Equinor ASA (EQNR, Financial), a Norway-based integrated oil and gas company, has seen a significant surge in its stock price over the past three months. With a market cap of $96.69 billion and a current price of $33.14, the company's stock has gained 2.63% over the past week and a remarkable 15.46% over the past three months. The GF Value, defined by GuruFocus.com, calculates a stock's intrinsic value using historical multiples, past performance adjustments, and future business estimates. Currently, the GF Value of Equinor ASA stands at $39.32, compared to $44.3 three months ago. This indicates that the stock is modestly undervalued, a shift from being significantly undervalued three months ago.
Company Overview
Equinor ASA operates primarily on the Norwegian Continental Shelf, producing 2.0 million barrels of oil equivalent per day in 2022, with 50% being liquids. The company ended the year with 5.2 billion barrels of proven reserves, 49% of which were liquids. Equinor's operations also include offshore wind, solar, oil refineries, and natural gas processing, marketing, and trading. The government retains a 67% stake in the publicly listed company since 2001. 
Profitability Analysis
Equinor ASA's Profitability Rank stands at 8/10, indicating a high level of profitability compared to other companies in the industry. The company's operating margin is 47.48%, better than 89.71% of the companies in the industry. The ROE, ROA, and ROIC, which stand at 49.05%, 15.95%, and 26.68% respectively, are all better than the majority of the companies in the industry. Furthermore, Equinor ASA has maintained profitability for 7 out of the past 10 years, better than 68.21% of the companies in the industry. 
Growth Prospects
Equinor ASA's Growth Rank is 9/10, indicating strong growth prospects. The company's 3-year and 5-year revenue growth rate per share are 39.50% and 17.70% respectively, both better than the majority of the companies in the industry. The total revenue growth rate for the future 3 to 5 years is estimated at 9.67%, better than 72.59% of the companies in the industry. However, the 3-year EPS without NRI growth rate is -24.52%, which is not applicable for comparison with other companies. 
Top Holders
Ken Fisher (Trades, Portfolio), Jim Simons (Trades, Portfolio), and Scott Black (Trades, Portfolio) are the top three holders of Equinor ASA's stock. Ken Fisher (Trades, Portfolio) holds 372,631 shares, representing 0.01% of the total shares, while Jim Simons (Trades, Portfolio) holds 200,523 shares, also representing 0.01% of the total shares. Scott Black (Trades, Portfolio) holds a smaller stake with 27,199 shares.
Competitors
Equinor ASA faces competition from Barings Global Short Duration High Yield Fund (BGH, Financial) with a stock market cap of $251.406 million, Main Street Capital Corp (MAIN, Financial) with a stock market cap of $3.29 billion, and India Fund Inc (IFN, Financial) with a stock market cap of $505.907 million.
Conclusion
In conclusion, Equinor ASA has demonstrated strong stock performance, profitability, and growth prospects. The company's stock has seen a significant surge over the past three months, and it is currently modestly undervalued. Equinor ASA's profitability and growth ranks are high, indicating a strong future outlook. The company also has notable holders and faces competition from companies with similar market capitalization. These factors make Equinor ASA a compelling consideration for value investors and GuruFocus website members.
This article, generated by GuruFocus, is designed to provide general insights and is not tailored financial advice. Our commentary is rooted in historical data and analyst projections, utilizing an impartial methodology, and is not intended to serve as specific investment guidance. It does not formulate a recommendation to purchase or divest any stock and does not consider individual investment objectives or financial circumstances. Our objective is to deliver long-term, fundamental data-driven analysis. Be aware that our analysis might not incorporate the most recent, price-sensitive company announcements or qualitative information. GuruFocus holds no position in the stocks mentioned herein.
