FLEX LNG LTD (FLNG) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:FLNG - BMG359472021 - Common Stock
26.9 USD
+0.93 (+3.58%)
26.9 USD
0 (0%)
Taking everything into account, FLNG scores 5 out of 10 in our fundamental rating. FLNG was compared to 208 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
In the past year FLNG was profitable.
FLNG had a positive operating cash flow in the past year.
Each year in the past 5 years FLNG has been profitable.
FLNG had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
The Return On Assets of FLNG (3.68%) is comparable to the rest of the industry.
FLNG has a better Return On Equity (13.34%) than 73.08% of its industry peers.
FLNG has a Return On Invested Capital (5.77%) which is comparable to the rest of the industry.
The Average Return On Invested Capital over the past 3 years for FLNG is significantly below the industry average of 21.83%.
| 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
Looking at the Profit Margin, with a value of 28.05%, FLNG belongs to the top of the industry, outperforming 86.06% of the companies in the same industry.
FLNG's Profit Margin has improved in the last couple of years.
With an excellent Operating Margin value of 52.15%, FLNG belongs to the best of the industry, outperforming 92.79% of the companies in the same industry.
FLNG's Operating Margin has improved in the last couple of years.
FLNG has a Gross Margin of 79.31%. This is amongst the best in the industry. FLNG outperforms 89.42% 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
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so FLNG is destroying value.
The number of shares outstanding for FLNG has been increased compared to 1 year ago.
Compared to 5 years ago, FLNG has about the same amount of shares outstanding.
The debt/assets ratio for FLNG is higher compared to a year ago.
2.2 Solvency
FLNG has an Altman-Z score of 0.84. This is a bad value and indicates that FLNG is not financially healthy and even has some risk of bankruptcy.
FLNG has a Altman-Z score (0.84) which is comparable to the rest of the industry.
The Debt to FCF ratio of FLNG is 11.97, which is on the high side as it means it would take FLNG, 11.97 years of fcf income to pay off all of its debts.
FLNG has a Debt to FCF ratio (11.97) which is comparable to the rest of the industry.
A Debt/Equity ratio of 2.39 is on the high side and indicates that FLNG has dependencies on debt financing.
Looking at the Debt to Equity ratio, with a value of 2.39, FLNG is doing worse than 83.17% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.39 | ||
| Debt/FCF | 11.97 | ||
| Altman-Z | 0.84 |
ROIC/WACC0.73
WACC7.94%
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 Current ratio of 3.10. This is amongst the best in the industry. FLNG outperforms 84.13% 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.
FLNG has a better Quick ratio (3.05) than 84.62% 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.
FLNG shows a decrease in Revenue. In the last year, the revenue decreased by -3.20%.
The Revenue has been growing by 24.33% on average over the past years. This is a very strong growth!
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
The Earnings Per Share is expected to grow by 0.19% on average over the next years.
The Revenue is expected to grow by 0.30% on average over the next years.
EPS Next Y-17.51%
EPS Next 2Y-8.48%
EPS Next 3Y0.19%
EPS Next 5YN/A
Revenue Next Year-5.07%
Revenue Next 2Y-1.19%
Revenue Next 3Y0.3%
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
FLNG is valuated correctly with a Price/Earnings ratio of 13.45.
Based on the Price/Earnings ratio, FLNG is valued a bit cheaper than the industry average as 63.94% of the companies are valued more expensively.
When comparing the Price/Earnings ratio of FLNG to the average of the S&P500 Index (27.30), we can say FLNG is valued rather cheaply.
The Price/Forward Earnings ratio is 13.61, which indicates a correct valuation of FLNG.
Based on the Price/Forward Earnings ratio, FLNG is valued a bit cheaper than the industry average as 60.10% of the companies are valued more expensively.
The average S&P500 Price/Forward Earnings ratio is at 24.04. FLNG is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.45 | ||
| Fwd PE | 13.61 |
4.2 Price Multiples
The rest of the industry has a similar Enterprise Value to EBITDA ratio as FLNG.
82.21% 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 | 9.37 | ||
| EV/EBITDA | 10.85 |
4.3 Compensation for Growth
The decent profitability rating of FLNG may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)0.29
EPS Next 2Y-8.48%
EPS Next 3Y0.19%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 11.66%, FLNG is a good candidate for dividend investing.
FLNG's Dividend Yield is rather good when compared to the industry average which is at 3.91. FLNG pays more dividend than 94.23% of the companies in the same industry.
FLNG's Dividend Yield is rather good when compared to the S&P500 average which is at 1.92.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 11.66% |
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.
The dividend of FLNG decreased recently.
Dividend Growth(5Y)97.42%
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
FLNG pays out 164.77% of its income as dividend. This is not a sustainable payout ratio.
The dividend of FLNG is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP164.77%
EPS Next 2Y-8.48%
EPS Next 3Y0.19%
26.9
+0.93 (+3.58%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)
Earnings (Next)
Inst Owners22.18%
Inst Owner Change0.02%
Ins Owners0.16%
Ins Owner ChangeN/A
Market Cap1.47B
Revenue(TTM)351.03M
Net Income(TTM)98.48M
Analysts50
Price Target25.83 (-3.98%)
Short Float %7.53%
Short Ratio6.01
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 11.66% |
Yearly Dividend3
Dividend Growth(5Y)97.42%
DP164.77%
Div Incr Years1
Div Non Decr Years1
Ex-DateN/A
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)0%
PT rev (3m)-7.85%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-7.09%
EPS NY rev (1m)0%
EPS NY rev (3m)-1.36%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-2.68%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-1.36%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.45 | ||
| Fwd PE | 13.61 | ||
| P/S | 4.18 | ||
| P/FCF | 9.37 | ||
| P/OCF | 9.37 | ||
| P/B | 1.99 | ||
| P/tB | 1.99 | ||
| EV/EBITDA | 10.85 |
EPS(TTM)2
EY7.43%
EPS(NY)1.98
Fwd EY7.35%
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 | 0.84 |
F-Score5
WACC7.94%
ROIC/WACC0.73
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-17.51%
EPS Next 2Y-8.48%
EPS Next 3Y0.19%
EPS Next 5YN/A
Revenue 1Y (TTM)-3.2%
Revenue growth 3Y1.24%
Revenue growth 5Y24.33%
Sales Q2Q%-5.29%
Revenue Next Year-5.07%
Revenue Next 2Y-1.19%
Revenue Next 3Y0.3%
Revenue Next 5YN/A
EBIT growth 1Y-10.98%
EBIT growth 3Y-0.56%
EBIT growth 5Y29.17%
EBIT Next Year27.38%
EBIT Next 3Y11.28%
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.
What is the valuation status for FLNG stock?
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.
What is the valuation of FLEX LNG LTD based on its PE and PB ratios?
The Price/Earnings (PE) ratio for FLEX LNG LTD (FLNG) is 13.45 and the Price/Book (PB) ratio is 1.99.
What is the earnings growth outlook for FLEX LNG LTD?
The Earnings per Share (EPS) of FLEX LNG LTD (FLNG) is expected to decline by -17.51% in the next year.