SOUTHWESTERN ENERGY CO (SWN) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:SWN - US8454671095 - Common Stock
7.11 USD
-0.04 (-0.56%)
7.09 USD
-0.02 (-0.28%)
Overall SWN gets a fundamental rating of 3 out of 10. We evaluated SWN against 210 industry peers in the Oil, Gas & Consumable Fuels industry. SWN has a medium profitability rating, but doesn't score so well on its financial health evaluation. SWN has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
SWN had positive earnings in the past year.
In the past year SWN had a positive cash flow from operations.
The reported net income has been mixed in the past 5 years: SWN reported negative net income in multiple years.
Each year in the past 5 years SWN had a positive operating cash flow.
1.2 Ratios
SWN has a Return On Assets of -27.98%. This is amonst the worse of the industry: SWN underperforms 96.17% of its industry peers.
The Return On Equity of SWN (-73.20%) is worse than 91.39% of its industry peers.
SWN's Return On Invested Capital of 1.63% is on the low side compared to the rest of the industry. SWN is outperformed by 78.95% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for SWN is significantly above the industry average of 21.09%.
The last Return On Invested Capital (1.63%) for SWN is well below the 3 year average (30.62%), which needs to be investigated, but indicates that SWN had better years and this may not be a problem.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -27.98% | ||
| ROE | -73.2% | ||
| ROIC | 1.63% |
ROA(3y)9.03%
ROA(5y)-3.99%
ROE(3y)22.74%
ROE(5y)-106.1%
ROIC(3y)30.62%
ROIC(5y)19.24%
1.3 Margins
In the last couple of years the Profit Margin of SWN has grown nicely.
With a Operating Margin value of 2.91%, SWN is not doing good in the industry: 77.99% of the companies in the same industry are doing better.
SWN's Operating Margin has declined in the last couple of years.
SWN has a Gross Margin of 60.89%. This is in the better half of the industry: SWN outperforms 66.99% of its industry peers.
In the last couple of years the Gross Margin of SWN has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 2.91% | ||
| PM (TTM) | N/A | ||
| GM | 60.89% |
OM growth 3Y153.44%
OM growth 5Y-15.13%
PM growth 3YN/A
PM growth 5Y11.5%
GM growth 3Y2.88%
GM growth 5Y-1.18%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), SWN is creating value.
SWN has about the same amout of shares outstanding than it did 1 year ago.
Compared to 5 years ago, SWN has more shares outstanding
The debt/assets ratio for SWN has been reduced compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of 0.85, we must say that SWN is in the distress zone and has some risk of bankruptcy.
Looking at the Altman-Z score, with a value of 0.85, SWN is doing worse than 63.16% of the companies in the same industry.
A Debt/Equity ratio of 1.01 is on the high side and indicates that SWN has dependencies on debt financing.
With a Debt to Equity ratio value of 1.01, SWN is not doing good in the industry: 73.68% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.01 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 0.85 |
ROIC/WACC0.25
WACC6.62%
2.3 Liquidity
SWN has a Current Ratio of 0.53. This is a bad value and indicates that SWN is not financially healthy enough and could expect problems in meeting its short term obligations.
SWN has a Current ratio of 0.53. This is amonst the worse of the industry: SWN underperforms 85.65% of its industry peers.
SWN has a Quick Ratio of 0.53. This is a bad value and indicates that SWN is not financially healthy enough and could expect problems in meeting its short term obligations.
SWN's Quick ratio of 0.53 is on the low side compared to the rest of the industry. SWN is outperformed by 81.82% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.53 | ||
| Quick Ratio | 0.53 |
3. Growth
3.1 Past
SWN shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -50.00%.
Measured over the past years, SWN shows a decrease in Earnings Per Share. The EPS has been decreasing by -8.06% on average per year.
Looking at the last year, SWN shows a very negative growth in Revenue. The Revenue has decreased by -50.17% in the last year.
SWN shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 11.05% yearly.
EPS 1Y (TTM)-50%
EPS 3Y23.01%
EPS 5Y-8.06%
EPS Q2Q%11.11%
Revenue 1Y (TTM)-50.17%
Revenue growth 3Y41.38%
Revenue growth 5Y11.05%
Sales Q2Q%-14.66%
3.2 Future
The Earnings Per Share is expected to grow by 30.94% on average over the next years. This is a very strong growth
SWN is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 9.96% yearly.
EPS Next Y-9.6%
EPS Next 2Y30.7%
EPS Next 3Y23.18%
EPS Next 5Y30.94%
Revenue Next Year-22.08%
Revenue Next 2Y-2.82%
Revenue Next 3Y2.04%
Revenue Next 5Y9.96%
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 accelerating.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
4. Valuation
4.1 Price/Earnings Ratio
SWN is valuated correctly with a Price/Earnings ratio of 14.51.
The rest of the industry has a similar Price/Earnings ratio as SWN.
SWN is valuated rather cheaply when we compare the Price/Earnings ratio to 26.39, which is the current average of the S&P500 Index.
With a Price/Forward Earnings ratio of 6.21, the valuation of SWN can be described as very cheap.
