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Frontera Energy

TSX:FEC
Snowflake Description

Flawless balance sheet with moderate growth potential.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
FEC
TSX
CA$1B
Market Cap
  1. Home
  2. CA
  3. Energy
Company description

Frontera Energy Corporation explores for, develops, and produces crude oil and natural gas in South America. The last earnings update was 15 days ago. More info.


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FEC Share Price and Events
7 Day Returns
-4.4%
TSX:FEC
1.2%
CA Oil and Gas
0.6%
CA Market
1 Year Returns
-26.6%
TSX:FEC
-9.4%
CA Oil and Gas
-1.2%
CA Market
FEC Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Frontera Energy (FEC) -4.4% 13.2% 9.4% -26.6% - -
CA Oil and Gas 1.2% -3.9% 1.5% -9.4% -7.9% -33.6%
CA Market 0.6% -1.6% 1.6% -1.2% 12.2% 5.5%
1 Year Return vs Industry and Market
  • FEC underperformed the Oil and Gas industry which returned -9.4% over the past year.
  • FEC underperformed the Market in Canada which returned -1.2% over the past year.
Price Volatility
FEC
Industry
5yr Volatility vs Market

Value

 Is Frontera Energy undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
  • It is not possible to calculate the future cash flow value for Frontera Energy. This is due to cash flow or dividend data being unavailable. The share price is CA$13.99.
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for Frontera Energy's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Frontera Energy's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
TSX:FEC PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2019-03-31) in USD $-2.11
TSX:FEC Share Price ** TSX (2019-05-23) in CAD CA$13.99
TSX:FEC Share Price converted to USD reporting currency Exchange rate (CAD/ USD) 0.743 $10.39
Canada Oil and Gas Industry PE Ratio Median Figure of 57 Publicly-Listed Oil and Gas Companies 14.61x
Canada Market PE Ratio Median Figure of 542 Publicly-Listed Companies 15.02x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of Frontera Energy.

TSX:FEC PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= TSX:FEC Share Price ÷ EPS (both in USD)

= 10.39 ÷ -2.11

-4.92x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Frontera Energy is loss making, we can't compare its value to the CA Oil and Gas industry average.
  • Frontera Energy is loss making, we can't compare the value of its earnings to the Canada market.
Price based on expected Growth
Does Frontera Energy's expected growth come at a high price?
Raw Data
TSX:FEC PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section -4.92x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 1 Analysts
90.8%per year
Canada Oil and Gas Industry PEG Ratio Median Figure of 36 Publicly-Listed Oil and Gas Companies 0.97x
Canada Market PEG Ratio Median Figure of 249 Publicly-Listed Companies 1.17x

*Line of best fit is calculated by linear regression .

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Unable to calculate PEG ratio for Frontera Energy, we can't assess if its growth is good value.
Price based on value of assets
What value do investors place on Frontera Energy's assets?
Raw Data
TSX:FEC PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2019-03-31) in USD $10.77
TSX:FEC Share Price * TSX (2019-05-23) in CAD CA$13.99
TSX:FEC Share Price converted to USD reporting currency Exchange rate (CAD/ USD) 0.743 $10.39
Canada Oil and Gas Industry PB Ratio Median Figure of 224 Publicly-Listed Oil and Gas Companies 0.89x
Canada Market PB Ratio Median Figure of 2,403 Publicly-Listed Companies 1.44x
TSX:FEC PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= TSX:FEC Share Price ÷ Book Value per Share (both in USD)

= 10.39 ÷ 10.77

0.96x

* Primary Listing of Frontera Energy.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Frontera Energy is overvalued based on assets compared to the CA Oil and Gas industry average.
X
Value checks
We assess Frontera Energy's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Oil and Gas industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Oil and Gas industry average (and greater than 0)? (1 check)
  5. Frontera Energy has a total score of 0/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

