NFG Intrinsic Value – NATIONAL FUEL GAS Reports Third Quarter Earnings for FY2023 on August 3rd
August 5, 2023
🌥️Earnings Overview
On August 3, 2023, NATIONAL FUEL GAS ($NYSE:NFG) reported its financial results for the third quarter of FY2023 (ending June 30, 2023). Its total revenue was USD 428.7 million, representing a 14.7% decrease from the same period of the previous year. Net income for the quarter was USD 92.6 million, which was a decline of 14.4% from the same period in the prior year.
Market Price
This financial report was highly anticipated by investors due to the tumultuous nature of the energy market this year. The NATIONAL FUEL GAS report demonstrated a strong quarter for the company as they continue to push forward in the ever-changing energy landscape. The company saw an increase in both earnings and revenue when compared to the same period last year. Furthermore, the company demonstrated strong growth in the renewable energy sector, solidifying their commitment to sustainability and environmental responsibility.
Overall, the report was well-received by investors and showed a positive sign of growth for NATIONAL FUEL GAS. With a strong balance sheet and a commitment to renewable energy, the company has positioned itself to be well-prepared for future growth. As the energy market continues to evolve, NATIONAL FUEL GAS will remain a key player in the industry. Live Quote…
About the Company
Income Snapshot
Below shows the total revenue, net income and net margin for NFG. More…
| Total Revenues | Net Income | Net Margin |
| 2.24k | 561.33 | 25.1% |
Cash Flow Snapshot
Below shows the cash from operations, investing and financing for NFG. More…
| Operations | Investing | Financing |
| 1.21k | -1.05k | -693.97 |
Balance Sheet Snapshot
Below shows the total assets, liabilities and book value per share for NFG. More…
| Total Assets | Total Liabilities | Book Value Per Share |
| 8.11k | 5.17k | 31.98 |
Key Ratios Snapshot
Some of the financial key ratios for NFG are shown below. More…
| 3Y Rev Growth | 3Y Operating Profit Growth | Operating Margin |
| 13.0% | 18.6% | 36.4% |
| FCF Margin | ROE | ROA |
| 11.9% | 17.5% | 6.3% |
Analysis – NFG Intrinsic Value
We at GoodWhale have conducted an analysis of NATIONAL FUEL GAS’s financials. Our proprietary Valuation Line has determined that the fair value of NATIONAL FUEL GAS shares is around $64.5. This means that currently, NATIONAL FUEL GAS stock is trading at $53.4, which is a fair price but still undervalued by 17.2%. More…
Peers
The company’s main business is natural gas and crude oil production, transportation and sale. The company operates in the United States, Canada and Argentina. National Fuel Gas Co’s main competitors are Transportadora de Gas del Sur SA, Oasis Petroleum Inc, YPF SA.
– Transportadora de Gas del Sur SA ($NYSE:TGS)
Transportadora de Gas del Sur SA is a gas transportation and distribution company operating in Argentina. The company’s market cap as of 2022 is 1.35B and its ROE is 10.03%. The company is engaged in the transportation and distribution of natural gas to industrial, commercial and residential customers in Argentina.
– Oasis Petroleum Inc ($NASDAQ:OAS)
Petróleos de Venezuela, S.A. (PDVSA) is a Venezuelan state-owned oil and natural gas company. It was created in 1976 from the nationalization of the Venezuelan oil industry. It is headquartered in Caracas and its operations are primarily focused on Venezuela’s Orinoco Belt region. The company has the largest proven reserves of crude oil in the world and is the largest producer of oil in South America.
PDVSA is a vertically integrated company that engages in all aspects of the oil and gas industry, including exploration and production, refining, marketing, and transportation. The company also has significant stakes in a number of joint ventures, most notably with Chevron, ExxonMobil, and Total.
PDVSA has a market cap of $2.94 billion as of 2022 and a return on equity of 22.79%. The company is the largest producer of oil in South America and has the largest proven reserves of crude oil in the world.
Summary
NATIONAL FUEL GAS reported its third-quarter earnings results for the fiscal year 2023 on August 3, 2023. Revenue for the quarter totaled USD 428.7 million, a decrease of 14.7% compared to the same period in the prior year. Net income for the quarter also dropped 14.4% year-over-year to USD 92.6 million.
This indicates that investing in NATIONAL FUEL GAS may be risky for investors as the company’s financial performance has been weak. It would be best for investors to carefully research and analyze the company before making any investments.
