NYSE:CNX

Stock Analysis Report

Executive Summary

CNX Resources Corporation, an independent oil and gas company, explores for, develops, and produces natural gas primarily in the Appalachian Basin.

Rewards

Trading at 64.7% below its fair value

Risk Analysis

Earnings are forecast to decline by an average of -43% per year for the next 3 years

Has a high level of debt

Highly volatile share price over past 3 months

Profit margins (17.1%) are lower than last year (63.3%)



Snowflake Analysis

Undervalued with mediocre balance sheet.


Similar Companies

Marathon Oil

NYSE:MRO

Share Price & News

How has CNX Resources's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: CNX's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

-0.1%

CNX

1.7%

US Oil and Gas

0.3%

US Market


1 Year Return

-48.4%

CNX

-10.0%

US Oil and Gas

18.5%

US Market

Return vs Industry: CNX underperformed the US Oil and Gas industry which returned -10% over the past year.

Return vs Market: CNX underperformed the US Market which returned 18.5% over the past year.


Shareholder returns

CNXIndustryMarket
7 Day-0.1%1.7%0.3%
30 Day-26.4%-2.6%1.5%
90 Day-21.9%-1.6%5.7%
1 Year-48.4%-48.4%-6.7%-10.0%21.1%18.5%
3 Year-61.2%-67.6%-12.3%-20.3%45.9%36.4%
5 Year-75.7%-79.9%-7.3%-21.1%71.4%52.5%

Price Volatility Vs. Market

How volatile is CNX Resources's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is CNX Resources undervalued compared to its fair value and its price relative to the market?

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: CNX ($6.9) is trading below our estimate of fair value ($19.57)

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


Price To Earnings Ratio

PE vs Industry: CNX is good value based on its PE Ratio (4.5x) compared to the Oil and Gas industry average (9.9x).

PE vs Market: CNX is good value based on its PE Ratio (4.5x) compared to the US market (18.5x).


Price to Earnings Growth Ratio

PEG Ratio: CNX's earnings are forecast to decline next year, so we can't calculate its PEG ratio.


Price to Book Ratio

PB vs Industry: CNX is good value based on its PB Ratio (0.3x) compared to the US Oil and Gas industry average (0.8x).


Next Steps

Future Growth

How is CNX Resources forecast to perform in the next 1 to 3 years based on estimates from 5 analysts?

-43.0%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: CNX's earnings are forecast to decline over the next 3 years (-43% per year).

Earnings vs Market: CNX's earnings are forecast to decline over the next 3 years (-43% per year).

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

Revenue vs Market: CNX's revenue is expected to decline over the next 3 years (-1.1% per year).

High Growth Revenue: CNX's revenue is forecast to decline over the next 3 years (-1.1% per year).


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: Insufficient data to determine if CNX's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has CNX Resources performed over the past 5 years?

40.2%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: CNX has high quality earnings.

Growing Profit Margin: CNX's current net profit margins (17.1%) are lower than last year (63.3%).


Past Earnings Growth Analysis

Earnings Trend: CNX's earnings have grown significantly by 40.2% per year over the past 5 years.

Accelerating Growth: CNX's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: CNX had negative earnings growth (-70.2%) over the past year, making it difficult to compare to the Oil and Gas industry average (-15.6%).


Return on Equity

High ROE: CNX's Return on Equity (7.7%) is considered low.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is CNX Resources's financial position?


Financial Position Analysis

Short Term Liabilities: CNX's short term assets ($345.7M) do not cover its short term liabilities ($621.6M).

Long Term Liabilities: CNX's short term assets ($345.7M) do not cover its long term liabilities ($3.4B).


Debt to Equity History and Analysis

Debt Level: CNX's debt to equity ratio (50.6%) is considered high.

Reducing Debt: CNX's debt to equity ratio has reduced from 61.6% to 50.6% over the past 5 years.

Debt Coverage: CNX's debt is well covered by operating cash flow (40.2%).

Interest Coverage: CNX's interest payments on its debt are well covered by EBIT (4.1x coverage).


Balance Sheet

Inventory Level: CNX has a high level of physical assets or inventory.

Debt Coverage by Assets: CNX's debt is not covered by short term assets (assets are 0.1x debt).


Next Steps

Dividend

What is CNX Resources's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

company0%marketbottom25%1.4%markettop25%3.7%industryaverage4.2%forecastin3Yearsn/a

Current dividend yield vs market & industry

Notable Dividend: Unable to evaluate CNX's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.

High Dividend: Unable to evaluate CNX's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if CNX's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if CNX's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: CNX is not paying a notable dividend for the US market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of CNX's dividend in 3 years as they are not forecast to pay a notable one for the US market.


Next Steps

Management

What is the CEO of CNX Resources's salary, the management and board of directors tenure and is there insider trading?

