PRECISION DRILLING CORP (PDS) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:PDS - CA74022D4075 - Common Stock
68.3 USD
-1.46 (-2.09%)
68.3 USD
0 (0%)
Taking everything into account, PDS scores 4 out of 10 in our fundamental rating. PDS was compared to 62 industry peers in the Energy Equipment & Services industry. Both the profitability and the financial health of PDS get a neutral evaluation. Nothing too spectacular is happening here. PDS has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
In the past year PDS was profitable.
In the past year PDS had a positive cash flow from operations.
In multiple years PDS reported negative net income over the last 5 years.
In the past 5 years PDS always reported a positive cash flow from operatings.
1.2 Ratios
PDS has a Return On Assets (2.10%) which is in line with its industry peers.
The Return On Equity of PDS (3.54%) is comparable to the rest of the industry.
Looking at the Return On Invested Capital, with a value of 4.93%, PDS is in line with its industry, outperforming 46.77% of the companies in the same industry.
PDS had an Average Return On Invested Capital over the past 3 years of 5.10%. This is significantly below the industry average of 13.09%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.1% | ||
| ROE | 3.54% | ||
| ROIC | 4.93% |
ROA(3y)4.05%
ROA(5y)0.27%
ROE(3y)7.4%
ROE(5y)-0.16%
ROIC(3y)5.1%
ROIC(5y)N/A
1.3 Margins
Looking at the Profit Margin, with a value of 3.21%, PDS is in line with its industry, outperforming 40.32% of the companies in the same industry.
PDS's Profit Margin has improved in the last couple of years.
PDS has a Operating Margin of 9.39%. This is comparable to the rest of the industry: PDS outperforms 53.23% of its industry peers.
PDS's Operating Margin has improved in the last couple of years.
PDS has a Gross Margin of 32.97%. This is in the better half of the industry: PDS outperforms 72.58% of its industry peers.
In the last couple of years the Gross Margin of PDS has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 9.39% | ||
| PM (TTM) | 3.21% | ||
| GM | 32.97% |
OM growth 3YN/A
OM growth 5Y21.52%
PM growth 3YN/A
PM growth 5Y68.67%
GM growth 3Y8.2%
GM growth 5Y1.06%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so PDS is destroying value.
PDS has less shares outstanding than it did 1 year ago.
PDS has less shares outstanding than it did 5 years ago.
PDS has a better debt/assets ratio than last year.
2.2 Solvency
Based on the Altman-Z score of 1.17, we must say that PDS is in the distress zone and has some risk of bankruptcy.
With a Altman-Z score value of 1.17, PDS is not doing good in the industry: 74.19% of the companies in the same industry are doing better.
The Debt to FCF ratio of PDS is 3.61, which is a good value as it means it would take PDS, 3.61 years of fcf income to pay off all of its debts.
PDS has a Debt to FCF ratio of 3.61. This is in the better half of the industry: PDS outperforms 61.29% of its industry peers.
PDS has a Debt/Equity ratio of 0.44. This is a healthy value indicating a solid balance between debt and equity.
The Debt to Equity ratio of PDS (0.44) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.44 | ||
| Debt/FCF | 3.61 | ||
| Altman-Z | 1.17 |
ROIC/WACC0.6
WACC8.22%
2.3 Liquidity
PDS has a Current Ratio of 1.58. This is a normal value and indicates that PDS is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Current ratio, with a value of 1.58, PDS is doing worse than 69.35% of the companies in the same industry.
PDS has a Quick Ratio of 1.42. This is a normal value and indicates that PDS is financially healthy and should not expect problems in meeting its short term obligations.
PDS has a Quick ratio of 1.42. This is comparable to the rest of the industry: PDS outperforms 43.55% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.58 | ||
| Quick Ratio | 1.42 |
3. Growth
3.1 Past
The earnings per share for PDS have decreased strongly by -74.60% in the last year.
PDS shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 76.97% yearly.
PDS shows a decrease in Revenue. In the last year, the revenue decreased by -5.55%.
PDS shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 4.30% yearly.
