Executive Summary
Imperial Oil Limited explores for, produces, and sells crude oil and natural gas in Canada.
Snowflake
Fundamentals
Excellent balance sheet established dividend payer.
Similar Companies
Share Price & News
How has Imperial Oil's share price performed over time and what events caused price changes?
Latest Share Price and Events
Market Performance
7 Day Return
0.5%
IMO
-0.5%
CA Oil and Gas
-0.2%
CA Market
1 Year Return
-25.9%
IMO
-12.8%
CA Oil and Gas
1.1%
CA Market
Return vs Industry: IMO underperformed the Canadian Oil and Gas industry which returned -12.8% over the past year.
Return vs Market: IMO underperformed the Canadian Market which returned 1.1% over the past year.
Shareholder returns
| IMO | Industry | Market | |
|---|---|---|---|
| 7 Day | 0.5% | -0.5% | -0.2% |
| 30 Day | -11.9% | -5.7% | -2.9% |
| 90 Day | -10.8% | -4.0% | -1.6% |
| 1 Year | -24.2%-25.9% | -8.9%-12.8% | 4.6%1.1% |
| 3 Year | -21.3%-25.6% | -17.4%-25.7% | 13.1%3.1% |
| 5 Year | -31.6%-36.9% | -22.3%-34.1% | 24.7%6.7% |
Price Volatility Vs. Market
How volatile is Imperial Oil's share price compared to the market and industry in the last 5 years?
Simply Wall St News
1 day ago | Simply Wall St
Should You Be Impressed By Imperial Oil Limited's (TSE:IMO) ROE?2 weeks ago | Simply Wall St
Imperial Oil (TSE:IMO) Could Easily Take On More Debt3 weeks ago | Simply Wall St
Are Investors Undervaluing Imperial Oil Limited (TSE:IMO) By 48%?Valuation
Is Imperial Oil undervalued compared to its fair value and its price relative to the market?
>50%
Undervalued compared to fair value
Share Price vs. Fair Value
Undervalued: IMO (CA$32.46) is trading below our estimate of fair value (CA$84.94)
Significantly Undervalued: IMO is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: IMO is good value based on its PE Ratio (8.2x) compared to the Oil and Gas industry average (8.4x).
PE vs Market: IMO is good value based on its PE Ratio (8.2x) compared to the Canadian market (13.7x).
Price to Earnings Growth Ratio
Low PEG Ratio: IMO's earnings are forecast to decline next year, so we can't calculate its PEG ratio.
Price to Book Ratio
PB vs Industry: IMO is overvalued based on its PB Ratio (1x) compared to the CA Oil and Gas industry average (0.6x).
Next Steps
Future Growth
How is Imperial Oil forecast to perform in the next 1 to 3 years based on estimates from 7 analysts?
-5.5%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: IMO's earnings are forecast to decline over the next 3 years (-5.5% per year).
Earnings vs Market: IMO's earnings are forecast to decline over the next 3 years (-5.5% per year).
High Growth Earnings: IMO's earnings are forecast to decline over the next 3 years.
Revenue vs Market: IMO's revenue (2.1% per year) is forecast to grow slower than the Canadian market (5.7% per year).
High Growth Revenue: IMO's revenue (2.1% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
High Future ROE: IMO's Return on Equity is forecast to be low in 3 years time (7%).
Next Steps
Past Performance
How has Imperial Oil performed over the past 5 years?
-14.4%
Historical annual earnings growth
Earnings and Revenue History
Past Earnings Growth Analysis
Earnings Trend: IMO's earnings have declined by -14.4% per year over the past 5 years.
Accelerating Growth: IMO's earnings growth over the past year (228.4%) exceeds its 5-year average (-14.4% per year).
Earnings vs Industry: IMO earnings growth over the past year (228.4%) exceeded the Oil and Gas industry 62.2%.
Return on Equity
High ROE: IMO's Return on Equity (12.4%) is considered low.
Return on Assets
ROA vs Industry: IMO has a higher Return on Assets than the Oil and Gas industry average last year.
Return on Capital Employed
ROCE Improving: IMO has significantly improved its Return on Capital Employed over the past 3 years.
Next Steps
Financial Health
How is Imperial Oil's financial position?
Financial Position Analysis
Short Term Liabilities: IMO's short term assets (CA$6.1B) exceeds its short term liabilities (CA$4.2B)
Long Term Liabilities: IMO's short term assets (6.1B) do not cover its long term liabilities (12.7B)
Debt to Equity History and Analysis
Debt Level: IMO's debt to equity ratio (18.5%) is considered satisfactory
Reducing Debt: IMO's debt to equity ratio has reduced from 27.5% to 18.5% over the past 5 years.
Debt Coverage: IMO's debt is well covered by operating cash flow (88.9%).
Interest Coverage: IMO's interest payments on its debt are well covered by EBIT (121.1x coverage).
Balance Sheet
Inventory Level: IMO has a high level of physical assets or inventory.
Debt Coverage by Assets: IMO's debt is covered by short term assets (assets are 1.315440x debt).
Next Steps
Dividend
What is Imperial Oil's current dividend yield, its reliability and sustainability?
