TOPAZ ENERGY CORP (TPZ.CA) Stock Fundamental Analysis
TSX:TPZ - Toronto Stock Exchange - CA89055A2039 - Common Stock - Currency: CAD
Taking everything into account, TPZ scores 6 out of 10 in our fundamental rating. TPZ was compared to 219 industry peers in the Oil, Gas & Consumable Fuels industry. TPZ has an excellent financial health rating, but there are some minor concerns on its profitability. TPZ is valued quite expensive, but it does show an excellent growth. This makes TPZ very considerable for growth investing!
1. Profitability
1.1 Basic Checks
TPZ had positive earnings in the past year.
TPZ had a positive operating cash flow in the past year.
In the past 5 years TPZ has always been profitable.
In the past 5 years TPZ always reported a positive cash flow from operatings.
1.2 Ratios
TPZ's Return On Assets of 2.45% is fine compared to the rest of the industry. TPZ outperforms 64.71% of its industry peers.
Looking at the Return On Equity, with a value of 3.52%, TPZ is in line with its industry, outperforming 54.30% of the companies in the same industry.
With a Return On Invested Capital value of 3.40%, TPZ perfoms like the industry average, outperforming 52.04% of the companies in the same industry.
TPZ had an Average Return On Invested Capital over the past 3 years of 4.11%. This is below the industry average of 7.60%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.45% | ||
| ROE | 3.52% | ||
| ROIC | 3.4% |
ROA(3y)3.58%
ROA(5y)2.55%
ROE(3y)4.88%
ROE(5y)3.41%
ROIC(3y)4.11%
ROIC(5y)2.9%
1.3 Margins
TPZ's Profit Margin of 14.85% is fine compared to the rest of the industry. TPZ outperforms 78.28% of its industry peers.
In the last couple of years the Profit Margin of TPZ has declined.
TPZ's Operating Margin of 29.93% is amongst the best of the industry. TPZ outperforms 81.90% of its industry peers.
TPZ's Operating Margin has improved in the last couple of years.
TPZ has a better Gross Margin (97.65%) than 99.09% of its industry peers.
TPZ's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 29.93% | ||
| PM (TTM) | 14.85% | ||
| GM | 97.65% |
OM growth 3Y13.38%
OM growth 5Y48.89%
PM growth 3Y4.45%
PM growth 5Y-19.19%
GM growth 3Y-0.12%
GM growth 5Y0.21%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), TPZ is destroying value.
The number of shares outstanding for TPZ has been increased compared to 1 year ago.
TPZ has more shares outstanding than it did 5 years ago.
Compared to 1 year ago, TPZ has a worse debt to assets ratio.
2.2 Solvency
TPZ has an Altman-Z score of 3.75. This indicates that TPZ is financially healthy and has little risk of bankruptcy at the moment.
The Altman-Z score of TPZ (3.75) is better than 85.97% of its industry peers.
TPZ has a debt to FCF ratio of 2.01. This is a good value and a sign of high solvency as TPZ would need 2.01 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 2.01, TPZ belongs to the top of the industry, outperforming 86.88% of the companies in the same industry.
A Debt/Equity ratio of 0.41 indicates that TPZ is not too dependend on debt financing.
TPZ has a Debt to Equity ratio (0.41) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.41 | ||
| Debt/FCF | 2.01 | ||
| Altman-Z | 3.75 |
ROIC/WACC0.46
WACC7.41%
2.3 Liquidity
A Current Ratio of 5.22 indicates that TPZ has no problem at all paying its short term obligations.
With an excellent Current ratio value of 5.22, TPZ belongs to the best of the industry, outperforming 91.86% of the companies in the same industry.
A Quick Ratio of 5.22 indicates that TPZ has no problem at all paying its short term obligations.
Looking at the Quick ratio, with a value of 5.22, TPZ belongs to the top of the industry, outperforming 92.31% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 5.22 | ||
| Quick Ratio | 5.22 |
3. Growth
3.1 Past
The earnings per share for TPZ have decreased by -2.97% in the last year.
TPZ shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 25.82% yearly.
The Revenue has decreased by -2.81% in the past year.
Measured over the past years, TPZ shows a very strong growth in Revenue. The Revenue has been growing by 85.61% on average per year.
EPS 1Y (TTM)-2.97%
EPS 3Y12.47%
EPS 5Y25.82%
EPS Q2Q%-78.27%
Revenue 1Y (TTM)-2.81%
Revenue growth 3Y13.88%
Revenue growth 5Y85.61%
Sales Q2Q%-0.72%
3.2 Future
The Earnings Per Share is expected to grow by 39.30% on average over the next years. This is a very strong growth
The Revenue is expected to grow by 14.06% on average over the next years. This is quite good.
EPS Next Y23.81%
EPS Next 2Y39.3%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year21.24%
Revenue Next 2Y14.97%
Revenue Next 3Y14.06%
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.
Although the future Revenue growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 73.44, which means the current valuation is very expensive for TPZ.
TPZ's Price/Earnings is on the same level as the industry average.
Compared to an average S&P500 Price/Earnings ratio of 29.35, TPZ is valued quite expensively.
With a Price/Forward Earnings ratio of 49.72, TPZ can be considered very expensive at the moment.
TPZ's Price/Forward Earnings is on the same level as the industry average.
The average S&P500 Price/Forward Earnings ratio is at 22.10. TPZ is valued rather expensively when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 73.44 | ||
| Fwd PE | 49.72 |
4.2 Price Multiples
TPZ's Enterprise Value to EBITDA ratio is in line with the industry average.
65.16% of the companies in the same industry are more expensive than TPZ, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 13.44 | ||
| EV/EBITDA | 14.33 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates TPZ does not grow enough to justify the current Price/Earnings ratio.
