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ECOP

Ecopetrol BVC:ECOPETROL Stock Report

Last Price

Col$2.33k

Market Cap

Col$95.6t

7D

3.4%

1Y

-10.1%

Updated

12 Aug, 2022

Data

Company Financials +
ECOPETROL fundamental analysis
Snowflake Score
Valuation5/6
Future Growth1/6
Past Performance4/6
Financial Health3/6
Dividends2/6

ECOPETROL Stock Overview

Ecopetrol S.A. operates as an integrated energy company.

Ecopetrol Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Ecopetrol
Historical stock prices
Current Share PriceCol$2,326.00
52 Week HighCol$3,660.00
52 Week LowCol$2,005.00
Beta1.23
1 Month Change2.60%
3 Month Change-25.02%
1 Year Change-10.05%
3 Year Change-15.42%
5 Year Change69.78%
Change since IPO14.86%

Recent News & Updates

Shareholder Returns

ECOPETROLCO Oil and GasCO Market
7D3.4%-3.5%1.6%
1Y-10.1%3.0%-3.9%

Return vs Industry: ECOPETROL underperformed the CO Oil and Gas industry which returned 10.5% over the past year.

Return vs Market: ECOPETROL underperformed the CO Market which returned -3.8% over the past year.

Price Volatility

Is ECOPETROL's price volatile compared to industry and market?
ECOPETROL volatility
ECOPETROL Average Weekly Movement9.1%
Oil and Gas Industry Average Movement6.5%
Market Average Movement6.4%
10% most volatile stocks in CO Market9.3%
10% least volatile stocks in CO Market4.0%

Stable Share Price: ECOPETROL is more volatile than 75% of CO stocks over the past 3 months, typically moving +/- 9% a week.

Volatility Over Time: ECOPETROL's weekly volatility (9%) has been stable over the past year, but is still higher than 75% of CO stocks.

About the Company

FoundedEmployeesCEOWebsite
194818,000Felipe Bayon Pardohttps://www.ecopetrol.com.co

Ecopetrol S.A. operates as an integrated energy company. The company operates through four segments: Exploration and Production; Transport and Logistics; Refining, Petrochemical and Biofuels; and Electric Power Transmission and Toll Roads Concessions. It engages in the exploration and production of oil and gas; transportation of crude oil, motor fuels, fuel oil, and other refined products, including diesel, jet, and biofuels; processing and refining crude oil; distribution of natural gas and LPG; sale of refined and petrochemical products; supplying of electric power transmission services; design, development, construction, operation, and maintenance of road and energy infrastructure projects; and supplying of information technology and telecommunications services.

Ecopetrol Fundamentals Summary

How do Ecopetrol's earnings and revenue compare to its market cap?
ECOPETROL fundamental statistics
Market CapCol$95.64t
Earnings (TTM)Col$25.88t
Revenue (TTM)Col$131.59t

3.7x

P/E Ratio

0.7x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
ECOPETROL income statement (TTM)
RevenueCol$131.59t
Cost of RevenueCol$73.01t
Gross ProfitCol$58.58t
Other ExpensesCol$32.69t
EarningsCol$25.88t

Last Reported Earnings

Jun 30, 2022

Next Earnings Date

n/a

Earnings per share (EPS)629.48
Gross Margin44.52%
Net Profit Margin19.67%
Debt/Equity Ratio104.3%

How did ECOPETROL perform over the long term?

See historical performance and comparison

Dividends

10.4%

Current Dividend Yield

39%

Payout Ratio
We’ve recently updated our valuation analysis.

Valuation

Is ECOPETROL undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

5/6

Valuation Score 5/6

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Below Fair Value

  • Significantly Below Fair Value

  • Analyst Forecast

Key Valuation Metric

Which metric is best to use when looking at relative valuation for ECOPETROL?

Other financial metrics that can be useful for relative valuation.

ECOPETROL key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue1.6x
Enterprise Value/EBITDA3.4x
PEG Ratio-0.05x

Price to Earnings Ratio vs Peers

How does ECOPETROL's PE Ratio compare to its peers?

ECOPETROL PE Ratio vs Peers
The above table shows the PE ratio for ECOPETROL vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPEEstimated GrowthMarket Cap
Peer Average5x
ONGC Oil and Natural Gas
3.8x-0.8%₹1.8t
IMO Imperial Oil
7.1x-11.3%CA$37.5b
REP Repsol
4.9x-13.4%€18.5b
OMV OMV
4.1x-18.4%€13.4b
ECOPETROL Ecopetrol
3.7x-69.7%Col$95.6t

Price-To-Earnings vs Peers: ECOPETROL is good value based on its Price-To-Earnings Ratio (3.7x) compared to the peer average (5x).


Price to Earnings Ratio vs Industry

How does ECOPETROL's PE Ratio compare vs other companies in the Global Oil and Gas Industry?

Price-To-Earnings vs Industry: ECOPETROL is good value based on its Price-To-Earnings Ratio (3.7x) compared to the South American Oil and Gas industry average (6.3x)


Price to Earnings Ratio vs Fair Ratio

What is ECOPETROL's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

ECOPETROL PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio3.7x
Fair PE Ration/a

Price-To-Earnings vs Fair Ratio: Insufficient data to calculate ECOPETROL's Price-To-Earnings Fair Ratio for valuation analysis.


