WallStSmart

Canadian Natural Resources Ltd (CNQ)vsMagnolia Oil & Gas Corp (MGY)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Canadian Natural Resources Ltd generates 2827% more annual revenue ($38.63B vs $1.32B). CNQ leads profitability with a 25.1% profit margin vs 24.4%. CNQ trades at a lower P/E of 11.8x. CNQ earns a higher WallStSmart Score of 58/100 (C).

CNQ

Buy

58

out of 100

Grade: C

Growth: 2.0Profit: 8.5Value: 7.3Quality: 6.5
Piotroski: 6/9Altman Z: 2.05

MGY

Buy

57

out of 100

Grade: C

Growth: 2.7Profit: 8.5Value: 6.0Quality: 6.5
Piotroski: 3/9Altman Z: 2.81
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

CNQUndervalued (+50.8%)

Margin of Safety

+50.8%

Fair Value

$83.51

Current Price

$39.38

$44.13 discount

UndervaluedFair: $83.51Overvalued

Intrinsic value data unavailable for MGY.

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

CNQ6 strengths · Avg: 9.0/10
P/E RatioValuation
11.8x10/10

Attractively priced relative to earnings

Return on EquityProfitability
30.3%10/10

Every $100 of equity generates 30 in profit

Market CapQuality
$91.79B9/10

Large-cap with strong market position

Profit MarginProfitability
25.1%9/10

Keeps 25 of every $100 in revenue as profit

Price/BookValuation
2.6x8/10

Reasonable price relative to book value

Operating MarginProfitability
21.8%8/10

Strong operational efficiency at 21.8%

MGY5 strengths · Avg: 8.8/10
Operating MarginProfitability
35.6%10/10

Strong operational efficiency at 35.6%

Profit MarginProfitability
24.4%9/10

Keeps 24 of every $100 in revenue as profit

Debt/EquityHealth
0.209/10

Conservative balance sheet, low leverage

P/E RatioValuation
16.0x8/10

Attractively priced relative to earnings

Price/BookValuation
2.5x8/10

Reasonable price relative to book value

Areas to Watch

CNQ3 concerns · Avg: 2.0/10
PEG RatioValuation
3.422/10

Expensive relative to growth rate

Revenue GrowthGrowth
-1.2%2/10

Revenue declined 1.2%

EPS GrowthGrowth
-45.3%2/10

Earnings declined 45.3%

MGY3 concerns · Avg: 3.0/10
Revenue GrowthGrowth
2.3%4/10

2.3% revenue growth

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

EPS GrowthGrowth
-0.3%2/10

Earnings declined 0.3%

Comparative Analysis Report

WallStSmart Research

Bull Case : CNQ

The strongest argument for CNQ centers on P/E Ratio, Return on Equity, Market Cap. Profitability is solid with margins at 25.1% and operating margin at 21.8%.

Bull Case : MGY

The strongest argument for MGY centers on Operating Margin, Profit Margin, Debt/Equity. Profitability is solid with margins at 24.4% and operating margin at 35.6%.

Bear Case : CNQ

The primary concerns for CNQ are PEG Ratio, Revenue Growth, EPS Growth.

Bear Case : MGY

The primary concerns for MGY are Revenue Growth, Piotroski F-Score, EPS Growth.

Key Dynamics to Monitor

CNQ profiles as a declining stock while MGY is a value play — different risk/reward profiles.

CNQ carries more volatility with a beta of 0.88 — expect wider price swings.

MGY is growing revenue faster at 2.3% — sustainability is the question.

CNQ generates stronger free cash flow (856M), providing more financial flexibility.

Bottom Line

CNQ scores higher overall (58/100 vs 57/100), backed by strong 25.1% margins. Both earn "Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Canadian Natural Resources Ltd

ENERGY · OIL & GAS E&P · USA

Canadian Natural Resources Limited acquires, explores, develops, produces, markets and sells crude oil, natural gas and natural gas liquids (NGL). The company is headquartered in Calgary, Canada.

Magnolia Oil & Gas Corp

ENERGY · OIL & GAS E&P · USA

Magnolia Oil & Gas Corporation is engaged in the acquisition, development, exploration and production of oil, natural gas and natural gas liquid reserves in the United States. The company is headquartered in Houston, Texas.

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