Chennai Petroleum Corporation Analysis

dividend

Pros

Cons

• Unable to calculate sustainability of dividends as Chennai Petroleum has not reported any payouts.
• Unable to evaluate Chennai Petroleum's dividend yield against the bottom 25% of dividend payers as the company has not reported any payouts.
• Unable to evaluate Chennai Petroleum's dividend against the top 25% market benchmark as the company has not reported any payouts.

health

Pros

Cons

• Chennai Petroleum's short term (1 year) commitments are greater than its holdings of cash and other short term assets.
• Chennai Petroleum has less than a year of cash runway if free cash flow continues to grow at historical rates of 35.3% each year.
• Chennai Petroleum has less than a year of cash runway based on current free cash flow.
• Operating cash flow is negative therefore debt is not well covered.
• Debt is not covered by short term assets, assets are 0.3x debt.
• Chennai Petroleum's long term commitments exceed its cash and other short term assets.
• The level of debt compared to net worth has increased over the past 5 years (308.9% vs 638.2% today).
• Chennai Petroleum's level of debt (638.2%) compared to net worth is high (greater than 40%).
• High level of physical assets or inventory.

management

Pros

• The tenure for the Chennai Petroleum management team is about average.

Cons

• The average tenure for the Chennai Petroleum board of directors is less than 3 years, this suggests a new board.
• S.'s remuneration is higher than average for companies of similar size in India.
• S.'s compensation has increased whilst company is loss making.

misc

Pros

Cons

• Chennai Petroleum is not covered by any analysts.
• Chennai Petroleum has significant price volatility in the past 3 months.

past

Pros

Cons

• Unable to compare Chennai Petroleum's 1-year earnings growth to the 5-year average as it is not currently profitable.
• Chennai Petroleum does not make a profit and their year on year earnings growth rate was negative over the past 5 years.
• It is difficult to establish if Chennai Petroleum has efficiently used its assets last year compared to the IN Oil and Gas industry average (Return on Assets) as it is loss-making.
• It is difficult to establish if Chennai Petroleum improved its use of capital last year versus 3 years ago (Return on Capital Employed) as it is currently loss-making.
• It is difficult to establish if Chennai Petroleum has efficiently used shareholders’ funds last year (Return on Equity greater than 20%) as it is loss-making.
• Unable to compare Chennai Petroleum's 1-year growth to the IN Oil and Gas industry average as it is not currently profitable.

value

Pros

• Chennai Petroleum is good value based on assets compared to the IN Oil and Gas industry average.
• BSE:500110 is up 24.3% outperforming the Oil and Gas industry which returned 10.5% over the past month.
• BSE:500110 is up 24.3% outperforming the market in India which returned 8% over the past month.

Cons

• Chennai Petroleum is loss making, we can't compare its value to the IN Oil and Gas industry average.
• Chennai Petroleum is loss making, we can't compare the value of its earnings to the India market.
• 500110 underperformed the Oil and Gas industry which returned -4% over the past year.
• 500110 underperformed the Market in India which returned -14.5% over the past year.