Stock Updates

Is this Large Market Cap Stock target price reasonable for Ecopetrol SA (NYSE:EC)?

The company in question is, Ecopetrol SA (NYSE:EC) currently with a stock price of 9.25 (2.10% today). The market cap for Ecopetrol SA is 18699.21, and is in the sector Basic Materials, and Major Integrated Oil & Gas industry. The target price for Ecopetrol SA is 7.68. Currently Ecopetrol SA is trading with a P/E of *TBA, and a forward P/E of 7.27. Average volume for Ecopetrol SA is 1015.94 and so far today it is 632491.

Performance in the last year for Ecopetrol SA has been -9.49%. For EPS growth, Ecopetrol SA has seen a growth of -169.70%, and is looking to grow in the next year to 223.06%. More long term stats show that EPS growth has been -19.90% over the last five years and could be 6.60% for the next five years. Ecopetrol SA has seen sales growth quarter over quarter at -57.40%, with EPS growth quarter over quarter at 13.30%. The 20-day simple moving average is 1.98%, with the 200-day simple moving average coming to 11.66%.

Since the IPO date for Ecopetrol SA on the 9/18/2008, Ecopetrol SA has seen performance year to date to be 29.24%. With Ecopetrol SA trading at 9.25, the dividend yield is 11.48%, and the EPS is -0.64.

So could Ecopetrol SA, be undervalued? Well as said before P/E is *TBA. The PEG is *TBA, P/S is 1.07 and the P/B is at 1.23. The P/cash is 12.4, with P/free cash flow at *TBA.

Ecopetrol SA ability to deal with debt shows that the current ratio is 1.6, and the quick ratio is 1.4. This is with long term debt/equity at 0.83, and total debt/equity at 0.91.

In terms of margins, Ecopetrol SA has a gross margin of 28.60%, an operating margin of 1.40% and a profit margin of -7.60%.Payout ratio for Ecopetrol SA is *TBA. Return on assets come to -3.10% with return on investment coming to 0.90%.

Insider ownership for Ecopetrol SA, is at 1.00% and institutional ownership comes to 2.20%. Outstanding shares are at 2063.93. While shares float is 233.77. The float short is currently 3.51%, and short ratio is 8.07.

Disclaimer: Remember there is a risk to your investment, this is not a recommendation, nor personal advice, never invest more than you are able too loose.

About the author

Tony Dabbs

Leave a Comment