Confidence Petroleum India Limited Fundamental Analysis
Confidence Petroleum India Limited Fundamental Analysis
Confidence Petroleum India Limited (CONFIPET.NS) shows moderate financial fundamentals with a PE ratio of 27.11, profit margin of 1.97%, and ROE of 6.67%. The company generates $46.9B in annual revenue with strong year-over-year growth of 16.58%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 51.1/100 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 CONFIPET.NS's fundamental strength across five key dimensions:
Efficiency Score
WeakCONFIPET.NS struggles to generate sufficient returns from assets.
Valuation Score
WeakCONFIPET.NS trades at a premium to fair value.
Growth Score
ModerateCONFIPET.NS shows steady but slowing expansion.
Financial Health Score
ExcellentCONFIPET.NS maintains a strong and stable balance sheet.
Profitability Score
WeakCONFIPET.NS struggles to sustain strong margins.
Key Financial Metrics
Is CONFIPET.NS Expensive or Cheap?
P/E Ratio
CONFIPET.NS trades at 27.11 times earnings. This indicates a fair valuation.
PEG Ratio
When adjusting for growth, CONFIPET.NS's PEG of 9.22 indicates potential overvaluation.
Price to Book
The market values Confidence Petroleum India Limited at 1.78 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 5.41 times EBITDA. This is generally considered low.
How Well Does CONFIPET.NS Make Money?
Net Profit Margin
For every $100 in sales, Confidence Petroleum India Limited keeps $1.97 as profit after all expenses.
Operating Margin
Core operations generate 3.74 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $6.67 in profit for every $100 of shareholder equity.
ROA
Confidence Petroleum India Limited generates $3.39 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Confidence Petroleum India Limited generates limited operating cash flow of $857.72M, signaling weaker underlying cash strength.
Free Cash Flow
Confidence Petroleum India Limited generates weak or negative free cash flow of $394.09M, restricting financial flexibility.
FCF Per Share
Each share generates $1.19 in free cash annually.
FCF Yield
CONFIPET.NS converts 1.58% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
27.11
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
9.22
vs 25 benchmark
P/B Ratio
Price to book value ratio
1.78
vs 25 benchmark
P/S Ratio
Price to sales ratio
0.53
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.54
vs 25 benchmark
Current Ratio
Current assets to current liabilities
2.16
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.07
vs 25 benchmark
ROA
Return on assets percentage
0.03
vs 25 benchmark
ROCE
Return on capital employed
0.08
vs 25 benchmark
How CONFIPET.NS Stacks Against Its Sector Peers
| Metric | CONFIPET.NS Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 27.11 | 21.13 | Worse (Expensive) |
| ROE | 6.67% | 1000.00% | Weak |
| Net Margin | 1.97% | -59340.00% (disorted) | Weak |
| Debt/Equity | 0.54 | -0.46 (disorted) | Distorted |
| Current Ratio | 2.16 | 4.95 | Strong Liquidity |
| ROA | 3.39% | -2147.00% (disorted) | Weak |
CONFIPET.NS outperforms its industry in 1 out of 6 key metrics, but lagging in P/E Ratio.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Confidence Petroleum India Limited's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
142.85%
Industry Style: Cyclical, Value, Commodity
High GrowthEPS CAGR
36.88%
Industry Style: Cyclical, Value, Commodity
High GrowthFCF CAGR
-87.90%
Industry Style: Cyclical, Value, Commodity
Declining