Concho Resources Stock Analysis, Valuation (NYSE:CXO)
Watch the robo advisor video of Concho Resources stock analysis on Amigobulls. Our CXO analysis video highlights revenue and profit trends along with other important metrics such as valuation to find what makes the stock attractive.
Note: Amigobulls stock rating is our opinion based on the historical performance of the company's fundamentals. It is not indicative of the future performance of the stock.
Concho Resources Inc Stock Rating 3.3/5
Amigobulls CXO stock analysis takes into account various financial ratios like relative valuation, Concho Resources revenue, growth and return on equity based on latest quarter 2018 Q1 financial statements. We also check Concho Resources dividend performance. We also use relative valuation metrics like PE ratio and price to sales ratio for Concho Resources valuation analysis. Concho Resources stock rating is our opinion about the business fundamentals of the company.
Should you buy CXO stock?
- Concho Resources sales grew by 54.7% year on year in 2018-03.
- Revenue growth has been tremendous with a compounded annual growth of 9.2 over the last 5 years.
- Concho Resources had a healthy average operating margin of 35.43 over the last 4 quarters.
- Net margins came in at average 39.1% for Concho Resources over the last twelve months.
- Concho Resources has a lower debt burden than its peers in the -sectordesc- sector, with a debt/equity ratio of 0.25.
- Concho Resources has an attractive ROIC (Return on Invested Capital) of 5.8
- Concho Resources has a good Return On Equity (ROE) of 12.8.
- Concho Resources has a healthy FCF (Free Cash Flow) margin of 27.8.
Should you sell CXO stock?
- Cash flow from operations is low at 0.5844 times the net income.
- CXO stock is trading at a PE ratio of 49.6, which is worse than the sector average multiple of 22.6.
- CXO stock is trading at a PS multiple of 6.7, which is a negative when compared to the Oils-Energy sector average multiple of 1.6.
Concho Resources Related Company Stock Videos
Investors can use Amigobulls Concho Resources stock analysis as a tool to arrive at accurate conclusions regarding financial health of the company and its valuation. Company's fundamentals remain one of the key driver of CXO stock and helps investors in making good buy and sell decision.
While doing a study of the company financials, Concho Resources revenue growth and profit or net income are two main metrics which help in identifying whether CXO stock is overvalued or undervalued. Investors could make use of CXO technical analysis to check whether the fundamental story is reflected in the market sentiment.