Veren Inc (VRN.CA) Fundamental Analysis & Valuation
TSX:VRN • CA92340V1076
Current stock price
9.14 CAD
+0.34 (+3.86%)
Last:
This VRN.CA fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.
1. VRN.CA Profitability Analysis
1.1 Basic Checks
- In the past year VRN was profitable.
- VRN had a positive operating cash flow in the past year.
- Of the past 5 years VRN 4 years were profitable.
- VRN had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
- VRN has a Return On Assets (2.33%) which is comparable to the rest of the industry.
- Looking at the Return On Equity, with a value of 4.04%, VRN is in line with its industry, outperforming 55.29% of the companies in the same industry.
- With an excellent Return On Invested Capital value of 8.09%, VRN belongs to the best of the industry, outperforming 84.13% of the companies in the same industry.
- Measured over the past 3 years, the Average Return On Invested Capital for VRN is above the industry average of 6.90%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.33% | ||
| ROE | 4.04% | ||
| ROIC | 8.09% |
ROA(3y)7.48%
ROA(5y)2.06%
ROE(3y)11.73%
ROE(5y)-2.07%
ROIC(3y)10.88%
ROIC(5y)8.73%
1.3 Margins
- VRN has a Profit Margin (6.88%) which is comparable to the rest of the industry.
- In the last couple of years the Profit Margin of VRN has declined.
- The Operating Margin of VRN (27.16%) is better than 78.85% of its industry peers.
- In the last couple of years the Operating Margin of VRN has grown nicely.
- The Gross Margin of VRN (72.71%) is better than 88.46% of its industry peers.
- VRN's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 27.16% | ||
| PM (TTM) | 6.88% | ||
| GM | 72.71% |
OM growth 3Y-11.86%
OM growth 5Y3.88%
PM growth 3Y-56.49%
PM growth 5YN/A
GM growth 3Y-1.79%
GM growth 5Y-0.31%
2. VRN.CA Health Analysis
2.1 Basic Checks
- VRN has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
- VRN has less shares outstanding than it did 1 year ago.
- VRN has more shares outstanding than it did 5 years ago.
- Compared to 1 year ago, VRN has an improved debt to assets ratio.
2.2 Solvency
- VRN has an Altman-Z score of 0.04. This is a bad value and indicates that VRN is not financially healthy and even has some risk of bankruptcy.
- Looking at the Altman-Z score, with a value of 0.04, VRN is doing worse than 66.83% of the companies in the same industry.
- The Debt to FCF ratio of VRN is 6.16, which is on the high side as it means it would take VRN, 6.16 years of fcf income to pay off all of its debts.
- VRN's Debt to FCF ratio of 6.16 is fine compared to the rest of the industry. VRN outperforms 73.08% of its industry peers.
- A Debt/Equity ratio of 0.37 indicates that VRN is not too dependend on debt financing.
- VRN has a Debt to Equity ratio of 0.37. This is comparable to the rest of the industry: VRN outperforms 51.92% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.37 | ||
| Debt/FCF | 6.16 | ||
| Altman-Z | 0.04 |
ROIC/WACC0.89
WACC9.11%
2.3 Liquidity
- VRN has a Current Ratio of 0.57. This is a bad value and indicates that VRN is not financially healthy enough and could expect problems in meeting its short term obligations.
- Looking at the Current ratio, with a value of 0.57, VRN is doing worse than 75.96% of the companies in the same industry.
- VRN has a Quick Ratio of 0.57. This is a bad value and indicates that VRN is not financially healthy enough and could expect problems in meeting its short term obligations.
- VRN has a worse Quick ratio (0.57) than 68.75% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.57 | ||
| Quick Ratio | 0.57 |
3. VRN.CA Growth Analysis
3.1 Past
- VRN shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -53.13%.
- Measured over the past years, VRN shows a very negative growth in Earnings Per Share. The EPS has been decreasing by -14.10% on average per year.
- The Revenue has grown by 24.52% in the past year. This is a very strong growth!
- Measured over the past years, VRN shows a small growth in Revenue. The Revenue has been growing by 6.66% on average per year.
EPS 1Y (TTM)-53.13%
EPS 3Y-14.1%
EPS 5YN/A
EPS Q2Q%-85.88%
Revenue 1Y (TTM)24.52%
Revenue growth 3Y11.97%
Revenue growth 5Y6.66%
Sales Q2Q%32.55%
3.2 Future
- The Earnings Per Share is expected to grow by 21.31% on average over the next years. This is a very strong growth
- VRN is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 4.59% yearly.
