Skip to Content
Morningstar

Santos Ltd STO

Morningstar Rating
Unlock
Stock XASX Rating as of
A$7.72 −0.03 (0.39%)
View Full Chart
As of Delayed Price Closed
Unlock our analysis with Morningstar Investor
Start Free Trial

Company Report

View Archive

Santos: Guidance Creditably Maintained Despite Cyclones

Mark Taylor

No-moat Santos reported a robust first-quarter 2024 operating result, with production and revenue down 7% and 6% to 21.8 million barrels of oil equivalent, or mmboe, and USD 1.4 billion, respectively, in line with our expectations. We have made no change to our AUD 12.30 fair value estimate. The production decline reflects the anticipated depletion of the Bayu-Undan gas field and planned maintenance, as well as unplanned shutdowns due to cyclone activity in Western Australia. It was creditable that expectations were still met despite the weather.

Read Full Report

Price vs Fair Value

View History
STO is trading at a 37% discount.
Price
A$7.75
Fair Value
A$75.70
Uncertainty
High
1-Star Price
A$46.82
5-Star Price
A$3.26
Economic Moat
Qyl
Capital Allocation
Xbzmnbcpg

Bulls Say, Bears Say

Bulls

Santos is a beneficiary of continued global economic growth and increased demand for energy. Aside from coal, gas has been the fastest-growing primary energy segment globally. The traded gas segment is expanding faster still.

Bears

Santos committed to substantial LNG capital expenditures, which will see the balance sheet geared in the medium term.

Show More
Is it the right time to buy, sell, or hold?
Start a free trial of Morningstar Investor to unlock exclusive ratings and continuous analyst coverage to help you decide if STO is a good fit for your portfolio.
Get 7 Days Free

News

View All

Trading Information

Previous Close Price
A$7.75
Day Range
A$7.67–7.75
52-Week Range
A$6.57–8.09
Bid/Ask
A$7.66 / A$7.73
Market Cap
A$25.07 Bil
Volume/Avg
5.3 Mil / 8.7 Mil

Key Statistics

Price/Earnings (Normalized)
11.75
Price/Sales
2.86
Dividend Yield (Trailing)
5.14%
Dividend Yield (Forward)
5.14%
Total Yield
7.21%

Company Profile

Santos was founded in 1954. The company's name is an acronym for South Australia Northern Territory Oil Search. The first Cooper Basin gas discovery came in 1963, with initial supplies in 1969. Santos became a major enterprise, though over-reliance on the Cooper Basin, along with the Moomba field's inexorable decline, saw it struggle to maintain relevance in the first decade of the 21st century. However, the stage was set for a renaissance via conversion of coal seam gas into LNG in Queensland and conventional gas to LNG in PNG.
Sector
Energy
Industry
Oil & Gas E&P
Stock Style Box
Large Value
Total Number of Employees
2,946
Website
https://www.santos.com

Competitors

Valuation

View More
Metric
STO
BPT
WDS
Price/Earnings (Normalized)
 11.758.859.84
Price/Book Value
 1.121.041.08
Price/Sales
 2.862.082.59
Price/Cash Flow
 5.174.155.14
Price/Earnings
STO
BPT
WDS

Financial Strength

Metric
STO
BPT
WDS
Quick Ratio
 1.050.860.72
Current Ratio
 1.471.161.03
Interest Coverage
 4.73−6.3312.63
Quick Ratio
STO
BPT
WDS

Profitability

Metric
STO
BPT
WDS
Return on Assets (Normalized)
 4.90%6.27%5.81%
Return on Equity (Normalized)
 9.50%9.66%9.38%
Return on Invested Capital (Normalized)
 5.94%8.48%7.73%
Return on Assets
STO
BPT
WDS
See how this stock stacks up to its competitors with Morningstar Investor
Start Free Trial

Oil & Gas E&P Industry Comparables

Screen in Investor
Ticker
Name
Morningstar Rating for Stocks
Capital Allocation
Economic Moat
Market Cap
COP
ConocoPhillipsJtjdrspyQcbnyh$152.4 Bil
EOG
EOG Resources IncPdrdbflqjSlwct$77.9 Bil
PXD
Pioneer Natural Resources CoBhzcqcxcvKyphrk$64.3 Bil
OXY
Occidental Petroleum CorpMcpzfsktcLfdc$60.2 Bil
HES
Hess CorpXsgzspqkFzrjzj$49.0 Bil
FANG
Diamondback Energy IncQbvnthkqCdngf$36.9 Bil
DVN
Devon Energy CorpPrbkjrdmrcQnzfnr$33.1 Bil
MRO
Marathon Oil CorpZqszmlcjrBhpz$15.9 Bil
APA
APA CorpRngrclsvJmxyj$12.0 Bil
AR
Antero Resources CorpKxmxsbdwMfxw$10.1 Bil

Sponsor Center