SUNCOR ENERGY INC (SU.CA) Stock Fundamental Analysis
Canada - TSX:SU - CA8672241079 - Common Stock
58.92 CAD
-0.1 (-0.17%)
We assign a fundamental rating of 6 out of 10 to SU. SU was compared to 216 industry peers in the Oil, Gas & Consumable Fuels industry. SU has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. SU has a valuation in line with the averages, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
SU had positive earnings in the past year.
SU had a positive operating cash flow in the past year.
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 6.39% is amongst the best of the industry. SU outperforms 88.43% of its industry peers.
SU has a Return On Equity of 12.70%. This is amongst the best in the industry. SU outperforms 84.72% of its industry peers.
SU has a Return On Invested Capital of 7.92%. This is amongst the best in the industry. SU outperforms 87.96% of its industry peers.
SU had an Average Return On Invested Capital over the past 3 years of 10.38%. This is above the industry average of 6.93%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.39% | ||
| ROE | 12.7% | ||
| ROIC | 7.92% |
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
SU's Profit Margin of 11.38% is fine compared to the rest of the industry. SU outperforms 72.69% of its industry peers.
In the last couple of years the Profit Margin of SU has grown nicely.
SU's Operating Margin of 16.36% is fine compared to the rest of the industry. SU outperforms 60.19% of its industry peers.
In the last couple of years the Operating Margin of SU has grown nicely.
The Gross Margin of SU (61.80%) is better than 78.70% of its industry peers.
SU's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 16.36% | ||
| PM (TTM) | 11.38% | ||
| GM | 61.8% |
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
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), SU is creating some value.
SU has less shares outstanding than it did 1 year ago.
The number of shares outstanding for SU has been reduced compared to 5 years ago.
SU has a better debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 2.23 indicates that SU is not a great score, but indicates only limited risk for bankruptcy at the moment.
SU has a better Altman-Z score (2.23) than 71.76% of its industry peers.
SU has a debt to FCF ratio of 1.69. This is a very positive value and a sign of high solvency as it would only need 1.69 years to pay back of all of its debts.
SU has a better Debt to FCF ratio (1.69) than 88.89% of its industry peers.
SU has a Debt/Equity ratio of 0.28. This is a healthy value indicating a solid balance between debt and equity.
SU has a better Debt to Equity ratio (0.28) than 61.57% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.28 | ||
| Debt/FCF | 1.69 | ||
| Altman-Z | 2.23 |
ROIC/WACC1.01
WACC7.84%
2.3 Liquidity
A Current Ratio of 1.26 indicates that SU should not have too much problems paying its short term obligations.
The Current ratio of SU (1.26) is better than 66.67% of its industry peers.
A Quick Ratio of 0.77 indicates that SU may have some problems paying its short term obligations.
SU has a Quick ratio of 0.77. This is comparable to the rest of the industry: SU outperforms 57.41% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.26 | ||
| Quick Ratio | 0.77 |
3. Growth
3.1 Past
SU shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -13.00%.
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.
Looking at the last year, SU shows a decrease in Revenue. The Revenue has decreased by -1.96% in the last year.
Measured over the past years, SU shows a small growth in Revenue. The Revenue has been growing by 5.74% on average per year.
EPS 1Y (TTM)-13%
EPS 3Y28.33%
EPS 5Y14.08%
EPS Q2Q%-44.09%
Revenue 1Y (TTM)-1.96%
Revenue growth 3Y9.01%
Revenue growth 5Y5.74%
Sales Q2Q%-8.04%
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 9.98% on average per year.
SU is expected to show a decrease in Revenue. In the coming years, the Revenue will decrease by -0.49% yearly.
EPS Next Y-24.86%
EPS Next 2Y-17.56%
EPS Next 3Y5.62%
EPS Next 5Y9.98%
Revenue Next Year-3.11%
Revenue Next 2Y-3.7%
Revenue Next 3Y-3.43%
Revenue Next 5Y-0.49%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last 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
The Price/Earnings ratio is 12.40, which indicates a correct valuation of SU.
SU's Price/Earnings ratio is a bit cheaper when compared to the industry. SU is cheaper than 67.13% of the companies in the same industry.
SU is valuated cheaply when we compare the Price/Earnings ratio to 27.38, which is the current average of the S&P500 Index.
With a Price/Forward Earnings ratio of 16.02, SU is valued correctly.
SU's Price/Forward Earnings ratio is in line with the industry average.
When comparing the Price/Forward Earnings ratio of SU to the average of the S&P500 Index (22.86), we can say SU is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.4 | ||
| Fwd PE | 16.02 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, SU is valued cheaply inside the industry as 84.26% of the companies are valued more expensively.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of SU indicates a rather cheap valuation: SU is cheaper than 87.04% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 8.47 | ||
| EV/EBITDA | 5.51 |
4.3 Compensation for Growth
The decent profitability rating of SU may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)0.88
EPS Next 2Y-17.56%
EPS Next 3Y5.62%
5. Dividend
5.1 Amount
SU has a Yearly Dividend Yield of 3.92%.
