Intrinsic value of QEP Resources - QEP

Previous Close

$8.85

  Intrinsic Value

$3.64

stock screener

  Rating & Target

str. sell

-59%

  Value-price divergence*

+50%

Previous close

$8.85

 
Intrinsic value

$3.64

 
Up/down potential

-59%

 
Rating

str. sell

 
Value-price divergence*

+50%

*Intrinsic value change (in %) minus stock price change (in %) in the past 12 months.

We calculate the intrinsic value of QEP stock by summing up the current values of future distributable cash flows generated by the company and dividing the sum by the number of outstanding shares. As such, the intrinsic value calculation depends entirely on projections. The more accurate your projections of the company's performance are - the more reliable is the intrinsic value calculation result. Please make sure to check the stock valuation input data below and adjust it if necessary. The quality of the output (intrinsic valuation result) is only as good as the quality of the input. See also DISCLAIMERS.

STOCK VALUATION INPUT DATA

Revenue (in 2016), $M
Initial revenue growth rate, %
Terminal revenue growth rate, %
Revenue decline factor
Initial discount rate, %
Discount rate multiplier
Variable cost ratio, %
Fixed operating expenses, $M
Interest rate on debt, %
Effective corporate tax rate, %
Production assets / Revenue, %
Life of production assets, yrs
Working capital / Revenue, %
Revenue / Adjusted assets
Adjusted equity ratio
Cash flow adjustment, % of Revenue
Book value of equity, $M
Shares outstanding, mln
Market capitalization, $bln 2.1

 

FINANCIAL STATEMENTS FORECAST and PRESENT VALUE CALCULATION

Fiscal year
2016(a)
   2017
   2018
   2019
   2020
   2021
   2022
   2023
   2024
   2025
   2026
   2027
   2028
   2029
   2030
   2031
   2032
   2033
   2034
   2035
   2036
   2037
   2038
   2039
   2040
   2041
   2042
   2043
   2044
   2045
   2046

INCOME STATEMENT

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Revenue growth rate, %
  -31.80
  15.00
  14.00
  13.10
  12.29
  11.56
  10.90
  10.31
  9.78
  9.30
  8.87
  8.49
  8.14
  7.82
  7.54
  7.29
  7.06
  6.85
  6.67
  6.50
  6.35
  6.22
  6.09
  5.98
  5.89
  5.80
  5.72
  5.65
  5.58
  5.52
  5.47
Revenue, $m
  1,377
  1,584
  1,805
  2,042
  2,293
  2,558
  2,837
  3,129
  3,435
  3,755
  4,088
  4,435
  4,796
  5,171
  5,561
  5,967
  6,388
  6,826
  7,281
  7,754
  8,247
  8,759
  9,293
  9,849
  10,429
  11,033
  11,664
  12,323
  13,011
  13,729
  14,480
Variable operating expenses, $m
 
  1,880
  2,143
  2,424
  2,721
  3,036
  3,367
  3,714
  4,078
  4,457
  4,853
  5,265
  5,693
  6,138
  6,601
  7,082
  7,582
  8,102
  8,642
  9,204
  9,789
  10,397
  11,031
  11,691
  12,379
  13,097
  13,846
  14,627
  15,444
  16,297
  17,188
Fixed operating expenses, $m
 