Future Performance

 How is Frontera Energy expected to perform in the next 1 to 3 years based on estimates from 1 analyst?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
90.8%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Frontera Energy expected to grow at an attractive rate?
  • Frontera Energy's earnings growth is expected to exceed the low risk savings rate of 1.9%.
Growth vs Market Checks
  • Frontera Energy's earnings growth is expected to exceed the Canada market average.
  • Frontera Energy's revenues are expected to decrease over the next 1-3 years, this is below the Canada market average.
Annual Growth Rates Comparison
Raw Data
TSX:FEC Future Growth Rates Data Sources
Data Point Source Value (per year)
TSX:FEC Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 1 Analysts 90.8%
TSX:FEC Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 1 Analysts -7.8%
Canada Oil and Gas Industry Earnings Growth Rate Market Cap Weighted Average 7.4%
Canada Oil and Gas Industry Revenue Growth Rate Market Cap Weighted Average 4.5%
Canada Market Earnings Growth Rate Market Cap Weighted Average 14.3%
Canada Market Revenue Growth Rate Market Cap Weighted Average 6%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
TSX:FEC Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (1 month ago) See Below
Future Estimates Average of up to 1 Analyst Estimates (S&P Global) See Below
All numbers in USD Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
TSX:FEC Future Estimates Data
Date (Data in USD Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2020-12-31 1,240 449 62 1
2019-12-31 1,501 461 190 1
TSX:FEC Past Financials Data
Date (Data in USD Millions) Revenue Cash Flow Net Income *
2019-03-31 1,414 356 -210
2018-12-31 1,320 312 -259
2018-09-30 1,392 451 -175
2018-06-30 1,326 372 -361
2018-03-31 1,213 276 -228
2017-12-31 1,254 314 -217
2017-09-30 1,182 126 3,841
2017-06-30 1,189 2 3,425
2017-03-31 1,280 -18 3,358
2016-12-31 1,412 -120 2,449
2016-09-30 1,794 25 -5,473
2016-06-30 2,155 -18 -5,533

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Frontera Energy's earnings are expected to grow significantly at over 20% yearly.
  • Frontera Energy's revenue is expected to decrease over the next 1-3 years, this is not considered high growth.
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
TSX:FEC Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (1 month ago) See Below
Future Estimates Average of up to 1 Analyst Estimates (S&P Global) See Below

All data from Frontera Energy Company Filings, last reported 1 month ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

TSX:FEC Future Estimates Data
Date (Data in USD Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2020-12-31 0.17 0.17 0.17 1.00
2019-12-31 0.94 0.94 0.94 1.00
TSX:FEC Past Financials Data
Date (Data in USD Millions) EPS *
2019-03-31 -2.11
2018-12-31 -2.59
2018-09-30 -1.75
2018-06-30 -3.61
2018-03-31 -2.28
2017-12-31 -2.17
2017-09-30 38.41
2017-06-30 34.25
2017-03-31 33.58
2016-12-31 24.48
2016-09-30 -8.69
2016-06-30 -8.76

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • Unable to establish if Frontera Energy will efficiently use shareholders’ funds in the future without estimates of Return on Equity.
X
Future performance checks
We assess Frontera Energy's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the Canada market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the Canada market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
Frontera Energy has a total score of 3/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

Past Performance

  How has Frontera Energy performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare Frontera Energy's growth in the last year to its industry (Oil and Gas).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • Frontera Energy does not make a profit even though their year on year earnings growth rate was positive over the past 5 years.
  • Unable to compare Frontera Energy's 1-year earnings growth to the 5-year average as it is not currently profitable.
  • Unable to compare Frontera Energy's 1-year growth to the CA Oil and Gas industry average as it is not currently profitable.
Earnings and Revenue History
Frontera Energy's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from Frontera Energy Company Filings, last reported 1 month ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

