HELIX ENERGY SOLUTIONS GROUP (HLX) Stock Fundamental Analysis
USA - NYSE:HLX - US42330P1075 - Common Stock
6.55 USD
+0.21 (+3.31%)
6.6297 USD
+0.08 (+1.22%)
Overall HLX gets a fundamental rating of 4 out of 10. We evaluated HLX against 61 industry peers in the Energy Equipment & Services industry. While HLX seems to be doing ok healthwise, there are quite some concerns on its profitability. HLX has a correct valuation and a medium growth rate.
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.
In the past 5 years HLX always reported a positive cash flow from operatings.
1.2 Ratios
Looking at the Return On Assets, with a value of 1.87%, HLX is doing worse than 63.93% of the companies in the same industry.
Looking at the Return On Equity, with a value of 3.19%, HLX is doing worse than 63.93% of the companies in the same industry.
With a Return On Invested Capital value of 2.75%, HLX is not doing good in the industry: 73.77% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.87% | ||
| ROE | 3.19% | ||
| ROIC | 2.75% |
ROA(3y)-0.65%
ROA(5y)-0.77%
ROE(3y)-0.95%
ROE(5y)-1.1%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
HLX has a Profit Margin of 3.92%. This is comparable to the rest of the industry: HLX outperforms 40.98% of its industry peers.
HLX's Profit Margin has declined in the last couple of years.
HLX has a worse Operating Margin (6.33%) than 60.66% of its industry peers.
In the last couple of years the Operating Margin of HLX has remained more or less at the same level.
The Gross Margin of HLX (13.07%) is worse than 85.25% of its industry peers.
HLX's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 6.33% | ||
| PM (TTM) | 3.92% | ||
| GM | 13.07% |
OM growth 3YN/A
OM growth 5Y0.81%
PM growth 3YN/A
PM growth 5Y-11.7%
GM growth 3Y92.02%
GM growth 5Y-2.48%
2. Health
2.1 Basic Checks
HLX has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
The number of shares outstanding for HLX has been reduced compared to 1 year ago.
The number of shares outstanding for HLX has been increased compared to 5 years ago.
The debt/assets ratio for HLX has been reduced compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of 1.46, we must say that HLX is in the distress zone and has some risk of bankruptcy.
With a Altman-Z score value of 1.46, HLX is not doing good in the industry: 65.57% of the companies in the same industry are doing better.
The Debt to FCF ratio of HLX is 2.88, which is a good value as it means it would take HLX, 2.88 years of fcf income to pay off all of its debts.
With a decent Debt to FCF ratio value of 2.88, HLX is doing good in the industry, outperforming 65.57% of the companies in the same industry.
A Debt/Equity ratio of 0.19 indicates that HLX is not too dependend on debt financing.
HLX's Debt to Equity ratio of 0.19 is fine compared to the rest of the industry. HLX outperforms 70.49% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.19 | ||
| Debt/FCF | 2.88 | ||
| Altman-Z | 1.46 |
ROIC/WACC0.31
WACC8.91%
2.3 Liquidity
HLX has a Current Ratio of 2.19. This indicates that HLX is financially healthy and has no problem in meeting its short term obligations.
With a decent Current ratio value of 2.19, HLX is doing good in the industry, outperforming 65.57% of the companies in the same industry.
HLX has a Quick Ratio of 2.19. This indicates that HLX is financially healthy and has no problem in meeting its short term obligations.
With an excellent Quick ratio value of 2.19, HLX belongs to the best of the industry, outperforming 83.61% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.19 | ||
| Quick Ratio | 2.19 |
3. Growth
3.1 Past
HLX shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 60.00%, which is quite impressive.
HLX shows a decrease in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -0.55% yearly.
Looking at the last year, HLX shows a decrease in Revenue. The Revenue has decreased by -8.19% in the last year.
HLX shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 12.56% yearly.
EPS 1Y (TTM)60%
EPS 3YN/A
EPS 5Y-0.55%
EPS Q2Q%-109.52%
Revenue 1Y (TTM)-8.19%
Revenue growth 3Y26.28%
Revenue growth 5Y12.56%
Sales Q2Q%-17.14%
3.2 Future
The Earnings Per Share is expected to grow by 18.98% on average over the next years. This is quite good.
Based on estimates for the next years, HLX will show a small growth in Revenue. The Revenue will grow by 2.29% on average per year.
EPS Next Y-13.36%
EPS Next 2Y18.94%
EPS Next 3Y22.17%
EPS Next 5Y18.98%
Revenue Next Year-3.24%
Revenue Next 2Y1.61%
Revenue Next 3Y1.46%
Revenue Next 5Y2.29%
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 accelerating.
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
A Price/Earnings ratio of 20.47 indicates a rather expensive valuation of HLX.
Compared to the rest of the industry, the Price/Earnings ratio of HLX is on the same level as its industry peers.
HLX is valuated rather cheaply when we compare the Price/Earnings ratio to 27.41, which is the current average of the S&P500 Index.
With a Price/Forward Earnings ratio of 12.86, HLX is valued correctly.
Compared to the rest of the industry, the Price/Forward Earnings ratio of HLX indicates a somewhat cheap valuation: HLX is cheaper than 72.13% of the companies listed in the same industry.
