FLEX LNG LTD (FLNG) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:FLNG - BMG359472021 - Common Stock
26.9 USD
+0.49 (+1.86%)
27.02 USD
+0.12 (+0.45%)
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 has a correct valuation and a medium 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.
FLNG had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
FLNG has a Return On Assets of 3.68%. This is comparable to the rest of the industry: FLNG outperforms 53.59% of its industry peers.
FLNG has a Return On Equity of 13.34%. This is in the better half of the industry: FLNG outperforms 71.77% of its industry peers.
FLNG has a Return On Invested Capital of 5.77%. This is comparable to the rest of the industry: FLNG outperforms 51.67% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for FLNG is significantly below the industry average of 21.66%.
| 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
With an excellent Profit Margin value of 28.05%, FLNG belongs to the best of the industry, outperforming 85.17% of the companies in the same industry.
FLNG's Profit Margin has improved in the last couple of years.
Looking at the Operating Margin, with a value of 52.15%, FLNG belongs to the top of the industry, outperforming 92.34% of the companies in the same industry.
In the last couple of years the Operating Margin of FLNG has grown nicely.
FLNG has a better Gross Margin (79.31%) than 89.95% of its industry peers.
FLNG's Gross Margin has been stable in the last couple of years.
| 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
FLNG has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
Compared to 1 year ago, FLNG has more shares outstanding
The number of shares outstanding for FLNG remains at a similar level compared to 5 years ago.
The debt/assets ratio for FLNG is higher compared to a year ago.
2.2 Solvency
FLNG has an Altman-Z score of 0.86. This is a bad value and indicates that FLNG is not financially healthy and even has some risk of bankruptcy.
FLNG's Altman-Z score of 0.86 is in line compared to the rest of the industry. FLNG outperforms 42.58% of its industry peers.
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.
FLNG has a Debt to FCF ratio (11.97) which is in line with its industry peers.
FLNG has a Debt/Equity ratio of 2.39. This is a high value indicating a heavy dependency on external financing.
FLNG's Debt to Equity ratio of 2.39 is on the low side compared to the rest of the industry. FLNG is outperformed by 84.69% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.39 | ||
| Debt/FCF | 11.97 | ||
| Altman-Z | 0.86 |
ROIC/WACC0.71
WACC8.18%
2.3 Liquidity
A Current Ratio of 3.10 indicates that FLNG has no problem at all paying its short term obligations.
FLNG has a better Current ratio (3.10) than 84.69% 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.
The Quick ratio of FLNG (3.05) is better than 85.17% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.1 | ||
| Quick Ratio | 3.05 |
3. Growth
3.1 Past
The earnings per share for FLNG have decreased strongly by -19.68% in the last year.
FLNG shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 46.48% yearly.
The Revenue has decreased by -3.20% in the past year.
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.
The Revenue is expected to grow by 0.51% on average over the next years.
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
With a Price/Earnings ratio of 13.45, FLNG is valued correctly.
Based on the Price/Earnings ratio, FLNG is valued a bit cheaper than the industry average as 60.29% of the companies are valued more expensively.
FLNG is valuated rather cheaply when we compare the Price/Earnings ratio to 25.45, which is the current average of the S&P500 Index.
Based on the Price/Forward Earnings ratio of 13.14, the valuation of FLNG can be described as correct.
FLNG's Price/Forward Earnings ratio is in line with the industry average.
Compared to an average S&P500 Price/Forward Earnings ratio of 34.46, FLNG is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.45 | ||
| Fwd PE | 13.14 |
4.2 Price Multiples
FLNG's Enterprise Value to EBITDA is on the same level as the industry average.
FLNG's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. FLNG is cheaper than 79.90% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 9.37 | ||
| EV/EBITDA | 11.05 |
4.3 Compensation for Growth
FLNG has a very decent profitability rating, which may justify a higher PE ratio.
FLNG's earnings are expected to decrease with -3.22% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)0.29
EPS Next 2Y-6.86%
EPS Next 3Y-3.22%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 11.36%, FLNG is a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 5.91, FLNG pays a better dividend. On top of this FLNG pays more dividend than 93.78% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.42, FLNG pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 11.36% |
5.2 History
The dividend of FLNG is nicely growing with an annual growth rate of 97.42%!
FLNG has been paying a dividend for over 5 years, so it has already some track record.
FLNG has decreased its dividend 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%
26.9
+0.49 (+1.86%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)
Earnings (Next)
Inst Owners20.56%
Inst Owner Change11.92%
Ins Owners0.16%
Ins Owner ChangeN/A
Market Cap1.47B
Revenue(TTM)351.03M
Net Income(TTM)98.48M
Analysts45.71
Price Target24.48 (-9%)
Short Float %6.57%
Short Ratio5.21
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 11.36% |
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)-10%
EPS NQ rev (3m)-1.06%
EPS NY rev (1m)-2.43%
EPS NY rev (3m)0.59%
Revenue NQ rev (1m)-3.05%
Revenue NQ rev (3m)-0.82%
Revenue NY rev (1m)0%
Revenue NY rev (3m)1.1%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.45 | ||
| Fwd PE | 13.14 | ||
| P/S | 4.18 | ||
| P/FCF | 9.37 | ||
| P/OCF | 9.37 | ||
| P/B | 1.99 | ||
| P/tB | 1.99 | ||
| EV/EBITDA | 11.05 |
EPS(TTM)2
EY7.43%
EPS(NY)2.05
Fwd EY7.61%
FCF(TTM)2.87
FCFY10.68%
OCF(TTM)2.87
OCFY10.68%
SpS6.44
BVpS13.54
TBVpS13.54
PEG (NY)N/A
PEG (5Y)0.29
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 | 0.86 |
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 5 / 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%.