TSX:FEC Past Revenue, Cash Flow and Net Income Data
Date (Data in USD Millions) Revenue Net Income * G+A Expenses R&D Expenses
2019-03-31 1,414.35 -209.78 100.73
2018-12-31 1,320.49 -259.08 106.77
2018-09-30 1,391.62 -175.00 102.41
2018-06-30 1,325.73 -361.22 104.43
2018-03-31 1,212.67 -228.32 102.81
2017-12-31 1,254.43 -216.70 107.43
2017-09-30 1,181.75 3,841.04 121.23
2017-06-30 1,189.21 3,425.08 130.82
2017-03-31 1,280.30 3,357.97 134.84
2016-12-31 1,411.71 2,448.52 136.76
2016-09-30 1,793.91 -5,472.58 213.48
2016-06-30 2,155.20 -5,532.83 359.30
2016-03-31 2,481.53 -5,640.55 391.53
2015-12-31 2,824.55 -5,461.86 418.87
2015-09-30 3,164.08 -3,226.83 573.45
2015-06-30 3,824.48 -2,606.03 515.46
2015-03-31 4,466.42 -2,151.12 544.33
2014-12-31 4,950.02 -1,309.63 564.28
2014-09-30 5,161.07 491.66 427.46
2014-06-30 4,940.64 572.19 383.92
2014-03-31 4,651.55 417.94 369.15
2013-12-31 4,626.86 426.08 399.73
2013-09-30 4,471.00 261.89 341.75
2013-06-30 4,231.39 246.70 340.96
2013-03-31 4,211.67 396.76 332.06
2012-12-31 3,884.76 527.73 311.29
2012-09-30 3,849.55 632.34 306.17
2012-06-30 3,807.47 757.24 257.42

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • It is difficult to establish if Frontera Energy has efficiently used shareholders’ funds last year (Return on Equity greater than 20%) as it is loss-making.
  • It is difficult to establish if Frontera Energy has efficiently used its assets last year compared to the CA Oil and Gas industry average (Return on Assets) as it is loss-making.
  • It is difficult to establish if Frontera Energy improved its use of capital last year versus 3 years ago (Return on Capital Employed) as it is currently loss-making.
X
Past performance checks
We assess Frontera Energy's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Oil and Gas industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
Frontera Energy has a total score of 0/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

Health

 How is Frontera Energy's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up Frontera Energy's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Frontera Energy is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • Frontera Energy's cash and other short term assets cover its long term commitments.
Balance sheet
This treemap shows a more detailed breakdown of Frontera Energy's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • High level of physical assets or inventory.
  • Debt is covered by short term assets, assets are 1.7x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from Frontera Energy Company Filings, last reported 1 month ago.

TSX:FEC Past Debt and Equity Data
Date (Data in USD Millions) Total Equity Total Debt Cash & Short Term Investments
2019-03-31 1,122.81 417.75 340.67
2018-12-31 1,107.19 354.36 446.13
2018-09-30 1,282.96 352.33 586.58
2018-06-30 1,248.94 352.81 550.84
2018-03-31 1,438.56 268.24 515.81
2017-12-31 1,396.38 269.23 511.69
2017-09-30 1,442.43 270.22 502.88
2017-06-30 1,561.07 271.18 462.85
2017-03-31 1,636.71 272.09 469.97
2016-12-31 1,601.04 272.94 389.10
2016-09-30 -4,518.43 5,838.56 555.72
2016-06-30 -3,962.08 5,828.52 599.41
2016-03-31 -3,866.50 5,352.32 205.87
2015-12-31 -2,990.23 5,413.86 342.66
2015-09-30 987.96 5,342.22 488.89
2015-06-30 1,597.67 5,342.83 726.25
2015-03-31 1,870.18 5,342.75 860.45
2014-12-31 2,654.65 4,704.65 333.75
2014-09-30 4,291.37 4,576.88 478.32
2014-06-30 4,356.34 4,308.83 396.41
2014-03-31 4,140.63 4,141.70 306.42
2013-12-31 4,226.93 4,437.60 632.50
2013-09-30 4,269.31 2,138.35 355.65
2013-06-30 4,228.82 1,986.26 438.77
2013-03-31 4,227.61 2,541.82 1,532.45
2012-12-31 3,973.60 1,290.38 243.69
2012-09-30 3,481.36 1,206.75 272.77
2012-06-30 3,449.07 1,069.90 566.30
  • Frontera Energy's level of debt (37.2%) compared to net worth is satisfactory (less than 40%).
  • The level of debt compared to net worth has been reduced over the past 5 years (100% vs 37.2% today).
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.