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
Total operating expenses, $m
  2,980
  1,880
  2,143
  2,424
  2,721
  3,036
  3,367
  3,714
  4,078
  4,457
  4,853
  5,265
  5,693
  6,138
  6,601
  7,082
  7,582
  8,102
  8,642
  9,204
  9,789
  10,397
  11,031
  11,691
  12,379
  13,097
  13,846
  14,627
  15,444
  16,297
  17,188
Operating income, $m
  -1,603
  -296
  -338
  -382
  -429
  -478
  -530
  -585
  -642
  -702
  -764
  -829
  -897
  -967
  -1,040
  -1,116
  -1,195
  -1,276
  -1,362
  -1,450
  -1,542
  -1,638
  -1,738
  -1,842
  -1,950
  -2,063
  -2,181
  -2,304
  -2,433
  -2,567
  -2,708
EBITDA, $m
  -732
  -296
  -338
  -382
  -429
  -478
  -530
  -585
  -642
  -702
  -764
  -829
  -897
  -967
  -1,040
  -1,116
  -1,195
  -1,276
  -1,362
  -1,450
  -1,542
  -1,638
  -1,738
  -1,842
  -1,950
  -2,063
  -2,181
  -2,304
  -2,433
  -2,567
  -2,708
Interest expense (income), $m
  139
  131
  168
  207
  249
  293
  340
  389
  441
  495
  551
  610
  671
  735
  801
  870
  941
  1,015
  1,093
  1,173
  1,256
  1,343
  1,433
  1,528
  1,626
  1,728
  1,835
  1,946
  2,062
  2,183
  2,310
Earnings before tax, $m
  -1,953
  -427
  -506
  -589
  -678
  -771
  -870
  -974
  -1,083
  -1,197
  -1,316
  -1,439
  -1,568
  -1,702
  -1,841
  -1,985
  -2,136
  -2,292
  -2,454
  -2,623
  -2,798
  -2,981
  -3,171
  -3,369
  -3,576
  -3,791
  -4,016
  -4,250
  -4,495
  -4,751
  -5,018
Tax expense, $m
  -708
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
Net income, $m
  -1,245
  -427
  -506
  -589
  -678
  -771
  -870
  -974
  -1,083
  -1,197
  -1,316
  -1,439
  -1,568
  -1,702
  -1,841
  -1,985
  -2,136
  -2,292
  -2,454
  -2,623
  -2,798
  -2,981
  -3,171
  -3,369
  -3,576
  -3,791
  -4,016
  -4,250
  -4,495
  -4,751
  -5,018

BALANCE SHEET

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Cash and short-term investments, $m
  444
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
Total assets, $m
  7,245
  7,839
  8,937
  10,108
  11,350
  12,662
  14,043
  15,491
  17,007
  18,589
  20,239
  21,956
  23,743
  25,601
  27,532
  29,538
  31,623
  33,790
  36,043
  38,387
  40,824
  43,362
  46,005
  48,758
  51,628
  54,621
  57,744
  61,004
  64,409
  67,967
  71,685
Adjusted assets (=assets-cash), $m
  6,801
  7,839
  8,937
  10,108
  11,350
  12,662
  14,043
  15,491
  17,007
  18,589
  20,239
  21,956
  23,743
  25,601
  27,532
  29,538
  31,623
  33,790
  36,043
  38,387
  40,824
  43,362
  46,005
  48,758
  51,628
  54,621
  57,744
  61,004
  64,409
  67,967
  71,685
Revenue / Adjusted assets
  0.202
  0.202
  0.202
  0.202
  0.202
  0.202
  0.202
  0.202
  0.202
  0.202
  0.202
  0.202
  0.202
  0.202
  0.202
  0.202
  0.202
  0.202
  0.202
  0.202
  0.202
  0.202
  0.202
  0.202
  0.202
  0.202
  0.202
  0.202
  0.202
  0.202
  0.202
Average production assets, $m
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
Working capital, $m
  125
  -353
  -403
  -455
  -511
  -570
  -633
  -698
  -766
  -837
  -912
  -989
  -1,070
  -1,153
  -1,240
  -1,331
  -1,424
  -1,522
  -1,624
  -1,729
  -1,839
  -1,953
  -2,072
  -2,196
  -2,326
  -2,460
  -2,601
  -2,748
  -2,901
  -3,062
  -3,229
Total debt, $m
  2,033
  2,587
  3,188
  3,830
  4,511
  5,230
  5,986
  6,780
  7,611
  8,478
  9,382
  10,323
  11,302
  12,320
  13,378
  14,478
  15,621
  16,808
  18,043
  19,327
  20,663
  22,053
  23,501
  25,010
  26,583
  28,223
  29,935
  31,721
  33,587
  35,537
  37,575
Total liabilities, $m
  3,743
  4,296
  4,897
  5,539
  6,220
  6,939
  7,695
  8,489
  9,320
  10,187
  11,091
  12,032
  13,011
  14,029
  15,087
  16,187
  17,330
  18,517
  19,752
  21,036
  22,372
  23,762
  25,210
  26,719
  28,292
  29,932
  31,644
  33,430
  35,296
  37,246
  39,284
Total equity, $m
  3,503
  3,543
  4,039
  4,569
  5,130
  5,723
  6,347
  7,002
  7,687
  8,402
  9,148
  9,924
  10,732
  11,572
  12,444
  13,351
  14,294
  15,273
  16,292
  17,351
  18,453
  19,600
  20,794
  22,039
  23,336
  24,689
  26,100
  27,574
  29,113
  30,721
  32,402
Total liabilities and equity, $m
  7,246
  7,839
  8,936
  10,108
  11,350
  12,662
  14,042
  15,491
  17,007
  18,589
  20,239
  21,956
  23,743
  25,601
  27,531
  29,538
  31,624
  33,790
  36,044
  38,387
  40,825
  43,362
  46,004
  48,758
  51,628
  54,621
  57,744
  61,004
  64,409
  67,967
  71,686
Debt-to-equity ratio
  0.580
  0.730
  0.790
  0.840
  0.880
  0.910
  0.940
  0.970
  0.990
  1.010
  1.030
  1.040
  1.050
  1.060
  1.080
  1.080
  1.090
  1.100
  1.110
  1.110
  1.120
  1.130
  1.130
  1.130
  1.140
  1.140
  1.150
  1.150
  1.150
  1.160
  1.160
Adjusted equity ratio
  0.452
  0.452
  0.452
  0.452
  0.452
  0.452
  0.452
  0.452
  0.452
  0.452
  0.452
  0.452
  0.452
  0.452
  0.452
  0.452
  0.452
  0.452
  0.452
  0.452
  0.452
  0.452
  0.452
  0.452
  0.452
  0.452
  0.452
  0.452
  0.452
  0.452
  0.452

