Precision Drilling
Precision Drilling Corporation, an oilfield services company, provides oil and natural gas drilling and related services and products. The last earnings update was 28 days ago. More info.
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- Precision Drilling has significant price volatility in the past 3 months.
PD Share Price and Events
7 Day Returns
1 Year Returns
PD Shareholder Return
| 7 Day | 30 Day | 90 Day | 1 Year | 3 Year | 5 Year | |
|---|---|---|---|---|---|---|
| Precision Drilling (PD) | -10.8% | -32.7% | -25.2% | -44.7% | -56% | -81.9% |
| CA Energy Services | 0.5% | -9% | -4.7% | -26.8% | -13.2% | -67.4% |
| CA Market | 0.6% | -1.6% | 1.6% | -1.2% | 12.2% | 5.5% |
1 Year Return vs Industry and Market
- PD underperformed the Energy Services industry which returned -26.8% over the past year.
- PD underperformed the Market in Canada which returned -1.2% over the past year.
Price Volatility
Related Companies
Value
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
Here we compare the current
share
price of
Precision Drilling
to its discounted cash flow analysis.value.The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Below are the data sources, inputs and calculation used to determine the intrinsic value for Precision Drilling.
| Data Point | Source | Value |
|---|---|---|
| Valuation Model | 2 Stage Free Cash Flow to Equity | |
| Levered Free Cash Flow | Average of 14 Analyst Estimates (S&P Global) | See below |
| Discount Rate (Cost of Equity) | See below | 13.9% |
| Perpetual Growth Rate | 10-Year CA Government Bond Rate | 1.9% |
An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.
| Data Point | Calculation/ Source | Result |
|---|---|---|
| Risk-Free Rate | 10-Year CA Govt Bond Rate | 1.9% |
| Equity Risk Premium | S&P Global | 6% |
| Energy Services Unlevered Beta | Simply Wall St/ S&P Global | 1.08 |
| Re-levered Beta | = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 1.082 (1 + (1- 26.5%) (229.97%)) |
2.279 |
| Levered Beta | Levered Beta limited to 0.8 to 2.0 (practical range for a stable firm) |
2 |
| Discount Rate/ Cost of Equity |
= Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 1.95% + (2 * 5.96%) |
13.87% |
Discounted Cash Flow Calculation for TSX:PD using 2 Stage Free Cash Flow to Equity Model
The calculations below outline how an intrinsic value for Precision Drilling is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.
| Levered FCF (CAD, Millions) | Source |
Present Value Discounted (@ 13.87%) |
|
|---|---|---|---|
| 2019 | 145.45 | Analyst x6 | 127.74 |
| 2020 | 251.81 | Analyst x9 | 194.21 |
| 2021 | 262.80 | Analyst x1 | 178.00 |
| 2022 | 327.70 | Analyst x1 | 194.93 |
| 2023 | 380.07 | Est @ 15.98% | 198.55 |
| 2024 | 424.81 | Est @ 11.77% | 194.90 |
| 2025 | 462.29 | Est @ 8.82% | 186.27 |
| 2026 | 493.55 | Est @ 6.76% | 174.64 |
| 2027 | 519.79 | Est @ 5.32% | 161.53 |
| 2028 | 542.17 | Est @ 4.31% | 147.96 |
| Present value of next 10 years cash flows | CA$1,758.73 | ||
| Calculation | Result | |
|---|---|---|
| Terminal Value |
= FCF2028
× (1 + g) ÷ (Discount Rate – g)
= CA$542.17 × (1 + 1.95%) ÷ (13.87% – 1.95%) |
CA$4,636.95 |
| Present Value of Terminal Value |
= Terminal Value ÷ (1 + r)10
= CA$4,636.95 ÷ (1 + 13.87%)10 |
CA$1,265.47 |
| Calculation | Result | |
|---|---|---|
| Total Equity Value |
= Present value of next 10 years cash flows +
Terminal Value
= CA$1,758.73 + CA$1,265.47 |
CA$3,024.21 |
| Equity Value per Share (CAD) |
= Total value / Shares Outstanding
= CA$3,024.21 / 293.72 |
CA$10.3 |
| Calculation | Result | |
|---|---|---|
| Value per share (CAD) | From above. | CA$10.30 |
| Current discount | Discount to share price of
CA$2.55
= -1 x (CA$2.55 - CA$10.30) / CA$10.30 |
75.2% |
Learn more about our DCF calculations in Simply Wall St’s analysis model .
Current Discount
Current Discount Checks
- Precision Drilling's share price is below the future cash flow value, and at a moderate discount (> 20%).
- Precision Drilling's share price is below the future cash flow value, and at a substantial discount (> 40%).