2.2yrs

Average management tenure


CEO

Nick DeIuliis (50yo)

4.6yrs

Tenure

US$10,272,508

Compensation

Mr. Nicholas J. DeIuliis, also known as Nick, serves as a Director and the President and Chief Executive Officer of CNX Resources Corporation. Prior to the separation of CONSOL Energy Inc. into two separat ...


CEO Compensation Analysis

Compensation vs Market: Nick's total compensation ($USD10.27M) is above average for companies of similar size in the US market ($USD3.87M).

Compensation vs Earnings: Nick's compensation has been consistent with company performance over the past year.


Management Age and Tenure

2.2yrs

Average Tenure

43.5yo

Average Age

Experienced Management: CNX's management team is considered experienced (2.2 years average tenure).


Board Age and Tenure

3.6yrs

Average Tenure

62yo

Average Age

Experienced Board: CNX's board of directors are considered experienced (3.6 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.


Recent Insider Transactions

BuyUS$139,60025 Jun 19
John Clarkson
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares20,000
Max PriceUS$6.98
BuyUS$250,12425 Jun 19
Conifer Advisors, LLC
EntityCompany
Shares36,200
Max PriceUS$6.91
BuyUS$250,01919 Jun 19
Conifer Advisors, LLC
EntityCompany
Shares34,150
Max PriceUS$7.32
BuyUS$249,75112 Jun 19
Conifer Advisors, LLC
EntityCompany
Shares35,400
Max PriceUS$7.06
BuyUS$70,00012 Jun 19
John Clarkson
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares10,000
Max PriceUS$7.00
BuyUS$249,80411 Jun 19
Conifer Advisors, LLC
EntityCompany
Shares34,200
Max PriceUS$7.30
BuyUS$75,00010 Jun 19
John Clarkson
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares10,000
Max PriceUS$7.50
BuyUS$1,496,88031 May 19
Conifer Advisors, LLC
EntityCompany
Shares198,000
Max PriceUS$7.56
BuyUS$1,195,00020 Dec 18
Conifer Advisors, LLC
EntityCompany
Shares100,000
Max PriceUS$11.95

Ownership Breakdown

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


Management Team

  • Nick DeIuliis (50yo)

    President

    • Tenure: 4.6yrs
    • Compensation: US$10.27m
  • Stephanie Gill

    VP, General Counsel & Corporate Secretary

    • Tenure: 0yrs
  • Tim Dugan (57yo)

    Executive Vice President

    • Tenure: 3.3yrs
    • Compensation: US$3.55m
  • Tyler Lewis

    VP of Investor Relations

    • Tenure: 0yrs
  • Don Rush (36yo)

    Executive VP & CFO

    • Tenure: 2.3yrs
    • Compensation: US$2.64m
  • Jason Mumford (39yo)

    Chief Accounting Officer

    • Tenure: 2.1yrs
  • Chad Griffith (42yo)

    COO & Vice President of Commercial & Marketing

    • Tenure: 0.4yrs
  • Olayemi Akinkugbe (45yo)

    Executive VP & Chief Excellence Officer

    • Tenure: 0.4yrs

Board Members

  • Will Thorndike (55yo)

    Independent Chairman of the Board

    • Tenure: 3.6yrs
    • Compensation: US$574.17k
  • William Davis (77yo)

    Independent Director

    • Tenure: 15.9yrs
    • Compensation: US$397.50k
  • Bernie Lanigan (71yo)

    Independent Director

    • Tenure: 3.6yrs
    • Compensation: US$399.38k
  • John Clarkson (62yo)

    Independent Director

    • Tenure: 2.6yrs
    • Compensation: US$380.00k
  • Nick DeIuliis (50yo)

    President

    • Tenure: 4.6yrs
    • Compensation: US$10.27m
  • Maureen Lally-Green (70yo)

    Independent Director

    • Tenure: 6.5yrs
    • Compensation: US$380.00k
  • Ian McGuire (41yo)

    Non-Employee Director

    • Tenure: 0.4yrs

Company Information

CNX Resources Corporation's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: CNX Resources Corporation
  • Ticker: CNX
  • Exchange: NYSE
  • Founded: 1860
  • Industry: Oil and Gas Exploration and Production
  • Sector: Energy
  • Market Cap: US$1.217b
  • Shares outstanding: 186.59m
  • Website: https://www.cnx.com

Number of Employees


Location

  • CNX Resources Corporation
  • CNX Center
  • Suite 400
  • Canonsburg
  • Pennsylvania
  • 15317
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
CNXNYSE (New York Stock Exchange)YesCommon StockUSUSDApr 1999
CGDDB (Deutsche Boerse AG)YesCommon StockDEEURApr 1999

Biography

CNX Resources Corporation, an independent oil and gas company, explores for, develops, and produces natural gas primarily in the Appalachian Basin. The company operates through two divisions, Exploration a ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/12/08 23:33
End of Day Share Price2019/12/06 00:00
Earnings2019/09/30
Annual Earnings2018/12/31


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.