CNQ Profitability Analysis: Past Growth, Margins, Return on Capital, Free Cash Flow, and more - Canadian Natural Resources Ltd - Alpha Spread
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Canadian Natural Resources Ltd
NYSE:CNQ

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Canadian Natural Resources Ltd
NYSE:CNQ
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Price: 32.355 USD 1.2%
Market Cap: 69.1B USD
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Profitability Summary

We take all the information about a company's profitability (such as its margins, capital efficiency, free cash flow generating ability, and more) and consolidate it into one single number - the profitability score. The higher the profitability score, the more profitable the company is.

Past Growth

To be successful and remain in business, both growth and profitability are important and necessary. Net Income growth is often seen as a sign of a company's efficiency from an operational standpoint, but is influenced heavily by a company's goals and challenges and should therefore be assessed in conjunction with other metrics like revenue and operating income growth.

Margins

Profit margins represent what percentage of sales has turned into profits. Simply put, the percentage figure indicates how many cents of profit the company has generated for each dollar of sale.

Profit margins help investors assess if a company's management is generating enough profit from its sales and whether operating costs and overhead costs are being contained.

Earnings Waterfall
Canadian Natural Resources Ltd

Revenue
36.7B CAD
Cost of Revenue
-17.8B CAD
Gross Profit
18.9B CAD
Operating Expenses
-8.3B CAD
Operating Income
10.7B CAD
Other Expenses
-3B CAD
Net Income
7.7B CAD

Margins Comparison
Canadian Natural Resources Ltd Competitors

Country Company Market Cap Gross
Margin
Operating
Margin
Net
Margin
CA
Canadian Natural Resources Ltd
NYSE:CNQ
68.6B USD
52%
29%
21%
US
Conocophillips
NYSE:COP
122.3B USD
48%
27%
19%
CN
CNOOC Ltd
SSE:600938
716.2B CNY
45%
42%
31%
US
EOG Resources Inc
NYSE:EOG
69B USD
63%
39%
30%
US
Pioneer Natural Resources Co
LSE:0KIX
46B USD
51%
34%
25%
US
Hess Corp
NYSE:HES
39.7B USD
75%
35%
21%
AU
Woodside Energy Group Ltd
NYSE:WDS
31.1B USD
45%
38%
15%
US
Diamondback Energy Inc
NASDAQ:FANG
31B USD
75%
52%
37%
US
Continental Resources Inc
F:C5L
25.8B EUR
92%
58%
40%
US
Devon Energy Corp
NYSE:DVN
24.8B USD
51%
30%
23%
AU
Woodside Petroleum Ltd
ASX:WPL
30.6B AUD
45%
35%
28%
Country CA
Market Cap 68.6B USD
Gross Margin
52%
Operating Margin
29%
Net Margin
21%
Country US
Market Cap 122.3B USD
Gross Margin
48%
Operating Margin
27%
Net Margin
19%
Country CN
Market Cap 716.2B CNY
Gross Margin
45%
Operating Margin
42%
Net Margin
31%
Country US
Market Cap 69B USD
Gross Margin
63%
Operating Margin
39%
Net Margin
30%
Country US
Market Cap 46B USD
Gross Margin
51%
Operating Margin
34%
Net Margin
25%
Country US
Market Cap 39.7B USD
Gross Margin
75%
Operating Margin
35%
Net Margin
21%
Country AU
Market Cap 31.1B USD
Gross Margin
45%
Operating Margin
38%
Net Margin
15%
Country US
Market Cap 31B USD
Gross Margin
75%
Operating Margin
52%
Net Margin
37%
Country US
Market Cap 25.8B EUR
Gross Margin
92%
Operating Margin
58%
Net Margin
40%
Country US
Market Cap 24.8B USD
Gross Margin
51%
Operating Margin
30%
Net Margin
23%
Country AU
Market Cap 30.6B AUD
Gross Margin
45%
Operating Margin
35%
Net Margin
28%

Return on Capital

Return on capital ratios give a sense of how well a company is using its capital (equity, assets, capital employed, etc.) to generate profits (operating income, net income, etc.). In simple words, these ratios show how much income is generated for each dollar of capital invested.

Return on Capital Comparison
Canadian Natural Resources Ltd Competitors

Country Company Market Cap ROE ROA ROCE ROIC
CA
Canadian Natural Resources Ltd
NYSE:CNQ
68.6B USD
20%
10%
16%
11%
US
Conocophillips
NYSE:COP
122.3B USD
22%
11%
18%
12%
CN
CNOOC Ltd
SSE:600938
716.2B CNY
21%
13%
22%
19%
US
EOG Resources Inc
NYSE:EOG
69B USD
27%
17%
25%
21%
US
Pioneer Natural Resources Co
LSE:0KIX
46B USD
21%
14%
20%
16%
US
Hess Corp
NYSE:HES
39.7B USD
28%
11%
21%
15%
AU
Woodside Energy Group Ltd
NYSE:WDS
31.1B USD
5%
3%
9%
7%
US
Diamondback Energy Inc
NASDAQ:FANG
31B USD
21%
11%
16%
14%
US
Continental Resources Inc
F:C5L
25.8B EUR
42%
19%
31%
23%
US
Devon Energy Corp
NYSE:DVN
24.8B USD
30%
14%
22%
17%
AU
Woodside Petroleum Ltd
ASX:WPL
30.6B AUD
16%
8%
11%
7%
Country CA
Market Cap 68.6B USD
ROE
20%
ROA
10%
ROCE
16%
ROIC
11%
Country US
Market Cap 122.3B USD
ROE
22%
ROA
11%
ROCE
18%
ROIC
12%
Country CN
Market Cap 716.2B CNY
ROE
21%
ROA
13%
ROCE
22%
ROIC
19%
Country US
Market Cap 69B USD
ROE
27%
ROA
17%
ROCE
25%
ROIC
21%
Country US
Market Cap 46B USD
ROE
21%
ROA
14%
ROCE
20%
ROIC
16%
Country US
Market Cap 39.7B USD
ROE
28%
ROA
11%
ROCE
21%
ROIC
15%
Country AU
Market Cap 31.1B USD
ROE
5%
ROA
3%
ROCE
9%
ROIC
7%
Country US
Market Cap 31B USD
ROE
21%
ROA
11%
ROCE
16%
ROIC
14%
Country US
Market Cap 25.8B EUR
ROE
42%
ROA
19%
ROCE
31%
ROIC
23%
Country US
Market Cap 24.8B USD
ROE
30%
ROA
14%
ROCE
22%
ROIC
17%
Country AU
Market Cap 30.6B AUD
ROE
16%
ROA
8%
ROCE
11%
ROIC
7%

Free Cash Flow

Free cash flow (FCF) is the money a company has left over after paying its operating expenses and capital expenditures. The more free cash flow a company has, the more it can allocate to dividends, paying down debt, and growth opportunities.

If a company has a decreasing free cash flow, that is not necessarily bad if the company is investing in its growth.

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