CASH FLOW

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Net income, $m
  -1,245
  -427
  -506
  -589
  -678
  -771
  -870
  -974
  -1,083
  -1,197
  -1,316
  -1,439
  -1,568
  -1,702
  -1,841
  -1,985
  -2,136
  -2,292
  -2,454
  -2,623
  -2,798
  -2,981
  -3,171
  -3,369
  -3,576
  -3,791
  -4,016
  -4,250
  -4,495
  -4,751
  -5,018
Depreciation, amort., depletion, $m
  871
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
Funds from operations, $m
  779
  -427
  -506
  -589
  -678
  -771
  -870
  -974
  -1,083
  -1,197
  -1,316
  -1,439
  -1,568
  -1,702
  -1,841
  -1,985
  -2,136
  -2,292
  -2,454
  -2,623
  -2,798
  -2,981
  -3,171
  -3,369
  -3,576
  -3,791
  -4,016
  -4,250
  -4,495
  -4,751
  -5,018
Change in working capital, $m
  115
  -46
  -49
  -53
  -56
  -59
  -62
  -65
  -68
  -71
  -74
  -77
  -80
  -84
  -87
  -90
  -94
  -98
  -101
  -106
  -110
  -114
  -119
  -124
  -129
  -135
  -141
  -147
  -153
  -160
  -168
Cash from operations, $m
  664
  -381
  -456
  -536
  -622
  -712
  -808
  -909
  -1,015
  -1,126
  -1,241
  -1,362
  -1,487
  -1,618
  -1,754
  -1,895
  -2,042
  -2,194
  -2,353
  -2,517
  -2,689
  -2,867
  -3,052
  -3,245
  -3,447
  -3,656
  -3,875
  -4,103
  -4,342
  -4,590
  -4,850
Maintenance CAPEX, $m
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
New CAPEX, $m
  -1,208
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
Cash from investing activities, $m
  -1,179
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
Free cash flow, $m
  -515
  -381
  -456
  -536
  -622
  -712
  -808
  -909
  -1,015
  -1,126
  -1,241
  -1,362
  -1,487
  -1,618
  -1,754
  -1,895
  -2,042
  -2,194
  -2,353
  -2,517
  -2,689
  -2,867
  -3,052
  -3,245
  -3,447
  -3,656
  -3,875
  -4,103
  -4,342
  -4,590
  -4,850
Issuance/(repayment) of debt, $m
  -194
  566
  601
  642
  681
  719
  757
  794
  830
  867
  904
  941
  979
  1,018
  1,058
  1,100
  1,143
  1,188
  1,235
  1,284
  1,336
  1,391
  1,448
  1,509
  1,573
  1,640
  1,711
  1,787
  1,866
  1,950
  2,038
Issuance/(repurchase) of shares, $m
  777
  900
  1,002
  1,118
  1,239
  1,365
  1,494
  1,629
  1,768
  1,912
  2,061
  2,216
  2,376
  2,541
  2,714
  2,892
  3,078
  3,271
  3,472
  3,682
  3,900
  4,128
  4,366
  4,614
  4,873
  5,144
  5,427
  5,724
  6,034
  6,359
  6,699
Cash from financing (excl. dividends), $m  
  583
  1,466
  1,603
  1,760
  1,920
  2,084
  2,251
  2,423
  2,598
  2,779
  2,965
  3,157
  3,355
  3,559
  3,772
  3,992
  4,221
  4,459
  4,707
  4,966
  5,236
  5,519
  5,814
  6,123
  6,446
  6,784
  7,138
  7,511
  7,900
  8,309
  8,737
Total cash flow (excl. dividends), $m
  68
  1,084
  1,147
  1,223
  1,298
  1,371
  1,443
  1,514
  1,584
  1,654
  1,724
  1,795
  1,867
  1,941
  2,018
  2,097
  2,179
  2,265
  2,355
  2,449
  2,548
  2,652
  2,762
  2,877
  2,999
  3,128
  3,264
  3,407
  3,558
  3,718
  3,886
Retained Cash Flow (-), $m
  445
  -900
  -1,002
  -1,118
  -1,239
  -1,365
  -1,494
  -1,629
  -1,768
  -1,912
  -2,061
  -2,216
  -2,376
  -2,541
  -2,714
  -2,892
  -3,078
  -3,271
  -3,472
  -3,682
  -3,900
  -4,128
  -4,366
  -4,614
  -4,873
  -5,144
  -5,427
  -5,724
  -6,034
  -6,359
  -6,699
Prev. year cash balance distribution, $m
 
