TC ENERGY CORP (TRP.CA) Stock Fundamental Analysis
Canada - TSX:TRP - CA87807B1076 - Common Stock
75.71 CAD
-0.9 (-1.17%)
TRP gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 212 industry peers in the Oil, Gas & Consumable Fuels industry. TRP scores excellent on profitability, but there are concerns on its financial health. TRP is valued expensive and it does not seem to be growing.
1. Profitability
1.1 Basic Checks
TRP had positive earnings in the past year.
TRP had a positive operating cash flow in the past year.
TRP had positive earnings in each of the past 5 years.
In the past 5 years TRP always reported a positive cash flow from operatings.
1.2 Ratios
TRP has a Return On Assets of 2.82%. This is in the better half of the industry: TRP outperforms 66.98% of its industry peers.
With an excellent Return On Equity value of 12.35%, TRP belongs to the best of the industry, outperforming 84.43% of the companies in the same industry.
With a Return On Invested Capital value of 3.97%, TRP perfoms like the industry average, outperforming 54.72% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for TRP is below the industry average of 6.73%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.82% | ||
| ROE | 12.35% | ||
| ROIC | 3.97% |
ROA(3y)2.24%
ROA(5y)2.58%
ROE(3y)9.37%
ROE(5y)9.55%
ROIC(3y)4.35%
ROIC(5y)4.58%
1.3 Margins
TRP has a Profit Margin of 27.28%. This is amongst the best in the industry. TRP outperforms 86.79% of its industry peers.
TRP's Profit Margin has improved in the last couple of years.
Looking at the Operating Margin, with a value of 44.41%, TRP belongs to the top of the industry, outperforming 91.51% of the companies in the same industry.
TRP's Operating Margin has been stable in the last couple of years.
The Gross Margin of TRP (69.05%) is better than 83.49% of its industry peers.
TRP's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 44.41% | ||
| PM (TTM) | 27.28% | ||
| GM | 69.05% |
OM growth 3Y-1.61%
OM growth 5Y-0.76%
PM growth 3Y35%
PM growth 5Y2.15%
GM growth 3Y-0.69%
GM growth 5Y-0.74%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so TRP is destroying value.
Compared to 1 year ago, TRP has about the same amount of shares outstanding.
Compared to 5 years ago, TRP has more shares outstanding
Compared to 1 year ago, TRP has an improved debt to assets ratio.
2.2 Solvency
TRP has an Altman-Z score of 0.65. This is a bad value and indicates that TRP is not financially healthy and even has some risk of bankruptcy.
Looking at the Altman-Z score, with a value of 0.65, TRP is in line with its industry, outperforming 51.42% of the companies in the same industry.
The Debt to FCF ratio of TRP is 31.45, which is on the high side as it means it would take TRP, 31.45 years of fcf income to pay off all of its debts.
TRP has a Debt to FCF ratio (31.45) which is comparable to the rest of the industry.
A Debt/Equity ratio of 2.13 is on the high side and indicates that TRP has dependencies on debt financing.
TRP has a Debt to Equity ratio of 2.13. This is amonst the worse of the industry: TRP underperforms 80.19% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.13 | ||
| Debt/FCF | 31.45 | ||
| Altman-Z | 0.65 |
ROIC/WACC0.52
WACC7.7%
2.3 Liquidity
TRP has a Current Ratio of 0.63. This is a bad value and indicates that TRP is not financially healthy enough and could expect problems in meeting its short term obligations.
TRP has a worse Current ratio (0.63) than 66.51% of its industry peers.
TRP has a Quick Ratio of 0.63. This is a bad value and indicates that TRP is not financially healthy enough and could expect problems in meeting its short term obligations.
Looking at the Quick ratio, with a value of 0.56, TRP is doing worse than 67.45% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.63 | ||
| Quick Ratio | 0.56 |
3. Growth
3.1 Past
The earnings per share for TRP have decreased strongly by -32.47% in the last year.
Measured over the past years, TRP shows a decrease in Earnings Per Share. The EPS has been decreasing by -2.06% on average per year.
The Revenue for TRP has decreased by -25.33% in the past year. This is quite bad
TRP shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 0.77% yearly.