SU's Dividend Yield is a higher than the industry average which is at 5.90.
SU's Dividend Yield is rather good when compared to the S&P500 average which is at 2.38.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.92% |
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 49.55% of its income as dividend. This is a bit on the high side, but may be sustainable.
SU's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP49.55%
EPS Next 2Y-17.56%
EPS Next 3Y5.62%
TSX:SU (9/18/2025, 7:00:00 PM)
58.92
-0.1 (-0.17%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)
Earnings (Next)
Inst Owners73.17%
Inst Owner ChangeN/A
Ins Owners0.02%
Ins Owner ChangeN/A
Market Cap71.48B
Analysts76.43
Price Target63.57 (7.89%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.92% |
Yearly Dividend2.21
Dividend Growth(5Y)5.68%
DP49.55%
Div Incr Years3
Div Non Decr Years3
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)2.72%
Min EPS beat(2)0.63%
Max EPS beat(2)4.81%
EPS beat(4)4
Avg EPS beat(4)11.88%
Min EPS beat(4)0.63%
Max EPS beat(4)32.04%
EPS beat(8)8
Avg EPS beat(8)11.35%
EPS beat(12)9
Avg EPS beat(12)8.62%
EPS beat(16)12
Avg EPS beat(16)7.45%
Revenue beat(2)1
Avg Revenue beat(2)-1.3%
Min Revenue beat(2)-9.75%
Max Revenue beat(2)7.14%
Revenue beat(4)1
Avg Revenue beat(4)-3.67%
Min Revenue beat(4)-9.75%
Max Revenue beat(4)7.14%
Revenue beat(8)4
Avg Revenue beat(8)1.33%
Revenue beat(12)8
Avg Revenue beat(12)3.46%
Revenue beat(16)10
Avg Revenue beat(16)4.28%
PT rev (1m)1.63%
PT rev (3m)4.42%
EPS NQ rev (1m)2.72%
EPS NQ rev (3m)-4.43%
EPS NY rev (1m)-12.35%
EPS NY rev (3m)-12.35%
Revenue NQ rev (1m)1.16%
Revenue NQ rev (3m)-7.54%
Revenue NY rev (1m)1.34%
Revenue NY rev (3m)-3.24%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.4 | ||
| Fwd PE | 16.02 | ||
| P/S | 1.44 | ||
| P/FCF | 8.47 | ||
| P/OCF | 4.96 | ||
| P/B | 1.6 | ||
| P/tB | 1.74 | ||
| EV/EBITDA | 5.51 |
EPS(TTM)4.75
EY8.06%
EPS(NY)3.68
Fwd EY6.24%
FCF(TTM)6.96
FCFY11.81%
OCF(TTM)11.88
OCFY20.17%
SpS40.99
BVpS36.74
TBVpS33.88
PEG (NY)N/A
PEG (5Y)0.88
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.39% | ||
| ROE | 12.7% | ||
| ROCE | 10.43% | ||
| ROIC | 7.92% | ||
| ROICexc | 8.16% | ||
| ROICexgc | 8.55% | ||
| OM | 16.36% | ||
| PM (TTM) | 11.38% | ||
| GM | 61.8% | ||
| FCFM | 16.97% |
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
ROICexcg growth 3Y12.14%
ROICexcg 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-Score5
Asset Turnover0.56
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.28 | ||
| Debt/FCF | 1.69 | ||
| Debt/EBITDA | 0.81 | ||
| Cap/Depr | 85.23% | ||
| Cap/Sales | 12.02% | ||
| Interest Coverage | 9.01 | ||
| Cash Conversion | 95.17% | ||
| Profit Quality | 149.11% | ||
| Current Ratio | 1.26 | ||
| Quick Ratio | 0.77 | ||
| Altman-Z | 2.23 |
F-Score5
WACC7.84%
ROIC/WACC1.01
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)-13%
EPS 3Y28.33%
EPS 5Y14.08%
EPS Q2Q%-44.09%
EPS Next Y-24.86%
EPS Next 2Y-17.56%
EPS Next 3Y5.62%
EPS Next 5Y9.98%
Revenue 1Y (TTM)-1.96%
Revenue growth 3Y9.01%
Revenue growth 5Y5.74%
Sales Q2Q%-8.04%
Revenue Next Year-3.11%
Revenue Next 2Y-3.7%
Revenue Next 3Y-3.43%
Revenue Next 5Y-0.49%
EBIT growth 1Y-11.79%
EBIT growth 3Y13.82%
EBIT growth 5Y7.7%
EBIT Next Year59.57%
EBIT Next 3Y17.11%
EBIT Next 5Y10.47%
FCF growth 1Y26.95%
FCF growth 3Y9.55%
FCF growth 5Y14.28%
OCF growth 1Y18.04%
OCF growth 3Y10.7%
OCF growth 5Y8.9%