  432
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
Cash flow adjustment, $m
 
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
Cash available for distribution, $m
 
  617
  145
  105
  59
  7
  -52
  -115
  -184
  -258
  -337
  -421
  -508
  -600
  -696
  -795
  -899
  -1,007
  -1,118
  -1,233
  -1,353
  -1,476
  -1,604
  -1,737
  -1,874
  -2,016
  -2,164
  -2,317
  -2,476
  -2,641
  -2,813
Discount rate, %
 
  5.60
  5.88
  6.17
  6.48
  6.81
  7.15
  7.50
  7.88
  8.27
  8.69
  9.12
  9.58
  10.06
  10.56
  11.09
  11.64
  12.22
  12.84
  13.48
  14.15
  14.86
  15.60
  16.38
  17.20
  18.06
  18.96
  19.91
  20.91
  21.95
  23.05
PV of cash for distribution, $m
 
  584
  129
  88
  46
  5
  -34
  -69
  -100
  -126
  -147
  -161
  -170
  -173
  -171
  -164
  -154
  -142
  -127
  -112
  -96
  -80
  -66
  -53
  -42
  -32
  -24
  -17
  -12
  -8
  -6
Current shareholders' claim on cash, %
  100
  70.5
  50.2
  36.0
  25.9
  18.8
  13.7
  10.0
  7.4
  5.4
  4.0
  3.0
  2.2
  1.7
  1.2
  0.9
  0.7
  0.5
  0.4
  0.3
  0.2
  0.2
  0.1
  0.1
  0.1
  0.1
  0.0
  0.0
  0.0
  0.0
  0.0

QEP Resources, Inc. is an independent crude oil and natural gas exploration and production company. The Company focuses on two regions of the United States: the Northern Region (primarily in North Dakota, Wyoming and Utah) and the Southern Region (primarily in Texas and Louisiana). The Company conducts exploration and production activities in North America's hydrocarbon resource plays. The Company has an inventory of developed and undeveloped drilling locations in the Permian Basin in western Texas, the Williston Basin in North Dakota, Haynesville/Cotton Valley in northwestern Louisiana, the Pinedale Anticline (Pinedale) in western Wyoming, the Uinta Basin in eastern Utah and other properties in Wyoming, Utah and Colorado. It sells gas volumes to wholesale marketers, industrial users, local distribution companies and utilities. It sells oil and natural gas liquid (NGL) volumes to refiners, marketers and other companies.

