Cathedral Energy Services' (TSE:CET) Earnings Aren't As Good As They Appear
Nov 22
Canadian (TSX) Energy Services Industry Analysis
UpdatedDec 01, 2022
DataAggregated Company Financials
Companies30
- 7D1.2%
- 3M28.4%
- 1Y39.5%
- YTD31.8%
In the last week, the Energy Services industry is up 1.2%, with Computer Modelling Group leading the way, up 10%. This takes the industry's 12 month performance to a gain of 39%. As for the next few years, earnings are expected to grow by 55% per annum.
Industry Valuation and Performance
Has the Canadian Energy Services Industry valuation changed over the past few years?
| Date | Market Cap | Revenue | Earnings | PE | Absolute PE | PS |
|---|---|---|---|---|---|---|
| Thu, 01 Dec 2022 | CA$13.5b | CA$22.2b | CA$251.7m | 12.9x | 53.7x | 0.6x |
| Sat, 29 Oct 2022 | CA$12.2b | CA$19.6b | -CA$75,216,204.00 | 14.4x | -162.3x | 0.6x |
| Mon, 26 Sep 2022 | CA$9.4b | CA$19.4b | -CA$156,837,204.00 | 11.8x | -60.2x | 0.5x |
| Wed, 24 Aug 2022 | CA$11.1b | CA$19.4b | -CA$127,533,279.00 | 12.8x | -86.8x | 0.6x |
| Fri, 22 Jul 2022 | CA$9.9b | CA$16.5b | -CA$472,639,277.00 | 14.3x | -21x | 0.6x |
| Sun, 19 Jun 2022 | CA$10.4b | CA$16.5b | -CA$472,639,277.00 | 17.4x | -22x | 0.6x |
| Tue, 17 May 2022 | CA$11.3b | CA$16.5b | -CA$473,268,544.00 | 18.6x | -23.9x | 0.7x |
| Thu, 14 Apr 2022 | CA$11.6b | CA$14.4b | -CA$603,277,302.00 | 14.9x | -19.3x | 0.8x |
| Sat, 12 Mar 2022 | CA$10.2b | CA$14.1b | -CA$498,228,302.00 | 13.9x | -20.4x | 0.7x |
| Mon, 07 Feb 2022 | CA$9.7b | CA$13.0b | -CA$206,228,038.00 | 11.9x | -47.1x | 0.7x |
| Wed, 05 Jan 2022 | CA$8.8b | CA$13.0b | -CA$206,002,272.00 | 13.2x | -42.6x | 0.7x |
| Fri, 03 Dec 2021 | CA$8.2b | CA$13.0b | -CA$203,062,763.00 | 12.6x | -40.6x | 0.6x |
| Sun, 31 Oct 2021 | CA$9.4b | CA$12.3b | -CA$328,925,515.00 | 13.1x | -28.5x | 0.8x |
| Tue, 28 Sep 2021 | CA$8.2b | CA$11.2b | -CA$350,199,515.00 | 12.7x | -23.5x | 0.7x |
| Thu, 26 Aug 2021 | CA$7.1b | CA$11.2b | -CA$353,548,483.00 | 12.2x | -20.1x | 0.6x |
| Fri, 02 Jul 2021 | CA$7.5b | CA$11.2b | -CA$353,548,483.00 | 13.1x | -21.3x | 0.7x |
| Mon, 05 Apr 2021 | CA$6.3b | CA$10.4b | -CA$758,944,797.00 | 18.2x | -8.2x | 0.6x |
| Thu, 07 Jan 2021 | CA$5.1b | CA$11.3b | -CA$1,710,238,504.00 | 9.1x | -3x | 0.5x |
| Wed, 30 Sep 2020 | CA$3.6b | CA$11.8b | -CA$1,350,990,707.00 | 14.6x | -2.7x | 0.3x |
| Sat, 04 Jul 2020 | CA$4.0b | CA$13.7b | -CA$1,284,329,570.00 | 10.1x | -3.1x | 0.3x |
| Tue, 07 Apr 2020 | CA$3.2b | CA$17.7b | -CA$1,462,175,672.00 | 8x | -2.2x | 0.2x |
| Fri, 10 Jan 2020 | CA$8.6b | CA$18.5b | -CA$387,466,420.00 | 20.5x | -22.3x | 0.5x |
Price to Earnings Ratio
-20.9x
Current Industry PE
- Investors are optimistic on the Canadian Energy Services industry, and appear confident in long term growth rates.
- The industry is trading at a PE ratio of 53.7x which is higher than its 3-year average PE of -19.8x.
- The industry is trading close to its 3-year average PS ratio of 0.53x.
Past Earnings Growth
- Total earnings for the Energy Services industry have gone up over the last three years, and the industry is now profitable. Revenues have grown 5.8% per year.
- This means that more sales are being generated by the industry overall, and subsequently profits are increasing too.
Industry Trends
Which industries have driven the changes within the Canadian Energy industry?
| CA Market | 0.70% | |
| Energy | -0.88% | |
| Energy Services | 1.20% | |
| Oil and Gas Services | 1.51% | |
| Oil and Gas Drilling | 0.17% | |
Industry PE
- Investors are most optimistic about the Oil and Gas Services industry which is trading above its 3-year average PE ratio of 27.0x.
- Analysts are expecting annual earnings growth of 39.4%, which is higher than its past year's earnings growth of 12.6% per year.
Forecasted Growth
- Analysts are most optimistic on the Oil and Gas Drilling industry, expecting annual earnings growth of 106% over the next 5 years.
- However this is lower than its past earnings growth rate of 321% per year.
- In contrast, the Oil and Gas Services industry is expected to see its earnings grow by 39% per year over the next few years.
Top Stock Gainers and Losers
Which companies have driven the market over the last 7 days?
| Company | Last Price | 7D | 1Y | Valuation | |
|---|---|---|---|---|---|
| CMG Computer Modelling Group | CA$6.04 | 10.2% +CA$45.1m | 35.7% | PE25.9x | |
| SCL Shawcor | CA$12.48 | 5.1% +CA$42.3m | 149.6% | PS0.7x | |
| STEP STEP Energy Services | CA$5.87 | 5.0% +CA$20.0m | 271.5% | PE5.8x | |
| PSI Pason Systems | CA$16.05 | 1.5% +CA$19.6m | 52.6% | PE15.9x | |
| EFX Enerflex | CA$8.92 | 1.1% +CA$12.4m | 22.7% | PS0.8x |