FLEX LNG LTD (FLNG) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:FLNG - BMG359472021 - Common Stock
25.41 USD
+0.22 (+0.87%)
25.1231 USD
-0.29 (-1.13%)
Overall FLNG gets a fundamental rating of 5 out of 10. We evaluated FLNG against 209 industry peers in the Oil, Gas & Consumable Fuels industry. FLNG scores excellent on profitability, but there are some minor concerns on its financial health. FLNG is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
FLNG had positive earnings in the past year.
FLNG had a positive operating cash flow in the past year.
FLNG had positive earnings in each of the past 5 years.
In the past 5 years FLNG always reported a positive cash flow from operatings.
1.2 Ratios
The Return On Assets of FLNG (3.68%) is comparable to the rest of the industry.
FLNG's Return On Equity of 13.34% is fine compared to the rest of the industry. FLNG outperforms 72.25% of its industry peers.
The Return On Invested Capital of FLNG (5.77%) is comparable to the rest of the industry.
FLNG had an Average Return On Invested Capital over the past 3 years of 6.40%. This is significantly below the industry average of 21.47%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.68% | ||
| ROE | 13.34% | ||
| ROIC | 5.77% |
ROA(3y)5.29%
ROA(5y)4.5%
ROE(3y)16.49%
ROE(5y)13.74%
ROIC(3y)6.4%
ROIC(5y)5.69%
1.3 Margins
The Profit Margin of FLNG (28.05%) is better than 85.65% of its industry peers.
In the last couple of years the Profit Margin of FLNG has grown nicely.
The Operating Margin of FLNG (52.15%) is better than 92.34% of its industry peers.
FLNG's Operating Margin has improved in the last couple of years.
FLNG has a better Gross Margin (79.31%) than 89.95% of its industry peers.
In the last couple of years the Gross Margin of FLNG has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 52.15% | ||
| PM (TTM) | 28.05% | ||
| GM | 79.31% |
OM growth 3Y-1.78%
OM growth 5Y3.9%
PM growth 3Y-11.24%
PM growth 5Y18.48%
GM growth 3Y-0.73%
GM growth 5Y-0.23%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), FLNG is destroying value.
Compared to 1 year ago, FLNG has more shares outstanding
FLNG has about the same amout of shares outstanding than it did 5 years ago.
Compared to 1 year ago, FLNG has a worse debt to assets ratio.
2.2 Solvency
FLNG has an Altman-Z score of 0.83. This is a bad value and indicates that FLNG is not financially healthy and even has some risk of bankruptcy.
The Altman-Z score of FLNG (0.83) is comparable to the rest of the industry.
FLNG has a debt to FCF ratio of 11.97. This is a negative value and a sign of low solvency as FLNG would need 11.97 years to pay back of all of its debts.
With a Debt to FCF ratio value of 11.97, FLNG perfoms like the industry average, outperforming 51.67% of the companies in the same industry.
FLNG has a Debt/Equity ratio of 2.39. This is a high value indicating a heavy dependency on external financing.
With a Debt to Equity ratio value of 2.39, FLNG is not doing good in the industry: 84.69% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.39 | ||
| Debt/FCF | 11.97 | ||
| Altman-Z | 0.83 |
ROIC/WACC0.71
WACC8.18%
2.3 Liquidity
FLNG has a Current Ratio of 3.10. This indicates that FLNG is financially healthy and has no problem in meeting its short term obligations.
FLNG has a better Current ratio (3.10) than 84.21% of its industry peers.
FLNG has a Quick Ratio of 3.05. This indicates that FLNG is financially healthy and has no problem in meeting its short term obligations.
With an excellent Quick ratio value of 3.05, FLNG belongs to the best of the industry, outperforming 84.69% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.1 | ||
| Quick Ratio | 3.05 |
3. Growth
3.1 Past
FLNG shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -19.68%.
The Earnings Per Share has been growing by 46.48% on average over the past years. This is a very strong growth
FLNG shows a decrease in Revenue. In the last year, the revenue decreased by -3.20%.
Measured over the past years, FLNG shows a very strong growth in Revenue. The Revenue has been growing by 24.33% on average per year.