FINANCIAL RATIOS  of  QEP Resources (QEP)

Valuation Ratios
P/E Ratio -1.7
Price to Sales 1.5
Price to Book 0.6
Price to Tangible Book
Price to Cash Flow 3.2
Price to Free Cash Flow -3.9
Growth Rates
Sales Growth Rate -31.8%
Sales - 3 Yr. Growth Rate %
EPS Growth Rate %
EPS - 3 Yr. Growth Rate %
Capital Spending Gr. Rate -2.5%
Cap. Spend. - 3 Yr. Gr. Rate -5.5%
Financial Strength
Quick Ratio 37
Current Ratio 0
LT Debt to Equity 57.7%
Total Debt to Equity 58%
Interest Coverage -13
Management Effectiveness
Return On Assets -14.8%
Ret/ On Assets - 3 Yr. Avg. -2%
Return On Total Capital -21.3%
Ret/ On T. Cap. - 3 Yr. Avg. -3.8%
Return On Equity -33.4%
Return On Equity - 3 Yr. Avg. -5.4%
Asset Turnover 0.2
Profitability Ratios
Gross Margin 0%
Gross Margin - 3 Yr. Avg. 0%
EBITDA Margin -68.5%
EBITDA Margin - 3 Yr. Avg. -4.5%
Operating Margin -116.4%
Oper. Margin - 3 Yr. Avg. -53.3%
Pre-Tax Margin -141.8%
Pre-Tax Margin - 3 Yr. Avg. -57.6%
Net Profit Margin -90.4%
Net Profit Margin - 3 Yr. Avg. -24.9%
Effective Tax Rate 36.3%
Eff/ Tax Rate - 3 Yr. Avg. 37%
Payout Ratio 0%

QEP stock valuation input parameters

Revenue. Company's revenue (or sales) is always the starting point of any cash flow forecast. In the QEP stock intrinsic value calculation we used $1377 million for the last fiscal year's total revenue generated by QEP Resources. The default revenue input number comes from 2016 income statement of QEP Resources. You may change it if you feel that it should be adjusted for some unusual circumstances that are not expected to be repeated in the future or if you already know (from interim financial statements, for example) that this year's revenue is going to be quite different.

Revenue growth rate. Forecasted future revenue growth rate is the most important input parameter for the intrinsic value calculation. Unlike other input parameters that are reasonably expected to be in line with their historic averages or their historic trends, the revenue growth rate by and large is a wild card: nobody really knows what the company's revenue will be in the future. Of course, the level of unpredictability is different for different industries (utility companies being the most predictable and, thus, less risky).
    We use three input parameters to forecast the revenue growth rate in our QEP stock valuation model: a) initial revenue growth rate of 15% whose default value is the revenue growth rate in the most recent quarter compared to the quarterly revenue a year ago; b) terminal revenue growth rate of 5% whose default value is chosen to be close to the average nominal (i.e. not adjusted for inflation) GDP growth rate; and c) revenue decline factor of 0.9, which stipulates that revenue growth rate in each forecasted year will be equal to the difference of the revenue growth rate in the preceding year and the terminal revenue growth rate multiplied by this revenue decline factor (with the passage of time the revenue growth rate will be approaching the terminal revenue growth rate, but not quite reaching it - though the difference could be infinitesimally small).
    At the revenue decline factor of 1, the future revenue growth rate is forecasted to be constant and equal to the initial revenue growth rate. The smaller the revenue decline factor, the faster the revenue growth rate will approach the terminal revenue growth.

Discount rate. The discount rate is used for determining the present value of future cash flows: future cash flows are "discounted" as at normal conditions (that translate into positive expected return on investment) one dollar today is worth more than the same dollar in the future. Unlike all other valuation models, we use variable discount rate, i.e. it increases for each consecutive year. This is done to account for higher risk of cash flows coming in further in the future.
    The initial discount rate of 5.6%, whose default value for QEP is calculated based on our internal credit rating of QEP Resources, is applied to the cash flow expected to be received a year from now (well, actually, to be precise, in the financial year following the base year - the last year for which we have financial statements). For each consecutive year the discount rate is multiplied by the discount rate multiplier of 1.05, e.i. each year it increases by 5%. Feel free to change this number to correspond to your level of risk assessment of QEP Resources.
    By the way, it is easy to set the discount rate to be constant (this would make comparison with other valuation models easier): just set the discount rate multiplier equal to 1 and chose the magnitude of the initial discount rate to your liking.

Variable cost ratio is the ratio of variable costs (i.e. costs that fluctuate with fluctuation of the volume of production) to the revenue expressed as a percentage. In the calculation of intrinsic value of QEP stock the variable cost ratio is equal to 118.7%.

