ASX:CTP Income Statement Mar 18th 18
More We can further evaluate Central Petroleum’s loss by looking at what the industry has been experiencing over the past few years. Each year, for the past half a decade Central Petroleum’s top-line has risen by 43.55% on average, indicating that the company is in a high-growth phase with expenses shooting ahead of revenues, leading to annual losses. Eyeballing growth from a sector-level, the Australian oil and gas industry has been ramping up growth, more than doubling average earnings over the previous year, and a strong 12.36% over the past five years. This means any tailwind the industry is benefiting from, Central Petroleum has not been able to leverage it as much as its industry peers.
What does this mean? Though Central Petroleum’s past data is helpful, it is only one aspect of my investment thesis. Companies that incur net loss is always hard to predict what will occur going forward, and when. The most useful step is to assess company-specific issues Central Petroleum may be facing and whether management guidance has dependably been met in the past. I suggest you continue to research Central Petroleum to get a more holistic view of the stock by looking at:
1. Financial Health : Is CTP’s operations financially sustainable? Balance sheets can be hard to analyze, which is why we’ve done it for you. Check out our financial health checks here . 2. Valuation : What is CTP worth today? Is the stock undervalued, even when its growth outlook is factored into its intrinsic value? The intrinsic value infographic in our free research report helps visualize whether CTP is currently mispriced by the market. 3. Other High-Performing Stocks : Are there other stocks that provide better prospects with proven track records? Explore our free list of these great stocks here . NB: Figures in this article are calculated using data from the trailing twelve months from 31 December 2017. This may not be consistent with full year annual report figures. To help readers see pass the short term volatility of the financial market, we aim to bring you a long-term focused research analysis purely driven by fundamental data. Note that our analysis does not factor in the latest price sensitive company announcements. The author is an independent contributor and at the time of publication had no position in the stocks mentioned.