HELIX ENERGY SOLUTIONS GROUP (HLX)
US42330P1075 - Common Stock
We assign a fundamental rating of 4 out of 10 to HLX. HLX was compared to 59 industry peers in the Energy Equipment & Services industry. The financial health of HLX is average, but there are quite some concerns on its profitability. HLX has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
HLX had positive earnings in the past year.
HLX had a positive operating cash flow in the past year.
The reported net income has been mixed in the past 5 years: HLX reported negative net income in multiple years.
Each year in the past 5 years HLX had a positive operating cash flow.
1.2 Ratios
HLX's Return On Assets of 0.27% is on the low side compared to the rest of the industry. HLX is outperformed by 66.10% of its industry peers.
Looking at the Return On Equity, with a value of 0.46%, HLX is doing worse than 66.10% of the companies in the same industry.
Looking at the Return On Invested Capital, with a value of 3.75%, HLX is doing worse than 72.88% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.27% | ||
| ROE | 0.46% | ||
| ROIC | 3.75% |
ROA(3y)-2.25%
ROA(5y)-0.75%
ROE(3y)-3.42%
ROE(5y)-1.15%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
HLX has a Profit Margin of 0.53%. This is in the lower half of the industry: HLX underperforms 64.41% of its industry peers.
HLX has a Operating Margin of 8.37%. This is comparable to the rest of the industry: HLX outperforms 44.07% of its industry peers.
HLX's Operating Margin has declined in the last couple of years.
HLX has a worse Gross Margin (15.69%) than 81.36% of its industry peers.
In the last couple of years the Gross Margin of HLX has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 8.37% | ||
| PM (TTM) | 0.53% | ||
| GM | 15.69% |
OM growth 3Y24.22%
OM growth 5Y-6.6%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y12.57%
GM growth 5Y-1.14%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), HLX is destroying value.
HLX has more shares outstanding than it did 1 year ago.
HLX has more shares outstanding than it did 5 years ago.
Compared to 1 year ago, HLX has a worse debt to assets ratio.
2.2 Solvency
HLX has an Altman-Z score of 1.76. This is a bad value and indicates that HLX is not financially healthy and even has some risk of bankruptcy.
HLX has a Altman-Z score (1.76) which is comparable to the rest of the industry.
The Debt to FCF ratio of HLX is 1.67, which is an excellent value as it means it would take HLX, only 1.67 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of HLX (1.67) is better than 72.88% of its industry peers.
A Debt/Equity ratio of 0.19 indicates that HLX is not too dependend on debt financing.
The Debt to Equity ratio of HLX (0.19) is better than 67.80% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.19 | ||
| Debt/FCF | 1.67 | ||
| Altman-Z | 1.76 |
ROIC/WACC0.44
WACC8.48%
2.3 Liquidity
HLX has a Current Ratio of 2.29. This indicates that HLX is financially healthy and has no problem in meeting its short term obligations.
Looking at the Current ratio, with a value of 2.29, HLX is in the better half of the industry, outperforming 67.80% of the companies in the same industry.
HLX has a Quick Ratio of 2.29. This indicates that HLX is financially healthy and has no problem in meeting its short term obligations.
Looking at the Quick ratio, with a value of 2.29, HLX belongs to the top of the industry, outperforming 83.05% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.29 | ||
| Quick Ratio | 2.29 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 107.14% over the past year.
HLX shows a decrease in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -3.04% yearly.
Looking at the last year, HLX shows a small growth in Revenue. The Revenue has grown by 7.74% in the last year.
Measured over the past years, HLX shows a quite strong growth in Revenue. The Revenue has been growing by 11.76% on average per year.
EPS 1Y (TTM)107.14%
EPS 3Y11.46%
EPS 5Y-3.04%
EPS Q2Q%90%
Revenue 1Y (TTM)7.74%
Revenue growth 3Y20.69%
Revenue growth 5Y11.76%
Sales Q2Q%-13.46%
3.2 Future
The Earnings Per Share is expected to grow by 46.19% on average over the next years. This is a very strong growth
Based on estimates for the next years, HLX will show a small growth in Revenue. The Revenue will grow by 4.75% on average per year.
EPS Next Y102.56%
EPS Next 2Y106.51%
EPS Next 3Y77.99%
EPS Next 5Y46.19%
Revenue Next Year3.66%
Revenue Next 2Y4.31%
Revenue Next 3Y4.66%
Revenue Next 5Y4.75%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
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 31.14, HLX can be considered very expensive at the moment.
Based on the Price/Earnings ratio, HLX is valued a bit more expensive than the industry average as 66.10% of the companies are valued more cheaply.
HLX is valuated at similar levels of the S&P average when we compare the Price/Earnings ratio to 27.73, which is the current average of the S&P500 Index.
A Price/Forward Earnings ratio of 11.76 indicates a reasonable valuation of HLX.
Compared to the rest of the industry, the Price/Forward Earnings ratio of HLX indicates a somewhat cheap valuation: HLX is cheaper than 62.71% of the companies listed in the same industry.
When comparing the Price/Forward Earnings ratio of HLX to the average of the S&P500 Index (22.83), we can say HLX is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 31.14 | ||
| Fwd PE | 11.76 |
4.2 Price Multiples
66.10% of the companies in the same industry are more expensive than HLX, based on the Enterprise Value to EBITDA ratio.
