valued correctly, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
In the past year SU was profitable.
In the past year SU had a positive cash flow from operations.
SU had positive earnings in 4 of the past 5 years.
Each year in the past 5 years SU had a positive operating cash flow.
1.2 Ratios
SU's Return On Assets of 5.88% is amongst the best of the industry. SU outperforms 88.15% of its industry peers.
SU has a better Return On Equity (11.65%) than 82.94% of its industry peers.
SU's Return On Invested Capital of 7.63% is amongst the best of the industry. SU outperforms 91.00% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for SU is above the industry average of 6.52%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.88% | ||
| ROE | 11.65% | ||
| ROIC | 7.63% |
ROA(3y)8.93%
ROA(5y)5.32%
ROE(3y)18.58%
ROE(5y)10.98%
ROIC(3y)10.38%
ROIC(5y)N/A
1.3 Margins
The Profit Margin of SU (10.65%) is better than 73.93% of its industry peers.
In the last couple of years the Profit Margin of SU has grown nicely.
SU has a better Operating Margin (16.10%) than 63.98% of its industry peers.
In the last couple of years the Operating Margin of SU has grown nicely.
With a decent Gross Margin value of 62.21%, SU is doing good in the industry, outperforming 79.62% of the companies in the same industry.
In the last couple of years the Gross Margin of SU has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 16.1% | ||
| PM (TTM) | 10.65% | ||
| GM | 62.21% |
OM growth 3Y4.42%
OM growth 5Y1.85%
PM growth 3Y4.08%
PM growth 5Y9.44%
GM growth 3Y-1.29%
GM growth 5Y-1.52%
2. Health
2.1 Basic Checks
SU has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
Compared to 1 year ago, SU has less shares outstanding
Compared to 5 years ago, SU has less shares outstanding
The debt/assets ratio for SU has been reduced compared to a year ago.
2.2 Solvency
An Altman-Z score of 2.31 indicates that SU is not a great score, but indicates only limited risk for bankruptcy at the moment.
With a decent Altman-Z score value of 2.31, SU is doing good in the industry, outperforming 74.41% of the companies in the same industry.
The Debt to FCF ratio of SU is 1.80, which is an excellent value as it means it would take SU, only 1.80 years of fcf income to pay off all of its debts.
SU has a better Debt to FCF ratio (1.80) than 88.63% of its industry peers.
SU has a Debt/Equity ratio of 0.27. This is a healthy value indicating a solid balance between debt and equity.
Looking at the Debt to Equity ratio, with a value of 0.27, SU is in the better half of the industry, outperforming 62.56% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.27 | ||
| Debt/FCF | 1.8 | ||
| Altman-Z | 2.31 |
ROIC/WACC1.04
WACC7.3%
2.3 Liquidity
A Current Ratio of 1.35 indicates that SU should not have too much problems paying its short term obligations.
The Current ratio of SU (1.35) is better than 70.62% of its industry peers.
SU has a Quick Ratio of 1.35. This is a bad value and indicates that SU is not financially healthy enough and could expect problems in meeting its short term obligations.
SU has a Quick ratio of 0.85. This is in the better half of the industry: SU outperforms 60.66% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.35 | ||
| Quick Ratio | 0.85 |
3. Growth
3.1 Past
The earnings per share for SU have decreased strongly by -12.36% in the last year.
Measured over the past years, SU shows a quite strong growth in Earnings Per Share. The EPS has been growing by 14.08% on average per year.
SU shows a decrease in Revenue. In the last year, the revenue decreased by -3.08%.
The Revenue has been growing slightly by 5.74% on average over the past years.
EPS 1Y (TTM)-12.36%
EPS 3Y28.33%
EPS 5Y14.08%
EPS Q2Q%0%
Revenue 1Y (TTM)-3.08%
Revenue growth 3Y9.01%
Revenue growth 5Y5.74%
Sales Q2Q%-3.9%
3.2 Future
Based on estimates for the next years, SU will show a quite strong growth in Earnings Per Share. The EPS will grow by 11.16% on average per year.
Based on estimates for the next years, SU will show a decrease in Revenue. The Revenue will decrease by -0.17% on average per year.