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for
it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing
when they are out of season, or how much your home is worth.The amount the stock market is willing to pay for Precision Drilling's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are
Precision Drilling's earnings available for a low price, and how does
this compare to other companies in the same industry?
| Data Point | Source | Value |
|---|---|---|
| Earnings Per Share * | Company Filings (2019-03-31) in CAD | CA$-0.86 |
| TSX:PD Share Price ** | TSX (2019-05-23) in CAD | CA$2.55 |
| Canada Energy Services Industry PE Ratio | Median Figure of 17 Publicly-Listed Energy Services Companies | 22.66x |
| 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 Precision Drilling.
| Calculation | Outcome | |
|---|---|---|
| PE Ratio | = TSX:PD Share Price ÷ EPS (both in CAD) = 2.55 ÷ -0.86 |
-2.98x |
Learn more about our ratios and growth rates in Simply Wall St’s analysis model >
- Precision Drilling is loss making, we can't compare its value to the CA Energy Services industry average.
- Precision Drilling is loss making, we can't compare the value of its earnings to the Canada market.
Price based on expected Growth
Does
Precision Drilling's expected growth come at a high price?
| Data Point | Source | Value |
|---|---|---|
| PE Ratio | See PE Ratio Section | -2.98x |
| Net Income Annual Growth Rate | See Future Growth Section. Line of Best Fit* through Consensus Estimate Earnings of 14 Analysts |
60%per year |
| Canada Energy Services Industry PEG Ratio | Median Figure of 13 Publicly-Listed Energy Services Companies | 1.07x |
| 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 Precision Drilling, we can't assess if its growth is good value.
Price based on value of assets
What value do investors place on
Precision Drilling's
assets?
| Data Point | Source | Value |
|---|---|---|
| Book Value per Share | Company Filings (2019-03-31) in CAD | CA$5.38 |
| TSX:PD Share Price * | TSX (2019-05-23) in CAD | CA$2.55 |
| Canada Energy Services Industry PB Ratio | Median Figure of 42 Publicly-Listed Energy Services Companies | 1.04x |
| Canada Market PB Ratio | Median Figure of 2,403 Publicly-Listed Companies | 1.44x |
| Calculation | Outcome | |
|---|---|---|
| PB Ratio | = TSX:PD Share Price ÷ Book Value per Share (both in CAD) = 2.55 ÷ 5.38 |
0.47x |
* Primary Listing of Precision Drilling.
Learn more about our ratios and growth rates in Simply Wall St’s analysis model >
- Precision Drilling is good value based on assets compared to the CA Energy Services industry average.
Value checks
We assess Precision Drilling's value by looking at:- 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. )
- Is the PE ratio less than the market average, and/ or less than the Energy Services industry average (and greater than 0)? (2 checks)
- Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
- Is the PB ratio less than the Energy Services industry average (and greater than 0)? (1 check) Precision Drilling has a total score of 3/6, 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
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!
Earnings growth vs Low Risk Savings
- Precision Drilling's earnings growth is expected to exceed the low risk savings rate of 1.9%.
Growth vs Market Checks
- Precision Drilling's earnings growth is expected to exceed the Canada market average.
- Precision Drilling's revenue growth is expected to exceed the Canada market average.
Annual Growth Rates Comparison
| Data Point | Source | Value (per year) |
|---|---|---|
| TSX:PD Future Earnings Growth Rate | Line of Best Fit* through Consensus Estimate Earnings of 14 Analysts | 60% |
| TSX:PD Future Revenue Growth Rate | Line of Best Fit* through Consensus Estimate Revenue of 14 Analysts | 9.1% |
| Canada Energy Services Industry Earnings Growth Rate | Market Cap Weighted Average | 42.7% |
| Canada Energy Services Industry Revenue Growth Rate | Market Cap Weighted Average | 9.4% |
| 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
| Data Point | Source | Value |
|---|---|---|
| Past Financials | Company Filings (1 month ago) | See Below |
| Future Estimates | Average of up to 14 Analyst Estimates (S&P Global) | See Below |
| Date (Data in CAD Millions) | Revenue | Cash Flow | Net Income * | Avg. No. Analysts |
|---|---|---|---|---|
| 2022-12-31 | 2,101 | 508 | 197 | 1 |
| 2021-12-31 | 1,950 | 439 | 135 | 2 |
| 2020-12-31 | 1,783 | 359 | -25 | 14 |
| 2019-12-31 | 1,602 | 297 | -23 | 13 |
| Date (Data in CAD Millions) | Revenue | Cash Flow | Net Income * |
|---|---|---|---|
| 2019-03-31 | 1,574 | 296 | -251 |
| 2018-12-31 | 1,541 | 293 | -294 |
| 2018-09-30 | 1,461 | 223 | -143 |
| 2018-06-30 | 1,393 | 248 | -139 |
| 2018-03-31 | 1,354 | 121 | -127 |
| 2017-12-31 | 1,321 | 117 | -132 |
| 2017-09-30 | 1,277 | 65 | -116 |
| 2017-06-30 | 1,176 | 26 | -137 |
| 2017-03-31 | 1,070 | 44 | -158 |
| 2016-12-31 | 1,003 | 123 | -156 |
| 2016-09-30 | 1,046 | 221 | -396 |
| 2016-06-30 | 1,196 | 265 | -435 |
*GAAP earnings excluding extraordinary items.