EPS Next Y189.53%
EPS Next 2Y52.32%
EPS Next 3Y21.31%
EPS Next 5YN/A
Revenue Next Year3.46%
Revenue Next 2Y2.34%
Revenue Next 3Y1.23%
Revenue Next 5Y4.59%
3.3 Evolution
- The EPS growth rate is accelerating: in the next years the growth will be better 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. VRN.CA Valuation Analysis
4.1 Price/Earnings Ratio
- A Price/Earnings ratio of 20.31 indicates a rather expensive valuation of VRN.
- Compared to the rest of the industry, the Price/Earnings ratio of VRN is on the same level as its industry peers.
- The average S&P500 Price/Earnings ratio is at 26.17. VRN is valued slightly cheaper when compared to this.
- VRN is valuated cheaply with a Price/Forward Earnings ratio of 7.02.
- VRN's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. VRN is cheaper than 72.60% of the companies in the same industry.
- VRN's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 23.05.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.31 | ||
| Fwd PE | 7.02 |
4.2 Price Multiples
- 86.06% of the companies in the same industry are more expensive than VRN, based on the Enterprise Value to EBITDA ratio.
- Based on the Price/Free Cash Flow ratio, VRN is valued a bit cheaper than 70.67% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 11.24 | ||
| EV/EBITDA | 3.57 |
4.3 Compensation for Growth
- VRN's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
- The decent profitability rating of VRN may justify a higher PE ratio.
- A more expensive valuation may be justified as VRN's earnings are expected to grow with 21.31% in the coming years.
PEG (NY)0.11
PEG (5Y)N/A
EPS Next 2Y52.32%
EPS Next 3Y21.31%
5. VRN.CA Dividend Analysis
5.1 Amount
- VRN has a Yearly Dividend Yield of 5.03%, which is a nice return.
- Compared to an average industry Dividend Yield of 4.07, VRN pays a bit more dividend than its industry peers.
- VRN's Dividend Yield is rather good when compared to the S&P500 average which is at 1.89.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.03% |
5.2 History
- On average, the dividend of VRN grows each year by 62.49%, which is quite nice.
- VRN has been paying a dividend for over 5 years, so it has already some track record.
- VRN has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)62.49%
Div Incr Years3
Div Non Decr Years3
5.3 Sustainability
- VRN pays out 104.13% of its income as dividend. This is not a sustainable payout ratio.
- The dividend of VRN is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP104.13%
EPS Next 2Y52.32%
EPS Next 3Y21.31%
VRN.CA Fundamentals: All Metrics, Ratios and Statistics
TSX:VRN (5/13/2025, 7:00:00 PM)
9.14
+0.34 (+3.86%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)05-09 2025-05-09/bmo
Earnings (Next)07-24 2025-07-24/bmo
Inst Owners44.99%
Inst Owner ChangeN/A
Ins Owners0.7%
Ins Owner ChangeN/A
Market Cap5.59B
Revenue(TTM)3.97B
Net Income(TTM)273.30M
Analysts81.25
Price Target11.39 (24.62%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.03% |
Yearly Dividend0.46
Dividend Growth(5Y)62.49%
DP104.13%
Div Incr Years3
Div Non Decr Years3
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)12.12%
Min EPS beat(2)-20.31%
Max EPS beat(2)44.56%
EPS beat(4)2
Avg EPS beat(4)-60.8%
Min EPS beat(4)-278.4%
Max EPS beat(4)44.56%
EPS beat(8)3
Avg EPS beat(8)-39.62%
EPS beat(12)5
Avg EPS beat(12)-13.85%
EPS beat(16)5
