VAR ENERGI ASA (VAR.OL) Stock Fundamental Analysis
Europe - Euronext Oslo - OSL:VAR - NO0011202772 - Common Stock
31.6 NOK
+0.03 (+0.1%)
Overall VAR gets a fundamental rating of 5 out of 10. We evaluated VAR against 70 industry peers in the Oil, Gas & Consumable Fuels industry. VAR scores excellent on profitability, but there are concerns on its financial health. VAR scores decently on growth, while it is valued quite cheap. This could make an interesting combination.
1. Profitability
1.1 Basic Checks
In the past year VAR was profitable.
In the past year VAR had a positive cash flow from operations.
VAR had positive earnings in 4 of the past 5 years.
Each year in the past 5 years VAR had a positive operating cash flow.
1.2 Ratios
VAR has a worse Return On Assets (2.34%) than 61.43% of its industry peers.
With an excellent Return On Equity value of 63.10%, VAR belongs to the best of the industry, outperforming 98.57% of the companies in the same industry.
VAR has a better Return On Invested Capital (11.44%) than 84.29% of its industry peers.
VAR had an Average Return On Invested Capital over the past 3 years of 22.49%. This is significantly above the industry average of 9.15%.
The last Return On Invested Capital (11.44%) for VAR is well below the 3 year average (22.49%), which needs to be investigated, but indicates that VAR had better years and this may not be a problem.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.34% | ||
| ROE | 63.1% | ||
| ROIC | 11.44% |
ROA(3y)3.19%
ROA(5y)0.97%
ROE(3y)45.05%
ROE(5y)18.2%
ROIC(3y)22.49%
ROIC(5y)N/A
1.3 Margins
VAR has a Profit Margin of 8.43%. This is comparable to the rest of the industry: VAR outperforms 57.14% of its industry peers.
VAR's Profit Margin has improved in the last couple of years.
VAR's Operating Margin of 48.19% is amongst the best of the industry. VAR outperforms 95.71% of its industry peers.
In the last couple of years the Operating Margin of VAR has grown nicely.
VAR has a Gross Margin of 81.10%. This is amongst the best in the industry. VAR outperforms 88.57% of its industry peers.
In the last couple of years the Gross Margin of VAR has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 48.19% | ||
| PM (TTM) | 8.43% | ||
| GM | 81.1% |
OM growth 3Y0.34%
OM growth 5Y18.33%
PM growth 3Y-26.93%
PM growth 5Y8.97%
GM growth 3Y-0.06%
GM growth 5Y3.92%
2. Health
2.1 Basic Checks
VAR has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
Compared to 1 year ago, VAR has about the same amount of shares outstanding.
VAR has about the same amout of shares outstanding than it did 5 years ago.
Compared to 1 year ago, VAR has a worse debt to assets ratio.
2.2 Solvency
VAR has a debt to FCF ratio of 6.76. This is a slightly negative value and a sign of low solvency as VAR would need 6.76 years to pay back of all of its debts.
The Debt to FCF ratio of VAR (6.76) is comparable to the rest of the industry.
A Debt/Equity ratio of 6.18 is on the high side and indicates that VAR has dependencies on debt financing.
With a Debt to Equity ratio value of 6.18, VAR is not doing good in the industry: 94.29% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 6.18 | ||
| Debt/FCF | 6.76 | ||
| Altman-Z | N/A |
ROIC/WACC1.35
WACC8.45%
2.3 Liquidity
VAR has a Current Ratio of 0.75. This is a bad value and indicates that VAR is not financially healthy enough and could expect problems in meeting its short term obligations.
With a Current ratio value of 0.75, VAR is not doing good in the industry: 84.29% of the companies in the same industry are doing better.
A Quick Ratio of 0.64 indicates that VAR may have some problems paying its short term obligations.
VAR has a worse Quick ratio (0.64) than 84.29% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.75 | ||
| Quick Ratio | 0.64 |
3. Growth
3.1 Past
VAR shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -4.17%.
VAR shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 31.78% yearly.
VAR shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 8.38%.
VAR shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 20.92% yearly.