EPS Next Y-13.47%
EPS Next 2Y-15.68%
EPS Next 3Y-2.74%
EPS Next 5Y11.16%
Revenue Next Year-0.3%
Revenue Next 2Y-3%
Revenue Next 3Y-1.99%
Revenue Next 5Y-0.17%
3.3 Evolution
The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
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 13.68, the valuation of SU can be described as correct.
Compared to the rest of the industry, the Price/Earnings ratio of SU indicates a somewhat cheap valuation: SU is cheaper than 68.72% of the companies listed in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 27.25, SU is valued a bit cheaper.
SU is valuated correctly with a Price/Forward Earnings ratio of 16.90.
Based on the Price/Forward Earnings ratio, SU is valued a bit cheaper than 60.66% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 23.98, SU is valued a bit cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.68 | ||
| Fwd PE | 16.9 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, SU is valued cheaper than 83.89% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, SU is valued cheaply inside the industry as 86.26% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 9.72 | ||
| EV/EBITDA | 6.01 |
4.3 Compensation for Growth
The decent profitability rating of SU may justify a higher PE ratio.
SU's earnings are expected to decrease with -2.74% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)0.97
EPS Next 2Y-15.68%
EPS Next 3Y-2.74%
5. Dividend
5.1 Amount
SU has a Yearly Dividend Yield of 3.79%. Purely for dividend investing, there may be better candidates out there.
SU's Dividend Yield is a higher than the industry average which is at 2.71.
Compared to an average S&P500 Dividend Yield of 1.92, SU pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.79% |
5.2 History
The dividend of SU has a limited annual growth rate of 5.68%.
SU has paid a dividend for at least 10 years, which is a reliable track record.
SU has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)5.68%
Div Incr Years3
Div Non Decr Years3
5.3 Sustainability
SU pays out 53.29% of its income as dividend. This is a bit on the high side, but may be sustainable.
The dividend of SU is growing, but earnings are growing more, so the dividend growth is sustainable.
DP53.29%
EPS Next 2Y-15.68%
EPS Next 3Y-2.74%
TSX:SU (1/9/2026, 7:00:00 PM)
65
+1.67 (+2.64%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)
Earnings (Next)
Inst Owners72.21%
Inst Owner ChangeN/A
Ins Owners0.01%
Ins Owner ChangeN/A
Market Cap78.08B
Revenue(TTM)49.40B
Net Income(TTM)5.26B
Analysts76.55
Price Target69.02 (6.18%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.79% |
Yearly Dividend2.21
Dividend Growth(5Y)5.68%
DP53.29%
Div Incr Years3
Div Non Decr Years3
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)16.75%
Min EPS beat(2)0.63%
Max EPS beat(2)32.87%
EPS beat(4)4
Avg EPS beat(4)12.09%
Min EPS beat(4)0.63%
Max EPS beat(4)32.87%
EPS beat(8)8
Avg EPS beat(8)14.41%
EPS beat(12)10
Avg EPS beat(12)11.38%
EPS beat(16)12
Avg EPS beat(16)9.5%
Revenue beat(2)1
Avg Revenue beat(2)1.32%
Min Revenue beat(2)-4.49%
Max Revenue beat(2)7.14%
Revenue beat(4)1
Avg Revenue beat(4)-4.19%
Min Revenue beat(4)-9.75%
Max Revenue beat(4)7.14%
