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%)
PDS gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 60 industry peers in the Energy Equipment & Services industry. PDS has an average financial health and profitability rating. 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.
PDS had a positive operating cash flow in the past year.
In multiple years PDS reported negative net income over the last 5 years.
Each year in the past 5 years PDS had a positive operating cash flow.
1.2 Ratios
PDS has a Return On Assets (2.10%) which is comparable to the rest of the industry.
The Return On Equity of PDS (3.54%) is worse than 63.33% of its industry peers.
PDS's Return On Invested Capital of 4.93% is in line compared to the rest of the industry. PDS outperforms 46.67% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for PDS is below the industry average of 7.85%.
| 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 63.33% 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 50.00% of its industry peers.
PDS's Operating Margin has improved in the last couple of years.
Looking at the Gross Margin, with a value of 32.97%, PDS is in the better half of the industry, outperforming 70.00% of the companies in the same industry.
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.
PDS has less shares outstanding than it did 1 year ago.
Compared to 5 years ago, PDS has less shares outstanding
The debt/assets ratio for PDS has been reduced compared to a year ago.
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.
PDS has a Altman-Z score of 1.07. This is in the lower half of the industry: PDS underperforms 73.33% of its industry peers.
PDS has a debt to FCF ratio of 3.61. This is a good value and a sign of high solvency as PDS would need 3.61 years to pay back of all of its debts.
With a Debt to FCF ratio value of 3.61, PDS perfoms like the industry average, outperforming 60.00% of the companies in the same industry.
A Debt/Equity ratio of 0.44 indicates that PDS is not too dependend on debt financing.
With a Debt to Equity ratio value of 0.44, PDS perfoms like the industry average, outperforming 45.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.44 | ||
| Debt/FCF | 3.61 | ||
| Altman-Z | 1.07 |
ROIC/WACC0.6
WACC8.27%
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.
PDS's Current ratio of 1.58 is on the low side compared to the rest of the industry. PDS is outperformed by 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.
PDS has a Quick ratio (1.42) which 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
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.
Looking at the last year, PDS shows a decrease in Revenue. The Revenue has decreased by -5.55% in the last year.
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
The Earnings Per Share is expected to grow by 20.35% on average over the next years. This is a very strong growth
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
With a Price/Earnings ratio of 21.53, PDS is valued on the expensive side.
PDS's Price/Earnings ratio is in line with the industry average.
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.
With a Price/Forward Earnings ratio of 9.18, the valuation of PDS can be described as very reasonable.
95.00% of the companies in the same industry are more expensive than PDS, based on the Price/Forward Earnings ratio.
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
90.00% of the companies in the same industry are more expensive than PDS, based on the Enterprise Value to EBITDA ratio.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of PDS indicates a rather cheap valuation: PDS is cheaper than 95.00% of the companies listed 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
PDS does not give a dividend.
| 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 Change0.59%
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
WACC8.27%
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.