EPS 1Y (TTM)-4.17%
EPS 3Y-21.91%
EPS 5Y31.78%
EPS Q2Q%-28.57%
Revenue 1Y (TTM)8.38%
Revenue growth 3Y6.86%
Revenue growth 5Y20.92%
Sales Q2Q%14.4%
3.2 Future
The Earnings Per Share is expected to grow by 28.39% on average over the next years. This is a very strong growth
The Revenue is expected to grow by 2.56% on average over the next years.
EPS Next Y290.92%
EPS Next 2Y78.11%
EPS Next 3Y45.8%
EPS Next 5Y28.39%
Revenue Next Year12.12%
Revenue Next 2Y11.29%
Revenue Next 3Y6.56%
Revenue Next 5Y2.56%
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 stable.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 13.50 indicates a correct valuation of VAR.
The rest of the industry has a similar Price/Earnings ratio as VAR.
Compared to an average S&P500 Price/Earnings ratio of 26.39, VAR is valued a bit cheaper.
VAR is valuated reasonably with a Price/Forward Earnings ratio of 8.90.
Compared to the rest of the industry, the Price/Forward Earnings ratio of VAR indicates a somewhat cheap valuation: VAR is cheaper than 74.29% of the companies listed in the same industry.
When comparing the Price/Forward Earnings ratio of VAR to the average of the S&P500 Index (23.84), we can say VAR is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.5 | ||
| Fwd PE | 8.9 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of VAR indicates a rather cheap valuation: VAR is cheaper than 90.00% of the companies listed in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of VAR indicates a somewhat cheap valuation: VAR is cheaper than 80.00% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 8.44 | ||
| EV/EBITDA | 2.42 |
4.3 Compensation for Growth
VAR's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
VAR has an outstanding profitability rating, which may justify a higher PE ratio.
A more expensive valuation may be justified as VAR's earnings are expected to grow with 45.80% in the coming years.
PEG (NY)0.05
PEG (5Y)0.42
EPS Next 2Y78.11%
EPS Next 3Y45.8%
5. Dividend
5.1 Amount
VAR has a Yearly Dividend Yield of 15.51%, which is a nice return.
VAR's Dividend Yield is rather good when compared to the industry average which is at 5.63. VAR pays more dividend than 98.57% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 1.87, VAR pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 15.51% |
5.2 History
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
180.93% of the earnings are spent on dividend by VAR. This is not a sustainable payout ratio.
DP180.93%
EPS Next 2Y78.11%
EPS Next 3Y45.8%
OSL:VAR (12/22/2025, 4:26:15 PM)
31.6
+0.03 (+0.1%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)
Earnings (Next)
Inst Owners15.63%
Inst Owner ChangeN/A
Ins Owners0.03%
Ins Owner ChangeN/A
Market Cap78.89B
Revenue(TTM)7.41B
Net Income(TTM)613.50M
Analysts75.45
Price Target39.38 (24.62%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 15.51% |
Yearly Dividend4.4
Dividend Growth(5Y)N/A
DP180.93%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)1.57%
Min EPS beat(2)-31.86%
Max EPS beat(2)35.01%
EPS beat(4)1
Avg EPS beat(4)-114.51%
Min EPS beat(4)-446.49%
Max EPS beat(4)35.01%
EPS beat(8)1
Avg EPS beat(8)-69.44%
EPS beat(12)1
Avg EPS beat(12)-63.94%
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)0
Avg Revenue beat(2)-5.58%
Min Revenue beat(2)-6.67%
