PRECISION DRILLING CORP (PDS) Stock Fundamental Analysis
USA - NYSE:PDS - CA74022D4075 - Common Stock
58.55 USD
+1.64 (+2.88%)
58.55 USD
0 (0%)
Overall PDS gets a fundamental rating of 4 out of 10. We evaluated PDS against 60 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 is not valued too expensively and it also shows a decent growth rate.
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.
In multiple years PDS reported negative net income over the last 5 years.
PDS had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
PDS has a Return On Assets (2.10%) which is comparable to the rest of the industry.
Looking at the Return On Equity, with a value of 3.54%, PDS is doing worse than 63.33% of the companies in the same industry.
PDS has a Return On Invested Capital (4.93%) which is in line with its industry peers.
PDS had an Average Return On Invested Capital over the past 3 years of 5.10%. This is below the industry average of 7.82%.
| 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
With a Profit Margin value of 3.21%, PDS is not doing good in the industry: 63.33% of the companies in the same industry are doing better.
PDS's Profit Margin has improved in the last couple of years.
Looking at the Operating Margin, with a value of 9.39%, PDS is in line with its industry, outperforming 50.00% of the companies in the same industry.
In the last couple of years the Operating Margin of PDS has grown nicely.
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
PDS has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
Compared to 1 year ago, PDS has less shares outstanding
PDS has less shares outstanding than it did 5 years ago.
Compared to 1 year ago, PDS has an improved debt to assets ratio.
2.2 Solvency
PDS has an Altman-Z score of 1.07. This is a bad value and indicates that PDS is not financially healthy and even has some risk of bankruptcy.
Looking at the Altman-Z score, with a value of 1.07, PDS is doing worse than 73.33% of the companies in the same industry.
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 (3.61) which is in line with its industry peers.
A Debt/Equity ratio of 0.44 indicates that PDS is not too dependend on debt financing.
PDS has a Debt to Equity ratio (0.44) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.44 | ||
| Debt/FCF | 3.61 | ||
| Altman-Z | 1.07 |
ROIC/WACC0.6
WACC8.28%
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.
The Current ratio of PDS (1.58) is worse than 68.33% of its industry peers.
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.
Looking at the Quick ratio, with a value of 1.42, PDS is in line with its industry, outperforming 45.00% of the companies in the same industry.
| 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.
Measured over the past years, PDS shows a very strong growth in Earnings Per Share. The EPS has been growing by 76.97% on average per year.
PDS shows a decrease in Revenue. In the last year, the revenue decreased by -5.55%.
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
Based on estimates for the next years, PDS will show a very strong growth in Earnings Per Share. The EPS will grow by 20.35% on average per year.
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
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 21.53 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 (25.89), we can say PDS is valued inline with the index average.
The Price/Forward Earnings ratio is 9.18, which indicates a very decent valuation of PDS.
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.
Compared to an average S&P500 Price/Forward Earnings ratio of 34.59, PDS is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.53 | ||
| Fwd PE | 9.18 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, PDS is valued cheaper than 90.00% of the companies in the same industry.
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 | 5.18 | ||
| EV/EBITDA | 3.71 |
4.3 Compensation for Growth
A more expensive valuation may be justified as PDS's earnings are expected to grow with 14.40% in the coming years.
PEG (NY)N/A
PEG (5Y)0.28
EPS Next 2Y10.39%
EPS Next 3Y14.4%
5. Dividend
5.1 Amount
No dividends for PDS!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
58.55
+1.64 (+2.88%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryEnergy Equipment & Services
Earnings (Last)
Earnings (Next)
Inst Owners44.58%
Inst Owner Change8.02%
Ins Owners2.73%
Ins Owner ChangeN/A
Market Cap771.10M
Revenue(TTM)1.83B
Net Income(TTM)58.81M
Analysts80
Price Target76.59 (30.81%)
Short Float %2.26%
Short Ratio3.7
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)6.86%
PT rev (3m)8.49%
EPS NQ rev (1m)53%
EPS NQ rev (3m)53%
EPS NY rev (1m)-16.56%
EPS NY rev (3m)-24.94%
Revenue NQ rev (1m)3.39%
Revenue NQ rev (3m)3.39%
Revenue NY rev (1m)0.63%
Revenue NY rev (3m)-0.99%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.53 | ||
| Fwd PE | 9.18 | ||
| P/S | 0.59 | ||
| P/FCF | 5.18 | ||
| P/OCF | 2.4 | ||
| P/B | 0.65 | ||
| P/tB | 0.65 | ||
| EV/EBITDA | 3.71 |
EPS(TTM)2.72
EY4.65%
EPS(NY)6.38
Fwd EY10.9%
FCF(TTM)11.3
FCFY19.3%
OCF(TTM)24.35
OCFY41.58%
SpS99.29
BVpS90.04
TBVpS89.48
PEG (NY)N/A
PEG (5Y)0.28
Graham Number74.23
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 | 1.07 |
F-Score6
WACC8.28%
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 21.53 and the Price/Book (PB) ratio is 0.65.
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.