Fixed operating expenses is just that - expenses that are not dependant on the volume of production. They are set to $0 million in the base year in the intrinsic value calculation for QEP stock. These expenses increase with the level of inflation in subsequent years.

Interest rate on debt is the average all-in rate of interest paid by the company on its debt. It is set at 6.5% for QEP Resources.

Corporate tax rate of 27% is the nominal tax rate for QEP Resources. In reality, companies find ways to pay much less taxes than that or not to pay them at all.

Cash flow adjustment could be used for any adjustment the investor deems necessary. Most commonly we use this field to account for stock options-related effects in excess of what is reported on the company's income statement. The cash flow adjustment is expressed as a percentage of the revenue, and in the current valuation of the QEP stock is equal to 0%.

Production assets are the company's assets used for manufacturing products or provision of services. In the valuation model input table they are expressed as a percentage of revenue and for QEP are equal to 0%.

Life of production assets of 0 years is the average useful life of capital assets used in QEP Resources operations. It is used to calculate yearly capital expenditures needed to keep these assets in good order - we call it the maintenance CAPEX.

Working capital is the difference between the company's current assets and liabilities. In the model we use the ratio of working capital to revenue, which for QEP is equal to -22.3%. A negative number means that the company is apt at using financial resources of its suppliers and customers; a large positive number, on the other hand, means that it either provides in-kind financing to others or is not good at managing its inventories.

Book value of equity - $3503 million for QEP Resources - is used in calculation of the "floor" for intrinsic valuation based on the discounted cash flow (DCF) method. Even if the prospects are very bad for a company, its assets could always be sold now for their current fair market value.

Shares outstanding of 240.32 million for QEP Resources is needed to calculate the intrinsic value of one share.

Market capitalization is used here only for reference purposes and as a quick check that the share price and the number of shares outstanding numbers are correct - something especially to be cognizant about at stock splits. So, the market capitalization of QEP Resources at the current share price and the inputted number of shares is $2.1 billion.

RELATED COMPANIES Price Int.Val. Rating
WPX WPX Energy 10.90 2.17  str.sell
WLL Whiting Petrol 5.26 3.54  hold
BBG Bill Barrett 4.21 1.93  sell
SM SM Energy 19.25 5.60  str.sell
OAS Oasis Petroleu 8.67 3.09  str.sell
SWN Southwestern E 5.58 0.47  str.sell
NFX Newfield Explo 30.02 1.17  str.sell
XEC Cimarex Energy 115.88 3.71  str.sell