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 14 Analyst Estimates (S&P Global) | See Below |
All data from Precision Drilling Company Filings, last reported 1 month ago, and in Trailing twelve months (TTM) annual period rather than quarterly.
| Date (Data in CAD Millions) | EPS * | EPS High Estimate | EPS Low Estimate | Avg. No. Analysts |
|---|---|---|---|---|
| 2022-12-31 | 0.65 | 0.65 | 0.65 | 1.00 |
| 2021-12-31 | 0.45 | 0.45 | 0.45 | 1.00 |
| 2020-12-31 | -0.08 | 0.05 | -0.16 | 7.00 |
| 2019-12-31 | -0.08 | -0.02 | -0.15 | 8.00 |
| Date (Data in CAD Millions) | EPS * |
|---|---|
| 2019-03-31 | -0.86 |
| 2018-12-31 | -1.00 |
| 2018-09-30 | -0.49 |
| 2018-06-30 | -0.47 |
| 2018-03-31 | -0.43 |
| 2017-12-31 | -0.45 |
| 2017-09-30 | -0.39 |
| 2017-06-30 | -0.47 |
| 2017-03-31 | -0.54 |
| 2016-12-31 | -0.53 |
| 2016-09-30 | -1.35 |
| 2016-06-30 | -1.49 |
*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 Precision Drilling will efficiently use shareholders’ funds in the future (Return on Equity greater than 20%) as it is not expected to be profitable.
Future performance checks
We assess Precision Drilling's future performance by looking at:- Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
- Is the annual earnings growth rate expected to beat the average growth rate in earnings of the Canada market? (1 check)
- Is the annual revenue growth rate expected to beat the average growth rate in revenue of the Canada market? (1 check)
- Is the annual earnings growth rate expected to be above 20%? (1 check)
- Is the annual revenue growth rate expected to be above 20%? (1 check)
- Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Precision Drilling has a total score of 4/6, 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 Precision Drilling 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
Past Earnings growth analysis
- Precision Drilling does not make a profit and their year on year earnings growth rate was negative over the past 5 years.
- Unable to compare Precision Drilling's 1-year earnings growth to the 5-year average as it is not currently profitable.
- Unable to compare Precision Drilling's 1-year growth to the CA Energy Services industry average as it is not currently profitable.
Earnings and Revenue History
All data from Precision Drilling Company Filings, last reported 1 month ago, and in Trailing twelve months (TTM) annual period rather than quarterly.
| Date (Data in CAD Millions) | Revenue | Net Income * | G+A Expenses | R&D Expenses |
|---|---|---|---|---|
| 2019-03-31 | 1,574.23 | -251.18 | 114.45 | |
| 2018-12-31 | 1,541.19 | -294.27 | 112.39 | |
| 2018-09-30 | 1,461.37 | -142.95 | 113.34 | |
| 2018-06-30 | 1,393.41 | -138.59 | 105.80 | |
| 2018-03-31 | 1,353.56 | -127.50 | 93.75 | |
| 2017-12-31 | 1,321.22 | -132.04 | 90.07 | |
| 2017-09-30 | 1,276.69 | -115.65 | 98.69 | |
| 2017-06-30 | 1,175.85 | -136.74 | 97.54 | |
| 2017-03-31 | 1,070.18 | -158.29 | 105.79 | |
| 2016-12-31 | 1,003.23 | -155.56 | 107.69 | |
| 2016-09-30 | 1,045.53 | -395.89 | 106.09 | |
| 2016-06-30 | 1,195.95 | -435.21 | 108.62 | |
| 2016-03-31 | 1,345.23 | -407.35 | 112.31 | |
| 2015-12-31 | 1,555.62 | -363.44 | 126.42 | |
| 2015-09-30 | 1,829.20 | -206.53 | 122.79 | |
| 2015-06-30 | 2,049.70 | -67.02 | 136.58 | |
| 2015-03-31 | 2,190.41 | -44.37 | 145.82 | |
| 2014-12-31 | 2,350.54 | 33.15 | 144.34 | |
| 2014-09-30 | 2,298.92 | 215.12 | 152.19 | |
| 2014-06-30 | 2,202.78 | 191.75 | 152.94 | |
| 2014-03-31 | 2,106.51 | 199.39 | 143.63 | |
| 2013-12-31 | 2,029.98 | 191.15 | 142.51 | |
| 2013-09-30 | 1,997.02 | 6.89 | 138.94 | |
| 2013-06-30 | 1,993.33 | 16.80 | 134.06 | |
| 2013-03-31 | 1,996.40 | 34.59 | 127.44 | |
| 2012-12-31 | 2,040.74 | 52.36 | 126.65 | |
| 2012-09-30 | 2,094.20 | 196.75 | 132.35 | |
| 2012-06-30 | 2,102.38 | 240.86 | 123.31 |
*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 Precision Drilling has efficiently used shareholders’ funds last year (Return on Equity greater than 20%) as it is loss-making.
