Surge Energy Inc.
Surge Energy Inc. Fundamental Analysis
Surge Energy Inc. (ZPTAF) shows moderate financial fundamentals with a PE ratio of 17.30, profit margin of 7.25%, and ROE of 6.04%. The company generates $0.6B in annual revenue with strong year-over-year growth of 19.09%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 53.1/100 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 ZPTAF's fundamental strength across five key dimensions:
Efficiency Score
WeakZPTAF struggles to generate sufficient returns from assets.
Valuation Score
ExcellentZPTAF trades at attractive valuation levels.
Growth Score
ModerateZPTAF shows steady but slowing expansion.
Financial Health Score
ModerateZPTAF shows balanced financial health with some risks.
Profitability Score
WeakZPTAF struggles to sustain strong margins.
Key Financial Metrics
Is ZPTAF Expensive or Cheap?
P/E Ratio
ZPTAF trades at 17.30 times earnings. This indicates a fair valuation.
PEG Ratio
When adjusting for growth, ZPTAF's PEG of -0.70 indicates potential undervaluation.
Price to Book
The market values Surge Energy Inc. at 1.04 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 1.95 times EBITDA. This is generally considered low.
How Well Does ZPTAF Make Money?
Net Profit Margin
For every $100 in sales, Surge Energy Inc. keeps $7.25 as profit after all expenses.
Operating Margin
Core operations generate 16.18 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $6.04 in profit for every $100 of shareholder equity.
ROA
Surge Energy Inc. generates $3.29 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Surge Energy Inc. generates strong operating cash flow of $270.75M, reflecting robust business health.
Free Cash Flow
Surge Energy Inc. generates strong free cash flow of $94.63M, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $0.96 in free cash annually.
FCF Yield
ZPTAF converts 12.31% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
17.30
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
-0.70
vs 25 benchmark
P/B Ratio
Price to book value ratio
1.04
vs 25 benchmark
P/S Ratio
Price to sales ratio
1.25
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.33
vs 25 benchmark
Current Ratio
Current assets to current liabilities
0.88
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.06
vs 25 benchmark
ROA
Return on assets percentage
0.03
vs 25 benchmark
ROCE
Return on capital employed
0.08
vs 25 benchmark
How ZPTAF Stacks Against Its Sector Peers
| Metric | ZPTAF Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 17.30 | 19.94 | Better (Cheaper) |
| ROE | 6.04% | 987.00% | Weak |
| Net Margin | 7.25% | -42962.00% (disorted) | Weak |
| Debt/Equity | 0.33 | -0.60 (disorted) | Distorted |
| Current Ratio | 0.88 | 4.67 | Weak Liquidity |
| ROA | 3.29% | -11498248.00% (disorted) | Weak |
ZPTAF outperforms its industry in 1 out of 6 key metrics, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Surge Energy Inc.'s 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
-38.34%
Industry Style: Cyclical, Value, Commodity
DecliningEPS CAGR
87.49%
Industry Style: Cyclical, Value, Commodity
High GrowthFCF CAGR
-31.10%
Industry Style: Cyclical, Value, Commodity
Declining