Stock Under $10 with 50-100% upside potential - 14 Days FREE!

Vanguard Natural Resources LLC
VNR : NASDAQ : Basic Materials

$29.63 0.16 | 0.54%
Today's Range: 29.50 - 29.80
Avg. Daily Volume: 470,800
05/17/13 - 4:00 PM ET

Financial Analysis


VANGUARD NATURAL RESOURCES's gross profit margin for the first quarter of its fiscal year 2013 has decreased when compared to the same period a year ago. Even though sales increased, the net income has decreased, representing a decrease to the bottom line. VANGUARD NATURAL RESOURCES has weak liquidity. Currently, the Quick Ratio is 0.67 which shows a lack of ability to cover short-term cash needs. The company's liquidity has decreased from the same period last year.

During the same period, stockholders' equity ("net worth") has increased by 10.24% from the same quarter last year. Overall, the key liquidity measurements indicate that the company is in a position in which financial difficulties could develop in the future.



Income Statement Q1 FY13 Q1 FY12
Net Sales ($mil)67.4156.74
EBITDA ($mil)27.3426.35
EBIT ($mil)-11.354.56
Net Income ($mil)-27.02-2.02


Balance Sheet Q1 FY13 Q1 FY12
Cash & Equiv. ($mil)5.275.24
Total Assets ($mil)2187.721665.05
Total Debt ($mil)1008.69640.0
Equity ($mil)987.11895.36


Profitability Q1 FY13 Q1 FY12
Gross Profit Margin50.2855.2
EBITDA Margin40.5646.44
Operating Margin-16.848.03
Sales Turnover0.160.23
Return on Assets-8.855.43
Return on Equity-19.6310.1
Debt Q1 FY13 Q1 FY12
Current Ratio0.871.04
Debt/Capital0.510.42
Interest Expense15.445.33
Interest Coverage-0.740.85


Share Data Q1 FY13 Q1 FY12
Shares outstanding (mil)68.6851.99
Div / share0.610.59
EPS-0.42-0.04
Book value / share14.3717.22
Institutional Own % n/a n/a
Avg Daily Volume472432.0485349.0

Valuation


HOLD. This stock?s P/E ratio is negative, making its value useless in the assessment of premium or discount valuation, only displaying that the company has negative earnings per share. To use another comparison, its price-to-book ratio of 2.05 indicates a discount versus the S&P 500 average of 2.44 and a significant discount versus the industry average of 3.72. The price-to-sales ratio is well above both the S&P 500 average and the industry average, indicating a premium. The valuation analysis reveals that, VANGUARD NATURAL RESOURCES seems to be trading at a premium to investment alternatives within the industry.


Price/Earnings
1 2 3 4 5
premium   discount
  Price/Cash Flow
1 2 3 4 5
premium   discount
VNR NM Peers 24.66   VNR 8.62 Peers 9.63

Neutral. The absence of a valid P/E ratio happens when a stock can not be valued on the basis of a negative stream of earnings.

VNR's P/E is negative making this valuation measure meaningless.

 

Discount. The P/CF ratio, a stock’s price divided by the company's cash flow from operations, is useful for comparing companies with different capital requirements or financing structures.

VNR is trading at a discount to its peers.

 
Price/Projected
Earnings
1 2 3 4 5
premium   discount
  Price to
Earnings/Growth
1 2 3 4 5
premium   discount
VNR 20.61 Peers 15.69   VNR NA Peers 1.66

Premium. A higher price-to-projected earnings ratio than its peers can signify a more expensive stock or higher future growth expectations.

VNR is trading at a significant premium to its peers.

 

Neutral. The PEG ratio is the stock’s P/E divided by the consensus estimate of long-term earnings growth. Faster growth can justify higher price multiples.

Ratio not available.

 
Price/Book
1 2 3 4 5
premium   discount
  Earnings Growth
1 2 3 4 5
lower   higher
VNR 2.05 Peers 3.72   VNR -201.61 Peers -20.40

Discount. A lower price-to-book ratio makes a stock more attractive to investors seeking stocks with lower market values per dollar of equity on the balance sheet.

VNR is trading at a significant discount to its peers.

 

Lower. Elevated earnings growth rates can lead to capital appreciation and justify higher price-to-earnings ratios.

However, VNR is expected to significantly trail its peers on the basis of its earnings growth rate.

 
Price/Sales
1 2 3 4 5
premium   discount
  Sales Growth
1 2 3 4 5
premium   discount
VNR 5.66 Peers 2.36   VNR -4.96 Peers 9.80

Premium. In the absence of P/E and P/B multiples, the price-to-sales ratio can display the value investors are placing on each dollar of sales.

VNR is trading at a significant premium to its industry.

 

Lower. A sales growth rate that trails the industry implies that a company is losing market share.

VNR significantly trails its peers on the basis of sales growth

 

 

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