- It is difficult to establish if Precision Drilling has efficiently used its assets last year compared to the CA Energy Services industry average (Return on Assets) as it is loss-making.
- It is difficult to establish if Precision Drilling improved its use of capital last year versus 3 years ago (Return on Capital Employed) as it is currently loss-making.
Past performance checks
We assess Precision Drilling's performance over the past 5 years by checking for:- Has earnings increased in past 5 years? (1 check)
- Has the earnings growth in the last year exceeded that of the Energy Services industry? (1 check)
- Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
- Is the Return on Equity (ROE) higher than 20%? (1 check)
- Is the Return on Assets (ROA) above industry average? (1 check)
- Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
Precision Drilling 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 Precision Drilling'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 Precision Drilling's finances.
The net worth of a company is the difference between its assets and liabilities.
- Precision Drilling is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
- Precision Drilling's long term commitments exceed its cash and other short term assets.
Balance sheet
Assets
Liabilities and shares
- High level of physical assets or inventory.
- Debt is not covered by short term assets, assets are 0.3x 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.
All data from Precision Drilling Company Filings, last reported 1 month ago.
| Date (Data in CAD Millions) | Total Equity | Total Debt | Cash & Short Term Investments |
|---|---|---|---|
| 2019-03-31 | 1,579.17 | 1,722.43 | 101.03 |
| 2018-12-31 | 1,557.75 | 1,706.25 | 96.63 |
| 2018-09-30 | 1,729.91 | 1,698.65 | 109.76 |
| 2018-06-30 | 1,766.07 | 1,735.84 | 94.67 |
| 2018-03-31 | 1,802.41 | 1,776.76 | 81.87 |
| 2017-12-31 | 1,810.34 | 1,730.44 | 65.08 |
| 2017-09-30 | 1,857.38 | 1,777.67 | 131.74 |
| 2017-06-30 | 1,893.98 | 1,844.77 | 95.06 |
| 2017-03-31 | 1,937.21 | 1,892.74 | 120.58 |
| 2016-12-31 | 1,962.12 | 1,906.93 | 115.71 |
| 2016-09-30 | 1,975.70 | 2,005.32 | 352.19 |
| 2016-06-30 | 2,019.56 | 2,049.29 | 455.68 |
| 2016-03-31 | 2,074.10 | 2,042.85 | 476.36 |
| 2015-12-31 | 2,121.21 | 2,180.51 | 444.76 |
| 2015-09-30 | 2,379.37 | 2,114.90 | 438.87 |
| 2015-06-30 | 2,436.34 | 1,980.58 | 433.69 |
| 2015-03-31 | 2,493.68 | 2,009.97 | 449.18 |
| 2014-12-31 | 2,441.37 | 1,852.19 | 491.48 |
| 2014-09-30 | 2,544.08 | 1,794.32 | 558.09 |
| 2014-06-30 | 2,468.72 | 1,716.31 | 576.49 |
| 2014-03-31 | 2,513.93 | 1,350.99 | 106.17 |
| 2013-12-31 | 2,399.34 | 1,323.27 | 80.61 |
| 2013-09-30 | 2,276.70 | 1,270.98 | 81.82 |
| 2013-06-30 | 2,270.51 | 1,279.17 | 127.39 |
| 2013-03-31 | 2,263.58 | 1,241.15 | 94.84 |
| 2012-12-31 | 2,171.30 | 1,218.80 | 152.77 |
| 2012-09-30 | 2,292.92 | 1,206.43 | 226.84 |
| 2012-06-30 | 2,269.35 | 1,242.99 | 398.34 |
- Precision Drilling's level of debt (109.1%) compared to net worth is high (greater than 40%).
- The level of debt compared to net worth has increased over the past 5 years (53.9% vs 109.1% 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.
- Whilst loss making Precision Drilling has sufficient cash runway for more than 3 years if it maintains the current positive free cash flow level.
- Whilst loss making Precision Drilling has sufficient cash runway for more than 3 years, even with free cash flow being positive and shrinking by -45.2% per year.
Financial health checks
We assess Precision Drilling's financial health by checking for:- Are short term assets greater than short term liabilities? (1 check)
- Are short term assets greater than long term liabilities? (1 check)
- Has the debt to equity ratio increased in the past 5 years? (1 check)
- Is the debt to equity ratio over 40%? (1 check)
- Is the debt covered by operating cash flow? (1 check)
- Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check) Precision Drilling has a total score of 3/6, see the detailed checks below.
- Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
- 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 Precision Drilling'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
If you bought
CA$2,000 of
Precision Drilling
shares you are expected to receive
CA$0
in your first year as a dividend.
Dividend Amount
- Unable to evaluate Precision Drilling's dividend yield against the bottom 25% of dividend payers as the company has not reported any payouts.
