WHITECAP RESOURCES INC (WCP.CA) Stock Fundamental Analysis
TSX:WCP - Toronto Stock Exchange - CA96467A2002 - Common Stock - Currency: CAD
We assign a fundamental rating of 6 out of 10 to WCP. WCP was compared to 214 industry peers in the Oil, Gas & Consumable Fuels industry. While WCP belongs to the best of the industry regarding profitability, there are some minor concerns on its financial health. WCP is valued quite cheap, while showing a decent growth score. This is a good combination! WCP also has an excellent dividend rating. These ratings would make WCP suitable for value and dividend investing!
1. Profitability
1.1 Basic Checks
In the past year WCP was profitable.
In the past year WCP had a positive cash flow from operations.
In multiple years WCP reported negative net income over the last 5 years.
Each year in the past 5 years WCP had a positive operating cash flow.
1.2 Ratios
With an excellent Return On Assets value of 8.92%, WCP belongs to the best of the industry, outperforming 88.56% of the companies in the same industry.
Looking at the Return On Equity, with a value of 15.58%, WCP belongs to the top of the industry, outperforming 84.58% of the companies in the same industry.
WCP's Return On Invested Capital of 8.11% is amongst the best of the industry. WCP outperforms 80.10% of its industry peers.
The Average Return On Invested Capital over the past 3 years for WCP is above the industry average of 7.73%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.92% | ||
| ROE | 15.58% | ||
| ROIC | 8.11% |
ROA(3y)17.56%
ROA(5y)-0.96%
ROE(3y)32.31%
ROE(5y)-18.69%
ROIC(3y)11.35%
ROIC(5y)7.29%
1.3 Margins
The Profit Margin of WCP (26.47%) is better than 85.57% of its industry peers.
In the last couple of years the Profit Margin of WCP has grown nicely.
WCP has a better Operating Margin (29.30%) than 78.61% of its industry peers.
In the last couple of years the Operating Margin of WCP has grown nicely.
WCP's Gross Margin of 74.13% is amongst the best of the industry. WCP outperforms 87.06% of its industry peers.
WCP's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 29.3% | ||
| PM (TTM) | 26.47% | ||
| GM | 74.13% |
OM growth 3Y170.47%
OM growth 5Y2.27%
PM growth 3YN/A
PM growth 5Y40.95%
GM growth 3Y6.1%
GM growth 5Y-0.02%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), WCP is creating some value.
WCP has less shares outstanding than it did 1 year ago.
WCP has more shares outstanding than it did 5 years ago.
WCP has a better debt/assets ratio than last year.
2.2 Solvency
Based on the Altman-Z score of 1.60, we must say that WCP is in the distress zone and has some risk of bankruptcy.
WCP's Altman-Z score of 1.60 is fine compared to the rest of the industry. WCP outperforms 63.68% of its industry peers.
WCP has a debt to FCF ratio of 1.88. This is a very positive value and a sign of high solvency as it would only need 1.88 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 1.88, WCP belongs to the top of the industry, outperforming 84.58% of the companies in the same industry.
WCP has a Debt/Equity ratio of 0.21. This is a healthy value indicating a solid balance between debt and equity.
WCP has a Debt to Equity ratio (0.21) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.21 | ||
| Debt/FCF | 1.88 | ||
| Altman-Z | 1.6 |
ROIC/WACC1.17
WACC6.92%
2.3 Liquidity
WCP has a Current Ratio of 0.88. This is a bad value and indicates that WCP is not financially healthy enough and could expect problems in meeting its short term obligations.
WCP's Current ratio of 0.88 is in line compared to the rest of the industry. WCP outperforms 48.76% of its industry peers.
A Quick Ratio of 0.88 indicates that WCP may have some problems paying its short term obligations.
Looking at the Quick ratio, with a value of 0.88, WCP is in line with its industry, outperforming 52.74% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.88 | ||
| Quick Ratio | 0.88 |
3. Growth
3.1 Past
WCP shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -2.01%.
WCP shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 53.74% yearly.
