Precision Drilling's (TSE:PD) Promising Earnings May Rest On Soft Foundations
May 04
Canadian (TSX) Oil and Gas Drilling Industry Analysis
UpdatedMay 29, 2023
DataAggregated Company Financials
Companies7
- 7D-1.8%
- 3M-25.8%
- 1Y-38.6%
- YTD-32.0%
Over the last 7 days, the Oil and Gas Drilling industry has dropped 1.8%, driven by Precision Drilling declining 3.4%. In contrast, Stampede Drilling has gained 6.7%. The industry has fallen 39% in the last year. Looking forward, earnings are forecast to grow by 31% annually.
Industry Valuation and Performance
Has the Canadian Oil and Gas Drilling Industry valuation changed over the past few years?
| Date | Market Cap | Revenue | Earnings | PE | Absolute PE | PS |
|---|---|---|---|---|---|---|
| Mon, 29 May 2023 | CA$1.9b | CA$5.1b | CA$260.7m | 5.7x | 7.4x | 0.4x |
| Wed, 26 Apr 2023 | CA$2.2b | CA$4.5b | CA$78.0m | 9.6x | 28.1x | 0.5x |
| Fri, 24 Mar 2023 | CA$2.3b | CA$4.4b | CA$66.6m | 10.5x | 34x | 0.5x |
| Sun, 19 Feb 2023 | CA$2.6b | CA$4.1b | -CA$5,627,265.00 | 12.3x | -458x | 0.6x |
| Tue, 17 Jan 2023 | CA$3.2b | CA$3.9b | -CA$36,446,265.00 | 13.1x | -87.1x | 0.8x |
| Thu, 15 Dec 2022 | CA$3.0b | CA$3.9b | -CA$36,446,265.00 | 12.8x | -81.7x | 0.8x |
| Sat, 12 Nov 2022 | CA$3.2b | CA$3.8b | -CA$47,337,265.00 | 13.5x | -67.4x | 0.8x |
| Mon, 10 Oct 2022 | CA$2.3b | CA$3.4b | -CA$197,568,171.00 | 13.5x | -11.4x | 0.7x |
| Wed, 07 Sep 2022 | CA$2.3b | CA$3.4b | -CA$197,568,171.00 | 13.1x | -11.5x | 0.7x |
| Fri, 05 Aug 2022 | CA$2.3b | CA$3.2b | -CA$231,655,330.00 | 18.6x | -9.8x | 0.7x |
| Sun, 03 Jul 2022 | CA$2.3b | CA$3.0b | -CA$332,821,330.00 | 18.5x | -7x | 0.8x |
| Tue, 31 May 2022 | CA$3.0b | CA$3.0b | -CA$332,821,330.00 | 23.2x | -8.9x | 1x |
| Thu, 28 Apr 2022 | CA$2.4b | CA$2.7b | -CA$373,582,365.00 | 15.8x | -6.5x | 0.9x |
| Sat, 26 Mar 2022 | CA$2.2b | CA$2.6b | -CA$377,004,365.00 | 32.2x | -5.8x | 0.8x |
| Mon, 21 Feb 2022 | CA$1.9b | CA$2.5b | -CA$367,907,606.00 | 30.5x | -5x | 0.8x |
| Wed, 19 Jan 2022 | CA$1.5b | CA$2.4b | -CA$378,089,606.00 | 24.6x | -4x | 0.6x |
| Fri, 17 Dec 2021 | CA$1.2b | CA$2.4b | -CA$378,089,606.00 | 21.3x | -3.1x | 0.5x |
| Sun, 14 Nov 2021 | CA$1.3b | CA$2.4b | -CA$378,089,606.00 | 24.5x | -3.6x | 0.6x |
| Tue, 12 Oct 2021 | CA$1.5b | CA$2.1b | -CA$385,312,731.00 | 25.2x | -3.9x | 0.7x |
| Thu, 09 Sep 2021 | CA$1.2b | CA$2.1b | -CA$385,312,731.00 | 21x | -3x | 0.6x |
| Sat, 07 Aug 2021 | CA$1.2b | CA$2.1b | -CA$385,312,731.00 | 21.3x | -3x | 0.6x |
| Fri, 30 Apr 2021 | CA$897.1m | CA$2.0b | -CA$329,376,216.00 | 286.5x | -2.7x | 0.4x |
| Mon, 01 Feb 2021 | CA$715.3m | CA$2.4b | -CA$359,852,343.00 | n/a | -2x | 0.3x |
| Thu, 05 Nov 2020 | CA$466.8m | CA$2.8b | -CA$433,340,777.00 | n/a | -1.1x | 0.2x |
| Sun, 09 Aug 2020 | CA$454.3m | CA$3.4b | -CA$401,583,094.00 | n/a | -1.1x | 0.1x |
Price to Earnings Ratio
-1.2x
Current Industry PE
- Investors are pessimistic on the Canadian Oil and Gas Drilling industry, indicating that they anticipate long term growth rates will be lower than they have historically.
- The industry is trading at a PE ratio of 7.4x which is higher than its 3-year average PE of -17.3x.
- The industry is trading close to its 3-year average PS ratio of 0.54x.
Past Earnings Growth
- Total earnings for the Oil and Gas Drilling industry have gone up over the last three years, and the industry is now profitable. Revenues have grown 9.5% per year.
- This means that more sales are being generated by the industry overall, and subsequently profits are increasing too.
Industry Comparison
How does Canadian Oil and Gas Drilling compare with similar industries?
| CA Market | -1.96% | |
| Energy | -0.86% | |
| Energy Services | -0.99% | |
| Oil and Gas Drilling | -1.83% | |
| Oil and Gas Services | -0.81% | |
Industry PEThere are no additional sub-industries under this industry.
Forecasted GrowthThere are no additional sub-industries under this industry.
Top Stock Gainers and Losers
Which companies have driven the market over the last 7 days?
| Company | Last Price | 7D | 1Y | Valuation | |
|---|---|---|---|---|---|
| SDI Stampede Drilling | CA$0.24 | 6.7% +CA$3.4m | -47.8% | PE5.7x | |
| ESI Ensign Energy Services | CA$2.18 | 0.5% +CA$1.8m | -55.1% | PE69.5x |