  • Frontera Energy has sufficient cash runway for more than 3 years based on current free cash flow.
  • Frontera Energy has sufficient cash runway for more than 3 years if free cash flow continues to reduce at historical rates of -74.4% each year.
X
Financial health checks
We assess Frontera Energy's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. Frontera Energy has a total score of 6/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

Dividends

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

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
4.71%
Current annual income from Frontera Energy dividends. Estimated to be 0% next year.
If you bought CA$2,000 of Frontera Energy shares you are expected to receive CA$94 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Frontera Energy's pays a higher dividend yield than the bottom 25% of dividend payers in Canada (2.03%).
  • Frontera Energy's dividend is below the markets top 25% of dividend payers in Canada (5.68%).
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
TSX:FEC Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 1 Analyst Estimates (S&P Global) See Below
Canada Oil and Gas Industry Average Dividend Yield Market Cap Weighted Average of 36 Stocks 4.4%
Canada Market Average Dividend Yield Market Cap Weighted Average of 331 Stocks 3.5%
Canada Minimum Threshold Dividend Yield 10th Percentile 1.2%
Canada Bottom 25% Dividend Yield 25th Percentile 2%
Canada Top 25% Dividend Yield 75th Percentile 5.7%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

TSX:FEC Future Dividends Estimate Data
Date (Data in $) Dividend per Share (annual) Avg. No. Analysts
2020-12-31
2019-12-31 0.00 1.00
TSX:FEC Past Annualized Dividends Data
Date (Data in $) Dividend per share (annual) Avg. Yield (%)
2019-03-13 0.489 5.394
2018-12-06 0.242 2.732
2016-11-03 0.000 0.000

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • It is too early to tell whether Frontera Energy has stable dividend payments.
  • Frontera Energy only just started paying a dividend, it is too early to tell if payments are increasing.
Current Payout to shareholders
What portion of Frontera Energy's earnings are paid to the shareholders as a dividend.
  • The company is paying a dividend however it is incurring a loss.
Future Payout to shareholders
  • No need to calculate the sustainability of Frontera Energy's dividends in 3 years as they are not expected to pay a notable one for Canada.
X
Income/ dividend checks
We assess Frontera Energy's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 1.2%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can Frontera Energy afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Frontera Energy has a total score of 1/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

Management

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

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Richard Herbert
COMPENSATION $1,780,005
TENURE AS CEO 1.1 years
CEO Bio

Mr. Richard Herbert has been the Chief Executive Officer of Frontera Energy Corp. since April 2, 2018. Mr. Herbert served as the Chief Operating Officer of Exploration at BP Plc since October 31, 2013. He served as an Executive Vice President of Exploration & Development at Talisman Energy Inc. since March 2009. He served as an Executive Vice President of Exploration at Talisman Energy Inc. since March 2, 2009. He served as Member of Management Board at OPen Joint Stock Company TNK-BP Holding. He served as an Executive Vice President of International Exploration at Talisman Energy Inc. since February 28, 2009. Mr. Herbert served as an Executive Vice President of Technology of OPen Joint Stock Company TNK-BP Holding since July 10, 2006. He joined the BP group in 1980 and joined TNK-BP as Vice President of Exploration after serving in increasingly responsible international operations and technical leadership roles. He served as a Member of Management Board at Public Joint Stock Company TNK-BP. He spent nearly 10 years in Latin America working on exploration and field development projects in Colombia, Mexico (with state company Petroleos Mexicanos) and Venezuela (with state company Petroleos de Venezuela). He serves as a Director of TNK-BP. He served as a Director of Frontera Energy Corporation from December 2017 to March 27, 2018. He served as a Director at OAO (JSC) Orenburgneft. He served as a Director at Public Joint Stock Company TNK-BP Holding. HE has an excellent track record in global oil and gas exploration and development, built over the past 36 years with BP, Talisman Energy and Phillips Petroleum. During his 26 years with BP, he had responsibility for major exploration and development initiatives globally, including: TNK-BP in Russia, West and North Africa, Western Europe, the UK and North Sea and, most importantly in relation to Frontera, in Latin America in Colombia, Mexico and Venezuela. Mr. Herbert started his career with Phillips Petroleum in 1980, moved to BP in 1984, Talisman in 2009, and moved back to BP in 2014 before retiring in 2016. He is a Fellow of the Geological Society of London and a member of the American Association of Petroleum Geologists. Mr. Herbert was a board member at EQUION and serves as an independent director of Petroleum Geo-Services. Mr. Herbert holds a Bachelor of Science (1st Class Honours) in Geology from the University of Bristol in the UK.

