PRECISION DRILLING CORP (PDS) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:PDS - CA74022D4075 - Common Stock
57 USD
+0.05 (+0.09%)
57 USD
0 (0%)
Taking everything into account, PDS scores 4 out of 10 in our fundamental rating. PDS was compared to 60 industry peers in the Energy Equipment & Services industry. PDS has only an average score on both its financial health and profitability. PDS has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
PDS had positive earnings in the past year.
In the past year PDS had a positive cash flow from operations.
The reported net income has been mixed in the past 5 years: PDS reported negative net income in multiple years.
In the past 5 years PDS always reported a positive cash flow from operatings.
1.2 Ratios
With a Return On Assets value of 2.10%, PDS perfoms like the industry average, outperforming 41.67% of the companies in the same industry.
The Return On Equity of PDS (3.54%) is worse than 61.67% of its industry peers.
With a Return On Invested Capital value of 4.93%, PDS perfoms like the industry average, outperforming 46.67% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for PDS is below the industry average of 7.66%.
| 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 doing worse than 60.00% of the companies in the same industry.
In the last couple of years the Profit Margin of PDS has grown nicely.
PDS has a Operating Margin of 9.39%. This is comparable to the rest of the industry: PDS outperforms 53.33% 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 70.00% 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
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), PDS is destroying value.
The number of shares outstanding for PDS has been reduced compared to 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
PDS has an Altman-Z score of 1.06. This is a bad value and indicates that PDS is not financially healthy and even has some risk of bankruptcy.
The Altman-Z score of PDS (1.06) is worse than 73.33% of its industry peers.
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.
With a decent Debt to FCF ratio value of 3.61, PDS is doing good in the industry, outperforming 61.67% of the companies in the same industry.
A Debt/Equity ratio of 0.44 indicates that PDS is not too dependend on debt financing.
PDS has a Debt to Equity ratio of 0.44. This is comparable to the rest of the industry: PDS outperforms 45.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.44 | ||
| Debt/FCF | 3.61 | ||
| Altman-Z | 1.06 |
ROIC/WACC0.6
WACC8.24%
2.3 Liquidity
A Current Ratio of 1.58 indicates that PDS should not have too much problems paying its short term obligations.
PDS has a Current ratio of 1.58. This is in the lower half of the industry: PDS underperforms 70.00% of its industry peers.
A Quick Ratio of 1.42 indicates that PDS should not have too much problems paying its short term obligations.
The Quick ratio of PDS (1.42) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.58 | ||
| Quick Ratio | 1.42 |
3. Growth
3.1 Past
PDS shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -74.60%.
The Earnings Per Share has been growing by 76.97% on average over the past years. This is a very strong growth
The Revenue has decreased by -5.55% in the past year.
The Revenue has been growing slightly by 4.30% on average over the past years.
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 20.35% yearly.
PDS is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 0.28% yearly.
EPS Next Y-17.63%
EPS Next 2Y10.39%
EPS Next 3Y14.4%
EPS Next 5Y20.35%
Revenue Next Year-3.79%
Revenue Next 2Y-0.63%
Revenue Next 3Y0.34%
Revenue Next 5Y0.28%
3.3 Evolution
The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in 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
Based on the Price/Earnings ratio of 21.03, the valuation of PDS can be described as rather expensive.
Compared to the rest of the industry, the Price/Earnings ratio of PDS is on the same level as its industry peers.
Compared to an average S&P500 Price/Earnings ratio of 25.47, PDS is valued at the same level.
Based on the Price/Forward Earnings ratio of 8.98, the valuation of PDS can be described as reasonable.
PDS's Price/Forward Earnings ratio is rather cheap when compared to the industry. PDS is cheaper than 95.00% of the companies in the same industry.
PDS is valuated cheaply when we compare the Price/Forward Earnings ratio to 34.42, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.03 | ||
| Fwd PE | 8.98 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, PDS is valued cheaply inside the industry as 90.00% of the companies are valued more expensively.
Based on the Price/Free Cash Flow ratio, PDS is valued cheaper than 95.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 5.07 | ||
| EV/EBITDA | 3.66 |
4.3 Compensation for Growth
PDS's earnings are expected to grow with 14.40% in the coming years. This may justify a more expensive valuation.
PEG (NY)N/A
PEG (5Y)0.27
EPS Next 2Y10.39%
EPS Next 3Y14.4%
5. Dividend
5.1 Amount
PDS does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
57
+0.05 (+0.09%)
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 Cap750.69M
Revenue(TTM)1.83B
Net Income(TTM)58.81M
Analysts80
Price Target78.9 (38.42%)
Short Float %1.91%
Short Ratio3.01
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
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)10.08%
PT rev (3m)10.7%
EPS NQ rev (1m)43.07%
EPS NQ rev (3m)43.07%
EPS NY rev (1m)-16.56%
EPS NY rev (3m)-14.4%
Revenue NQ rev (1m)3.17%
Revenue NQ rev (3m)3.17%
Revenue NY rev (1m)0.63%
Revenue NY rev (3m)0.58%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.03 | ||
| Fwd PE | 8.98 | ||
| P/S | 0.58 | ||
| P/FCF | 5.07 | ||
| P/OCF | 2.35 | ||
| P/B | 0.64 | ||
| P/tB | 0.64 | ||
| EV/EBITDA | 3.66 |
EPS(TTM)2.71
EY4.75%
EPS(NY)6.35
Fwd EY11.14%
FCF(TTM)11.25
FCFY19.73%
OCF(TTM)24.24
OCFY42.52%
SpS98.83
BVpS89.63
TBVpS89.07
PEG (NY)N/A
PEG (5Y)0.27
Graham Number73.93
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 | 1.06 |
F-Score6
WACC8.24%
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-17.63%
EPS Next 2Y10.39%
EPS Next 3Y14.4%
EPS Next 5Y20.35%
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-0.63%
Revenue Next 3Y0.34%
Revenue Next 5Y0.28%
EBIT growth 1Y-30.04%
EBIT growth 3YN/A
EBIT growth 5Y26.74%
EBIT Next Year117.51%
EBIT Next 3Y29.51%
EBIT Next 5Y17.3%
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 4 / 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 21.03 and the Price/Book (PB) ratio is 0.64.
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 -17.63% in the next year.