ODFJELL DRILLING LTD (ODL.OL) Stock Fundamental Analysis
OSL:ODL - Euronext Oslo - BMG671801022 - Common Stock - Currency: NOK
We assign a fundamental rating of 4 out of 10 to ODL. ODL was compared to 35 industry peers in the Energy Equipment & Services industry. While ODL is still in line with the averages on profitability rating, there are concerns on its financial health. ODL is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
ODL had positive earnings in the past year.
ODL had a positive operating cash flow in the past year.
In the past 5 years ODL has always been profitable.
ODL had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
With a Return On Assets value of 2.92%, ODL perfoms like the industry average, outperforming 42.86% of the companies in the same industry.
ODL has a worse Return On Equity (4.61%) than 65.71% of its industry peers.
ODL has a Return On Invested Capital of 5.92%. This is in the lower half of the industry: ODL underperforms 68.57% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.92% | ||
| ROE | 4.61% | ||
| ROIC | 5.92% |
ROA(3y)N/A
ROA(5y)N/A
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
ODL has a Profit Margin (8.35%) which is comparable to the rest of the industry.
In the last couple of years the Profit Margin of ODL has grown nicely.
The Operating Margin of ODL (19.42%) is better than 71.43% of its industry peers.
ODL's Operating Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 19.42% | ||
| PM (TTM) | 8.35% | ||
| GM | N/A |
OM growth 3Y1.24%
OM growth 5Y1.75%
PM growth 3Y-13.55%
PM growth 5Y10.98%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
ODL has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
ODL has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
2.2 Solvency
ODL has a debt to FCF ratio of 4.27. This is a neutral value as ODL would need 4.27 years to pay back of all of its debts.
ODL has a Debt to FCF ratio of 4.27. This is in the better half of the industry: ODL outperforms 62.86% of its industry peers.
A Debt/Equity ratio of 0.40 indicates that ODL is not too dependend on debt financing.
ODL has a Debt to Equity ratio of 0.40. This is comparable to the rest of the industry: ODL outperforms 60.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.4 | ||
| Debt/FCF | 4.27 | ||
| Altman-Z | N/A |
ROIC/WACC0.6
WACC9.9%
2.3 Liquidity
A Current Ratio of 0.96 indicates that ODL may have some problems paying its short term obligations.
ODL's Current ratio of 0.96 is on the low side compared to the rest of the industry. ODL is outperformed by 74.29% of its industry peers.
A Quick Ratio of 0.96 indicates that ODL may have some problems paying its short term obligations.
The Quick ratio of ODL (0.96) is worse than 71.43% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.96 | ||
| Quick Ratio | 0.96 |
3. Growth
3.1 Past
ODL shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -71.35%.
ODL shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 9.42% yearly.
The Revenue has been growing slightly by 5.82% in the past year.
Measured over the past years, ODL shows a decrease in Revenue. The Revenue has been decreasing by -1.20% on average per year.
EPS 1Y (TTM)-71.35%
EPS 3Y-4.45%
EPS 5Y9.42%
EPS Q2Q%-37.38%
Revenue 1Y (TTM)5.82%
Revenue growth 3Y10.65%
Revenue growth 5Y-1.2%
Sales Q2Q%6.2%
3.2 Future
The Earnings Per Share is expected to grow by 32.60% on average over the next years. This is a very strong growth
Based on estimates for the next years, ODL will show a small growth in Revenue. The Revenue will grow by 4.86% on average per year.
EPS Next Y89.58%
EPS Next 2Y69.5%
EPS Next 3Y32.6%
EPS Next 5YN/A
Revenue Next Year8.48%
Revenue Next 2Y9.76%
Revenue Next 3Y4.86%
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 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 accelerating.
4. Valuation
4.1 Price/Earnings Ratio
ODL is valuated rather expensively with a Price/Earnings ratio of 20.00.
Based on the Price/Earnings ratio, ODL is valued a bit more expensive than the industry average as 62.86% of the companies are valued more cheaply.
When comparing the Price/Earnings ratio of ODL to the average of the S&P500 Index (29.35), we can say ODL is valued slightly cheaper.
A Price/Forward Earnings ratio of 8.36 indicates a reasonable valuation of ODL.
The rest of the industry has a similar Price/Forward Earnings ratio as ODL.
ODL is valuated cheaply when we compare the Price/Forward Earnings ratio to 22.10, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20 | ||
| Fwd PE | 8.36 |
4.2 Price Multiples
ODL's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 8.3 | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
ODL's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
ODL's earnings are expected to grow with 32.60% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.22
PEG (5Y)2.12
EPS Next 2Y69.5%
EPS Next 3Y32.6%
5. Dividend
5.1 Amount
ODL has a Yearly Dividend Yield of 5.77%, which is a nice return.
Compared to an average industry Dividend Yield of 7.05, ODL pays a bit more dividend than its industry peers.
ODL's Dividend Yield is rather good when compared to the S&P500 average which is at 2.33.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.77% |
5.2 History
The dividend of ODL is nicely growing with an annual growth rate of 64.02%!
