Oasis Petroleum Inc.
Oasis Petroleum Inc. Fundamental Analysis
Oasis Petroleum Inc. (OAS) shows moderate financial fundamentals with a PE ratio of 12.17, profit margin of 7.34%, and ROE of 6.13%. The company generates $5.1B in annual revenue with strong year-over-year growth of 34.76%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 71.5/100 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 OAS's fundamental strength across five key dimensions:
Efficiency Score
WeakOAS struggles to generate sufficient returns from assets.
Valuation Score
ExcellentOAS trades at attractive valuation levels.
Growth Score
ModerateOAS shows steady but slowing expansion.
Financial Health Score
ExcellentOAS maintains a strong and stable balance sheet.
Profitability Score
WeakOAS struggles to sustain strong margins.
Key Financial Metrics
Is OAS Expensive or Cheap?
P/E Ratio
OAS trades at 12.17 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, OAS's PEG of 0.10 indicates potential undervaluation.
Price to Book
The market values Oasis Petroleum Inc. at 0.77 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 1.89 times EBITDA. This is generally considered low.
How Well Does OAS Make Money?
Net Profit Margin
For every $100 in sales, Oasis Petroleum Inc. keeps $7.34 as profit after all expenses.
Operating Margin
Core operations generate 5.28 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $6.13 in profit for every $100 of shareholder equity.
ROA
Oasis Petroleum Inc. generates $3.92 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Oasis Petroleum Inc. generates strong operating cash flow of $2.04B, reflecting robust business health.
Free Cash Flow
Oasis Petroleum Inc. generates strong free cash flow of $554.74M, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $13.33 in free cash annually.
FCF Yield
OAS converts 16.74% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
12.17
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
0.10
vs 25 benchmark
P/B Ratio
Price to book value ratio
0.77
vs 25 benchmark
P/S Ratio
Price to sales ratio
0.65
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.19
vs 25 benchmark
Current Ratio
Current assets to current liabilities
1.35
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.06
vs 25 benchmark
ROA
Return on assets percentage
0.04
vs 25 benchmark
ROCE
Return on capital employed
0.03
vs 25 benchmark
How OAS Stacks Against Its Sector Peers
| Metric | OAS Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 12.17 | 20.10 | Better (Cheaper) |
| ROE | 6.13% | 1093.00% | Weak |
| Net Margin | 7.34% | -30341.00% (disorted) | Weak |
| Debt/Equity | 0.19 | -0.69 (disorted) | Distorted |
| Current Ratio | 1.35 | 4.79 | Neutral |
| ROA | 3.92% | 2.00% | Excellent |
OAS outperforms its industry in 2 out of 6 key metrics, particularly excelling in ROA, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Oasis Petroleum Inc.'s 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
1553.98%
Industry Style: Cyclical, Value, Commodity
High GrowthEPS CAGR
1722.04%
Industry Style: Cyclical, Value, Commodity
High GrowthFCF CAGR
1328.51%
Industry Style: Cyclical, Value, Commodity
High Growth