- Unable to evaluate Precision Drilling's dividend against the top 25% market benchmark as the company has not reported any payouts.
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not
wildly increasing/decreasing each year. This graph shows you the historical rate
to count toward your assessment of the stock.We also check to see if the dividend has increased in the past 10 years.
| Data Point | Source | Value |
|---|---|---|
| Past Annualized Dividend Yield | S&P Global Market Data | See Below |
| Past Dividends per Share | Company Filings/ Annualized Dividend Payments | See Below |
| Future Dividends per Share Estimates | Average of up to 14 Analyst Estimates (S&P Global) | See Below |
| Canada Energy Services Industry Average Dividend Yield | Market Cap Weighted Average of 13 Stocks | 4% |
| Canada Market Average Dividend Yield | Market Cap Weighted Average of 331 Stocks | 3.5% |
| Canada Minimum Threshold Dividend Yield | 10th Percentile | 1.2% |
| Canada Bottom 25% Dividend Yield | 25th Percentile | 2% |
| Canada Top 25% Dividend Yield | 75th Percentile | 5.7% |
Industry and Market average data is calculated daily.
Note all dividend per share amounts are annualized and not quarterly or other period.
| Date (Data in CA$) | Dividend per Share (annual) | Avg. No. Analysts |
|---|---|---|
| 2022-12-31 | ||
| 2021-12-31 | 0.00 | 2.00 |
| 2020-12-31 | 0.00 | 5.00 |
| 2019-12-31 | 0.00 | 5.00 |
| Date (Data in CA$) | Dividend per share (annual) | Avg. Yield (%) |
|---|---|---|
| 2017-10-30 | 0.000 | 0.000 |
| 2017-10-27 | 0.000 | 0.000 |
| 2017-07-31 | 0.000 | 0.000 |
| 2017-04-25 | 0.000 | 0.000 |
| 2017-04-24 | 0.000 | 0.000 |
| 2017-03-10 | 0.000 | 0.000 |
| 2017-02-09 | 0.000 | 0.000 |
| 2016-10-24 | 0.000 | 0.000 |
| 2016-10-21 | 0.000 | 0.000 |
| 2016-07-22 | 0.000 | 0.000 |
| 2016-07-21 | 0.000 | 0.000 |
| 2016-02-16 | 0.000 | 0.000 |
| 2016-02-11 | 0.000 | 0.000 |
| 2015-07-23 | 0.280 | 5.290 |
| 2015-04-27 | 0.280 | 3.430 |
| 2014-10-27 | 0.280 | 3.733 |
| 2014-07-24 | 0.240 | 1.977 |
| 2014-04-28 | 0.240 | 1.665 |
| 2014-02-13 | 0.240 | 1.901 |
| 2013-10-24 | 0.240 | 2.392 |
| 2013-07-25 | 0.200 | 1.882 |
| 2013-04-25 | 0.200 | 2.245 |
| 2013-02-14 | 0.200 | 2.321 |
| 2012-12-10 | 0.200 | 2.328 |
| 2010-04-22 | 0.000 | 0.000 |
| 2010-03-30 | 0.000 | 0.000 |
| 2010-02-12 | 0.000 | 0.000 |
| 2009-10-22 | 0.000 | 0.000 |
| 2009-07-22 | 0.000 | 0.000 |
Learn more about our ratios and growth rates in Simply Wall St’s analysis model >
- Unable to perform a dividend volatility check as Precision Drilling has not reported any payouts.
- Unable to verify if Precision Drilling's dividend has been increasing as the company has not reported any payouts.
Income/ dividend checks
We assess Precision Drilling's dividend by checking for:- Firstly is the company paying a notable dividend (greater than 1.2%) - if not then the rest of the checks are ignored.
- Is current dividend yield above the bottom 25% of dividend payers? (1 check)
- Is current dividend yield above the top 25% of dividend payers? (1 check)
- Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
- If they have paid a dividend for 10 years has it increased in this time? (1 check)
- How sustainable is the dividend, can Precision Drilling afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks) Precision Drilling has a total score of 0/6, see the detailed checks below.
Full details on the Dividends part of the Simply Wall St company analysis model.
