ASX:BPT

Stock Analysis Report

Executive Summary

Beach Energy Limited operates as an oil and gas exploration and production company.

Snowflake

Fundamentals

Solid track record with adequate balance sheet.


Similar Companies

Share Price & News

How has Beach Energy's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

0.4%

BPT

0.8%

AU Oil and Gas

0.1%

AU Market


1 Year Return

40.7%

BPT

-7.2%

AU Oil and Gas

11.9%

AU Market

Return vs Industry: BPT exceeded the Australian Oil and Gas industry which returned -7.2% over the past year.

Return vs Market: BPT exceeded the Australian Market which returned 11.9% over the past year.


Shareholder returns

BPTIndustryMarket
7 Day0.4%0.8%0.1%
30 Day-8.6%-1.2%-1.1%
90 Day15.2%-1.1%-1.4%
1 Year42.0%40.7%-3.3%-7.2%18.5%11.9%
3 Year216.2%195.6%12.6%0.4%36.4%18.1%
5 Year109.0%90.3%-10.7%-26.9%50.9%16.7%

Price Volatility Vs. Market

How volatile is Beach Energy's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Beach Energy undervalued compared to its fair value and its price relative to the market?

25.7%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: BPT (A$2.35) is trading below our estimate of fair value (A$3.16)

Significantly Below Fair Value: BPT is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

PE vs Industry: BPT is poor value based on its PE Ratio (9.3x) compared to the Oil and Gas industry average (8.9x).

PE vs Market: BPT is good value based on its PE Ratio (9.3x) compared to the Australian market (18.5x).


Price to Earnings Growth Ratio

PEG Ratio: BPT is poor value based on its PEG Ratio (2.6x)


Price to Book Ratio

PB vs Industry: BPT is overvalued based on its PB Ratio (2.3x) compared to the AU Oil and Gas industry average (1.4x).


Next Steps

Future Growth

How is Beach Energy forecast to perform in the next 1 to 3 years based on estimates from 10 analysts?

3.6%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: BPT's forecast earnings growth (3.6% per year) is above the savings rate (2.3%).

Earnings vs Market: BPT's earnings (3.6% per year) are forecast to grow slower than the Australian market (10.2% per year).

High Growth Earnings: BPT's earnings are forecast to grow, but not significantly.

Revenue vs Market: BPT's revenue (2.1% per year) is forecast to grow slower than the Australian market (3.6% per year).

High Growth Revenue: BPT's revenue (2.1% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: BPT's Return on Equity is forecast to be low in 3 years time (16.7%).


Next Steps

Past Performance

How has Beach Energy performed over the past 5 years?

51.4%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: BPT's earnings have grown significantly by 51.4% per year over the past 5 years.

Accelerating Growth: BPT's earnings growth over the past year (190.4%) exceeds its 5-year average (51.4% per year).

Earnings vs Industry: BPT earnings growth over the past year (190.4%) exceeded the Oil and Gas industry 68.1%.


Return on Equity

High ROE: BPT's Return on Equity (24.3%) is considered high.


Return on Assets

ROA vs Industry: BPT has a higher Return on Assets than the Oil and Gas industry average last year.


Return on Capital Employed

ROCE Improving: BPT's Return on Capital Employed has declined over the past 3 years.


Next Steps

Financial Health

How is Beach Energy's financial position?


Financial Position Analysis

Short Term Liabilities: BPT's short term assets (A$598.5M) do not cover its short term liabilities (A$613.3M)

Long Term Liabilities: BPT's short term assets (598.5M) do not cover its long term liabilities (926.2M)


Debt to Equity History and Analysis

Debt Level: BPT is debt free.

Reducing Debt: BPT has no debt compared to 5 years ago when its debt to equity ratio was 7.7%.

Debt Coverage: BPT has no debt, therefore it does not need to be covered by operating cash flow.

Interest Coverage: BPT has no debt, therefore coverage of interest payments is not a concern.


Balance Sheet

Inventory Level: BPT has a high level of physical assets or inventory.

Debt Coverage by Assets: Insufficient data to determine if BPT's debt is covered by short term assets.


Next Steps

Dividend

What is Beach Energy's current dividend yield, its reliability and sustainability?

0.85%

Current Dividend Yield


Dividend Yield vs Market

company0.9%marketbottom25%2.4%markettop25%5.6%industryaverage4.5%forecastin3Years1.4%

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: BPT's dividend (0.85%) isn’t notable compared to the bottom 25% of dividend payers in the Australian market (2.44%).

