TotalEnergies SE Fundamental Analysis (NYSE: TTE)
TotalEnergies SE (NYSE: TTE) shows moderate financial fundamentals with a PE ratio of 9.43, profit margin of 10.44%, and ROE of 17.89%. The company generates $215.9B in annual revenue with weak year-over-year growth of -6.78%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 54.7/100 based on profitability, valuation, growth, and balance sheet metrics. The C grade reflects average fundamentals, with notable risks in certain areas.
Fundamental Health Score
We analyze TTE's fundamental strength across five key dimensions:
Efficiency Score
WeakTTE struggles to generate sufficient returns from assets.
Valuation Score
ExcellentTTE trades at attractive valuation levels.
Growth Score
WeakTTE faces weak or negative growth trends.
Financial Health Score
ExcellentTTE maintains a strong and stable balance sheet.
Profitability Score
ModerateTTE maintains healthy but balanced margins.
Key Financial Metrics
Is TTE Expensive or Cheap?
P/E Ratio
TTE trades at 9.43 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, TTE's PEG of 0.15 indicates potential undervaluation.
Price to Book
The market values TotalEnergies SE at 1.58 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 3.42 times EBITDA. This is generally considered low.
How Well Does TTE Make Money?
Net Profit Margin
For every $100 in sales, TotalEnergies SE keeps $10.44 as profit after all expenses.
Operating Margin
Core operations generate 16.22 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $17.89 in profit for every $100 of shareholder equity.
ROA
TotalEnergies SE generates $6.54 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
TotalEnergies SE produces operating cash flow of $40.22B, showing steady but balanced cash generation.
Free Cash Flow
TotalEnergies SE generates strong free cash flow of $22.73B, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $10.18 in free cash annually.
FCF Yield
TTE converts 10.60% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
9.43
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
0.15
vs 25 benchmark
P/B Ratio
Price to book value ratio
1.58
vs 25 benchmark
P/S Ratio
Price to sales ratio
0.99
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.47
vs 25 benchmark
Current Ratio
Current assets to current liabilities
1.11
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.18
vs 25 benchmark
ROA
Return on assets percentage
0.07
vs 25 benchmark
ROCE
Return on capital employed
0.16
vs 25 benchmark
How TTE Stacks Against Its Sector Peers
| Metric | TTE Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 9.43 | 21.92 | Better (Cheaper) |
| ROE | 17.89% | 1299.00% | Weak |
| Net Margin | 10.44% | 1318.00% | Weak |
| Debt/Equity | 0.47 | -1.74 (disorted) | Distorted |
| Current Ratio | 1.11 | 2.21 | Neutral |
| ROA | 6.54% | 4319.00% | Weak |
TTE outperforms its industry in 1 out of 6 key metrics, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews TotalEnergies SE's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
79.03%
Industry Style: Cyclical, Value, Commodity
High GrowthEPS CAGR
313.03%
Industry Style: Cyclical, Value, Commodity
High GrowthFCF CAGR
125.94%
Industry Style: Cyclical, Value, Commodity
High Growth