Suncor Energy logged a -2.3% change during today's evening session, and is now trading at a price of $29.59 per share.
Over the last year, Suncor Energy logged a -2.7% change, with its stock price reaching a high of $35.51 and a low of $27.59. Over the same period, the stock underperformed the S&P 500 index by -17.7%. As of April 2023, the company's 50-day average price was $32.93. Suncor Energy Inc. operates as an integrated energy company in Canada and internationally. Based in Calgary, Canada, the large-cap Energy company has 16,558 full time employees. Suncor Energy has offered a 6.9% dividend yield over the last 12 months.
Healthy Debt Levels but a Negative Expected EPS Growth Rate:
| 2018 | 2019 | 2020 | 2021 | 2022 | 2023 | |
|---|---|---|---|---|---|---|
| Revenue (MM) | $38,986 | $38,989 | $25,052 | $39,101 | $58,467 | $58,467 |
| Revenue Growth | n/a | 0.01% | -35.75% | 56.08% | 49.53% | 0.0% |
| Net Margins | 11% | 7% | -17% | 13% | 17% | 17% |
| Net Income (MM) | $4,458 | $2,899 | -$4,319 | $4,912 | $10,075 | $10,075 |
| Net Interest Expense (MM) | $741 | $875 | $930 | $851 | $814 | $814 |
| Depreciation & Amort. (MM) | $5,738 | $10,572 | $9,526 | $5,850 | $8,786 | $8,786 |
| Free Cash Flow (MM) | $10,580 | $10,421 | $2,675 | $11,764 | $15,680 | $15,680 |
| Current Ratio | 0.84 | 0.94 | 0.89 | 1.06 | 1.13 | 1.13 |
| Total Debt (MM) | $24,199 | $23,421 | $24,361 | $24,388 | $22,669 | $22,669 |
Suncor Energy has growing revenues and no capital expenditures, healthy debt levels, and irregular cash flows. However, the firm suffers from weak net margins with a positive growth rate and negative expected EPS Growth.
Suncor Energy's Earnings and Assets May Be Undervalued:
Suncor Energy has a trailing twelve month P/E ratio of 7.2, compared to an average of 8.53 for the Energy sector. Based on its EPS guidance of $4.53, the company has a forward P/E ratio of 7.3. In contrast, the market is likely undervaluing Suncor Energy in terms of its equity because its P/B ratio is 0.92 while the sector average is 1.78.
Suncor Energy Has an Average Rating of Buy:
The 9 analysts following Suncor Energy have set target prices ranging from $36.81 to $54.48 per share, for an average of $41.97 with a buy rating. As of April 2023, the company is trading -21.5% away from its average target price, indicating that there is an analyst consensus of strong upside potential.
The largest shareholder is Royal Bank of Canada, whose 5% stake in the company is worth $1,931,245,272.