HLX is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 22.88, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.47 | ||
| Fwd PE | 12.86 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, HLX is valued a bit cheaper than the industry average as 68.85% of the companies are valued more expensively.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of HLX indicates a somewhat cheap valuation: HLX is cheaper than 77.05% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 8.89 | ||
| EV/EBITDA | 4.73 |
4.3 Compensation for Growth
A more expensive valuation may be justified as HLX's earnings are expected to grow with 22.17% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y18.94%
EPS Next 3Y22.17%
5. Dividend
5.1 Amount
No dividends for HLX!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
6.55
+0.21 (+3.31%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryEnergy Equipment & Services
Earnings (Last)
Earnings (Next)
Inst Owners93.3%
Inst Owner Change-1.99%
Ins Owners6.76%
Ins Owner Change0%
Market Cap962.78M
Analysts77.78
Price Target10.68 (63.05%)
Short Float %3.24%
Short Ratio2.66
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)659.08%
Min EPS beat(2)-166.01%
Max EPS beat(2)1484.16%
EPS beat(4)3
Avg EPS beat(4)344.23%
Min EPS beat(4)-166.01%
Max EPS beat(4)1484.16%
EPS beat(8)4
Avg EPS beat(8)54.93%
EPS beat(12)7
Avg EPS beat(12)944.81%
EPS beat(16)9
Avg EPS beat(16)707.83%
Revenue beat(2)0
Avg Revenue beat(2)-5.11%
Min Revenue beat(2)-7.09%
Max Revenue beat(2)-3.14%
Revenue beat(4)1
Avg Revenue beat(4)-0.97%
Min Revenue beat(4)-7.09%
Max Revenue beat(4)12.81%
Revenue beat(8)4
Avg Revenue beat(8)2.47%
Revenue beat(12)8
Avg Revenue beat(12)5.31%
Revenue beat(16)11
Avg Revenue beat(16)5.83%
PT rev (1m)-4.56%
PT rev (3m)-17.18%
EPS NQ rev (1m)-21.6%
EPS NQ rev (3m)-27.39%
EPS NY rev (1m)-14.51%
EPS NY rev (3m)-15.74%
Revenue NQ rev (1m)0.96%
Revenue NQ rev (3m)-2.65%
Revenue NY rev (1m)0.39%
Revenue NY rev (3m)-3.09%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.47 | ||
| Fwd PE | 12.86 | ||
| P/S | 0.75 | ||
| P/FCF | 8.89 | ||
| P/OCF | 7.24 | ||
| P/B | 0.61 | ||
| P/tB | 0.62 | ||
| EV/EBITDA | 4.73 |
EPS(TTM)0.32
EY4.89%
EPS(NY)0.51
Fwd EY7.77%
FCF(TTM)0.74
FCFY11.25%
OCF(TTM)0.9
OCFY13.82%
SpS8.69
BVpS10.67
TBVpS10.65
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.87% | ||
| ROE | 3.19% | ||
| ROCE | 3.48% | ||
| ROIC | 2.75% | ||
| ROICexc | 3.19% | ||
| ROICexgc | 3.19% | ||
| OM | 6.33% | ||
| PM (TTM) | 3.92% | ||
| GM | 13.07% | ||
| FCFM | 8.48% |
ROA(3y)-0.65%
ROA(5y)-0.77%
ROE(3y)-0.95%
ROE(5y)-1.1%
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 3YN/A
ROICexcg growth 5Y15.43%
ROICexc growth 3YN/A
ROICexc growth 5Y15.5%
OM growth 3YN/A
OM growth 5Y0.81%
PM growth 3YN/A
PM growth 5Y-11.7%
GM growth 3Y92.02%
GM growth 5Y-2.48%
F-Score7
Asset Turnover0.48
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.19 | ||
| Debt/FCF | 2.88 | ||
| Debt/EBITDA | 1.55 | ||
| Cap/Depr | 21.53% | ||
| Cap/Sales | 1.93% | ||
| Interest Coverage | 2.6 | ||
| Cash Conversion | 68.06% | ||
| Profit Quality | 216.44% | ||
| Current Ratio | 2.19 | ||
| Quick Ratio | 2.19 | ||
| Altman-Z | 1.46 |
F-Score7
WACC8.91%
ROIC/WACC0.31
Cap/Depr(3y)17.47%
Cap/Depr(5y)14.67%
Cap/Sales(3y)2.36%
Cap/Sales(5y)2.21%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)60%
EPS 3YN/A
EPS 5Y-0.55%
EPS Q2Q%-109.52%
EPS Next Y-13.36%
EPS Next 2Y18.94%
EPS Next 3Y22.17%
EPS Next 5Y18.98%
Revenue 1Y (TTM)-8.19%
Revenue growth 3Y26.28%
Revenue growth 5Y12.56%
Sales Q2Q%-17.14%
Revenue Next Year-3.24%
Revenue Next 2Y1.61%
Revenue Next 3Y1.46%
Revenue Next 5Y2.29%
EBIT growth 1Y-21.98%
EBIT growth 3YN/A
EBIT growth 5Y13.47%
EBIT Next Year119.01%
EBIT Next 3Y41.3%
EBIT Next 5Y25.11%
FCF growth 1Y76.75%
FCF growth 3Y7.28%
FCF growth 5Y41.39%
OCF growth 1Y32.36%
OCF growth 3Y9.91%
OCF growth 5Y1.85%