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PEY

Peyto Exploration & DevelopmentTSX:PEY Stock Report

Market Cap

CA$1.8b

7D

2.1%

1Y

291.6%

Updated

30 Nov, 2021

Data

Company Financials +
PEY fundamental analysis
Snowflake Score
Valuation3/6
Future Growth1/6
Past Performance1/6
Financial Health1/6
Dividends0/6

PEY Stock Overview

Peyto Exploration & Development Corp. engages in the exploration, development, and production of oil and natural gas, and natural gas liquids in Deep Basin of Alberta.

Price History & Performance

Summary of all time highs, changes and price drops for Peyto Exploration & Development
Historical stock prices
Current Share PriceCA$11.16
52 Week HighCA$11.96
52 Week LowCA$2.71
Beta2.21
1 Month Change14.34%
3 Month Change66.57%
1 Year Change291.58%
3 Year Change8.67%
5 Year Change-67.19%
Change since IPO9,604.35%

Recent News & Updates

Nov 18
Are Investors Undervaluing Peyto Exploration & Development Corp. (TSE:PEY) By 31%?

Are Investors Undervaluing Peyto Exploration & Development Corp. (TSE:PEY) By 31%?

In this article we are going to estimate the intrinsic value of Peyto Exploration & Development Corp. ( TSE:PEY ) by...

Shareholder Returns

PEYCA Oil and GasCA Market
7D2.1%-0.2%-1.3%
1Y291.6%53.0%23.7%

Return vs Industry: PEY exceeded the Canadian Oil and Gas industry which returned 46.3% over the past year.

Return vs Market: PEY exceeded the Canadian Market which returned 21.9% over the past year.

Price Volatility

Is PEY's price volatile compared to industry and market?
PEY volatility
PEY Average Weekly Movement6.8%
Oil and Gas Industry Average Movement9.9%
Market Average Movement9.4%
10% most volatile stocks in CA Market17.1%
10% least volatile stocks in CA Market3.5%

Stable Share Price: PEY is not significantly more volatile than the rest of Canadian stocks over the past 3 months, typically moving +/- 7% a week.

Volatility Over Time: PEY's weekly volatility (7%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
1998n/aDarren Geehttps://www.peyto.com

Peyto Exploration & Development Corp. engages in the exploration, development, and production of oil and natural gas, and natural gas liquids in Deep Basin of Alberta. As of December 31, 2020, it had a total proved plus probable reserves of 834 million barrels of oil equivalent. The company was formerly known as Peyto Energy Trust and changed its name to Peyto Exploration & Development Corp. in January 2011.

Peyto Exploration & Development Fundamentals Summary

How do Peyto Exploration & Development's earnings and revenue compare to its market cap?
PEY fundamental statistics
Market CapCA$1.85b
Earnings (TTM)CA$146.48m
Revenue (TTM)CA$674.21m

12.7x

P/E Ratio

2.8x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
PEY income statement (TTM)
RevenueCA$674.21m
Cost of RevenueCA$102.11m
Gross ProfitCA$572.10m
ExpensesCA$425.62m
EarningsCA$146.48m

Last Reported Earnings

Sep 30, 2021

Next Earnings Date

Mar 09, 2022

Earnings per share (EPS)0.88
Gross Margin84.86%
Net Profit Margin21.73%
Debt/Equity Ratio83.6%

How did PEY perform over the long term?

See historical performance and comparison

Dividends

0.4%

Current Dividend Yield

5%

Payout Ratio

Does PEY pay a reliable dividends?

See PEY dividend history and benchmarks
When do you need to buy PEY by to receive an upcoming dividend?
Peyto Exploration & Development dividend dates
Ex Dividend DateNov 29 2021
Dividend Pay DateDec 15 2021
Days until Ex dividend2 days
Days until Dividend pay date14 days

Does PEY pay a reliable dividends?

See PEY dividend history and benchmarks

Valuation

Is Peyto Exploration & Development undervalued compared to its fair value and its price relative to the market?

31.7%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: PEY (CA$11.16) is trading below our estimate of fair value (CA$16.34)

Significantly Below Fair Value: PEY is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: PEY is poor value based on its PE Ratio (12.7x) compared to the Canadian Oil and Gas industry average (7.7x).