Revenue beat(8)3
Avg Revenue beat(8)0.01%
Revenue beat(12)7
Avg Revenue beat(12)1.72%
Revenue beat(16)10
Avg Revenue beat(16)4.3%
PT rev (1m)1.37%
PT rev (3m)8.58%
EPS NQ rev (1m)0%
EPS NQ rev (3m)8.36%
EPS NY rev (1m)0%
EPS NY rev (3m)15.16%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-4.47%
Revenue NY rev (1m)-0.01%
Revenue NY rev (3m)2.91%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.68 | ||
| Fwd PE | 16.9 | ||
| P/S | 1.58 | ||
| P/FCF | 9.72 | ||
| P/OCF | 5.6 | ||
| P/B | 1.73 | ||
| P/tB | 1.87 | ||
| EV/EBITDA | 6.01 |
EPS(TTM)4.75
EY7.31%
EPS(NY)3.85
Fwd EY5.92%
FCF(TTM)6.69
FCFY10.29%
OCF(TTM)11.61
OCFY17.86%
SpS41.12
BVpS37.6
TBVpS34.71
PEG (NY)N/A
PEG (5Y)0.97
Graham Number63.39
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.88% | ||
| ROE | 11.65% | ||
| ROCE | 10.05% | ||
| ROIC | 7.63% | ||
| ROICexc | 7.92% | ||
| ROICexgc | 8.3% | ||
| OM | 16.1% | ||
| PM (TTM) | 10.65% | ||
| GM | 62.21% | ||
| FCFM | 16.27% |
ROA(3y)8.93%
ROA(5y)5.32%
ROE(3y)18.58%
ROE(5y)10.98%
ROIC(3y)10.38%
ROIC(5y)N/A
ROICexc(3y)10.71%
ROICexc(5y)N/A
ROICexgc(3y)11.24%
ROICexgc(5y)N/A
ROCE(3y)13.94%
ROCE(5y)N/A
ROICexgc growth 3Y12.14%
ROICexgc growth 5Y8.87%
ROICexc growth 3Y12.23%
ROICexc growth 5Y8.69%
OM growth 3Y4.42%
OM growth 5Y1.85%
PM growth 3Y4.08%
PM growth 5Y9.44%
GM growth 3Y-1.29%
GM growth 5Y-1.52%
F-Score6
Asset Turnover0.55
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.27 | ||
| Debt/FCF | 1.8 | ||
| Debt/EBITDA | 0.83 | ||
| Cap/Depr | 84.94% | ||
| Cap/Sales | 11.96% | ||
| Interest Coverage | 8.57 | ||
| Cash Conversion | 93.54% | ||
| Profit Quality | 152.78% | ||
| Current Ratio | 1.35 | ||
| Quick Ratio | 0.85 | ||
| Altman-Z | 2.31 |
F-Score6
WACC7.3%
ROIC/WACC1.04
Cap/Depr(3y)81.25%
Cap/Depr(5y)72.56%
Cap/Sales(3y)11.22%
Cap/Sales(5y)12.24%
Profit Quality(3y)117.04%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-12.36%
EPS 3Y28.33%
EPS 5Y14.08%
EPS Q2Q%0%
EPS Next Y-13.47%
EPS Next 2Y-15.68%
EPS Next 3Y-2.74%
EPS Next 5Y11.16%
Revenue 1Y (TTM)-3.08%
Revenue growth 3Y9.01%
Revenue growth 5Y5.74%
Sales Q2Q%-3.9%
Revenue Next Year-0.3%
Revenue Next 2Y-3%
Revenue Next 3Y-1.99%
Revenue Next 5Y-0.17%
EBIT growth 1Y-14.49%
EBIT growth 3Y13.82%
EBIT growth 5Y7.7%
EBIT Next Year66.36%
EBIT Next 3Y16.81%
EBIT Next 5Y11.35%
FCF growth 1Y29.11%
FCF growth 3Y9.55%
FCF growth 5Y14.28%
OCF growth 1Y16.68%
OCF growth 3Y10.7%
OCF growth 5Y8.9%
SUNCOR ENERGY INC / SU.CA FAQ
What is the ChartMill fundamental rating of SUNCOR ENERGY INC (SU.CA) stock?
ChartMill assigns a fundamental rating of 6 / 10 to SU.CA.
Can you provide the valuation status for SUNCOR ENERGY INC?
ChartMill assigns a valuation rating of 6 / 10 to SUNCOR ENERGY INC (SU.CA). This can be considered as Fairly Valued.
How profitable is SUNCOR ENERGY INC (SU.CA) stock?
SUNCOR ENERGY INC (SU.CA) has a profitability rating of 7 / 10.
What is the financial health of SUNCOR ENERGY INC (SU.CA) stock?
The financial health rating of SUNCOR ENERGY INC (SU.CA) is 7 / 10.
Can you provide the expected EPS growth for SU stock?
The Earnings per Share (EPS) of SUNCOR ENERGY INC (SU.CA) is expected to decline by -13.47% in the next year.