Imperial Oil Limited (IMO.TO) Valuation

Valuation

Model-based estimates, not advice. The DCF is the discounted-cash-flow value per share; compare it with the price, not as a target.

DCF fair value

-14.7%

CA$159.66

vs CA$187.28 price

Levered DCF

CA$162.07

After debt service

Piotroski score

6 / 9

Average

Altman Z-score

4.84

Safe zone

Rating

C-

Overall 1 / 5

Ratios by fiscal year

Margins and yields are shares of revenue, equity or price; multiples are ×.

Metric	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019	FY2018
P/E	18.27×	9.79×	9.07×	5.75×	13.11×	-9.55×	11.93×	12.05×
P/B	2.68×	2×	2×	1.88×	1.5×	0.83×	1.08×	1.14×
P/S	1.27×	0.91×	0.87×	0.71×	0.87×	0.8×	0.77×	0.8×
EV / EBITDA	8.98×	6.07×	5.78×	3.8×	6.84×	9.37×	8.23×	6.98×
Gross margin	21.2%	17.9%	18.1%	20.5%	16.2%	7.7%	13.9%	16.1%
Operating margin	9.0%	15.8%	16.1%	18.8%	13.7%	3.3%	10.3%	12.8%
Net margin	6.9%	9.3%	9.6%	12.3%	6.6%	-8.3%	6.5%	6.6%
Current ratio	1.27×	1.33×	1.26×	1.21×	1.41×	1.34×	1.38×	1.35×
Debt / equity	0.2×	0.18×	0.19×	0.2×	0.25×	0.25×	0.23×	0.21×
Interest coverage	0×	198.22×	118.67×	186.82×	95.24×	11.56×	37.69×	41.58×
Dividend yield	2.3%	2.6%	2.5%	2.0%	2.2%	3.7%	2.4%	2.0%
Payout ratio	42.9%	25.8%	22.6%	11.6%	28.5%	-34.9%	28.7%	24.7%

Key metrics by fiscal year

Metric	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019	FY2018
Return on equity	14.7%	20.4%	22.0%	32.7%	11.4%	-8.7%	9.1%	9.4%
Return on invested capital	9.1%	17.4%	18.1%	24.9%	11.0%	1.6%	9.3%	9.0%
Return on assets	7.7%	11.2%	11.9%	16.9%	6.1%	-4.9%	5.2%	5.6%
Free cash flow yield	7.9%	8.8%	4.4%	21.2%	13.4%	-0.4%	10.7%	8.7%
Earnings yield	5.5%	10.2%	11.0%	17.4%	7.6%	-10.5%	8.4%	8.3%
Enterprise value	CA$63B	CA$50.1B	CA$47.8B	CA$42.9B	CA$35.8B	CA$22.3B	CA$29.9B	CA$32.1B
Net debt / EBITDA	0.46×	0.39×	0.42×	0.06×	0.63×	1.9×	1.03×	0.91×
Cash conversion cycle (days)	10	15	17	5	7	19	10	9