NATURAL GAS SERVICES GROUP (NGS) Stock Fundamental Analysis
NYSE:NGS - New York Stock Exchange, Inc. - US63886Q1094 - Common Stock - Currency: USD
NGS gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 59 industry peers in the Energy Equipment & Services industry. There are concerns on the financial health of NGS while its profitability can be described as average. NGS is valued quite expensively, but it does show have an excellent growth rating.
1. Profitability
1.1 Basic Checks
NGS had positive earnings in the past year.
In the past year NGS had a positive cash flow from operations.
In multiple years NGS reported negative net income over the last 5 years.
Each year in the past 5 years NGS had a positive operating cash flow.
1.2 Ratios
NGS's Return On Assets of 3.23% is in line compared to the rest of the industry. NGS outperforms 50.00% of its industry peers.
NGS's Return On Equity of 6.40% is in line compared to the rest of the industry. NGS outperforms 46.55% of its industry peers.
NGS has a Return On Invested Capital (5.61%) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.23% | ||
| ROE | 6.4% | ||
| ROIC | 5.61% |
ROA(3y)-0.75%
ROA(5y)-1.3%
ROE(3y)-0.71%
ROE(5y)-1.4%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
With a decent Profit Margin value of 10.55%, NGS is doing good in the industry, outperforming 74.14% of the companies in the same industry.
In the last couple of years the Profit Margin of NGS has grown nicely.
With an excellent Operating Margin value of 23.85%, NGS belongs to the best of the industry, outperforming 89.66% of the companies in the same industry.
NGS has a better Gross Margin (55.98%) than 93.10% of its industry peers.
In the last couple of years the Gross Margin of NGS has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 23.85% | ||
| PM (TTM) | 10.55% | ||
| GM | 55.98% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3Y13.78%
PM growth 5YN/A
GM growth 3Y0.37%
GM growth 5Y0.68%
2. Health
2.1 Basic Checks
NGS 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 NGS has been increased compared to 1 year ago.
Compared to 5 years ago, NGS has less shares outstanding
NGS has a worse debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 1.83 indicates that NGS is not a great score, but indicates only limited risk for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 1.83, NGS is in line with its industry, outperforming 50.00% of the companies in the same industry.
NGS has a Debt/Equity ratio of 0.65. This is a neutral value indicating NGS is somewhat dependend on debt financing.
The Debt to Equity ratio of NGS (0.65) is worse than 67.24% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.65 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 1.83 |
ROIC/WACC0.61
WACC9.16%
2.3 Liquidity
A Current Ratio of 1.76 indicates that NGS should not have too much problems paying its short term obligations.
NGS has a Current ratio (1.76) which is comparable to the rest of the industry.
A Quick Ratio of 1.16 indicates that NGS should not have too much problems paying its short term obligations.
With a Quick ratio value of 1.16, NGS is not doing good in the industry: 70.69% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.76 | ||
| Quick Ratio | 1.16 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 420.22% over the past year.
Measured over the past years, NGS shows a very strong growth in Earnings Per Share. The EPS has been growing by 37.97% on average per year.
NGS shows a strong growth in Revenue. In the last year, the Revenue has grown by 40.02%.
NGS shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 13.10% yearly.
EPS 1Y (TTM)420.22%
EPS 3Y39.9%
EPS 5Y37.97%
EPS Q2Q%122.22%
Revenue 1Y (TTM)40.02%
Revenue growth 3Y21.2%
Revenue growth 5Y13.1%
Sales Q2Q%29.7%
3.2 Future
The Earnings Per Share is expected to grow by 44.64% on average over the next years. This is a very strong growth
The Revenue is expected to grow by 15.38% on average over the next years. This is quite good.
EPS Next Y231.43%
EPS Next 2Y69.05%
EPS Next 3Y58.08%
EPS Next 5Y44.64%
Revenue Next Year36.2%
Revenue Next 2Y24.33%
Revenue Next 3Y20.07%
Revenue Next 5Y15.38%
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 stable.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 20.53 indicates a rather expensive valuation of NGS.
Compared to the rest of the industry, the Price/Earnings ratio of NGS is on the same level as its industry peers.
The average S&P500 Price/Earnings ratio is at 29.63. NGS is valued slightly cheaper when compared to this.
The Price/Forward Earnings ratio is 20.59, which indicates a rather expensive current valuation of NGS.
NGS's Price/Forward Earnings ratio is a bit more expensive when compared to the industry. NGS is more expensive than 67.24% of the companies in the same industry.
NGS's Price/Forward Earnings ratio indicates a similar valuation than the S&P500 average which is at 22.68.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.53 | ||
| Fwd PE | 20.59 |
4.2 Price Multiples
NGS's Enterprise Value to EBITDA ratio is a bit more expensive when compared to the industry. NGS is more expensive than 60.34% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 7.43 |
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 NGS's earnings are expected to grow with 58.08% in the coming years.