EPS 1Y (TTM)-32.47%
EPS 3Y-4.48%
EPS 5Y-2.06%
EPS Q2Q%-23.36%
Revenue 1Y (TTM)-25.33%
Revenue growth 3Y0.95%
Revenue growth 5Y0.77%
Sales Q2Q%-7.14%
3.2 Future
Based on estimates for the next years, TRP will show a small growth in Earnings Per Share. The EPS will grow by 4.01% on average per year.
The Revenue is expected to grow by 3.74% on average over the next years.
EPS Next Y-3.62%
EPS Next 2Y1.35%
EPS Next 3Y1.21%
EPS Next 5Y4.01%
Revenue Next Year-3.3%
Revenue Next 2Y1.07%
Revenue Next 3Y1.53%
Revenue Next 5Y3.74%
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 accelerating.
4. Valuation
4.1 Price/Earnings Ratio
TRP is valuated rather expensively with a Price/Earnings ratio of 24.58.
TRP's Price/Earnings ratio is in line with the industry average.
Compared to an average S&P500 Price/Earnings ratio of 25.51, TRP is valued at the same level.
A Price/Forward Earnings ratio of 19.76 indicates a rather expensive valuation of TRP.
TRP's Price/Forward Earnings is on the same level as the industry average.
Compared to an average S&P500 Price/Forward Earnings ratio of 34.98, TRP is valued a bit cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 24.58 | ||
| Fwd PE | 19.76 |
4.2 Price Multiples
TRP's Enterprise Value to EBITDA ratio is in line with the industry average.
The rest of the industry has a similar Price/Free Cash Flow ratio as TRP.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 40.36 | ||
| EV/EBITDA | 16.58 |
4.3 Compensation for Growth
TRP has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y1.35%
EPS Next 3Y1.21%
5. Dividend
5.1 Amount
TRP has a Yearly Dividend Yield of 4.45%, which is a nice return.
Compared to an average industry Dividend Yield of 5.31, TRP pays a bit more dividend than its industry peers.
Compared to an average S&P500 Dividend Yield of 2.44, TRP pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.45% |
5.2 History
The dividend of TRP is nicely growing with an annual growth rate of 13.09%!
TRP has been paying a dividend for at least 10 years, so it has a reliable track record.
Dividend Growth(5Y)13.09%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
110.00% of the earnings are spent on dividend by TRP. This is not a sustainable payout ratio.
TRP's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP110%
EPS Next 2Y1.35%
EPS Next 3Y1.21%
TSX:TRP (11/18/2025, 7:00:00 PM)
75.71
-0.9 (-1.17%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)
Earnings (Next)
Inst Owners78.19%
Inst Owner ChangeN/A
Ins Owners0.09%
Ins Owner ChangeN/A
Market Cap78.74B
Revenue(TTM)12.43B
Net Income(TTM)3.39B
Analysts72.31
Price Target75.93 (0.29%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.45% |
Yearly Dividend3.9
Dividend Growth(5Y)13.09%
DP110%
Div Incr Years0
Div Non Decr Years0
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)0.82%
Min EPS beat(2)-2.17%
Max EPS beat(2)3.8%
EPS beat(4)1
Avg EPS beat(4)-12.52%
Min EPS beat(4)-48.32%
Max EPS beat(4)3.8%
EPS beat(8)5
Avg EPS beat(8)-1.67%
EPS beat(12)7
Avg EPS beat(12)-0.66%
EPS beat(16)9
Avg EPS beat(16)-0.1%
Revenue beat(2)2
Avg Revenue beat(2)2.97%
Min Revenue beat(2)1.62%
Max Revenue beat(2)4.32%
Revenue beat(4)3
Avg Revenue beat(4)-13.25%