EPS 1Y (TTM)-74.6%
EPS 3YN/A
EPS 5Y76.97%
EPS Q2Q%-122.08%
Revenue 1Y (TTM)-5.55%
Revenue growth 3Y24.45%
Revenue growth 5Y4.3%
Sales Q2Q%-3.12%
3.2 Future
PDS is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 20.41% yearly.
The Revenue is expected to grow by 0.33% on average over the next years.
EPS Next Y-18.52%
EPS Next 2Y7.41%
EPS Next 3Y12.27%
EPS Next 5Y20.41%
Revenue Next Year-3.79%
Revenue Next 2Y-0.51%
Revenue Next 3Y0.44%
Revenue Next 5Y0.33%
3.3 Evolution
Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of the past 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
A Price/Earnings ratio of 24.66 indicates a rather expensive valuation of PDS.
Compared to the rest of the industry, the Price/Earnings ratio of PDS is on the same level as its industry peers.
When comparing the Price/Earnings ratio of PDS to the average of the S&P500 Index (26.61), we can say PDS is valued inline with the index average.
With a Price/Forward Earnings ratio of 11.12, the valuation of PDS can be described as very reasonable.
90.32% of the companies in the same industry are more expensive than PDS, based on the Price/Forward Earnings ratio.
The average S&P500 Price/Forward Earnings ratio is at 24.01. PDS is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 24.66 | ||
| Fwd PE | 11.12 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, PDS is valued cheaper than 90.32% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, PDS is valued cheaply inside the industry as 93.55% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 5.95 | ||
| EV/EBITDA | 4.1 |
4.3 Compensation for Growth
A more expensive valuation may be justified as PDS's earnings are expected to grow with 12.27% in the coming years.
PEG (NY)N/A
PEG (5Y)0.32
EPS Next 2Y7.41%
EPS Next 3Y12.27%
5. Dividend
5.1 Amount
No dividends for PDS!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
68.3
-1.46 (-2.09%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryEnergy Equipment & Services
Earnings (Last)
Earnings (Next)
Inst Owners44.58%
Inst Owner Change8.01%
Ins Owners2.73%
Ins Owner ChangeN/A
Market Cap899.51M
Revenue(TTM)1.83B
Net Income(TTM)58.81M
Analysts80
Price Target79.33 (16.15%)
Short Float %1.67%
Short Ratio2.59
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DP0%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)323.37%
Min EPS beat(2)-133.63%
Max EPS beat(2)780.37%
EPS beat(4)1
Avg EPS beat(4)147.23%
Min EPS beat(4)-133.63%
Max EPS beat(4)780.37%
EPS beat(8)2
Avg EPS beat(8)100.13%
EPS beat(12)4
Avg EPS beat(12)60.39%
EPS beat(16)6
Avg EPS beat(16)40.95%
Revenue beat(2)0
Avg Revenue beat(2)-2.49%
Min Revenue beat(2)-3.25%
Max Revenue beat(2)-1.74%
Revenue beat(4)0
Avg Revenue beat(4)-3.25%
Min Revenue beat(4)-5.59%
Max Revenue beat(4)-1.74%
Revenue beat(8)1
Avg Revenue beat(8)-3.18%
Revenue beat(12)4
Avg Revenue beat(12)-2.07%
Revenue beat(16)7
Avg Revenue beat(16)6.41%
PT rev (1m)3.58%
PT rev (3m)9.98%
EPS NQ rev (1m)0%
EPS NQ rev (3m)43.07%
EPS NY rev (1m)-1.08%