PE vs Market: PEY is poor value based on its PE Ratio (12.7x) compared to the Canadian market (12.6x).


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: PEY is good value based on its PB Ratio (1.2x) compared to the CA Oil and Gas industry average (1.9x).


Future Growth

How is Peyto Exploration & Development forecast to perform in the next 1 to 3 years based on estimates from 3 analysts?

10.2%

Forecasted annual revenue growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: Insufficient data to determine if PEY's forecast earnings growth is above the savings rate (1.6%).

Earnings vs Market: Insufficient data to determine if PEY's earnings are forecast to grow faster than the Canadian market

High Growth Earnings: Insufficient data to determine if earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: PEY's revenue (10.2% per year) is forecast to grow faster than the Canadian market (5.6% per year).

High Growth Revenue: PEY's revenue (10.2% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: Insufficient data to determine if PEY's Return on Equity is forecast to be high in 3 years time


Past Performance

How has Peyto Exploration & Development performed over the past 5 years?

-20.2%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: PEY has a large one-off gain of CA$76.8M impacting its September 30 2021 financial results.

Growing Profit Margin: PEY became profitable in the past.


Past Earnings Growth Analysis

Earnings Trend: PEY's earnings have declined by 20.2% per year over the past 5 years.

Accelerating Growth: PEY has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.

Earnings vs Industry: PEY has become profitable in the last year, making it difficult to compare its past year earnings growth to the Oil and Gas industry (132.3%).


Return on Equity

High ROE: PEY's Return on Equity (9.3%) is considered low.


Financial Health

How is Peyto Exploration & Development's financial position?


Financial Position Analysis

Short Term Liabilities: PEY's short term assets (CA$133.4M) do not cover its short term liabilities (CA$401.9M).

Long Term Liabilities: PEY's short term assets (CA$133.4M) do not cover its long term liabilities (CA$1.8B).


Debt to Equity History and Analysis

Debt Level: PEY's net debt to equity ratio (82.8%) is considered high.

Reducing Debt: PEY's debt to equity ratio has increased from 63.8% to 83.6% over the past 5 years.

Debt Coverage: PEY's debt is well covered by operating cash flow (27.4%).

Interest Coverage: PEY's interest payments on its debt are not well covered by EBIT (2.8x coverage).


Balance Sheet


Dividend

What is Peyto Exploration & Development current dividend yield, its reliability and sustainability?

0.45%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: PEY's dividend (0.45%) isn’t notable compared to the bottom 25% of dividend payers in the Canadian market (1.59%).

High Dividend: PEY's dividend (0.45%) is low compared to the top 25% of dividend payers in the Canadian market (4.6%).


Stability and Growth of Payments

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

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


Current Payout to Shareholders

Dividend Coverage: PEY is not paying a notable dividend for the Canadian market.


Future Payout to Shareholders

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


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

11.0yrs

Average management tenure


CEO

Darren Gee (53 yo)

14.83yrs

Tenure

CA$848,718

Compensation

Mr. Darren Gee has been the Chief Executive Officer of Peyto Exploration & Development Corp since January 1, 2007 and served as its President since August 2006 until November 2021. Mr. Gee served as Chief...


CEO Compensation Analysis

Compensation vs Market: Darren's total compensation ($USD663.52K) is below average for companies of similar size in the Canadian market ($USD1.96M).

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


Leadership Team

Experienced Management: PEY's management team is seasoned and experienced (11 years average tenure).


Board Members

Experienced Board: PEY's board of directors are seasoned and experienced ( 12.8 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: PEY insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Peyto Exploration & Development Corp.'s employee growth, exchange listings and data sources


Key Information

  • Name: Peyto Exploration & Development Corp.
  • Ticker: PEY
  • Exchange: TSX
  • Founded: 1998
  • Industry: Oil and Gas Exploration and Production
  • Sector: Energy
  • Market Cap: CA$1.848b
  • Shares outstanding: 167.06m
  • Website: https://www.peyto.com

Number of Employees


Location

  • Peyto Exploration & Development Corp.
  • 600 – 3rd Avenue SW
  • Suite 300
  • Calgary
  • Alberta
  • T2P 0G5
  • Canada

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/11/30 00:18
End of Day Share Price2021/11/29 00:00
Earnings2021/09/30
Annual Earnings2020/12/31


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.