Enerplus

Dividend Yield: 7.10%

Enerplus (NYSE: ERF) shares currently have a dividend yield of 7.10%.

Enerplus Corporation, together with subsidiaries, engages in the exploration and development of crude oil and natural gas in the United States and Canada.

The average volume for Enerplus has been 956,400 shares per day over the past 30 days. Enerplus has a market cap of $3.1 billion and is part of the energy industry. Shares are up 15% year to date as of the close of trading on Wednesday.

TheStreet Ratings rates Enerplus as a sell. Among the areas we feel are negative, one of the most important has been an overall disappointing return on equity.

Highlights from the ratings report include:
  • Current return on equity is lower than its ROE from the same quarter one year prior. This is a clear sign of weakness within the company. Compared to other companies in the Oil, Gas & Consumable Fuels industry and the overall market, ENERPLUS CORP's return on equity significantly trails that of both the industry average and the S&P 500.
  • ENERPLUS CORP reported significant earnings per share improvement in the most recent quarter compared to the same quarter a year ago. This company has not demonstrated a clear trend in earnings over the past 2 years, making it difficult to accurately predict earnings for the coming year. During the past fiscal year, ENERPLUS CORP swung to a loss, reporting -$0.79 versus $0.62 in the prior year.
  • Compared to where it was 12 months ago, the stock is up, but it has so far lagged the appreciation in the S&P 500. Regardless of the rise in share value over the previous year, we feel that the risks involved in investing in this stock do not compensate for any future upside potential.
  • The current debt-to-equity ratio, 0.37, is low and is below the industry average, implying that there has been successful management of debt levels. Even though the company has a strong debt-to-equity ratio, the quick ratio of 0.44 is very weak and demonstrates a lack of ability to pay short-term obligations.
  • The gross profit margin for ENERPLUS CORP is rather high; currently it is at 67.40%. It has increased significantly from the same period last year. Regardless of the strong results of the gross profit margin, the net profit margin of -1.92% is in-line with the industry average.

STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12-months. Learn more.

Other helpful dividend tools from TheStreet:

Editor's Note: TheStreet ratings do not represent the views of TheStreet's staff or its contributors. Ratings are established by computer based on metrics for performance (which includes growth, stock performance, efficiency and valuation) and risk (volatility and solvency). Companies with poor cash flow or high debt levels tend to earn lower ratings in our model.
null

If you liked this article you might like

New York Taps Goldin to Monitor Ocwen's Compliance on Foreclosure Settlement

What To Hold: 3 Hold-Rated Dividend Stocks GES, HLSS, PBF

What To Hold: 3 Hold-Rated Dividend Stocks GHL, SRC, HLSS

What To Hold: 3 Hold-Rated Dividend Stocks SRC, HLSS, WYNN

HLSS, New Residential Complete Deal as an Asset Sale, Not a Merger