Looking at the last year, WCP shows a decrease in Revenue. The Revenue has decreased by -2.90% in the last year.
Measured over the past years, WCP shows a quite strong growth in Revenue. The Revenue has been growing by 19.68% on average per year.
EPS 1Y (TTM)-2.01%
EPS 3YN/A
EPS 5Y53.74%
EPS Q2Q%84%
Revenue 1Y (TTM)-2.9%
Revenue growth 3Y58.52%
Revenue growth 5Y19.68%
Sales Q2Q%-6.31%
3.2 Future
WCP is expected to show a very negative growth in Earnings Per Share. In the coming years, the EPS will decrease by -14.42% yearly.
WCP is expected to show a strong growth in Revenue. In the coming years, the Revenue will grow by 20.03% yearly.
EPS Next Y-7.14%
EPS Next 2Y1.77%
EPS Next 3Y-14.42%
EPS Next 5YN/A
Revenue Next Year97.12%
Revenue Next 2Y41.83%
Revenue Next 3Y24.19%
Revenue Next 5Y20.03%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 6.70, which indicates a rather cheap valuation of WCP.
Based on the Price/Earnings ratio, WCP is valued cheaply inside the industry as 86.07% of the companies are valued more expensively.
Compared to an average S&P500 Price/Earnings ratio of 28.35, WCP is valued rather cheaply.
WCP is valuated cheaply with a Price/Forward Earnings ratio of 6.47.
WCP's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. WCP is cheaper than 76.62% of the companies in the same industry.
WCP is valuated cheaply when we compare the Price/Forward Earnings ratio to 95.00, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.7 | ||
| Fwd PE | 6.47 |
4.2 Price Multiples
85.07% of the companies in the same industry are more expensive than WCP, based on the Enterprise Value to EBITDA ratio.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of WCP indicates a somewhat cheap valuation: WCP is cheaper than 70.65% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 8.9 | ||
| EV/EBITDA | 3.63 |
4.3 Compensation for Growth
The excellent profitability rating of WCP may justify a higher PE ratio.
WCP's earnings are expected to decrease with -14.42% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)0.12
EPS Next 2Y1.77%
EPS Next 3Y-14.42%
5. Dividend
5.1 Amount
WCP has a Yearly Dividend Yield of 7.48%, which is a nice return.
WCP's Dividend Yield is rather good when compared to the industry average which is at 6.59. WCP pays more dividend than 92.54% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 2.28, WCP pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 7.48% |
5.2 History
The dividend of WCP is nicely growing with an annual growth rate of 14.21%!
WCP has been paying a dividend for at least 10 years, so it has a reliable track record.
WCP has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)14.21%
Div Incr Years3
Div Non Decr Years3
5.3 Sustainability
WCP pays out 49.70% of its income as dividend. This is a bit on the high side, but may be sustainable.
