NYSE:XEC

Stock Analysis Report

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Executive Summary

Cimarex Energy Co. operates as an independent oil and gas exploration and production company primarily in Texas, Oklahoma, and New Mexico. More Details


Snowflake Analysis

Reasonable growth potential with mediocre balance sheet.


Similar Companies

Share Price & News

How has Cimarex Energy's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: XEC is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 10% a week.

Volatility Over Time: XEC's weekly volatility (10%) has been stable over the past year.


Market Performance


7 Day Return

2.1%

XEC

4.4%

US Oil and Gas

1.5%

US Market


1 Year Return

-19.7%

XEC

-29.3%

US Oil and Gas

22.3%

US Market

Return vs Industry: XEC exceeded the US Oil and Gas industry which returned -31.7% over the past year.

Return vs Market: XEC underperformed the US Market which returned 22.1% over the past year.


Shareholder returns

XECIndustryMarket
7 Day2.1%4.4%1.5%
30 Day49.0%33.5%8.8%
90 Day42.7%17.2%10.8%
1 Year-17.4%-19.7%-24.6%-29.3%25.1%22.3%
3 Year-63.9%-65.7%-30.8%-40.2%49.5%39.6%
5 Year-59.9%-62.1%-12.5%-29.7%105.8%83.3%

Long-Term Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Cimarex Energy undervalued compared to its fair value and its price relative to the market?

0.7%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: XEC ($38.41) is trading below our estimate of fair value ($38.67)

Significantly Below Fair Value: XEC is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

PE vs Industry: XEC is unprofitable, so we can't compare its PE Ratio to the US Oil and Gas industry average.

PE vs Market: XEC is unprofitable, so we can't compare its PE Ratio to the US market.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate XEC's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: XEC is overvalued based on its PB Ratio (2.5x) compared to the US Oil and Gas industry average (1x).


Next Steps

Future Growth

How is Cimarex Energy forecast to perform in the next 1 to 3 years based on estimates from 16 analysts?

84.3%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: XEC is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (2.2%).

Earnings vs Market: XEC is forecast to become profitable over the next 3 years, which is considered above average market growth.

High Growth Earnings: XEC's is expected to become profitable in the next 3 years.

Revenue vs Market: XEC's revenue (8.1% per year) is forecast to grow slower than the US market (10.2% per year).

High Growth Revenue: XEC's revenue (8.1% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: XEC's Return on Equity is forecast to be high in 3 years time (23.1%)


Next Steps

Past Performance

How has Cimarex Energy performed over the past 5 years?

22.8%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: XEC is currently unprofitable.

Growing Profit Margin: XEC is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: XEC is unprofitable, but has reduced losses over the past 5 years at a rate of 22.8% per year.

Accelerating Growth: Unable to compare XEC's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: XEC is unprofitable, making it difficult to compare its past year earnings growth to the Oil and Gas industry (-29.6%).


Return on Equity

High ROE: XEC has a negative Return on Equity (-146.19%), as it is currently unprofitable.


Next Steps

Financial Health

How is Cimarex Energy's financial position?


Financial Position Analysis

Short Term Liabilities: XEC's short term assets ($634.0M) exceed its short term liabilities ($596.0M).

Long Term Liabilities: XEC's short term assets ($634.0M) do not cover its long term liabilities ($2.4B).


Debt to Equity History and Analysis

Debt Level: XEC's debt to equity ratio (122.2%) is considered high.

Reducing Debt: XEC's debt to equity ratio has increased from 43.9% to 122.2% over the past 5 years.


Balance Sheet


Cash Runway Analysis

For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.

Stable Cash Runway: Whilst unprofitable XEC has sufficient cash runway for more than 3 years if it maintains its current positive free cash flow level.

Forecast Cash Runway: XEC is unprofitable but has sufficient cash runway for more than 3 years, due to free cash flow being positive and growing by 45% per year.


Next Steps

Dividend

What is Cimarex Energy current dividend yield, its reliability and sustainability?

2.29%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: XEC's dividend (2.29%) is higher than the bottom 25% of dividend payers in the US market (1.49%).

High Dividend: XEC's dividend (2.29%) is low compared to the top 25% of dividend payers in the US market (4.1%).


Stability and Growth of Payments

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

Growing Dividend: XEC's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: XEC is paying a dividend but the company is unprofitable.


