Constructs and operates pipelines for crude oil and other liquids. Transports crude oil and other liquids across Canada and the United States. Now — the numbers.
This is an established company with proven profits.
The gap is $5.2B. In times of high interest rates, a gap like that can squeeze a company.
The market pays 17× for every dollar of annual profit — around what a business like this usually costs.
Against companies in its own sector, it looks cheaper than 71% of them.
Analysts' average target sits 3% below today's price.
We compared this company with its own sector across five subjects.
A score of 50 means class average.
Clearly above the class average — a step short of the very top.
Clearly below the class average.
Clearly above the class average — a step short of the very top.
Clearly below the class average.
The price is looking for direction — no strong breakout, no collapse.
Financial Strength: The cash-and-debt balance is thin; the buffer for hard times is slim.
Growth: Sales growth trails the sector average.
The stock trades near its peak today. For long-term holders the ride has paid off so far — though past performance guarantees nothing about the future.
The net profit margin is 27% — still a thick cushion, though costs have been eating into it lately.
It pays out $2.00 per share each year — regular cash for whoever holds the stock.
Over the last 2 years, sales fell about 22% a year on average. Profit is holding up, but a shrinking business is a risk worth watching.
The balance sheet offers little cushion against a rough stretch. Report-card grade: 26/100.
The growth engine is running at low revs right now. Report-card grade: 35/100.
On our five-subject report card, SOBO sits in the middle of the class: some subjects shine, others don’t. The grade moves as the numbers move.
The takeaway: SOBO is an established business that has proven its profits for years. The real debate isn’t the quality of the business — it’s what that quality should cost.
Not covered, because the filings we hold do not carry it: the growth trend, the revenue breakdown.