Last Updated: 08 Nov 2024
Executive Summary
Ecopetrol SA ADR (EC) is a Colombian integrated oil and gas company with a market capitalization of $155.6 billion. The company has a strong financial position with an EBITDA of $546.8 billion and a profit margin of 12.5%. Ecopetrol's stock price is currently trading at $7.65, which is below its 52-week high of $11.87. The company's fundamentals are strong, and analysts have a hold rating on the stock. The short-term outlook for Ecopetrol is positive, and the long-term outlook is stable.
Company Overview
Ecopetrol is the largest oil and gas company in Colombia. The company operates in the upstream, midstream, and downstream sectors of the oil and gas industry. Ecopetrol has a strong presence in Latin America, with operations in Colombia, Brazil, Peru, and Ecuador. The company also has operations in the United States and Europe.
Fundamental Analysis
Ecopetrol's financial performance has been strong in recent years. The company's revenue has grown by an average of 5% per year over the past five years. Ecopetrol's EBITDA has also grown by an average of 10% per year over the past five years. The company's profit margin has been relatively stable over the past five years, averaging 12%.
Ecopetrol's balance sheet is also strong. The company has a low level of debt and a high level of cash on hand. Ecopetrol's debt-to-equity ratio is 0.5, which is below the industry average. The company's cash-to-debt ratio is 1.5, which is above the industry average.
Technical Analysis
Ecopetrol's stock price has been trading in a range between $7.43 and $11.87 over the past 52 weeks. The stock price is currently trading near the bottom of this range. The stock's 50-day moving average is $8.77, and the stock's 200-day moving average is $10.75. The stock's relative strength index (RSI) is 45, which indicates that the stock is neither overbought nor oversold.
Short Term Outlook
The short-term outlook for Ecopetrol is positive. The company's fundamentals are strong, and the stock price is trading near the bottom of its 52-week range. The stock's RSI is also indicating that the stock is neither overbought nor oversold.
Long Term Outlook
The long-term outlook for Ecopetrol is stable. The company's fundamentals are strong, and the company is well-positioned to benefit from the growing demand for oil and gas in Latin America. The company's dividend yield is also attractive, making it a good investment for income-oriented investors.
Analyst Recommendations
Analysts have a hold rating on Ecopetrol. The average analyst target price for the stock is $10.93.
