ASX:BRK

Stock Analysis Report

Brookside Energy

Executive Summary

Brookside Energy Limited, together with its subsidiaries, engages in the exploration and appraisal of oil and gas projects in Australia and the United States.

Snowflake

Fundamentals

Overvalued with worrying balance sheet.


Similar Companies

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

0%

BRK

4.5%

AU Oil and Gas

1.7%

AU Market


1 Year Return

-43.8%

BRK

-9.5%

AU Oil and Gas

10.3%

AU Market

Return vs Industry: BRK underperformed the Australian Oil and Gas industry which returned -9.5% over the past year.

Return vs Market: BRK underperformed the Australian Market which returned 10.3% over the past year.


Shareholder returns

BRKIndustryMarket
7 Day0%4.5%1.7%
30 Day0%-2.1%-0.4%
90 Day-18.2%2.7%-0.1%
1 Year-43.8%-43.8%-5.7%-9.5%16.7%10.3%
3 Year-18.2%-18.2%16.5%4.4%36.7%18.4%
5 Year-98.7%-98.7%-11.0%-27.1%50.9%16.9%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

1.1x

Price to Book (PB) ratio


Share Price vs. Fair Value

Undervalued: Insufficient data to calculate BRK's fair value to establish if it is undervalued.

Significantly Undervalued: Insufficient data to calculate BRK's fair value to establish if it is undervalued.


Price To Earnings Ratio

PE vs Industry: BRK is unprofitable, so we can't compare its PE Ratio to the Oil and Gas industry average.

PE vs Market: BRK is unprofitable, so we can't compare its PE Ratio to the Australian market.


Price to Earnings Growth Ratio

Low PEG Ratio: Insufficient data to calculate BRK's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: BRK is good value based on its PB Ratio (1.1x) compared to the AU Oil and Gas industry average (1.3x).


Next Steps

Future Growth

How is Brookside Energy forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

7.3%

Forecasted Energy industry annual growth in earnings


In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as Brookside Energy has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.

This is quite a rare situation as 97% of companies covered by SimplyWall St do have past financial data.


Next Steps

Past Performance

How has Brookside Energy performed over the past 5 years?

64.4%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: BRK is unprofitable, but has reduced losses over the past 5 years at a rate of 64.4% per year.

Accelerating Growth: Unable to compare BRK's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: BRK is unprofitable, making it difficult to compare its past year earnings growth to the Oil and Gas industry (68.1%).


Return on Equity

High ROE: BRK has a negative Return on Equity (-8.62%), as it is currently unprofitable.


Return on Assets

ROA vs Industry: BRK is currently unprofitable, so its Return on Assets is negative.


Return on Capital Employed

ROCE Improving: BRK is currently unprofitable, so its Return on Capital Employed is negative.


Next Steps

Financial Health

How is Brookside Energy's financial position?


Financial Position Analysis

Short Term Liabilities: BRK's short term assets (A$722.0K) do not cover its short term liabilities (A$5.2M)

Long Term Liabilities: BRK has no long term liabilities


Debt to Equity History and Analysis

Debt Level: BRK's debt to equity ratio (63.1%) is considered high

Reducing Debt: BRK's debt to equity ratio has increased from 57.5% to 63.1% over the past 5 years.


Balance Sheet

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

Debt Coverage by Assets: BRK's debt is not covered by short term assets (assets are 0.1x debt).


Cash Runway Analysis

For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.

Stable Cash Runway: BRK has less than a year of cash runway based on its current free cash flow.

Forecast Cash Runway: BRK has less than a year of cash runway if free cash flow continues to reduce at historical rates of -15.1% each year


Next Steps

Dividend

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


Dividend Yield vs Market

companyn/amarketbottom25%2.5%markettop25%5.6%industryaverage4.5%forecastin3Yearsn/a

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: Unable to evaluate BRK's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.

High Dividend: Unable to evaluate BRK's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.

