Civitas Resources, Inc.
Civitas Resources, Inc. Fundamental Analysis
Civitas Resources, Inc. (BCEI) shows moderate financial fundamentals with a PE ratio of 7.60, profit margin of 11.00%, and ROE of 9.52%. The company generates $5.2B in annual revenue with strong year-over-year growth of 49.53%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 75.6/100 based on profitability, valuation, growth, and balance sheet metrics. The B grade reflects solid fundamentals with room for improvement in valuation or growth.
Fundamental Health Score
We analyze BCEI's fundamental strength across five key dimensions:
Efficiency Score
WeakBCEI struggles to generate sufficient returns from assets.
Valuation Score
ExcellentBCEI trades at attractive valuation levels.
Growth Score
ModerateBCEI shows steady but slowing expansion.
Financial Health Score
ModerateBCEI shows balanced financial health with some risks.
Profitability Score
WeakBCEI struggles to sustain strong margins.
Key Financial Metrics
Is BCEI Expensive or Cheap?
P/E Ratio
BCEI trades at 7.60 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, BCEI's PEG of -0.58 indicates potential undervaluation.
Price to Book
The market values Civitas Resources, Inc. at 0.73 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 1.60 times EBITDA. This is generally considered low.
How Well Does BCEI Make Money?
Net Profit Margin
For every $100 in sales, Civitas Resources, Inc. keeps $11.00 as profit after all expenses.
Operating Margin
Core operations generate -16.35 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $9.52 in profit for every $100 of shareholder equity.
ROA
Civitas Resources, Inc. generates $4.22 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Civitas Resources, Inc. generates strong operating cash flow of $2.75B, reflecting robust business health.
Free Cash Flow
Civitas Resources, Inc. generates strong free cash flow of $4.30B, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $53.62 in free cash annually.
FCF Yield
BCEI converts 1.09% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
7.60
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
-0.58
vs 25 benchmark
P/B Ratio
Price to book value ratio
0.73
vs 25 benchmark
P/S Ratio
Price to sales ratio
0.75
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.00
vs 25 benchmark
Current Ratio
Current assets to current liabilities
0.56
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.10
vs 25 benchmark
ROA
Return on assets percentage
0.04
vs 25 benchmark
ROCE
Return on capital employed
-0.07
vs 25 benchmark
How BCEI Stacks Against Its Sector Peers
| Metric | BCEI Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 7.60 | 20.19 | Better (Cheaper) |
| ROE | 9.52% | 1019.00% | Weak |
| Net Margin | 11.00% | -44017.00% (disorted) | Strong |
| Debt/Equity | 0.00 | -0.65 (disorted) | Distorted |
| Current Ratio | 0.56 | 4.60 | Weak Liquidity |
| ROA | 4.22% | -11655350.00% (disorted) | Weak |
BCEI outperforms its industry in 2 out of 6 key metrics, particularly excelling in Net Margin, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Civitas Resources, Inc.'s 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
246.28%
Industry Style: Cyclical, Value, Commodity
High GrowthEPS CAGR
160.73%
Industry Style: Cyclical, Value, Commodity
High GrowthFCF CAGR
165.91%
Industry Style: Cyclical, Value, Commodity
High Growth