COMPANY NEWS

▶ Surprise Build in US Gasoline Inventories: Impact on Prices   [Oct-13-17 05:06PM  Market Realist]
▶ Are Shorts Losing Interest in Energy?   [Oct-12-17 12:24PM  Barrons.com]
▶ US Crude Oil Production Hit July 2015 High   [Oct-05-17 10:59AM  Market Realist]
▶ Here's Why QEP Resources Inc.'s Stock Is Sinking Today   [Sep-26-17 03:45PM  Motley Fool]
▶ Irans Crude Oil Production Was Flat in August 2017   [Sep-19-17 10:32AM  Market Realist]
▶ Could Crude Oil Futures Rise Due to Short Covering?   [Sep-01-17 05:10PM  Market Realist]
▶ US Dollar Supported Crude Oil Prices Last Week   [Aug-21-17 10:57AM  Market Realist]
▶ US Distillate Inventories Rose for the First Time in 5 Weeks   [Aug-17-17 10:00AM  Market Realist]
▶ Weekly CFO Buys Highlights   [Aug-09-17 01:15PM  GuruFocus.com]
▶ Russias Crude Oil Production Was Flat Again   [Aug-08-17 09:11AM  Market Realist]
▶ The Worst Energy Stocks from July 2428, 2017   [Aug-01-17 08:18AM  Market Realist]
▶ Is $51K Too Much to Pay for an Acre in the Permian Basin?   [09:11AM  The Wall Street Journal]
▶ Here's Why QEP Resources Inc Stock Is Sinking Today   [Jul-27-17 12:05PM  Motley Fool]
▶ QEP Resources beats 2Q profit forecasts   [Jul-26-17 10:31PM  Associated Press]
▶ Hedge Funds Net Long Positions in US Crude Oil Rose Again   [Jul-25-17 12:36PM  Market Realist]
▶ Cushing Inventories: Lowest Level since November 2016   [Jul-10-17 01:21PM  Market Realist]
▶ US Crude Oil Production: Biggest Weekly Rise since January   [Jul-07-17 11:03AM  Market Realist]
▶ Why Traders Are Tracking the APIs Crude Oil Inventories   [Jul-05-17 09:52AM  Market Realist]
▶ Why Crude Oil Price Forecasts Revised US Crude Oil Futures   [Jul-03-17 12:36PM  Market Realist]
▶ Hedge Funds Net Long Bullish Positions Hit a 10-Month Low   [Jun-27-17 11:01AM  Market Realist]
▶ Cushing Inventories Fell for the Ninth Time in 10 Weeks   [Jun-26-17 11:54AM  Market Realist]
▶ US Gasoline Inventories Could Help Crude Oil Bulls   [Jun-22-17 11:13AM  Market Realist]
▶ Could US Crude Oil Futures Hit $40 per Barrel?   [Jun-21-17 10:05AM  Market Realist]
▶ US Crude Oil Futures: Traders Track Key Moving Averages   [Jun-19-17 11:46AM  Market Realist]
▶ EIA, IEA, and OPEC Expect US Crude Oil Production to Rise   [Jun-15-17 12:35PM  Market Realist]
▶ Saudi Arabias Real Crude Oil Production and Export Plans   [Jun-13-17 10:42AM  Market Realist]
▶ Feds Meeting Could Drive Crude Oil Prices This Week   [Jun-12-17 11:14AM  Market Realist]
▶ Surprise Build in US Crude Oil Inventories Hurt Oil Prices   [Jun-09-17 09:51AM  Market Realist]
▶ What Could Offset OPECs Crude Oil Production Cut Deal?   [Jun-02-17 11:35AM  Market Realist]
▶ ETFs with exposure to QEP Resources, Inc. : June 1, 2017   [Jun-01-17 02:04PM  Capital Cube]
▶ Hedge Funds Raised Bullish Bets on US Crude Oil   [May-30-17 08:40AM  Market Realist]
▶ Are Hedge Funds Turning Bearish on Crude Oil?   [May-22-17 11:36AM  Market Realist]
▶ US Crude Oil Inventories Fell in the Last 6 Weeks   [May-18-17 09:44AM  Market Realist]
▶ Bears Celebrate: US Crude Oil Production Hit 2015 High   [May-04-17 09:01AM  Market Realist]
▶ Analyzing OPECs Crude Oil Production and Oil Prices   [May-03-17 09:21AM  Market Realist]
▶ Energy Calendar for Oil and Gas Traders: May 15   [May-01-17 07:52AM  Market Realist]
▶ QEP Resources tops Street 1Q forecasts   [Apr-26-17 05:58PM  Associated Press]
▶ US Dollar Could Support Crude Oil Prices This Week   [Apr-24-17 12:05PM  Market Realist]
▶ Gasoline Futures Fell from 20-Month Highs   [Apr-20-17 09:53AM  Market Realist]
▶ EIAs Gasoline Inventories Could Surprise Traders   [Apr-19-17 07:37AM  Market Realist]
▶ Analyzing OPECs Crude Oil Production Cut Deal   [Apr-18-17 07:38AM  Market Realist]
▶ EIA Upgrades US Crude Oil Production for 2018   [Apr-13-17 08:55AM  Market Realist]
▶ US Dollar Could Impact Crude Oil Prices in 2Q17   [Apr-03-17 07:38AM  Market Realist]
▶ US Crude Oil Production Is near a 1-Year High   [07:38AM  Market Realist]
▶ Oil & Gas Industry Outlook - March 2017   [Mar-27-17 04:27PM  Zacks]
▶ Windstream, Gulfport Energy in Thursdays 52-Week Low Club   [Mar-23-17 04:04PM  24/7 Wall St.]
▶ What Investors Can Expect from Crude Oil Prices   [Mar-13-17 11:35AM  Market Realist]
Financial statements of QEP
Valuation of Stocks

The paper VALUATION OF STOCKS: The Quest for Intrinsic Value provides a detailed description of our valuation model and discloses the calculation algorithm.

FREE DOWNLOAD
Follow us on:   twitter   twitter   twitter   twitter

VALUATION THEORY       ASSET ALLOCATION

About X-FIN       Site news       Privacy policy       Terms of use       FAQ

Copyright © X-FIN.com 2005-2017. All rigths reserved.