Management
CEO
| COMPENSATION | CA$6,671,049 |
| AGE | 57 |
| TENURE AS CEO | 11.8 years |
CEO Bio
Mr. Kevin A. Neveu, B.Sc, P.Eng, has been the Chief Executive Officer and President of Precision Drilling Corporation, the Administrator of Precision Drilling Trust since August 14, 2007. Mr. Neveu served as the President of Rig Technology at National Oilwell Varco Inc., from March 2005 to August 13, 2007. He served as Group President of Rig Solutions Western Hemisphere of National oilwell Inc., from May 2003 to August 13, 2007 and served as President of National Oilwell Inc.'s Downhole Tools Group from June 2000 to August 13, 2007. He served as Vice President and Managing Director of Downhole Tools from 1999 to 2000 served as a Vice President of National Oilwell Inc.'s Canadian drilling equipment and downhole tool operations from 1997 to 1999. He has over 25 years of experience in the oil and gas industry. Beginning in 1982, he held senior management positions with National Oilwell Varco and its predecessor companies in London, Moscow, Houston, Edmonton and Calgary. He has been an Executive Director of Precision Drilling Corporation, the Administrator of Precision Drilling Trust since August 14, 2007. He was Independent Director of Finning International Inc. from December 2013 to May 2018. He serves on the advisory board of the Heart and Stroke Foundation of Alberta and the International Association of Drilling Contractors. He serves as Advisor for the University of Calgary’s School of Public Policy. He served as an Independent Director of Bonanza Creek Energy Inc. from March, 2011 to April 2017. He served as a Director of RigNet Inc. from 2002 to May 9, 2014. He is a Professional Engineer as designated by the Association of Professional Engineers, Geologists and Geophysicists of Alberta. He has also completed the Harvard Advanced Management Program. Areas of expertise, engineering, oil and gas exploration and production oilfield services, manufacturing & executive leadership. He received a BSc Degree in Mechanical Engineering from the University of Alberta and attended the Advanced Management Program at the Harvard Business School in 2002.
CEO Compensation
- Kevin's compensation has increased whilst company is loss making.
- Kevin's remuneration is higher than average for companies of similar size in Canada.
Management Team Tenure
Average tenure and age of the Precision Drilling management team in years:
- The tenure for the Precision Drilling management team is about average.
Management Team
Kevin Neveu
President
CA$7M
57
11.8 yrs
Carey Ford
Senior VP & CFO
CA$2M
3.1 yrs
Shuja Goraya
Chief Technology Officer
CA$2M
0.8 yrs
Veronica Foley
Senior VP
CA$2M
3 yrs
Gene Stahl
President of Drilling Operations
CA$2M
44
11.3 yrs
John Goertzen
Executive Vice-President and Chief Operating Officer
59
Darren Ruhr
Chief Administrative Officer
CA$962K
0.8 yrs
Ashley Connolly
Manager of Investor Relations
Doug Evasiuk
Senior Vice President of Sales & Marketing
CA$1M
Grant Hunter
Senior Vice President of US Operations
CA$1M
12.3 yrs
Board of Directors Tenure
Average tenure and age of the Precision Drilling board of directors in years:
- The tenure for the Precision Drilling board of directors is about average.
Board of Directors
Steve Krablin
Chairman of the Board
CA$382K
66
2 yrs
Kevin Neveu
President
CA$7M
57
11.8 yrs
Allen Hagerman
Independent Director
CA$272K
67
12.4 yrs
Bill Donovan
Independent Director
CA$272K
66
10.4 yrs
Kevin Meyers
Independent Director
CA$288K
64
7.7 yrs
Brian Gibson
Independent Director
CA$253K
62
8 yrs
Sue MacKenzie
Independent Director
CA$255K
58
1.7 yrs
Michael Culbert
Independent Director
CA$253K
61
1.4 yrs
David Williams
Independent Director
CA$76K
60
0.7 yrs
Who owns this company?
Recent Insider Transactions
| Announced | Type | Name | Entity | Role | Start | End | Shares | Max Price (CA$) | Value (CA$) | |
|---|---|---|---|---|---|---|---|---|---|---|
| 22. Feb 19 | Sell | Shuja Goraya | Individual | 19. Feb 19 | 19. Feb 19 | -3,500 | CA$3.30 | CA$-11,553 | ||
| 05. Feb 19 | Buy | Shuja Goraya | Individual | 29. Oct 18 | 30. Nov 18 | 27,000 | CA$3.17 | CA$81,709 | ||
| 05. Feb 19 | Buy | Veronica Foley | Individual | 26. Oct 18 | 26. Oct 18 | 2,000 | CA$3.27 | CA$6,549 | ||
| 26. Dec 18 | Buy | Carey Ford | Individual | 26. Dec 18 | 26. Dec 18 | 17,750 | CA$2.31 | CA$41,077 | ||
| 25. Dec 18 | Buy | Kevin Neveu | Individual | 21. Dec 18 | 21. Dec 18 | 100,000 | CA$1.75 | CA$175,300 | ||
| 17. Dec 18 | Buy | Wane Stickland | Individual | 14. Dec 18 | 14. Dec 18 | 10,000 | CA$2.60 | CA$26,000 | ||