EPS NY rev (3m)-15.32%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)3.17%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.58%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 24.66 | ||
| Fwd PE | 11.12 | ||
| P/S | 0.68 | ||
| P/FCF | 5.95 | ||
| P/OCF | 2.76 | ||
| P/B | 0.75 | ||
| P/tB | 0.75 | ||
| EV/EBITDA | 4.1 |
EPS(TTM)2.77
EY4.06%
EPS(NY)6.14
Fwd EY8.99%
FCF(TTM)11.48
FCFY16.81%
OCF(TTM)24.75
OCFY36.23%
SpS100.92
BVpS91.52
TBVpS90.95
PEG (NY)N/A
PEG (5Y)0.32
Graham Number75.53
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.1% | ||
| ROE | 3.54% | ||
| ROCE | 6.84% | ||
| ROIC | 4.93% | ||
| ROICexc | 5% | ||
| ROICexgc | 5.03% | ||
| OM | 9.39% | ||
| PM (TTM) | 3.21% | ||
| GM | 32.97% | ||
| FCFM | 11.38% |
ROA(3y)4.05%
ROA(5y)0.27%
ROE(3y)7.4%
ROE(5y)-0.16%
ROIC(3y)5.1%
ROIC(5y)N/A
ROICexc(3y)5.22%
ROICexc(5y)N/A
ROICexgc(3y)5.25%
ROICexgc(5y)N/A
ROCE(3y)7.08%
ROCE(5y)N/A
ROICexgc growth 3YN/A
ROICexgc growth 5Y30.66%
ROICexc growth 3YN/A
ROICexc growth 5Y30.81%
OM growth 3YN/A
OM growth 5Y21.52%
PM growth 3YN/A
PM growth 5Y68.67%
GM growth 3Y8.2%
GM growth 5Y1.06%
F-Score6
Asset Turnover0.65
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.44 | ||
| Debt/FCF | 3.61 | ||
| Debt/EBITDA | 1.52 | ||
| Cap/Depr | 77.33% | ||
| Cap/Sales | 13.14% | ||
| Interest Coverage | 2.73 | ||
| Cash Conversion | 92.93% | ||
| Profit Quality | 354.71% | ||
| Current Ratio | 1.58 | ||
| Quick Ratio | 1.42 | ||
| Altman-Z | 1.17 |
F-Score6
WACC8.22%
ROIC/WACC0.6
Cap/Depr(3y)70.76%
Cap/Depr(5y)51.73%
Cap/Sales(3y)11.5%
Cap/Sales(5y)9.75%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-74.6%
EPS 3YN/A
EPS 5Y76.97%
EPS Q2Q%-122.08%
EPS Next Y-18.52%
EPS Next 2Y7.41%
EPS Next 3Y12.27%
EPS Next 5Y20.41%
Revenue 1Y (TTM)-5.55%
Revenue growth 3Y24.45%
Revenue growth 5Y4.3%
Sales Q2Q%-3.12%
Revenue Next Year-3.79%
Revenue Next 2Y-0.51%
Revenue Next 3Y0.44%
Revenue Next 5Y0.33%
EBIT growth 1Y-30.04%
EBIT growth 3YN/A
EBIT growth 5Y26.74%
EBIT Next Year118.31%
EBIT Next 3Y31.17%
EBIT Next 5Y17.36%
FCF growth 1Y-26.59%
FCF growth 3Y61.26%
FCF growth 5Y15.79%
OCF growth 1Y-8.14%
OCF growth 3Y51.29%
OCF growth 5Y10.84%
PRECISION DRILLING CORP / PDS FAQ
Can you provide the ChartMill fundamental rating for PRECISION DRILLING CORP?
ChartMill assigns a fundamental rating of 4 / 10 to PDS.
What is the valuation status of PRECISION DRILLING CORP (PDS) stock?
ChartMill assigns a valuation rating of 5 / 10 to PRECISION DRILLING CORP (PDS). This can be considered as Fairly Valued.
What is the profitability of PDS stock?
PRECISION DRILLING CORP (PDS) has a profitability rating of 5 / 10.
What are the PE and PB ratios of PRECISION DRILLING CORP (PDS) stock?
The Price/Earnings (PE) ratio for PRECISION DRILLING CORP (PDS) is 24.66 and the Price/Book (PB) ratio is 0.75.
What is the earnings growth outlook for PRECISION DRILLING CORP?
The Earnings per Share (EPS) of PRECISION DRILLING CORP (PDS) is expected to decline by -18.52% in the next year.