EPS 1Y (TTM)-19.68%
EPS 3Y-4.38%
EPS 5Y46.48%
EPS Q2Q%-18.87%
Revenue 1Y (TTM)-3.2%
Revenue growth 3Y1.24%
Revenue growth 5Y24.33%
Sales Q2Q%-5.29%
3.2 Future
Based on estimates for the next years, FLNG will show a decrease in Earnings Per Share. The EPS will decrease by -3.22% on average per year.
FLNG is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 0.51% yearly.
EPS Next Y-15.87%
EPS Next 2Y-6.86%
EPS Next 3Y-3.22%
EPS Next 5YN/A
Revenue Next Year-2.56%
Revenue Next 2Y-0.07%
Revenue Next 3Y0.51%
Revenue Next 5YN/A
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 12.71, which indicates a correct valuation of FLNG.
Based on the Price/Earnings ratio, FLNG is valued a bit cheaper than 64.59% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 26.15, FLNG is valued rather cheaply.
FLNG is valuated correctly with a Price/Forward Earnings ratio of 12.41.
Compared to the rest of the industry, the Price/Forward Earnings ratio of FLNG is on the same level as its industry peers.
FLNG's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 36.22.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.71 | ||
| Fwd PE | 12.41 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of FLNG is on the same level as its industry peers.
81.82% of the companies in the same industry are more expensive than FLNG, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 8.85 | ||
| EV/EBITDA | 10.74 |
4.3 Compensation for Growth
FLNG has a very decent profitability rating, which may justify a higher PE ratio.
A cheap valuation may be justified as FLNG's earnings are expected to decrease with -3.22% in the coming years.
PEG (NY)N/A
PEG (5Y)0.27
EPS Next 2Y-6.86%
EPS Next 3Y-3.22%
5. Dividend
5.1 Amount
FLNG has a Yearly Dividend Yield of 11.42%, which is a nice return.
Compared to an average industry Dividend Yield of 5.96, FLNG pays a better dividend. On top of this FLNG pays more dividend than 93.30% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.32, FLNG pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 11.42% |
5.2 History
On average, the dividend of FLNG grows each year by 97.42%, which is quite nice.
FLNG has been paying a dividend for over 5 years, so it has already some track record.
The dividend of FLNG decreased recently.
Dividend Growth(5Y)97.42%
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
164.77% of the earnings are spent on dividend by FLNG. This is not a sustainable payout ratio.
The Dividend Rate of FLNG has been growing, while earnings will be declining. This means the dividend growth is most likely not sustainable.
DP164.77%
EPS Next 2Y-6.86%
EPS Next 3Y-3.22%
25.41
+0.22 (+0.87%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)
Earnings (Next)
Inst Owners20.56%
Inst Owner Change11.86%
Ins Owners0.16%
Ins Owner ChangeN/A
Market Cap1.39B
Revenue(TTM)351.03M
Net Income(TTM)98.48M
Analysts45.71
Price Target24.48 (-3.66%)
Short Float %7.63%
Short Ratio6.39
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 11.42% |
Yearly Dividend3
Dividend Growth(5Y)97.42%
DP164.77%
Div Incr Years1
Div Non Decr Years1
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-0.91%
Min EPS beat(2)-8.35%
Max EPS beat(2)6.53%
EPS beat(4)3
Avg EPS beat(4)1.35%
Min EPS beat(4)-8.35%
Max EPS beat(4)7.17%
EPS beat(8)5
Avg EPS beat(8)2.63%
EPS beat(12)6
Avg EPS beat(12)2.53%
EPS beat(16)8