PEG (NY)0.09
PEG (5Y)0.54
EPS Next 2Y69.05%
EPS Next 3Y58.08%
5. Dividend
5.1 Amount
No dividends for NGS!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
26.48
-0.98 (-3.57%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryEnergy Equipment & Services
Earnings (Last)
Earnings (Next)
Inst Owners71.04%
Inst Owner Change-92.99%
Ins Owners0.47%
Ins Owner Change-11.9%
Market Cap330.74M
Analysts85
Price Target36.98 (39.65%)
Short Float %2.51%
Short Ratio3.14
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly Dividend0
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)24.05%
Min EPS beat(2)16.08%
Max EPS beat(2)32.01%
EPS beat(4)4
Avg EPS beat(4)68.11%
Min EPS beat(4)16.08%
Max EPS beat(4)131.02%
EPS beat(8)7
Avg EPS beat(8)105.17%
EPS beat(12)9
Avg EPS beat(12)-18.29%
EPS beat(16)10
Avg EPS beat(16)-30.42%
Revenue beat(2)2
Avg Revenue beat(2)4.74%
Min Revenue beat(2)3.76%
Max Revenue beat(2)5.71%
Revenue beat(4)4
Avg Revenue beat(4)8.09%
Min Revenue beat(4)3.76%
Max Revenue beat(4)18.35%
Revenue beat(8)8
Avg Revenue beat(8)9.79%
Revenue beat(12)11
Avg Revenue beat(12)8.64%
Revenue beat(16)15
Avg Revenue beat(16)9.05%
PT rev (1m)2.11%
PT rev (3m)2.11%
EPS NQ rev (1m)1.32%
EPS NQ rev (3m)1.32%
EPS NY rev (1m)0%
EPS NY rev (3m)7.52%
Revenue NQ rev (1m)1.36%
Revenue NQ rev (3m)1.36%
Revenue NY rev (1m)0%
Revenue NY rev (3m)2.48%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.53 | ||
| Fwd PE | 20.59 | ||
| P/S | 2.17 | ||
| P/FCF | N/A | ||
| P/OCF | 6.7 | ||
| P/B | 1.32 | ||
| P/tB | 1.32 | ||
| EV/EBITDA | 7.43 |
EPS(TTM)1.29
EY4.87%
EPS(NY)1.29
Fwd EY4.86%
FCF(TTM)-2.67
FCFYN/A
OCF(TTM)3.95
OCFY14.93%
SpS12.19
BVpS20.11
TBVpS20.06
PEG (NY)0.09
PEG (5Y)0.54
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.23% | ||
| ROE | 6.4% | ||
| ROCE | 7.82% | ||
| ROIC | 5.61% | ||
| ROICexc | 5.61% | ||
| ROICexgc | 5.62% | ||
| OM | 23.85% | ||
| PM (TTM) | 10.55% | ||
| GM | 55.98% | ||
| FCFM | N/A |
ROA(3y)-0.75%
ROA(5y)-1.3%
ROE(3y)-0.71%
ROE(5y)-1.4%
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 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3Y13.78%
PM growth 5YN/A
GM growth 3Y0.37%
GM growth 5Y0.68%
F-Score7
Asset Turnover0.31
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.65 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 2.46 | ||
| Cap/Depr | 275.43% | ||
| Cap/Sales | 54.32% | ||
| Interest Coverage | 2.12 | ||
| Cash Conversion | 74.39% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.76 | ||
| Quick Ratio | 1.16 | ||
| Altman-Z | 1.83 |
F-Score7
WACC9.16%
ROIC/WACC0.61
Cap/Depr(3y)317.01%
Cap/Depr(5y)262.43%
Cap/Sales(3y)79.77%
Cap/Sales(5y)70.18%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)420.22%
EPS 3Y39.9%
EPS 5Y37.97%
EPS Q2Q%122.22%
EPS Next Y231.43%
EPS Next 2Y69.05%
EPS Next 3Y58.08%
EPS Next 5Y44.64%
Revenue 1Y (TTM)40.02%
Revenue growth 3Y21.2%
Revenue growth 5Y13.1%
Sales Q2Q%29.7%
Revenue Next Year36.2%
Revenue Next 2Y24.33%
Revenue Next 3Y20.07%
Revenue Next 5Y15.38%
EBIT growth 1Y356.43%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year728.39%
EBIT Next 3Y123.16%
EBIT Next 5Y81.58%
FCF growth 1Y-154.1%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y71.72%
OCF growth 3Y-17.95%
OCF growth 5Y-5.31%