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CNQ: Too Bad About the Price

VALUATION MODEL FOR CNQ


The Model

We'll start by looking at CNQ's value relative to the group and then we'll look at it's dividend yield relative to its five year average. 

Group Valuation Metrics

We're looking at four valuation metrics  and then ranking them from best to worst.  The ranks are summed and a final rank is calculated.
SecurityPrice to Book
Rank
Price to Sales
Rank
PE Ratio
Rank
EV/EBITDA
Rank
SumFinal
Rank
CNQ0.0132
3
1.9171
5
17.86
3
5.92
4
152
CVE.009
4
.5659
10
na (negative)
1
23.14
2
174
HSE .0054
9
.6423
9
7.12
8
4.68
6
3210
ECA.0076
6
1.06
7
5.09
10
3.93
8
319

ALA.0089
5
.739
8
na (negative)
1
na (negative)
1
152
TOU.0052
10
2.7331
1
10.099
6
6.50
3
205
VET.0142
2
2.6826
2
12.5324
4
5.87
5
131
PXT.0196
1
2.4163
3
6.8331
9
2.45
10
236
VII.0063
8
1.2609
6
7.57
7
3.24
9
308
ARX.007     
7
2.0627 
4   
11..87 
5
4.50   
236  
CNQ doesn't look like good value relative to its peers.

Dividend Yield Relative to 5 Year Average

A rule of thumb for this metric is to only purchase a stock when it's current dividend yield is lower than its 5 year average, or in other words, less than one in the calculation forward dividend yield divided by 5 year average.

CNQ looks overvalued at the moment, not surprising, too bad I didn't get to this analysis last week.

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