Based on the Price/Forward Earnings ratio, SWN is valued a bit cheaper than 79.90% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of SWN to the average of the S&P500 Index (23.84), we can say SWN is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.51 | ||
| Fwd PE | 6.21 |
4.2 Price Multiples
SWN's Enterprise Value to EBITDA is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 9.1 |
4.3 Compensation for Growth
A more expensive valuation may be justified as SWN's earnings are expected to grow with 23.18% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y30.7%
EPS Next 3Y23.18%
5. Dividend
5.1 Amount
SWN does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
7.11
-0.04 (-0.56%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)
Earnings (Next)
Inst Owners88.51%
Inst Owner Change-99.99%
Ins Owners1.11%
Ins Owner Change0%
Market Cap7.84B
Revenue(TTM)5.63B
Net Income(TTM)-2.76B
Analysts69
Price Target7.65 (7.59%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly Dividend0
Dividend Growth(5Y)N/A
DP0%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-9.07%
Min EPS beat(2)-11.93%
Max EPS beat(2)-6.21%
EPS beat(4)2
Avg EPS beat(4)13.41%
Min EPS beat(4)-11.93%
Max EPS beat(4)43.58%
EPS beat(8)5
Avg EPS beat(8)13.94%
EPS beat(12)8
Avg EPS beat(12)10.61%
EPS beat(16)11
Avg EPS beat(16)25.9%
Revenue beat(2)1
Avg Revenue beat(2)4.49%
Min Revenue beat(2)-1.9%
Max Revenue beat(2)10.88%
Revenue beat(4)3
Avg Revenue beat(4)13.11%
Min Revenue beat(4)-1.9%
Max Revenue beat(4)28.77%
Revenue beat(8)6
Avg Revenue beat(8)36.32%
Revenue beat(12)10
Avg Revenue beat(12)57.96%
Revenue beat(16)13
Avg Revenue beat(16)46.5%
PT rev (1m)-6.5%
PT rev (3m)-10.78%
EPS NQ rev (1m)0%
EPS NQ rev (3m)15.15%
EPS NY rev (1m)0%
EPS NY rev (3m)33.7%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)5.01%
Revenue NY rev (1m)-2.25%
Revenue NY rev (3m)0.58%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.51 | ||
| Fwd PE | 6.21 | ||
| P/S | 1.39 | ||
| P/FCF | N/A | ||
| P/OCF | 4.5 | ||
| P/B | 2.08 | ||
| P/tB | 2.08 | ||
| EV/EBITDA | 9.1 |
EPS(TTM)0.49
EY6.89%
EPS(NY)1.14
Fwd EY16.1%
FCF(TTM)-0.11
FCFYN/A
OCF(TTM)1.58
OCFY22.2%
SpS5.11
BVpS3.41
TBVpS3.41
PEG (NY)N/A
PEG (5Y)N/A
Graham NumberN/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -27.98% | ||
| ROE | -73.2% | ||
| ROCE | 2.07% | ||
| ROIC | 1.63% | ||
| ROICexc | 1.64% | ||
| ROICexgc | 1.64% | ||
| OM | 2.91% | ||
| PM (TTM) | N/A | ||
| GM | 60.89% | ||
| FCFM | N/A |
ROA(3y)9.03%
ROA(5y)-3.99%
ROE(3y)22.74%
ROE(5y)-106.1%
ROIC(3y)30.62%
ROIC(5y)19.24%
ROICexc(3y)30.76%
ROICexc(5y)19.32%
ROICexgc(3y)30.89%
ROICexgc(5y)19.41%
ROCE(3y)38.76%
ROCE(5y)24.35%
ROICexgc growth 3Y164.08%
ROICexgc growth 5Y-19.13%
ROICexc growth 3Y164.83%
ROICexc growth 5Y-19.18%
OM growth 3Y153.44%
OM growth 5Y-15.13%
PM growth 3YN/A
PM growth 5Y11.5%
GM growth 3Y2.88%
GM growth 5Y-1.18%
F-Score2
Asset Turnover0.57
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.01 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 2.87 | ||
| Cap/Depr | 161.53% | ||
| Cap/Sales | 33.08% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 132.09% | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.53 | ||
| Quick Ratio | 0.53 | ||
| Altman-Z | 0.85 |
F-Score2
WACC6.62%
ROIC/WACC0.25
Cap/Depr(3y)178.4%
Cap/Depr(5y)203.9%
Cap/Sales(3y)20.95%
Cap/Sales(5y)27.57%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-50%
EPS 3Y23.01%
EPS 5Y-8.06%
EPS Q2Q%11.11%
EPS Next Y-9.6%
EPS Next 2Y30.7%
EPS Next 3Y23.18%
EPS Next 5Y30.94%
Revenue 1Y (TTM)-50.17%
Revenue growth 3Y41.38%
Revenue growth 5Y11.05%
Sales Q2Q%-14.66%
Revenue Next Year-22.08%
Revenue Next 2Y-2.82%
Revenue Next 3Y2.04%
Revenue Next 5Y9.96%
EBIT growth 1Y-96.33%
EBIT growth 3Y258.31%
EBIT growth 5Y-5.76%
EBIT Next Year112.9%
EBIT Next 3Y48.03%
EBIT Next 5Y45.93%
FCF growth 1Y-122.12%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-18.83%
OCF growth 3Y68.28%
OCF growth 5Y15.52%
SOUTHWESTERN ENERGY CO / SWN FAQ
What is the ChartMill fundamental rating of SOUTHWESTERN ENERGY CO (SWN) stock?
ChartMill assigns a fundamental rating of 3 / 10 to SWN.
What is the valuation status of SOUTHWESTERN ENERGY CO (SWN) stock?
ChartMill assigns a valuation rating of 4 / 10 to SOUTHWESTERN ENERGY CO (SWN). This can be considered as Fairly Valued.
How profitable is SOUTHWESTERN ENERGY CO (SWN) stock?
SOUTHWESTERN ENERGY CO (SWN) has a profitability rating of 4 / 10.
Can you provide the PE and PB ratios for SWN stock?
The Price/Earnings (PE) ratio for SOUTHWESTERN ENERGY CO (SWN) is 14.51 and the Price/Book (PB) ratio is 2.08.
How sustainable is the dividend of SOUTHWESTERN ENERGY CO (SWN) stock?
The dividend rating of SOUTHWESTERN ENERGY CO (SWN) is 0 / 10 and the dividend payout ratio is 0%.