Avg EPS beat(16)-14.22%
Revenue beat(2)1
Avg Revenue beat(2)6.25%
Min Revenue beat(2)-4.22%
Max Revenue beat(2)16.73%
Revenue beat(4)2
Avg Revenue beat(4)-0.37%
Min Revenue beat(4)-19.96%
Max Revenue beat(4)16.73%
Revenue beat(8)2
Avg Revenue beat(8)-9.07%
Revenue beat(12)4
Avg Revenue beat(12)-5.07%
Revenue beat(16)8
Avg Revenue beat(16)-0.22%
PT rev (1m)0.45%
PT rev (3m)-0.78%
EPS NQ rev (1m)-1.09%
EPS NQ rev (3m)16.84%
EPS NY rev (1m)0%
EPS NY rev (3m)14.22%
Revenue NQ rev (1m)3.41%
Revenue NQ rev (3m)2.93%
Revenue NY rev (1m)1%
Revenue NY rev (3m)6.13%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.31 | ||
| Fwd PE | 7.02 | ||
| P/S | 1.41 | ||
| P/FCF | 11.24 | ||
| P/OCF | 2.65 | ||
| P/B | 0.83 | ||
| P/tB | 0.86 | ||
| EV/EBITDA | 3.57 |
EPS(TTM)0.45
EY4.92%
EPS(NY)1.3
Fwd EY14.25%
FCF(TTM)0.81
FCFY8.9%
OCF(TTM)3.45
OCFY37.76%
SpS6.49
BVpS11.05
TBVpS10.65
PEG (NY)0.11
PEG (5Y)N/A
Graham NumberN/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.33% | ||
| ROE | 4.04% | ||
| ROCE | 10.21% | ||
| ROIC | 8.09% | ||
| ROICexc | 8.11% | ||
| ROICexgc | 8.3% | ||
| OM | 27.16% | ||
| PM (TTM) | 6.88% | ||
| GM | 72.71% | ||
| FCFM | 12.53% |
ROA(3y)7.48%
ROA(5y)2.06%
ROE(3y)11.73%
ROE(5y)-2.07%
ROIC(3y)10.88%
ROIC(5y)8.73%
ROICexc(3y)11.09%
ROICexc(5y)8.86%
ROICexgc(3y)11.37%
ROICexgc(5y)9.09%
ROCE(3y)13.72%
ROCE(5y)11.02%
ROICexgc growth 3Y-9.61%
ROICexgc growth 5Y7.92%
ROICexc growth 3Y-9.52%
ROICexc growth 5Y7.96%
OM growth 3Y-11.86%
OM growth 5Y3.88%
PM growth 3Y-56.49%
PM growth 5YN/A
GM growth 3Y-1.79%
GM growth 5Y-0.31%
F-Score6
Asset Turnover0.34
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.37 | ||
| Debt/FCF | 6.16 | ||
| Debt/EBITDA | 1.03 | ||
| Cap/Depr | 120.62% | ||
| Cap/Sales | 40.64% | ||
| Interest Coverage | 5.33 | ||
| Cash Conversion | 87.37% | ||
| Profit Quality | 182.07% | ||
| Current Ratio | 0.57 | ||
| Quick Ratio | 0.57 | ||
| Altman-Z | 0.04 |
F-Score6
WACC9.11%
ROIC/WACC0.89
Cap/Depr(3y)230.75%
Cap/Depr(5y)176.18%
Cap/Sales(3y)74.7%
Cap/Sales(5y)63.8%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-53.13%
EPS 3Y-14.1%
EPS 5YN/A
EPS Q2Q%-85.88%
EPS Next Y189.53%
EPS Next 2Y52.32%
EPS Next 3Y21.31%
EPS Next 5YN/A
Revenue 1Y (TTM)24.52%
Revenue growth 3Y11.97%
Revenue growth 5Y6.66%
Sales Q2Q%32.55%
Revenue Next Year3.46%
Revenue Next 2Y2.34%
Revenue Next 3Y1.23%
Revenue Next 5Y4.59%
EBIT growth 1Y-6.28%
EBIT growth 3Y-1.31%
EBIT growth 5Y10.81%
EBIT Next Year58.77%
EBIT Next 3Y12.73%
EBIT Next 5Y10.8%
FCF growth 1Y118.84%
FCF growth 3Y51.96%
FCF growth 5Y3.41%
OCF growth 1Y-3.82%
OCF growth 3Y12.18%
OCF growth 5Y3.91%
Veren Inc / VRN.CA Fundamental Analysis FAQ
Can you provide the ChartMill fundamental rating for Veren Inc?
ChartMill assigns a fundamental rating of 5 / 10 to VRN.CA.
Can you provide the valuation status for Veren Inc?
ChartMill assigns a valuation rating of 7 / 10 to Veren Inc (VRN.CA). This can be considered as Undervalued.
Can you provide the profitability details for Veren Inc?
Veren Inc (VRN.CA) has a profitability rating of 6 / 10.
What are the PE and PB ratios of Veren Inc (VRN.CA) stock?
The Price/Earnings (PE) ratio for Veren Inc (VRN.CA) is 20.31 and the Price/Book (PB) ratio is 0.83.
Can you provide the expected EPS growth for VRN stock?
The Earnings per Share (EPS) of Veren Inc (VRN.CA) is expected to grow by 189.53% in the next year.