High Dividend: BPT's dividend (0.85%) is low compared to the top 25% of dividend payers in the Australian market (5.58%).

Stable Dividend: BPT is not paying a notable dividend for the Australian market, therefore no need to check if payments are stable.

Growing Dividend: BPT is not paying a notable dividend for the Australian market, therefore no need to check if payments are increasing.


Current Payout to Shareholders

Dividend Coverage: BPT is not paying a notable dividend for the Australian market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of BPT's dividend in 3 years as they are not forecast to pay a notable one for the Australian market.


Next Steps

Management

What is the CEO of Beach Energy's salary, the management and board of directors tenure and is there insider trading?

1.8yrs

Average management tenure


CEO

Matt Kay (49yo)

3.4yrs

Tenure

AU$2,892,965

Compensation

Mr. Matthew Vincent Kay, also known as Matt, BE Commerce, MBA, FCPA, GAICD, has been Chief Executive Officer of Beach Energy Limited since May 2, 2016 and has been its Managing Director and Director since  ...


CEO Compensation Analysis

Compensation vs. Market: Matt's total compensation ($USD1.99M) is about average for companies of similar size in the Australian market ($USD2.18M).

Compensation vs Earnings: Matt's compensation has been consistent with company performance over the past year.


Management Age and Tenure

1.8yrs

Average Tenure

Experienced Management: BPT's management team is not considered experienced ( 1.8 years average tenure), which suggests a new team.


Board Age and Tenure

2.7yrs

Average Tenure

51yo

Average Age

Experienced Board: BPT's board of directors are not considered experienced ( 2.7 years average tenure), which suggests a new board.


Insider Trading

Insider Buying: BPT insiders have only sold shares in the past 3 months.


Recent Insider Transactions

SellAU$83,65005 Sep 19
Colin Beckett
EntityIndividual
Role
Vice Chairman
Independent Non-Executive Deputy Chairman
Shares35,000
Max PriceAU$2.39
SellAU$97,78103 Sep 19
Richard Richards
EntityIndividual
Role
Member of the Board of Directors
Non Executive Director
Shares41,390
Max PriceAU$2.40
BuyAU$40,47015 Feb 19
Peter Moore
EntityIndividual
Role
Member of the Board of Directors
Independent Non-Executive Director
Shares21,700
Max PriceAU$1.86
BuyAU$30,61617 Jan 19
Allianz Asset Management AG
EntityCompany
Shares20,541
Max PriceAU$1.49
BuyAU$394,08217 Jan 19
Dimensional Fund Advisors L.P.
EntityCompany
Shares257,829
Max PriceAU$1.66
SellAU$16,355,89817 Jan 19
Dimensional Fund Advisors L.P.
EntityCompany
Shares10,851,432
Max PriceAU$1.66
BuyAU$28,47417 Jan 19
Northern Trust Global Investments
EntityCompany
Shares19,836
Max PriceAU$1.44
SellAU$51,13017 Jan 19
John Hancock Life Insurance Company (U.S.A.), Asset Management Arm
EntityCompany
Shares30,902
Max PriceAU$1.65
SellAU$274,12417 Jan 19
Bessemer Investment Management LLC
EntityCompany
Shares183,576
Max PriceAU$1.49
BuyAU$47,60020 Dec 18
Glenn Davis
EntityIndividual
Role
Chairman of the Board
Independent Non Executive Chairman
Shares35,000
Max PriceAU$1.36
BuyAU$31,37904 Dec 18
Allianz Asset Management AG
EntityCompany
Shares20,364
Max PriceAU$1.54
BuyAU$12,229,47304 Dec 18
Dimensional Fund Advisors L.P.
EntityCompany
Shares9,400,283
Max PriceAU$1.94
SellAU$27,378,05704 Dec 18
Dimensional Fund Advisors L.P.
EntityCompany
Shares17,287,701
Max PriceAU$2.10
BuyAU$74,00030 Nov 18
Richard Richards
EntityIndividual
Role
Member of the Board of Directors
Non Executive Director
Shares50,000
Max PriceAU$1.48
BuyAU$8,70930 Nov 18
Colin Beckett
EntityIndividual
Role
Vice Chairman
Independent Non-Executive Deputy Chairman
Shares6,048
Max PriceAU$1.44
BuyAU$9,97425 Nov 18
Colin Beckett
EntityIndividual
Role
Vice Chairman
Independent Non-Executive Deputy Chairman
Shares5,732
Max PriceAU$1.74
BuyAU$50,23516 Nov 18
Glenn Davis
EntityIndividual
Role
Chairman of the Board
Independent Non Executive Chairman
Shares30,000
Max PriceAU$1.67
BuyAU$111,180,01914 Nov 18
Seven Group Holdings Limited
EntityCompany
Shares68,000,000
Max PriceAU$1.64