Dividend Growth(5Y)64.02%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
ODL pays out 88.41% of its income as dividend. This is not a sustainable payout ratio.
ODL's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP88.41%
EPS Next 2Y69.5%
EPS Next 3Y32.6%
OSL:ODL (3/7/2025, 7:00:00 PM)
58.4
+0.6 (+1.04%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryEnergy Equipment & Services
Earnings (Last)
Earnings (Next)
Inst Owners12.05%
Inst Owner ChangeN/A
Ins Owners0.01%
Ins Owner ChangeN/A
Market Cap14.00B
Analysts83.64
Price Target89.56 (53.36%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.77% |
Yearly Dividend1.3
Dividend Growth(5Y)64.02%
DP88.41%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)N/A
Avg EPS beat(2)N/A
Min EPS beat(2)N/A
Max EPS beat(2)N/A
EPS beat(4)N/A
Avg EPS beat(4)N/A
Min EPS beat(4)N/A
Max EPS beat(4)N/A
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)2
Avg Revenue beat(2)2.37%
Min Revenue beat(2)1.32%
Max Revenue beat(2)3.43%
Revenue beat(4)4
Avg Revenue beat(4)4.69%
Min Revenue beat(4)1.32%
Max Revenue beat(4)7.89%
Revenue beat(8)8
Avg Revenue beat(8)5.62%
Revenue beat(12)12
Avg Revenue beat(12)8.46%
Revenue beat(16)12
Avg Revenue beat(16)-0.26%
PT rev (1m)2.24%
PT rev (3m)3.32%
EPS NQ rev (1m)0%
EPS NQ rev (3m)0%
EPS NY rev (1m)0.78%
EPS NY rev (3m)-11.27%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0%
Revenue NY rev (1m)-0.7%
Revenue NY rev (3m)-2.06%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20 | ||
| Fwd PE | 8.36 | ||
| P/S | 1.67 | ||
| P/FCF | 8.3 | ||
| P/OCF | 4.49 | ||
| P/B | 0.92 | ||
| P/tB | 0.92 | ||
| EV/EBITDA | N/A |
EPS(TTM)2.92
EY5%
EPS(NY)6.98
Fwd EY11.96%
FCF(TTM)7.03
FCFY12.04%
OCF(TTM)12.99
OCFY22.25%
SpS35.01
BVpS63.37
TBVpS63.25
PEG (NY)0.22
PEG (5Y)2.12
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.92% | ||
| ROE | 4.61% | ||
| ROCE | 7.68% | ||
| ROIC | 5.92% | ||
| ROICexc | 6.3% | ||
| ROICexgc | 6.3% | ||
| OM | 19.42% | ||
| PM (TTM) | 8.35% | ||
| GM | N/A | ||
| FCFM | 20.09% |
ROA(3y)N/A
ROA(5y)N/A
ROE(3y)N/A
ROE(5y)N/A
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 3Y1.24%
OM growth 5Y1.75%
PM growth 3Y-13.55%
PM growth 5Y10.98%
GM growth 3YN/A
GM growth 5YN/A
F-Score6
Asset Turnover0.35
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.4 | ||
| Debt/FCF | 4.27 | ||
| Debt/EBITDA | N/A | ||
| Cap/Depr | N/A | ||
| Cap/Sales | 17.03% | ||
| Interest Coverage | 2.51 | ||
| Cash Conversion | N/A | ||
| Profit Quality | 240.65% | ||
| Current Ratio | 0.96 | ||
| Quick Ratio | 0.96 | ||
| Altman-Z | N/A |
F-Score6
WACC9.9%
ROIC/WACC0.6
Cap/Depr(3y)N/A
Cap/Depr(5y)N/A
Cap/Sales(3y)12.11%
Cap/Sales(5y)13.14%
Profit Quality(3y)163.66%
Profit Quality(5y)173.44%
High Growth Momentum
Growth
EPS 1Y (TTM)-71.35%
EPS 3Y-4.45%
EPS 5Y9.42%
EPS Q2Q%-37.38%
EPS Next Y89.58%
EPS Next 2Y69.5%
EPS Next 3Y32.6%
EPS Next 5YN/A
Revenue 1Y (TTM)5.82%
Revenue growth 3Y10.65%
Revenue growth 5Y-1.2%
Sales Q2Q%6.2%
Revenue Next Year8.48%
Revenue Next 2Y9.76%
Revenue Next 3Y4.86%
Revenue Next 5YN/A
EBIT growth 1Y-50.88%
EBIT growth 3Y12.02%
EBIT growth 5Y0.53%
EBIT Next Year157.61%
EBIT Next 3Y46.8%
EBIT Next 5YN/A
FCF growth 1Y-21.56%
FCF growth 3Y-0.63%
FCF growth 5YN/A
OCF growth 1Y8.69%
OCF growth 3Y3.9%
OCF growth 5Y7.72%