| 13. Dec 18 | Buy | Kevin Neveu | Individual | 11. Dec 18 | 11. Dec 18 | 100,000 | CA$2.68 | CA$267,900 | ||
| 11. Dec 18 | Buy | Brian Gibson | Individual | 11. Dec 18 | 11. Dec 18 | 40,000 | CA$2.64 | CA$105,600 | ||
| 02. Nov 18 | Buy | Wane Stickland | Individual | 01. Nov 18 | 01. Nov 18 | 10,000 | CA$3.17 | CA$31,698 | ||
| 31. Oct 18 | Buy | Wane Stickland | Individual | 31. Oct 18 | 31. Oct 18 | 10,000 | CA$3.17 | CA$31,700 | ||
| 29. Oct 18 | Buy | Carey Ford | Individual | 26. Oct 18 | 26. Oct 18 | 10,000 | CA$3.25 | CA$32,505 | ||
| 29. Oct 18 | Buy | Douglas Evasiuk | Individual | 26. Oct 18 | 26. Oct 18 | 10,000 | CA$3.23 | CA$32,349 | ||
| 29. Oct 18 | Buy | Susan MacKenzie | Individual | 26. Oct 18 | 29. Oct 18 | 31,500 | CA$3.26 | CA$101,193 | ||
| 29. Oct 18 | Buy | Darren Ruhr | Individual | 26. Oct 18 | 26. Oct 18 | 2,000 | CA$3.29 | CA$6,580 | ||
| 29. Oct 18 | Buy | Gene Stahl | Individual | 26. Oct 18 | 26. Oct 18 | 2,000 | CA$3.25 | CA$6,500 | ||
| 29. Oct 18 | Buy | Kevin Neveu | Individual | 26. Oct 18 | 26. Oct 18 | 25,000 | CA$3.25 | CA$81,250 | ||
| 29. Oct 18 | Buy | Brian Gibson | Individual | 29. Oct 18 | 29. Oct 18 | 20,000 | CA$3.27 | CA$65,440 | ||
| 29. Oct 18 | Buy | Allen Hagerman | Individual | 26. Oct 18 | 26. Oct 18 | 5,000 | CA$3.29 | CA$16,425 | ||
| 29. Oct 18 | Buy | Michael Culbert | Individual | 29. Oct 18 | 29. Oct 18 | 15,000 | CA$3.13 | CA$46,995 | ||
| 29. Oct 18 | Buy | Kevin Meyers | Individual | 26. Oct 18 | 26. Oct 18 | 12,000 | CA$3.28 | CA$39,322 | ||
| 29. Oct 18 | Buy | David Williams | Individual | 26. Oct 18 | 26. Oct 18 | 10,000 | CA$3.27 | CA$32,670 | ||
| 29. Oct 18 | Buy | William Donovan | Individual | 26. Oct 18 | 26. Oct 18 | 20,000 | CA$3.22 | CA$64,488 | ||
| 29. Oct 18 | Buy | Steven Krablin | Individual | 26. Oct 18 | 26. Oct 18 | 10,000 | CA$3.27 | CA$32,727 | ||
Management checks
We assess Precision Drilling's management by checking for:- Is the CEO's compensation unreasonable compared to market cap? (1 check)
- Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
- Is the average tenure of the management team less than 2 years? (1 check)
- Is the average tenure of the board of directors team less than 3 years? (1 check) Precision Drilling 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
How Many Precision Drilling Corporation (TSE:PD) Shares Do Institutions Own?
Precision Drilling is a smaller company with a market capitalization of CA$872m, so it may still be flying under the radar of many institutional investors. … See our latest analysis for Precision Drilling TSX:PD Ownership Summary, May 10th 2019 What Does The Institutional Ownership Tell Us About Precision Drilling? … We can see that Precision Drilling does have institutional investors; and they hold 53% of the stock.
Simply Wall St - – Full articleCould Precision Drilling Corporation's (TSE:PD) Investor Composition Influence The Stock Price?
Institutions will often hold stock in bigger companies, and we expect to see insiders owning a noticeable percentage of the smaller ones. … Precision Drilling isn't enormous, but it's not particularly small either. … It has a market capitalization of CA$1.1b, which means it would generally expect to see some institutions on the share registry.
Simply Wall St - – Full articleImagine Owning Precision Drilling (TSE:PD) And Trying To Stomach The 74% Share Price Drop
Given that Precision Drilling didn't make a profit in the last twelve months, we'll focus on revenue growth to form a quick view of its business development. … As you can imagine, fast revenue growth, when maintained, often leads to fast profit growth. … Over half a decade Precision Drilling reduced its trailing twelve month revenue by 13% for each year.
Simply Wall St - – Full articleNeed To Know: Precision Drilling Corporation (TSE:PD) Insiders Have Been Buying Shares
So we'll take a look at whether insiders have been buying or selling shares in Precision Drilling Corporation (TSE:PD). … Precision Drilling Insider Transactions Over The Last Year. … In the last twelve months, the biggest single purchase by an insider was when President Kevin Neveu bought CA$268k worth of shares at a price of CA$2.68 per share.
Simply Wall St - – Full articleShould You Worry About Precision Drilling Corporation's (TSE:PD) CEO Pay Cheque?
In 2007 Kevin Neveu was appointed CEO of Precision Drilling Corporation (TSE:PD). … How Does Kevin Neveu's Compensation Compare With Similar Sized Companies. … Our data indicates that Precision Drilling Corporation is worth CA$784m, and total annual CEO compensation is CA$6.2m.