Stable Dividend: Insufficient data to determine if BRK's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if BRK's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of BRK'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 Brookside Energy's salary, the management and board of directors tenure and is there insider trading?

8.2yrs

Average management tenure


CEO

David Prentice (55yo)

15.5yrs

Tenure

AU$180,000

Compensation

Mr. David Prentice, Grad. Dip BA, MBA has been Non-Executive Director at Comet Resources Ltd. since October 11, 2018. Mr. David Prentice serves as Non-Executive Chairman at Lustrum Minerals Ltd. He has bee ...


CEO Compensation Analysis

Compensation vs. Market: David's total compensation ($USD122.84K) is about average for companies of similar size in the Australian market ($USD257.55K).

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


Management Age and Tenure

8.2yrs

Average Tenure

Experienced Management: BRK's management team is seasoned and experienced (8.2 years average tenure).


Board Age and Tenure

15.5yrs

Average Tenure

Experienced Board: BRK's board of directors are seasoned and experienced ( 15.5 years average tenure).


Insider Trading

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

BuyAU$10,10408 Jul 19
David Prentice
EntityIndividual
Role
Chief Executive Officer
CEO, MD & Executive Director
Shares952,728
Max PriceAU$0.011
BuyAU$10,54020 Dec 18
Michael Fry
EntityIndividual
Role
Chairman of the Board
Non Executive Chairman
Shares1,000,000
Max PriceAU$0.011
BuyAU$850,70329 Oct 18
Mark Casey
EntityIndividual
Shares50,265,901
Max PriceAU$0.017

Ownership Breakdown


Management Team

  • David Prentice (55yo)

    CEO, MD & Executive Director

    • Tenure: 15.5yrs
    • Compensation: AU$180.00k
  • Perry Gilstrap

    Executive Director of Operations

    • Tenure: 0yrs
    • Compensation: AU$857.69k
  • Chris Girouard

    Vice President of Land

    • Tenure: 0yrs
    • Compensation: AU$424.74k
  • Kevin Humphrey

    Chief Financial Officer

    • Tenure: 8.2yrs
    • Compensation: AU$386.52k
  • Loren King Jones

    Company Secretary & Non-Executive Director

    • Tenure: 4.3yrs
    • Compensation: AU$30.00k

Board Members

  • Mike Fry (62yo)

    Non Executive Chairman

    • Tenure: 15.5yrs
    • Compensation: AU$50.00k
  • David Prentice (55yo)

    CEO, MD & Executive Director

    • Tenure: 15.5yrs
    • Compensation: AU$180.00k
  • Loren King Jones

    Company Secretary & Non-Executive Director

    • Tenure: 4.3yrs
    • Compensation: AU$30.00k

Company Information

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


Key Information

  • Name: Brookside Energy Limited
  • Ticker: BRK
  • Exchange: ASX
  • Founded: 2004
  • Industry: Oil and Gas Exploration and Production
  • Sector: Energy
  • Market Cap: AU$8.993m
  • Shares outstanding: 999.22m
  • Website: https://www.brookside-energy.com.au

Number of Employees


Location

  • Brookside Energy Limited
  • 330 Churchill Avenue
  • Suite 9
  • Subiaco
  • Western Australia
  • 6008
  • Australia

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
BRKASX (Australian Securities Exchange)YesOrdinary SharesAUAUDOct 2005
RDFE.FOTCPK (Pink Sheets LLC)YesOrdinary SharesUSUSDOct 2005
BRKCHIA (Chi-X Australia)YesOrdinary SharesAUAUDOct 2005

Biography

Brookside Energy Limited, together with its subsidiaries, engages in the exploration and appraisal of oil and gas projects in Australia and the United States. The company has net oil and gas reserves of 3. ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/18 10:33
End of Day Share Price2019/10/18 00:00
Earnings2019/06/30
Annual Earnings2018/12/31


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.