DP49.7%
EPS Next 2Y1.77%
EPS Next 3Y-14.42%
WHITECAP RESOURCES INC
TSX:WCP (2/5/2025, 7:00:00 PM)
9.78
-0.02 (-0.2%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)
Earnings (Next)
Inst Owners24.16%
Inst Owner ChangeN/A
Ins Owners0.92%
Ins Owner ChangeN/A
Market Cap5.74B
Analysts77.78
Price Target13.84 (41.51%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 7.48% |
Yearly Dividend0.62
Dividend Growth(5Y)14.21%
DP49.7%
Div Incr Years3
Div Non Decr Years3
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)14.78%
Min EPS beat(2)5.9%
Max EPS beat(2)23.65%
EPS beat(4)3
Avg EPS beat(4)3.09%
Min EPS beat(4)-71.19%
Max EPS beat(4)54.02%
EPS beat(8)6
Avg EPS beat(8)7.08%
EPS beat(12)9
Avg EPS beat(12)7.73%
EPS beat(16)11
Avg EPS beat(16)202.95%
Revenue beat(2)2
Avg Revenue beat(2)9.31%
Min Revenue beat(2)7.28%
Max Revenue beat(2)11.34%
Revenue beat(4)N/A
Avg Revenue beat(4)N/A
Min Revenue beat(4)N/A
Max Revenue beat(4)N/A
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
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)0.26%
PT rev (3m)0.1%
EPS NQ rev (1m)-4.36%
EPS NQ rev (3m)-4.36%
EPS NY rev (1m)-0.57%
EPS NY rev (3m)5.56%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0.43%
Revenue NY rev (1m)0.32%
Revenue NY rev (3m)1.57%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.7 | ||
| Fwd PE | 6.47 | ||
| P/S | 1.73 | ||
| P/FCF | 8.9 | ||
| P/OCF | 3.04 | ||
| P/B | 1.02 | ||
| P/tB | 1.02 | ||
| EV/EBITDA | 3.63 |
EPS(TTM)1.46
EY14.93%
EPS(NY)1.51
Fwd EY15.46%
FCF(TTM)1.1
FCFY11.23%
OCF(TTM)3.22
OCFY32.91%
SpS5.64
BVpS9.58
TBVpS9.58
PEG (NY)N/A
PEG (5Y)0.12
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.92% | ||
| ROE | 15.58% | ||
| ROCE | 10.72% | ||
| ROIC | 8.11% | ||
| ROICexc | 8.11% | ||
| ROICexgc | 8.11% | ||
| OM | 29.3% | ||
| PM (TTM) | 26.47% | ||
| GM | 74.13% | ||
| FCFM | 19.47% |
ROA(3y)17.56%
ROA(5y)-0.96%
ROE(3y)32.31%
ROE(5y)-18.69%
ROIC(3y)11.35%
ROIC(5y)7.29%
ROICexc(3y)11.35%
ROICexc(5y)7.29%
ROICexgc(3y)11.35%
ROICexgc(5y)7.3%
ROCE(3y)15.01%
ROCE(5y)9.64%
ROICexcg growth 3Y203.85%
ROICexcg growth 5Y11.46%
ROICexc growth 3Y203.85%
ROICexc growth 5Y11.94%
OM growth 3Y170.47%
OM growth 5Y2.27%
PM growth 3YN/A
PM growth 5Y40.95%
GM growth 3Y6.1%
GM growth 5Y-0.02%
F-Score6
Asset Turnover0.34
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.21 | ||
| Debt/FCF | 1.88 | ||
| Debt/EBITDA | 0.63 | ||
| Cap/Depr | 131.33% | ||
| Cap/Sales | 37.59% | ||
| Interest Coverage | 12.92 | ||
| Cash Conversion | 98.51% | ||
| Profit Quality | 73.55% | ||
| Current Ratio | 0.88 | ||
| Quick Ratio | 0.88 | ||
| Altman-Z | 1.6 |
F-Score6
WACC6.92%
ROIC/WACC1.17
Cap/Depr(3y)106.18%
Cap/Depr(5y)91.75%
Cap/Sales(3y)25.7%
Cap/Sales(5y)27.85%
Profit Quality(3y)63.36%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-2.01%
EPS 3YN/A
EPS 5Y53.74%
EPS Q2Q%84%
EPS Next Y-7.14%
EPS Next 2Y1.77%
EPS Next 3Y-14.42%
EPS Next 5YN/A
Revenue 1Y (TTM)-2.9%
Revenue growth 3Y58.52%
Revenue growth 5Y19.68%
Sales Q2Q%-6.31%
Revenue Next Year97.12%
Revenue Next 2Y41.83%
Revenue Next 3Y24.19%
Revenue Next 5Y20.03%
EBIT growth 1Y-16.76%
EBIT growth 3Y328.74%
EBIT growth 5Y22.39%
EBIT Next Year180.01%
EBIT Next 3Y40.8%
EBIT Next 5YN/A
FCF growth 1Y-48.39%
FCF growth 3Y35.38%
FCF growth 5Y19.62%
OCF growth 1Y-3.4%
OCF growth 3Y57.01%
OCF growth 5Y19.07%