CEO Compensation
  • Richard's compensation has increased whilst company is loss making.
  • Richard's remuneration is about average for companies of similar size in Canada.
Management Team Tenure

Average tenure of the Frontera Energy management team in years:

1.2
Average Tenure
  • The average tenure for the Frontera Energy management team is less than 2 years, this suggests a new team.
Management Team

Richard Herbert

TITLE
Chief Executive Officer
COMPENSATION
$2M
TENURE
1.1 yrs

David Dyck

TITLE
Chief Financial Officer
COMPENSATION
$1M
AGE
56
TENURE
1.1 yrs

Erik Lyngberg

TITLE
Corporate Vice President of Exploration
COMPENSATION
$1M
TENURE
2.5 yrs

Carlos Vargas Medina

TITLE
Chief Operating Officer
TENURE
0.3 yrs

Andrew Kent

TITLE
General Counsel & Secretary
TENURE
1.3 yrs

Alejandra Bonilla

TITLE
Corporate VP of Legal & Head of Legal Colombia
TENURE
1.4 yrs

Luciano Biondi

TITLE
President of Pacific Stratus

Ivan Arevalo

TITLE
President of Meta Petroleum
Board of Directors Tenure

Average tenure and age of the Frontera Energy board of directors in years:

2.5
Average Tenure
58
Average Age
  • The average tenure for the Frontera Energy board of directors is less than 3 years, this suggests a new board.
Board of Directors

