WallStSmart

Canadian Natural Resources Ltd (CNQ)vsW&T Offshore Inc (WTI)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Canadian Natural Resources Ltd generates 7306% more annual revenue ($38.63B vs $521.61M). CNQ leads profitability with a 25.1% profit margin vs -27.2%. WTI appears more attractively valued with a PEG of 0.73. 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

WTI

Hold

39

out of 100

Grade: F

Growth: 4.0Profit: 3.0Value: 7.7Quality: 5.0
Piotroski: 5/9Altman Z: -0.83
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

CNQUndervalued (+45.4%)

Margin of Safety

+45.4%

Fair Value

$83.74

Current Price

$45.70

$38.04 discount

UndervaluedFair: $83.74Overvalued
WTIUndervalued (+60.8%)

Margin of Safety

+60.8%

Fair Value

$6.68

Current Price

$3.69

$2.98 discount

UndervaluedFair: $6.68Overvalued

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
$98.47B9/10

Large-cap with strong market position

Profit MarginProfitability
25.1%9/10

Keeps 25 of every $100 in revenue as profit

Price/BookValuation
2.9x8/10

Reasonable price relative to book value

Operating MarginProfitability
21.8%8/10

Strong operational efficiency at 21.8%

WTI3 strengths · Avg: 8.7/10
Debt/EquityHealth
-1.5910/10

Conservative balance sheet, low leverage

PEG RatioValuation
0.738/10

Growing faster than its price suggests

Revenue GrowthGrowth
15.5%8/10

15.5% revenue growth

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%

WTI4 concerns · Avg: 2.3/10
Market CapQuality
$604.04M3/10

Smaller company, higher risk/reward

Return on EquityProfitability
-168.9%2/10

ROE of -168.9% — below average capital efficiency

EPS GrowthGrowth
-97.8%2/10

Earnings declined 97.8%

Free Cash FlowQuality
$-7.94M2/10

Negative free cash flow — burning cash

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 : WTI

The strongest argument for WTI centers on Debt/Equity, PEG Ratio, Revenue Growth. Revenue growth of 15.5% demonstrates continued momentum. PEG of 0.73 suggests the stock is reasonably priced for its growth.

Bear Case : CNQ

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

Bear Case : WTI

The primary concerns for WTI are Market Cap, Return on Equity, EPS Growth.

Key Dynamics to Monitor

CNQ profiles as a declining stock while WTI is a growth play — different risk/reward profiles.

CNQ carries more volatility with a beta of 0.91 — expect wider price swings.

WTI is growing revenue faster at 15.5% — sustainability is the question.

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

Bottom Line

CNQ scores higher overall (58/100 vs 39/100), backed by strong 25.1% margins. WTI offers better value entry with a 60.8% margin of safety. Both earn "Buy" and "Hold" 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.

W&T Offshore Inc

ENERGY · OIL & GAS E&P · USA

W&T Offshore, Inc., an independent oil and natural gas producer, is engaged in the acquisition, exploration and development of oil and natural gas properties in the Gulf of Mexico. The company is headquartered in Houston, Texas.

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