Ownership Breakdown


Management Team

  • Nik Burns

    Investor Relations Manager

    • Tenure: 0yrs
  • Jeff Schrull

    Group Executive of Exploration & Appraisal

    • Tenure: 2.8yrs
    • Compensation: AU$792.22k
  • Morné Engelbrecht

    Chief Financial Officer

    • Tenure: 3.1yrs
    • Compensation: AU$934.14k
  • Dawn Summers

    Chief Operating Officer

    • Tenure: 1.7yrs
    • Compensation: AU$1.05m
  • Matt Kay (49yo)

    CEO, MD & Director

    • Tenure: 3.4yrs
    • Compensation: AU$2.89m
  • Lesley Adams

    Group Executive of Human Resources

    • Tenure: 0yrs
  • Lee Marshall

    Group Executive of Corporate Strategy & Commercial

    • Tenure: 1.8yrs
    • Compensation: AU$728.97k
  • Rob Malinauskas

    Head of Corporate Affairs & Community Relations

    • Tenure: 0yrs
  • Sheree Ford

    General Counsel

    • Tenure: 0.3yrs
  • Peter Kupniewski

    Senior Legal Manager & Company Secretary

    • Tenure: 1.3yrs

Board Members

  • Ryan Stokes (43yo)

    Non Executive Director

    • Tenure: 3.3yrs
    • Compensation: AU$125.00k
  • Joycelyn Morton (60yo)

    Independent Non Executive Director

    • Tenure: 1.7yrs
    • Compensation: AU$135.00k
  • Glenn Davis

    Independent Non Executive Chairman

    • Tenure: 6.9yrs
    • Compensation: AU$275.00k
  • Phil Bainbridge (60yo)

    Independent Non-Executive Director

    • Tenure: 3.6yrs
    • Compensation: AU$144.09k
  • Peter Moore

    Independent Non-Executive Director

    • Tenure: 2.3yrs
    • Compensation: AU$140.00k
  • Colin Beckett

    Independent Non-Executive Deputy Chairman

    • Tenure: 3.5yrs
    • Compensation: AU$161.00k
  • Richard Richards (51yo)

    Non Executive Director

    • Tenure: 2.7yrs
    • Compensation: AU$125.00k
  • Matt Kay (49yo)

    CEO, MD & Director

    • Tenure: 3.4yrs
    • Compensation: AU$2.89m
  • Sally-Anne Layman

    Independent Non-Executive Director

    • Tenure: 0.7yrs
    • Compensation: AU$38.50k

Company Information

Beach Energy Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Beach Energy Limited
  • Ticker: BPT
  • Exchange: ASX
  • Founded: 1961
  • Industry: Oil and Gas Exploration and Production
  • Sector: Energy
  • Market Cap: AU$5.264b
  • Shares outstanding: 2.28b
  • Website: https://www.beachenergy.com.au

Location

  • Beach Energy Limited
  • 80 Flinders Street
  • Level 8
  • Adelaide
  • South Australia
  • 5000
  • Australia

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
BEPT.FOTCPK (Pink Sheets LLC)YesOrdinary SharesUSUSDJan 1992
BPTASX (Australian Securities Exchange)YesOrdinary SharesAUAUDJan 1992
BPSDB (Deutsche Boerse AG)YesOrdinary SharesDEEURJan 1992
BPTCHIA (Chi-X Australia)YesOrdinary SharesAUAUDJan 1992
BCHE.YOTCPK (Pink Sheets LLC)ADRUSUSDJul 2010

Biography

Beach Energy Limited operates as an oil and gas exploration and production company. The company engages in the operated and non-operated, onshore and offshore, and oil and gas production in five producing  ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/22 10:31
End of Day Share Price2019/10/22 00:00
Earnings2019/06/30
Annual Earnings2019/06/30


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.