Gabriel de Alba

TITLE
Chairman of the Board
COMPENSATION
$256K
AGE
45
TENURE
2.5 yrs

Luis Alarcon Mantilla

TITLE
Director
COMPENSATION
$217K
AGE
66
TENURE
2.5 yrs

Ray Bromark

TITLE
Director
COMPENSATION
$224K
AGE
72
TENURE
2.5 yrs

William Armstrong

TITLE
Director
COMPENSATION
$217K
AGE
60
TENURE
2.5 yrs

Russell Ford

TITLE
Director
COMPENSATION
$217K
AGE
58
TENURE
2.5 yrs

Orlando Segovia

TITLE
Independent Director
COMPENSATION
$34K
AGE
48
TENURE
0.5 yrs

Veronique Giry

TITLE
Director
COMPENSATION
$34K
AGE
51
TENURE
0.5 yrs
Who owns this company?
Recent Insider Trading
  • No 3 month insider trading information.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price (CA$) Value (CA$)
11. Oct 18 Buy Andrew Kent Individual 10. Oct 18 10. Oct 18 2,800 CA$18.09 CA$50,652
11. Oct 18 Buy Grayson Andersen Individual 10. Oct 18 10. Oct 18 1,200 CA$17.93 CA$21,516
11. Oct 18 Buy Richard Herbert Individual 10. Oct 18 10. Oct 18 1,500 CA$18.15 CA$27,225
04. Jul 18 Buy The Catalyst Capital Group Inc. Company 04. Jul 18 04. Jul 18 8,400 CA$18.94 CA$159,083
03. Jul 18 Buy The Catalyst Capital Group Inc. Company 03. Jul 18 03. Jul 18 18,600 CA$18.70 CA$347,816
02. Jul 18 Buy Richard Herbert Individual 28. Jun 18 28. Jun 18 1,000 CA$18.50 CA$18,500
29. Jun 18 Buy The Catalyst Capital Group Inc. Company 29. Jun 18 29. Jun 18 7,400 CA$19.07 CA$141,102
28. Jun 18 Buy The Catalyst Capital Group Inc. Company 28. Jun 18 28. Jun 18 6,000 CA$18.55 CA$111,305
27. Jun 18 Buy The Catalyst Capital Group Inc. Company 27. Jun 18 27. Jun 18 1,200 CA$18.20 CA$21,840
26. Jun 18 Buy The Catalyst Capital Group Inc. Company 26. Jun 18 26. Jun 18 14,000 CA$17.73 CA$248,226
25. Jun 18 Buy The Catalyst Capital Group Inc. Company 22. Jun 18 25. Jun 18 38,200 CA$17.54 CA$668,697
12. Jun 18 Buy The Catalyst Capital Group Inc. Company 12. Jun 18 12. Jun 18 289,000 CA$18.62 CA$5,380,790
11. Jun 18 Buy The Catalyst Capital Group Inc. Company 11. Jun 18 11. Jun 18 96,800 CA$18.50 CA$1,791,115
08. Jun 18 Buy The Catalyst Capital Group Inc. Company 07. Jun 18 08. Jun 18 166,400 CA$18.49 CA$3,073,662
06. Jun 18 Buy The Catalyst Capital Group Inc. Company 05. Jun 18 06. Jun 18 133,400 CA$18.28 CA$2,431,183
X
Management checks
We assess Frontera Energy's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. Frontera Energy has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

News

Simply Wall St News

Frontera Energy Corporation (TSE:FEC) Insiders Increased Their Holdings

So we'll take a look at whether insiders have been buying or selling shares in Frontera Energy Corporation (TSE:FEC). … TSX:FEC Recent Insider Trading, May 13th 2019 Frontera Energy is not the only stock insiders are buying. … Our data isn't picking up on much insider ownership at Frontera Energy, though insiders do hold about CA$124k worth of shares.

Simply Wall St -

If You Had Bought Frontera Energy (TSE:FEC) Stock A Year Ago, You'd Be Sitting On A 40% Loss, Today

Investors in Frontera Energy Corporation (TSE:FEC) have tasted that bitter downside in the last year, as the share price dropped 40%. … Frontera Energy isn't a profitable company, so it is unlikely we'll see a strong correlation between its share price and its earnings per share (EPS). … In the last twelve months, Frontera Energy increased its revenue by 5.3%.

Simply Wall St -

Could Frontera Energy Corporation's (TSE:FEC) Investor Composition Influence The Stock Price?

A look at the shareholders of Frontera Energy Corporation (TSE:FEC) can tell us which group is most powerful. … Institutions will often hold stock in bigger companies, and we expect to see insiders owning a noticeable percentage of the smaller ones. … We also tend to see lower insider ownership in companies that were previously publicly owned.

Simply Wall St -

What Investors Should Know About Frontera Energy Corporation's (TSE:FEC) Financial Strength

Frontera Energy Corporation (TSE:FEC) is a small-cap stock with a market capitalization of CA$1.2b. … While investors primarily focus on the growth potential and competitive landscape of the small-cap companies, they end up ignoring a key aspect, which could be the biggest threat to its existence: its financial health. … Assessing first and foremost the financial health is

Simply Wall St -

How Many Insiders Bought Frontera Energy Corporation (TSE:FEC) Shares?

So we'll take a look at whether insiders have been buying or selling shares in Frontera Energy Corporation (TSE:FEC). … Frontera Energy Insider Transactions Over The Last Year. … In total, Frontera Energy insiders bought more than they sold over the last year

Simply Wall St -

Should You Be Concerned About Frontera Energy Corporation's (TSE:FEC) Shareholders?