Min Revenue beat(4)-63.24%
Max Revenue beat(4)4.32%
Revenue beat(8)5
Avg Revenue beat(8)-5.68%
Revenue beat(12)8
Avg Revenue beat(12)-3.14%
Revenue beat(16)10
Avg Revenue beat(16)-2.05%
PT rev (1m)1.84%
PT rev (3m)0.59%
EPS NQ rev (1m)-1.79%
EPS NQ rev (3m)-2.29%
EPS NY rev (1m)-1.17%
EPS NY rev (3m)-5.59%
Revenue NQ rev (1m)0.05%
Revenue NQ rev (3m)0.68%
Revenue NY rev (1m)0.05%
Revenue NY rev (3m)1.36%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 24.58 | ||
| Fwd PE | 19.76 | ||
| P/S | 6.33 | ||
| P/FCF | 40.36 | ||
| P/OCF | 10.45 | ||
| P/B | 2.87 | ||
| P/tB | 5.53 | ||
| EV/EBITDA | 16.58 |
EPS(TTM)3.08
EY4.07%
EPS(NY)3.83
Fwd EY5.06%
FCF(TTM)1.88
FCFY2.48%
OCF(TTM)7.25
OCFY9.57%
SpS11.95
BVpS26.41
TBVpS13.7
PEG (NY)N/A
PEG (5Y)N/A
Graham Number42.78
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.82% | ||
| ROE | 12.35% | ||
| ROCE | 5.11% | ||
| ROIC | 3.97% | ||
| ROICexc | 4.05% | ||
| ROICexgc | 4.62% | ||
| OM | 44.41% | ||
| PM (TTM) | 27.28% | ||
| GM | 69.05% | ||
| FCFM | 15.69% |
ROA(3y)2.24%
ROA(5y)2.58%
ROE(3y)9.37%
ROE(5y)9.55%
ROIC(3y)4.35%
ROIC(5y)4.58%
ROICexc(3y)4.42%
ROICexc(5y)4.65%
ROICexgc(3y)5.04%
ROICexgc(5y)5.34%
ROCE(3y)5.6%
ROCE(5y)5.97%
ROICexgc growth 3Y-4.34%
ROICexgc growth 5Y-4.28%
ROICexc growth 3Y-4.22%
ROICexc growth 5Y-3.48%
OM growth 3Y-1.61%
OM growth 5Y-0.76%
PM growth 3Y35%
PM growth 5Y2.15%
GM growth 3Y-0.69%
GM growth 5Y-0.74%
F-Score5
Asset Turnover0.1
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.13 | ||
| Debt/FCF | 31.45 | ||
| Debt/EBITDA | 7.13 | ||
| Cap/Depr | 207.7% | ||
| Cap/Sales | 44.93% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 91.8% | ||
| Profit Quality | 57.53% | ||
| Current Ratio | 0.63 | ||
| Quick Ratio | 0.56 | ||
| Altman-Z | 0.65 |
F-Score5
WACC7.7%
ROIC/WACC0.52
Cap/Depr(3y)260.57%
Cap/Depr(5y)266.14%
Cap/Sales(3y)50.84%
Cap/Sales(5y)51.87%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-32.47%
EPS 3Y-4.48%
EPS 5Y-2.06%
EPS Q2Q%-23.36%
EPS Next Y-3.62%
EPS Next 2Y1.35%
EPS Next 3Y1.21%
EPS Next 5Y4.01%
Revenue 1Y (TTM)-25.33%
Revenue growth 3Y0.95%
Revenue growth 5Y0.77%
Sales Q2Q%-7.14%
Revenue Next Year-3.3%
Revenue Next 2Y1.07%
Revenue Next 3Y1.53%
Revenue Next 5Y3.74%
EBIT growth 1Y-20.42%
EBIT growth 3Y-0.68%
EBIT growth 5Y0%
EBIT Next Year30.1%
EBIT Next 3Y12.65%
EBIT Next 5Y10.1%
FCF growth 1Y359.1%
FCF growth 3Y11.47%
FCF growth 5YN/A
OCF growth 1Y1.39%
OCF growth 3Y3.76%
OCF growth 5Y1.68%
TC ENERGY CORP / TRP.CA FAQ
Can you provide the ChartMill fundamental rating for TC ENERGY CORP?
ChartMill assigns a fundamental rating of 4 / 10 to TRP.CA.
What is the valuation status of TC ENERGY CORP (TRP.CA) stock?
ChartMill assigns a valuation rating of 3 / 10 to TC ENERGY CORP (TRP.CA). This can be considered as Overvalued.
How profitable is TC ENERGY CORP (TRP.CA) stock?
TC ENERGY CORP (TRP.CA) has a profitability rating of 7 / 10.
What is the financial health of TC ENERGY CORP (TRP.CA) stock?
The financial health rating of TC ENERGY CORP (TRP.CA) is 1 / 10.
Can you provide the dividend sustainability for TRP stock?
The dividend rating of TC ENERGY CORP (TRP.CA) is 5 / 10 and the dividend payout ratio is 110%.