Avg EPS beat(16)0.44%
Revenue beat(2)1
Avg Revenue beat(2)-0.31%
Min Revenue beat(2)-1.37%
Max Revenue beat(2)0.75%
Revenue beat(4)1
Avg Revenue beat(4)-0.65%
Min Revenue beat(4)-1.37%
Max Revenue beat(4)0.75%
Revenue beat(8)1
Avg Revenue beat(8)-1.58%
Revenue beat(12)2
Avg Revenue beat(12)-1.49%
Revenue beat(16)3
Avg Revenue beat(16)-1.63%
PT rev (1m)-12.65%
PT rev (3m)-9.91%
EPS NQ rev (1m)-14.21%
EPS NQ rev (3m)-18.86%
EPS NY rev (1m)-2.43%
EPS NY rev (3m)0.59%
Revenue NQ rev (1m)-6.82%
Revenue NQ rev (3m)-6.5%
Revenue NY rev (1m)0%
Revenue NY rev (3m)1.1%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.71 | ||
| Fwd PE | 12.41 | ||
| P/S | 3.95 | ||
| P/FCF | 8.85 | ||
| P/OCF | 8.85 | ||
| P/B | 1.88 | ||
| P/tB | 1.88 | ||
| EV/EBITDA | 10.74 |
EPS(TTM)2
EY7.87%
EPS(NY)2.05
Fwd EY8.06%
FCF(TTM)2.87
FCFY11.3%
OCF(TTM)2.87
OCFY11.3%
SpS6.44
BVpS13.54
TBVpS13.54
PEG (NY)N/A
PEG (5Y)0.27
Graham Number24.69
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.68% | ||
| ROE | 13.34% | ||
| ROCE | 7.31% | ||
| ROIC | 5.77% | ||
| ROICexc | 7.14% | ||
| ROICexgc | 7.14% | ||
| OM | 52.15% | ||
| PM (TTM) | 28.05% | ||
| GM | 79.31% | ||
| FCFM | 44.61% |
ROA(3y)5.29%
ROA(5y)4.5%
ROE(3y)16.49%
ROE(5y)13.74%
ROIC(3y)6.4%
ROIC(5y)5.69%
ROICexc(3y)7.59%
ROICexc(5y)6.55%
ROICexgc(3y)7.59%
ROICexgc(5y)6.55%
ROCE(3y)8.11%
ROCE(5y)7.21%
ROICexgc growth 3Y2.05%
ROICexgc growth 5Y20.33%
ROICexc growth 3Y2.05%
ROICexc growth 5Y20.33%
OM growth 3Y-1.78%
OM growth 5Y3.9%
PM growth 3Y-11.24%
PM growth 5Y18.48%
GM growth 3Y-0.73%
GM growth 5Y-0.23%
F-Score5
Asset Turnover0.13
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.39 | ||
| Debt/FCF | 11.97 | ||
| Debt/EBITDA | 6.82 | ||
| Cap/Depr | 0% | ||
| Cap/Sales | 0% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 60.45% | ||
| Profit Quality | 159% | ||
| Current Ratio | 3.1 | ||
| Quick Ratio | 3.05 | ||
| Altman-Z | 0.83 |
F-Score5
WACC8.18%
ROIC/WACC0.71
Cap/Depr(3y)0%
Cap/Depr(5y)406.61%
Cap/Sales(3y)0%
Cap/Sales(5y)99.57%
Profit Quality(3y)139.36%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-19.68%
EPS 3Y-4.38%
EPS 5Y46.48%
EPS Q2Q%-18.87%
EPS Next Y-15.87%
EPS Next 2Y-6.86%
EPS Next 3Y-3.22%
EPS Next 5YN/A
Revenue 1Y (TTM)-3.2%
Revenue growth 3Y1.24%
Revenue growth 5Y24.33%
Sales Q2Q%-5.29%
Revenue Next Year-2.56%
Revenue Next 2Y-0.07%
Revenue Next 3Y0.51%
Revenue Next 5YN/A
EBIT growth 1Y-10.98%
EBIT growth 3Y-0.56%
EBIT growth 5Y29.17%
EBIT Next Year29.53%
EBIT Next 3Y11.48%
EBIT Next 5YN/A
FCF growth 1Y-10.07%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-10.07%
OCF growth 3Y-5.24%
OCF growth 5Y28.82%
FLEX LNG LTD / FLNG FAQ
Can you provide the ChartMill fundamental rating for FLEX LNG LTD?
ChartMill assigns a fundamental rating of 5 / 10 to FLNG.
Can you provide the valuation status for FLEX LNG LTD?
ChartMill assigns a valuation rating of 6 / 10 to FLEX LNG LTD (FLNG). This can be considered as Fairly Valued.
How profitable is FLEX LNG LTD (FLNG) stock?
FLEX LNG LTD (FLNG) has a profitability rating of 7 / 10.
Can you provide the expected EPS growth for FLNG stock?
The Earnings per Share (EPS) of FLEX LNG LTD (FLNG) is expected to decline by -15.87% in the next year.
Can you provide the dividend sustainability for FLNG stock?
The dividend rating of FLEX LNG LTD (FLNG) is 5 / 10 and the dividend payout ratio is 164.77%.