2.71%
Current Dividend Yield
Dividend Yield vs Market
Current dividend yield vs market & industry
Stability and Growth of Payments
Notable Dividend: IMO's dividend (2.71%) is higher than the bottom 25% of dividend payers in the Canadian market (2.04%).
High Dividend: IMO's dividend (2.71%) is low compared to the top 25% of dividend payers in the Canadian market (6.03%).
Stable Dividend: IMO's dividends per share have been stable in the past 10 years.
Growing Dividend: IMO's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its low payout ratio (19.9%), IMO's dividend payments are well covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: IMO's dividends in 3 years are forecast to be well covered by earnings (21.8% payout ratio).
Next Steps
Management
What is the CEO of Imperial Oil's salary, the management and board of directors tenure and is there insider trading?
2.8yrs
Average management tenure
CEO
Rich Kruger (59yo)
6.6yrs
Tenure
CA$7,870,053
Compensation
Mr. Richard M. Kruger, also known as Rick, has been the Chairman & Chief Executive Officer of Imperial Oil Ltd., a subsidiary of Exxon Mobil Corporation since March 1, 2013. Mr. Kruger served as the Presid ...
CEO Compensation Analysis
Compensation vs. Market: Rich's total compensation ($USD5.99M) is about average for companies of similar size in the Canadian market ($USD7.04M).
Compensation vs Earnings: Rich's compensation has been consistent with company performance over the past year.
Management Age and Tenure
2.8yrs
Average Tenure
56yo
Average Age
Experienced Management: IMO's management team is considered experienced (2.8 years average tenure).
Board Age and Tenure
4.3yrs
Average Tenure
62yo
Average Age
Experienced Board: IMO's board of directors are considered experienced (4.3 years average tenure).
Insider Trading
Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.
Ownership Breakdown
Management Team
Brad Corson (57yo)
President & Director
- Tenure: 0.08yrs
Rich Kruger (59yo)
Chairman & CEO
- Tenure: 6.6yrs
- Compensation: CA$7.87m
Denise Hughes (51yo)
Vice-President of Human Resources
- Tenure: 6.8yrs
Theresa Redburn (57yo)
Senior Vice President of Commercial & Corporate Development
- Tenure: 2.8yrs
- Compensation: CA$2.03m
Peter Dinnick (54yo)
VP & General Counsel
- Tenure: 2.8yrs
- Compensation: CA$1.60m
John Whelan (53yo)
Senior Vice President of Upstream
- Tenure: 2.8yrs
- Compensation: CA$2.07m
Glenn Peterson (58yo)
Treasurer
- Tenure: 2.3yrs
Dan Lyons (56yo)
Senior VP of Finance & Administration and Controller
- Tenure: 1.4yrs
- Compensation: CA$2.10m
Dave Hughes
Manager of Investor Relations
- Tenure: 0yrs
Ian Laing (45yo)
Assistant General Counsel of Downstream & Corporate Departments and Corporate Secretary
- Tenure: 0.8yrs
Board Members
Dave Sutherland (70yo)
Independent Director
- Tenure: 9.5yrs
- Compensation: CA$256.78k
Jack Mintz (67yo)
Independent Director
- Tenure: 14.5yrs
- Compensation: CA$258.68k
Krystyna Hoeg (69yo)
Independent Director
- Tenure: 11.4yrs
- Compensation: CA$261.70k
David Cornhill (65yo)
Independent Director
- Tenure: 1.9yrs
- Compensation: CA$116.40k
Brad Corson (57yo)
President & Director
- Tenure: 0.08yrs
Miranda Hubbs (53yo)
Independent Director
- Tenure: 1.3yrs
- Compensation: CA$170.29k
Rich Kruger (59yo)
Chairman & CEO
- Tenure: 6.6yrs
- Compensation: CA$7.87m
Dave Brownell (52yo)
Non-Independent Director
- Tenure: 0.9yrs
Company Information
Imperial Oil Limited's company bio, employee growth, exchange listings and data sources
Key Information
- Name: Imperial Oil Limited
- Ticker: IMO
- Exchange: TSX
- Founded: 1880
- Industry: Integrated Oil and Gas
- Sector: Energy
- Market Cap: CA$24.648b
- Shares outstanding: 759.34m
- Website: https://www.imperialoil.ca
Number of Employees
Location
- Imperial Oil Limited
- 505 Quarry Park Boulevard S.E.
- Calgary
- Alberta
- T2C 5N1
- Canada
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| IMO | AMEX (NYSE MKT LLC) | Yes | Common Shares | US | USD | Jan 1976 |
| IMO | TSX (The Toronto Stock Exchange) | Yes | Common Shares | CA | CAD | Jan 1976 |
| IMP | DB (Deutsche Boerse AG) | Yes | Common Shares | DE | EUR | Jan 1976 |
Biography
Imperial Oil Limited explores for, produces, and sells crude oil and natural gas in Canada. It operates through three segments: Upstream, Downstream, and Chemical. The Upstream segment explores for and pro ...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2019/10/18 23:37 |
| End of Day Share Price | 2019/10/18 00:00 |
| Earnings | 2019/06/30 |
| Annual Earnings | 2018/12/31 |
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.