In this analysis, my focus will be on developing a perspective on Frontera Energy Corporation’s (TSE:FEC) latest ownership structure, a less discussed, but important factor. … The effect of an active institutional investor with a similar ownership as a passive pension-fund can be vastly different on a company's corporate governance and accountability to shareholders. … View our latest analysis for Frontera Energy

Simply Wall St -

How Confident Are Insiders About Frontera Energy Corporation (TSE:FEC)?

some insider buying over the past three months, with insiders investing in. … A well-known argument is that insiders investing more in their own companies’ shares sends an optimistic signal … A two-decade research published in The MIT Press (1998) showed that stocks following insider buying outperformed the market by 4.5%

Simply Wall St -

What’s Installed For Frontera Energy Corporation (TSE:FEC)?

Below, I will examine the sector growth prospects, and also determine whether Frontera Energy is a laggard or leader relative to its energy sector peers. … See our latest analysis for Frontera Energy What’s the catalyst for Frontera Energy's sector growth? … TSX:FEC Past Future Earnings May 14th 18 Over the past couple of years, the energy sector delivered a disappointing 40% negative growth rate, driven by the oil price collapse.

Simply Wall St -

Interested In Frontera Energy Corporation (TSE:FEC)? Here's How It Performed Recently

For the purpose of this commentary, I like to use the ‘latest twelve-month’ data, which annualizes the most recent half-year data, or in some cases, the latest annual report is already the most recent financial year data. … TSX:FEC Income Statement Apr 25th 18 We can further examine Frontera Energy's loss by looking at what the industry has been experiencing over the past few years. … Each year, for the past half a decade Frontera Energy has seen an annual decline in revenue of -11.96%, on average.

Simply Wall St -

Are Insiders Too Confident In Frontera Energy Corporation (TSE:FEC)?

Frontera Energy is one of Canada’s large-cap stocks that saw some insider buying over the past three months, with insiders investing in 146,450 shares during this period. … TSX:FEC Insider_trading Apr 9th 18 More shares have been bought than sold by Frontera Energy insiders in the past three months. … Next Steps: Frontera Energy’s net buying tells us the stock is in favour with some insiders, which is coherent with the positive growth in expected earnings, even if the low share price volatility did not warrant exploiting any mispricing.

Simply Wall St -

Company Info

Description

Frontera Energy Corporation explores for, develops, and produces crude oil and natural gas in South America. As of December 31, 2018, it had total net proved and probable oil and gas reserves of 154.9 million barrels of oil equivalent; and interests in approximately 30 exploration and production blocks. The company was formerly known as Pacific Exploration & Production Corporation and changed its name to Frontera Energy Corporation in June 2017. Frontera Energy Corporation was incorporated in 1985 and is headquartered in Toronto, Canada.

Details
Name: Frontera Energy Corporation
FEC
Exchange: TSX
Founded: 1985
CA$1,370,395,682
97,955,374
Website: http://www.fronteraenergy.ca
Address: Frontera Energy Corporation
333 Bay Street,
Suite 1100,
Toronto,
Ontario, M5H 2R2,
Canada
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
TSX FEC Common Shares The Toronto Stock Exchange CA CAD 19. Aug 2015
OTCPK FECC.F Common Shares Pink Sheets LLC US USD 19. Aug 2015
DB 3PY3 Common Shares Deutsche Boerse AG DE EUR 19. Aug 2015
BMV FEC N Common Shares Bolsa Mexicana de Valores MX MXN 19. Aug 2015
Number of employees
Current staff
Staff numbers
1,184
Frontera Energy employees.
Industry
Oil and Gas Exploration and Production
Energy
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/05/24 00:47
End of day share price update: 2019/05/23 00:00
Last estimates confirmation: 2019/05/17
Last earnings filing: 2019/05/09
Last earnings reported: 2019/03/31
Last annual earnings reported: 2018/12/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

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.