Share Price vs Fair Value

What is the Fair Price of ECOPETROL when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: ECOPETROL (COP2326) is trading below our estimate of fair value (COP3105.78)

Significantly Below Fair Value: ECOPETROL is trading below fair value by more than 20%.


Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

Analyst Forecast: Target price is more than 20% higher than the current share price and analysts are within a statistically confident range of agreement.


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Future Growth

How is Ecopetrol forecast to perform in the next 1 to 3 years based on estimates from 12 analysts?

Future Growth Score

1/6

Future Growth Score 1/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


-69.7%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: ECOPETROL's earnings are forecast to decline over the next 3 years (-69.7% per year).

Earnings vs Market: ECOPETROL's earnings are forecast to decline over the next 3 years (-69.7% per year).

High Growth Earnings: ECOPETROL's earnings are forecast to decline over the next 3 years.

Revenue vs Market: ECOPETROL's revenue is expected to decline over the next 3 years (-9.8% per year).

High Growth Revenue: ECOPETROL's revenue is forecast to decline over the next 3 years (-9.8% per year).


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: ECOPETROL's Return on Equity is forecast to be high in 3 years time (24.8%)


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Past Performance

How has Ecopetrol performed over the past 5 years?

Past Performance Score

4/6

Past Performance Score 4/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


16.0%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: ECOPETROL has high quality earnings.

Growing Profit Margin: ECOPETROL's current net profit margins (19.7%) are higher than last year (13%).


Past Earnings Growth Analysis

Earnings Trend: ECOPETROL's earnings have grown by 16% per year over the past 5 years.

Accelerating Growth: ECOPETROL's earnings growth over the past year (214.1%) exceeds its 5-year average (16% per year).

Earnings vs Industry: ECOPETROL earnings growth over the past year (214.1%) underperformed the Oil and Gas industry 236.2%.


Return on Equity

High ROE: Whilst ECOPETROL's Return on Equity (30.74%) is high, this metric is skewed due to their high level of debt.


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Financial Health

How is Ecopetrol's financial position?

Financial Health Score

3/6

Financial Health Score 3/6

  • Short Term Liabilities

  • Long Term Liabilities

  • Debt Level

  • Reducing Debt

  • Debt Coverage

  • Interest Coverage

Financial Position Analysis

Short Term Liabilities: ECOPETROL's short term assets (COP61,010.0B) exceed its short term liabilities (COP41,752.0B).

Long Term Liabilities: ECOPETROL's short term assets (COP61,010.0B) do not cover its long term liabilities (COP126,448.0B).


Debt to Equity History and Analysis

Debt Level: ECOPETROL's net debt to equity ratio (92.4%) is considered high.

Reducing Debt: ECOPETROL's debt to equity ratio has increased from 98.1% to 104.3% over the past 5 years.

Debt Coverage: ECOPETROL's debt is well covered by operating cash flow (26.6%).

Interest Coverage: ECOPETROL's interest payments on its debt are well covered by EBIT (13.1x coverage).


Balance Sheet


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Dividend

What is Ecopetrol current dividend yield, its reliability and sustainability?

Dividend Score

2/6

Dividend Score 2/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Cash Flow Coverage


10.45%

Current Dividend Yield

Dividend Yield vs Market

Notable Dividend: ECOPETROL's dividend (10.45%) is higher than the bottom 25% of dividend payers in the CO market (3.55%).

High Dividend: ECOPETROL's dividend (10.45%) is low compared to the top 25% of dividend payers in the CO market (11.8%).


Stability and Growth of Payments

Stable Dividend: ECOPETROL's dividend payments have been volatile in the past 10 years.

Growing Dividend: ECOPETROL's dividend payments have fallen over the past 10 years.


Earnings Payout to Shareholders

Earnings Coverage: With its reasonably low payout ratio (38.6%), ECOPETROL's dividend payments are well covered by earnings.


Cash Payout to Shareholders

Cash Flow Coverage: With its high cash payout ratio (98.1%), ECOPETROL's dividend payments are not well covered by cash flows.


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Management

How experienced are the management team and are they aligned to shareholders interests?

5.1yrs

Average management tenure


CEO

Felipe Bayon Pardo (56 yo)

4.92yrs

Tenure

Mr. Felipe Bayon Pardo has been the Chief Executive Officer of Ecopetrol SA since September 15, 2017 and served as its Executive Vice President and Chief Operating Officer from February 15, 2016 to Septemb...


Leadership Team

Experienced Management: ECOPETROL's management team is seasoned and experienced (5.1 years average tenure).


Board Members

Experienced Board: ECOPETROL's board of directors are considered experienced (3.3 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Ecopetrol S.A.'s employee growth, exchange listings and data sources


Key Information

  • Name: Ecopetrol S.A.
  • Ticker: ECOPETROL
  • Exchange: BVC
  • Founded: 1948
  • Industry: Integrated Oil and Gas
  • Sector: Energy
  • Implied Market Cap: Col$95.637t
  • Shares outstanding: 41.12b
  • Website: https://www.ecopetrol.com.co

Number of Employees


Location

  • Ecopetrol S.A.
  • Carrera 13 No. 36 - 24
  • Bogotá
  • Colombia

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/08/12 00:00
End of Day Share Price2022/08/12 00:00
Earnings2022/06/30
Annual Earnings2021/12/31


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.