Whitecap Resources Inc. (TSX: WCP) is a Calgary-based oil and gas company specializing in the acquisition, development, and production of petroleum and natural gas assets across Western Canada. Founded in 2009, Whitecap has established a robust presence in regions such as Northern Alberta, British Columbia, Central Alberta, and Saskatchewan. The company’s strategic focus on these areas has enabled it to achieve significant growth and operational efficiency.
In 2024, Whitecap reported record annual production, averaging 174,255 barrels of oil equivalent per day (boe/d), a substantial increase from previous years. This growth was primarily driven by successful drilling programs in key assets, including the Montney at Musreau and the Duvernay at Kaybob.
Whitecap maintains a commitment to shareholder returns, offering a competitive dividend yield. As of early 2025, the company confirmed a monthly dividend of CAD 0.0608 per share, reflecting its consistent approach to returning capital to shareholders.
The company’s valuation metrics indicate a price-to-earnings (P/E) ratio of 5.64 and a price-to-book (P/B) ratio of 0.83, suggesting that the stock is trading at a discount relative to its book value.
Key Stats: Whitecap Resources Inc. (TSX: WCP)
📉 Whitecap Resources Inc. (TSX: WCP) stock has shown volatility over the past year, with notable highs in mid-2024 followed by a steady decline, currently trending closer to its 52-week low. Investors should watch for potential recovery as merger developments unfold.
| Metric | Value |
|---|---|
| Market Cap | CAD 4.55 billion |
| Beta | N/A |
| 52-Week High | CAD 11.31 |
| 52-Week Low | CAD 7.10 |
| P/E Ratio (TTM) | 5.64 |
| Dividend Yield | 9.52% |
Peers Comparison: Whitecap Resources Inc. (TSX: WCP)
| Code | Name | GIC Sector | Market Cap | Beta | 52-Week High | 52-Week Low | 50-Day MA | 200-Day MA | Shares Short | Short Ratio | Short Percent |
|---|---|---|---|---|---|---|---|---|---|---|---|
| PHW | Purpose International Tactical Hedged Equity | Energy | — | 0.00 | 20.54 | 17.42 | 19.96 | 19.48 | 0 | 0.00 | — |
| PFCB | Picton Mahoney Fortified Core Bond Fund | Energy | — | 0.00 | 10.79 | 10.04 | 10.65 | 10.53 | 0 | 0.00 | — |
| ENB | Enbridge Inc | Energy | $130.27B | 0.838 | 64.78 | 42.54 | 62.34 | 57.58 | 31,077,570 | 4.16 | 0.0143 |
| CNQ | Canadian Natural Resources Ltd | Energy | $79.44B | 1.545 | 53.77 | 36.61 | 42.83 | 46.11 | 15,610,428 | 0.69 | 0.0106 |
| TRP | TC Energy Corp | Energy | $67.99B | 0.891 | 70.33 | 41.28 | 66.79 | 61.90 | 31,322,199 | 3.34 | 0.0419 |
| SU | Suncor Energy Inc | Energy | $58.47B | 1.167 | 58.15 | 44.50 | 54.37 | 53.68 | 19,033,946 | 1.66 | 0.0191 |
| IMO | Imperial Oil Ltd | Energy | $44.72B | 1.428 | 107.87 | 85.09 | 99.19 | 98.63 | 3,716,096 | 4.32 | 0.024 |
| PPL | Pembina Pipeline Corp | Energy | $30.06B | 1.023 | 58.94 | 43.74 | 54.26 | 54.61 | 15,182,961 | 3.08 | 0.0386 |
| CVE | Cenovus Energy Inc | Energy | $29.18B | 1.926 | 28.83 | 14.99 | 20.17 | 22.90 | 12,483,779 | 1.64 | 0.0143 |
| CCO | Cameco Corp | Energy | $23.05B | 1.229 | 88.18 | 48.65 | 64.23 | 67.71 | 3,679,534 | 3.01 | 0.0143 |
📌 Whitecap Resources (TSX: WCP) competes in a robust energy sector alongside major players like Enbridge and Canadian Natural Resources. Its smaller market cap and low valuation ratios may appeal to investors seeking growth in under-the-radar oil and gas producers.
Valuation Measures: Whitecap Resources Inc. (TSX: WCP)
| Metric | Current | 12/31/2024 | 9/30/2024 | 6/30/2024 | 3/31/2024 | 12/31/2023 |
|---|---|---|---|---|---|---|
| Market Cap | 4.50B | 6.00B | 5.94B | 6.00B | 6.13B | 5.38B |
| Enterprise Value | 5.28B | 7.21B | 7.25B | 7.42B | 7.51B | 6.58B |
| Trailing P/E | 5.63 | 7.03 | 8.08 | 8.86 | 7.02 | 5.91 |
| Forward P/E | 9.95 | 8.72 | — | — | 8.26 | 7.62 |
| PEG Ratio (5yr expected) | — | — | — | — | — | — |
| Price/Sales | 1.16 | 1.56 | 1.52 | 1.58 | 1.62 | 1.33 |
| Price/Book | 0.78 | 1.07 | 1.07 | 1.10 | 1.12 | 0.99 |
| Enterprise Value/Revenue | 1.34 | 1.84 | 1.81 | 1.94 | 1.95 | 1.62 |
| Enterprise Value/EBITDA | 2.47 | 3.35 | 3.69 | 3.95 | 3.54 | 3.04 |
📌 Whitecap Resources (TSX: WCP) appears undervalued based on several valuation metrics, with a notably low trailing P/E and price-to-book ratio, suggesting attractive fundamentals for value investors.
Final Thoughts
Whitecap Resources Inc. has demonstrated robust operational and financial performance, underpinned by strategic asset development and prudent financial management. The company’s attractive valuation metrics and commitment to shareholder returns position it favorably within the energy sector. Investors seeking exposure to a well-managed oil and gas producer with a strong track record may find Whitecap Resources to be a compelling opportunity.
Key Takeaways:
- Strong Production Growth: Achieved record production levels in 2024, driven by successful drilling programs.
- Solid Financial Performance: Reported significant revenues and net income, reflecting operational efficiency.
- Attractive Valuation: Low P/E and P/B ratios suggest potential undervaluation.
- Competitive Dividend Yield: Consistent monthly dividends provide steady income to shareholders.
- Strengthened Balance Sheet: Reduced net debt and improved debt-to-EBITDA ratio enhance financial stability.
For more information, visit Whitecap Resources Inc.’s official website: www.wcap.ca.