Max Revenue beat(2)-4.49%
Revenue beat(4)0
Avg Revenue beat(4)-5.55%
Min Revenue beat(4)-6.74%
Max Revenue beat(4)-4.3%
Revenue beat(8)0
Avg Revenue beat(8)-4.4%
Revenue beat(12)0
Avg Revenue beat(12)-4.79%
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)0.03%
PT rev (3m)-1.88%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-24.36%
EPS NY rev (1m)-8.47%
EPS NY rev (3m)-6.14%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-6.05%
Revenue NY rev (1m)-0.39%
Revenue NY rev (3m)-1.31%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.5 | ||
| Fwd PE | 8.9 | ||
| P/S | 1.07 | ||
| P/FCF | 8.44 | ||
| P/OCF | 2.05 | ||
| P/B | 7.98 | ||
| P/tB | N/A | ||
| EV/EBITDA | 2.42 |
EPS(TTM)2.34
EY7.41%
EPS(NY)3.55
Fwd EY11.23%
FCF(TTM)3.74
FCFY11.85%
OCF(TTM)15.39
OCFY48.7%
SpS29.65
BVpS3.96
TBVpS-12.17
PEG (NY)0.05
PEG (5Y)0.42
Graham Number14.44
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.34% | ||
| ROE | 63.1% | ||
| ROCE | 14.86% | ||
| ROIC | 11.44% | ||
| ROICexc | 11.79% | ||
| ROICexgc | 14.26% | ||
| OM | 48.19% | ||
| PM (TTM) | 8.43% | ||
| GM | 81.1% | ||
| FCFM | 12.63% |
ROA(3y)3.19%
ROA(5y)0.97%
ROE(3y)45.05%
ROE(5y)18.2%
ROIC(3y)22.49%
ROIC(5y)N/A
ROICexc(3y)23.16%
ROICexc(5y)N/A
ROICexgc(3y)27.5%
ROICexgc(5y)N/A
ROCE(3y)29.21%
ROCE(5y)N/A
ROICexgc growth 3Y4.04%
ROICexgc growth 5Y38.36%
ROICexc growth 3Y3.1%
ROICexc growth 5Y41.51%
OM growth 3Y0.34%
OM growth 5Y18.33%
PM growth 3Y-26.93%
PM growth 5Y8.97%
GM growth 3Y-0.06%
GM growth 5Y3.92%
F-Score4
Asset Turnover0.28
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 6.18 | ||
| Debt/FCF | 6.76 | ||
| Debt/EBITDA | 1.1 | ||
| Cap/Depr | 145.71% | ||
| Cap/Sales | 39.28% | ||
| Interest Coverage | 9.04 | ||
| Cash Conversion | 69.07% | ||
| Profit Quality | 149.77% | ||
| Current Ratio | 0.75 | ||
| Quick Ratio | 0.64 | ||
| Altman-Z | N/A |
F-Score4
WACC8.45%
ROIC/WACC1.35
Cap/Depr(3y)175.33%
Cap/Depr(5y)158.77%
Cap/Sales(3y)35.36%
Cap/Sales(5y)43.19%
Profit Quality(3y)197.73%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-4.17%
EPS 3Y-21.91%
EPS 5Y31.78%
EPS Q2Q%-28.57%
EPS Next Y290.92%
EPS Next 2Y78.11%
EPS Next 3Y45.8%
EPS Next 5Y28.39%
Revenue 1Y (TTM)8.38%
Revenue growth 3Y6.86%
Revenue growth 5Y20.92%
Sales Q2Q%14.4%
Revenue Next Year12.12%
Revenue Next 2Y11.29%
Revenue Next 3Y6.56%
Revenue Next 5Y2.56%
EBIT growth 1Y-9.94%
EBIT growth 3Y7.22%
EBIT growth 5Y43.09%
EBIT Next Year70.24%
EBIT Next 3Y24.12%
EBIT Next 5Y12.15%
FCF growth 1Y19.02%
FCF growth 3Y-37.64%
FCF growth 5Y24.35%
OCF growth 1Y6.82%
OCF growth 3Y-9.38%
OCF growth 5Y17.84%
VAR ENERGI ASA / VAR.OL FAQ
What is the ChartMill fundamental rating of VAR ENERGI ASA (VAR.OL) stock?
ChartMill assigns a fundamental rating of 5 / 10 to VAR.OL.
What is the valuation status of VAR ENERGI ASA (VAR.OL) stock?
ChartMill assigns a valuation rating of 8 / 10 to VAR ENERGI ASA (VAR.OL). This can be considered as Undervalued.
Can you provide the profitability details for VAR ENERGI ASA?
VAR ENERGI ASA (VAR.OL) has a profitability rating of 8 / 10.
Can you provide the financial health for VAR stock?
The financial health rating of VAR ENERGI ASA (VAR.OL) is 1 / 10.
Can you provide the expected EPS growth for VAR stock?
The Earnings per Share (EPS) of VAR ENERGI ASA (VAR.OL) is expected to grow by 290.92% in the next year.