Based on the Price/Free Cash Flow ratio, HLX is valued cheaper than 83.05% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 7.28 | ||
| EV/EBITDA | 4.72 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
A more expensive valuation may be justified as HLX's earnings are expected to grow with 77.99% in the coming years.
PEG (NY)0.3
PEG (5Y)N/A
EPS Next 2Y106.51%
EPS Next 3Y77.99%
5. Dividend
5.1 Amount
HLX does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
HELIX ENERGY SOLUTIONS GROUP
NYSE:HLX (12/20/2024, 8:16:50 PM)
After market: 8.9342 -0.1 (-1.06%)9.03
+0.01 (+0.11%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryEnergy Equipment & Services
Earnings (Last)
Earnings (Next)
Inst Owners92.55%
Inst Owner Change-1.57%
Ins Owners5.88%
Ins Owner Change-3.97%
Market Cap1.37B
Analysts80
Price Target14.76 (63.46%)
Short Float %4.68%
Short Ratio4.32
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Dividend Growth(5Y)-48.83%
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)33.92%
Min EPS beat(2)9.12%
Max EPS beat(2)58.72%
EPS beat(4)2
Avg EPS beat(4)-218.22%
Min EPS beat(4)-893.95%
Max EPS beat(4)58.72%
EPS beat(8)5
Avg EPS beat(8)1339.83%
EPS beat(12)7
Avg EPS beat(12)831.69%
EPS beat(16)9
Avg EPS beat(16)635%
Revenue beat(2)1
Avg Revenue beat(2)0.01%
Min Revenue beat(2)-6.45%
Max Revenue beat(2)6.48%
Revenue beat(4)2
Avg Revenue beat(4)1%
Min Revenue beat(4)-6.45%
Max Revenue beat(4)6.48%
Revenue beat(8)6
Avg Revenue beat(8)5.82%
Revenue beat(12)9
Avg Revenue beat(12)7.24%
Revenue beat(16)11
Avg Revenue beat(16)5.45%
PT rev (1m)-2.25%
PT rev (3m)-5.4%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-24.22%
EPS NY rev (1m)0%
EPS NY rev (3m)0.09%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-2.11%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-3.06%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 31.14 | ||
| Fwd PE | 11.76 | ||
| P/S | 1.03 | ||
| P/FCF | 7.28 | ||
| P/OCF | 6.77 | ||
| P/B | 0.87 | ||
| P/tB | 0.88 | ||
| EV/EBITDA | 4.72 |
EPS(TTM)0.29
EY3.21%
EPS(NY)0.77
Fwd EY8.5%
FCF(TTM)1.24
FCFY13.73%
OCF(TTM)1.33
OCFY14.77%
SpS8.8
BVpS10.33
TBVpS10.3
PEG (NY)0.3
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.27% | ||
| ROE | 0.46% | ||
| ROCE | 4.75% | ||
| ROIC | 3.75% | ||
| ROICexc | 4.35% | ||
| ROICexgc | 4.36% | ||
| OM | 8.37% | ||
| PM (TTM) | 0.53% | ||
| GM | 15.69% | ||
| FCFM | 14.09% |
ROA(3y)-2.25%
ROA(5y)-0.75%
ROE(3y)-3.42%
ROE(5y)-1.15%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexcg growth 3Y54.11%
ROICexcg growth 5Y5.59%
ROICexc growth 3Y54.09%
ROICexc growth 5Y5.55%
OM growth 3Y24.22%
OM growth 5Y-6.6%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y12.57%
GM growth 5Y-1.14%
F-Score6
Asset Turnover0.5
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.19 | ||
| Debt/FCF | 1.67 | ||
| Debt/EBITDA | 1.06 | ||
| Cap/Depr | 8.01% | ||
| Cap/Sales | 1.06% | ||
| Interest Coverage | 3.82 | ||
| Cash Conversion | 70.22% | ||
| Profit Quality | 2639.06% | ||
| Current Ratio | 2.29 | ||
| Quick Ratio | 2.29 | ||
| Altman-Z | 1.76 |
F-Score6
WACC8.48%
ROIC/WACC0.44
Cap/Depr(3y)13.76%
Cap/Depr(5y)36.28%
Cap/Sales(3y)2.2%
Cap/Sales(5y)5.62%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)107.14%
EPS 3Y11.46%
EPS 5Y-3.04%
EPS Q2Q%90%
EPS Next Y102.56%
EPS Next 2Y106.51%
EPS Next 3Y77.99%
EPS Next 5Y46.19%
Revenue 1Y (TTM)7.74%
Revenue growth 3Y20.69%
Revenue growth 5Y11.76%
Sales Q2Q%-13.46%
Revenue Next Year3.66%
Revenue Next 2Y4.31%
Revenue Next 3Y4.66%
Revenue Next 5Y4.75%
EBIT growth 1Y157.44%
EBIT growth 3Y49.92%
EBIT growth 5Y4.38%
EBIT Next Year167.1%
EBIT Next 3Y54.67%
EBIT Next 5Y30.29%
FCF growth 1Y1219.16%
FCF growth 3Y19.12%
FCF growth 5Y17.39%
OCF growth 1Y904%
OCF growth 3Y15.56%
OCF growth 5Y-4.97%