TPZ has a very decent profitability rating, which may justify a higher PE ratio.
TPZ's earnings are expected to grow with 39.30% in the coming years. This may justify a more expensive valuation.
PEG (NY)3.08
PEG (5Y)2.84
EPS Next 2Y39.3%
EPS Next 3YN/A
5. Dividend
5.1 Amount
TPZ has a Yearly Dividend Yield of 5.61%, which is a nice return.
Compared to an average industry Dividend Yield of 6.94, TPZ pays a better dividend. On top of this TPZ pays more dividend than 81.00% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.33, TPZ pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.61% |
5.2 History
TPZ has been paying a dividend for over 5 years, so it has already some track record.
TPZ has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)N/A
Div Incr Years4
Div Non Decr Years4
5.3 Sustainability
412.12% of the earnings are spent on dividend by TPZ. This is not a sustainable payout ratio.
DP412.12%
EPS Next 2Y39.3%
EPS Next 3YN/A
TSX:TPZ (3/7/2025, 7:00:00 PM)
23.5
+0.14 (+0.6%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)
Earnings (Next)
Inst Owners20.49%
Inst Owner ChangeN/A
Ins Owners4.06%
Ins Owner ChangeN/A
Market Cap3.61B
Analysts82.22
Price Target32.6 (38.72%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.61% |
Yearly Dividend1.28
Dividend Growth(5Y)N/A
DP412.12%
Div Incr Years4
Div Non Decr Years4
Ex-Date
Surprises & Revisions
EPS beat(2)N/A
Avg EPS beat(2)N/A
Min EPS beat(2)N/A
Max EPS beat(2)N/A
EPS beat(4)N/A
Avg EPS beat(4)N/A
Min EPS beat(4)N/A
Max EPS beat(4)N/A
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)0
Avg Revenue beat(2)-8.8%
Min Revenue beat(2)-12.21%
Max Revenue beat(2)-5.39%
Revenue beat(4)1
Avg Revenue beat(4)-3.62%
Min Revenue beat(4)-12.21%
Max Revenue beat(4)6.08%
Revenue beat(8)3
Avg Revenue beat(8)-3.41%
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)0.37%
PT rev (3m)2.12%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-22.52%
EPS NY rev (1m)-2.7%
EPS NY rev (3m)8.33%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)-3.01%
Revenue NY rev (3m)-3.01%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 73.44 | ||
| Fwd PE | 49.72 | ||
| P/S | 11.57 | ||
| P/FCF | 13.44 | ||
| P/OCF | 13.08 | ||
| P/B | 2.75 | ||
| P/tB | 2.75 | ||
| EV/EBITDA | 14.33 |
EPS(TTM)0.32
EY1.36%
EPS(NY)0.47
Fwd EY2.01%
FCF(TTM)1.75
FCFY7.44%
OCF(TTM)1.8
OCFY7.65%
SpS2.03
BVpS8.56
TBVpS8.56
PEG (NY)3.08
PEG (5Y)2.84
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.45% | ||
| ROE | 3.52% | ||
| ROCE | 4.97% | ||
| ROIC | 3.4% | ||
| ROICexc | 3.4% | ||
| ROICexgc | 3.4% | ||
| OM | 29.93% | ||
| PM (TTM) | 14.85% | ||
| GM | 97.65% | ||
| FCFM | 86.09% |
ROA(3y)3.58%
ROA(5y)2.55%
ROE(3y)4.88%
ROE(5y)3.41%
ROIC(3y)4.11%
ROIC(5y)2.9%
ROICexc(3y)4.11%
ROICexc(5y)2.92%
ROICexgc(3y)4.11%
ROICexgc(5y)2.92%
ROCE(3y)6.01%
ROCE(5y)4.24%
ROICexcg growth 3Y22.47%
ROICexcg growth 5Y125.99%
ROICexc growth 3Y22.47%
ROICexc growth 5Y125.99%
OM growth 3Y13.38%
OM growth 5Y48.89%
PM growth 3Y4.45%
PM growth 5Y-19.19%
GM growth 3Y-0.12%
GM growth 5Y0.21%
F-Score3
Asset Turnover0.16
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.41 | ||
| Debt/FCF | 2.01 | ||
| Debt/EBITDA | 1.86 | ||
| Cap/Depr | 3.73% | ||
| Cap/Sales | 2.35% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 95.28% | ||
| Profit Quality | 579.79% | ||
| Current Ratio | 5.22 | ||
| Quick Ratio | 5.22 | ||
| Altman-Z | 3.75 |
F-Score3
WACC7.41%
ROIC/WACC0.46
Cap/Depr(3y)3.1%
Cap/Depr(5y)2.51%
Cap/Sales(3y)1.97%
Cap/Sales(5y)1.7%
Profit Quality(3y)503.21%
Profit Quality(5y)952.85%
High Growth Momentum
Growth
EPS 1Y (TTM)-2.97%
EPS 3Y12.47%
EPS 5Y25.82%
EPS Q2Q%-78.27%
EPS Next Y23.81%
EPS Next 2Y39.3%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)-2.81%
Revenue growth 3Y13.88%
Revenue growth 5Y85.61%
Sales Q2Q%-0.72%
Revenue Next Year21.24%
Revenue Next 2Y14.97%
Revenue Next 3Y14.06%
Revenue Next 5YN/A
EBIT growth 1Y9.47%
EBIT growth 3Y29.11%
EBIT growth 5Y176.36%
EBIT Next Year14.44%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-8.03%
FCF growth 3Y18.35%
FCF growth 5YN/A
OCF growth 1Y-8.09%
OCF growth 3Y18.74%
OCF growth 5Y79.71%