Simply Wall St - – Full articleWhat You Must Know About Precision Drilling Corporation's (TSE:PD) Financial Strength
Investors are always looking for growth in small-cap stocks like Precision Drilling Corporation (TSE:PD), with a market cap of CA$737m. … However, an important fact which most ignore is: how financially healthy is the business? … Evaluating financial health as part of your investment thesis is
Simply Wall St - – Full articlePrecision Drilling Corporation (TSE:PD) Insiders Increased Their Holdings
We've lost count of how many times insiders have accumulated shares in a company that goes on to improve markedly. … So before you buy or sell Precision Drilling Corporation (TSE:PD), you may well want to know whether insiders have been buying or selling. … We would never suggest that investors should base their decisions solely on what the directors of a company have been doing.
Simply Wall St - – Full articleCan We See Significant Institutional Ownership On The Precision Drilling Corporation (TSE:PD) Share Register?
Every investor in Precision Drilling Corporation (TSE:PD) should be aware of the most powerful shareholder groups. … With a market capitalization of CA$1.0b, Precision Drilling is a small cap stock, so it might not be well known by many institutional investors. … Taking a look at the our data on the ownership groups (below), it's seems that.
Simply Wall St - – Full articleAre Precision Drilling Corporation's (TSE:PD) Interest Costs Too High?
Precision Drilling Corporation (TSE:PD) is a small-cap stock with a market capitalization of CA$1.42b. … 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. … So, understanding the company's financial health becomes
Simply Wall St - – Full articleHow Much is Precision Drilling Corporation's (TSE:PD) CEO Getting Paid?
Recognizing whether CEO incentives are aligned with shareholders is a crucial part of investing. … Incentives can be in the form of compensation, which should always be structured in a way that promotes value-creation to shareholders. … Neveu’s pay and compare this to the company’s performance over the same period, as well as measure it against other
Simply Wall St - – Full articleCompany Info
Description
Precision Drilling Corporation, an oilfield services company, provides oil and natural gas drilling and related services and products. The company operates in two segments, Contract Drilling Services, and Completion and Production Services. The Contract Drilling Services segment offers onshore well drilling services to exploration and production companies in the oil and natural gas industry. This segment’s services include land drilling, directional drilling, and turnkey drilling; and procurement and distribution of oilfield supplies, as well as manufacture, sale, and repair of drilling equipment. As of December 31, 2018, this segment operated 236 land drilling rigs, including 117 in Canada; 102 in the United States; 5 in Kuwait; 5 in Mexico; 4 in Saudi Arabia; 2 in the Kurdistan region of Iraq; and 1 in the country of Georgia. The Completion and Production Services segment provides well completion, workover, abandonment, and re-entry preparation services, as well as snubbing units for pressure control services and equipment rentals to oil and natural gas exploration and production companies. It provides service rigs for well completion, workover, abandonment, and re-entry preparation services; snubbing units for pressure control services; camp and catering services; and wastewater treatment units. This segment also engages in the rental of oilfield surface equipment. This segment operated 198 well completion and workover service rigs, and 12 snubbing units in Canada and the United States; approximately 1,700 oilfield rental items, including surface storage, small-flow wastewater treatment, and power generation and solids control equipment; and 132 wellsite accommodation units in Canada. It also had 43 drilling camps and 4 base camps in Canada; and 10 large-flow wastewater treatment units, 22 pump houses, and 8 potable water production units in Canada. Precision Drilling Corporation was founded in 1951 and is headquartered in Calgary, Canada.
Details
| Name: | Precision Drilling Corporation |
| PD | |
| Exchange: | TSX |
| Founded: | 1951 |
| CA$748,975,381 | |
| 293,715,836 | |
| Website: | http://www.precisiondrilling.com |
| Address: |
Precision Drilling Corporation 525–8th Avenue SW, Suite 800, Calgary, Alberta, T2P 1G1, Canada |
Listings
| Exchange Symbol | Ticker Symbol | Security | Exchange | Country | Currency | Listed on | |
|---|---|---|---|---|---|---|---|
| TSX | PD | Common Shares | The Toronto Stock Exchange | CA | CAD | 22. Sep 1988 | |
| NYSE | PDS | Common Shares | New York Stock Exchange | US | USD | 22. Sep 1988 | |
| DB | PRE | Common Shares | Deutsche Boerse AG | DE | EUR | 22. Sep 1988 |
Number of employees
Current staff
Industry
| Oil and Gas Drilling | |
| Energy |
Company Analysis and Financial Data Status
| Area | Date (UTC time) |
|---|---|
| Company Analysis updated: | 2019/05/24 00:20 |
| End of day share price update: | 2019/05/23 00:00 |
| Last estimates confirmation: | 2019/05/23 |
| Last earnings filing: | 2019/04/26 |
| 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.