Future Payout to Shareholders

Future Dividend Coverage: XEC's dividends in 3 years are forecast to be well covered by earnings (16% payout ratio).


Next Steps

Management

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

5.3yrs

Average management tenure


CEO

Tom Jorden (63 yo)

9.25yrs

Tenure

US$9,002,555

Compensation

Mr. Thomas E. Jorden, also known as Tom, has been the Chief Executive Officer and President at Cimarex Energy Company since September 30, 2011. Mr. Jorden served as Executive Vice President of Exploration ...


CEO Compensation Analysis

Compensation vs Market: Tom's total compensation ($USD9.00M) is above average for companies of similar size in the US market ($USD5.19M).

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


Leadership Team

NamePositionTenureCompensationOwnership
Thomas Jorden
Chairman9.25yrsUS$9.00m0.53%
$ 20.5m
G. Burford
Senior VP & CFO5.25yrsUS$3.53m0.15%
$ 5.6m
Christopher Clason
Senior VP & Chief Human Resources Officer1.67yrsUS$5.11m0.064%
$ 2.4m
John Lambuth
Executive Vice President of Exploration5yrsUS$3.98m0.17%
$ 6.5m
Timothy Ficker
VP, Controller3.83yrsno data0.015%
$ 576.1k
Karen Acierno
Vice President of Investor Relationsno datano datano data
Francis Barron
Senior VP & General Counsel7.42yrsno data0.12%
$ 4.7m
Stephen Bell
Executive Vice President of Business Development8.25yrsUS$4.22m0.15%
$ 5.8m
Thomas McCoy
Senior Vice President of Productionno datano data0.025%
$ 951.6k
Blake Sirgo
Vice President of Operationsno datano data0.029%
$ 1.1m

5.3yrs

Average Tenure

57yo

Average Age

Experienced Management: XEC's management team is seasoned and experienced (5.3 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Thomas Jorden
Chairman9.25yrsUS$9.00m0.53%
$ 20.5m
Hans Helmerich
Independent Director18.83yrsUS$313.79k0.46%
$ 17.7m
Monroe Robertson
Independent Director15.17yrsUS$326.90k0.028%
$ 1.1m
Joseph Albi
Director9.25yrsUS$4.23m0.13%
$ 4.9m
Harold Logan
Independent Lead Directorno dataUS$346.90k0.022%
$ 846.7k
L. Teague
Director Emeritus3.58yrsUS$93.00no data
Lisa Stewart
Independent Director5.17yrsUS$306.90k0.019%
$ 721.6k
David Hentschel
Director Emeritus1.58yrsUS$85.50k0.033%
$ 1.3m
Floyd Price
Independent Director8yrsUS$326.90k0.024%
$ 933.2k
Kathleen Hogenson
Independent Director1.25yrsUS$203.89k0.010%
$ 387.0k
Paul Eckley
Director1.58yrsUS$306.40k0.011%
$ 414.2k
Frances Vallejo
Independent Director3.58yrsUS$306.81k0.015%
$ 573.0k

5.2yrs

Average Tenure

64yo

Average Age

Experienced Board: XEC's board of directors are considered experienced (5.2 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.


Recent Insider Transactions

Ownership Breakdown

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


Top Shareholders

Company Information

Cimarex Energy Co.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Cimarex Energy Co.
  • Ticker: XEC
  • Exchange: NYSE
  • Founded: 2002
  • Industry: Oil and Gas Exploration and Production
  • Sector: Energy
  • Market Cap: US$3.828b
  • Shares outstanding: 99.66m
  • Website: https://www.cimarex.com

Number of Employees


Location

  • Cimarex Energy Co.
  • 1700 Lincoln Street
  • Suite 3700
  • Denver
  • Colorado
  • 80203-4537
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
XECNYSE (New York Stock Exchange)YesCommon StockUSUSDSep 2002
ENYDB (Deutsche Boerse AG)YesCommon StockDEEURSep 2002
0HYBLSE (London Stock Exchange)YesCommon StockGBUSDSep 2002

Biography

Cimarex Energy Co. operates as an independent oil and gas exploration and production company primarily in Texas, Oklahoma, and New Mexico. As of December 31, 2019, it had a total proved reserves of 619.6 m...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/12/05 00:04
End of Day Share Price2020/12/04 00:00
Earnings2020/09/30
Annual Earnings2019/12/31


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.