TSX:PKI

Stock Analysis Report

Executive Summary

Parkland Fuel Corporation operates as a marketer, distributor, and refiner of fuel and petroleum products in Canada and the United States.

Snowflake

Fundamentals

Proven track record with mediocre balance sheet.


Similar Companies

Share Price & News

How has Parkland Fuel's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

0.4%

TSX:PKI

2.4%

CA Oil and Gas

1.3%

CA Market


1 Year Return

3.5%

TSX:PKI

-12.2%

CA Oil and Gas

-0.3%

CA Market

PKI outperformed the Oil and Gas industry which returned -12.4% over the past year.

PKI outperformed the Market in Canada which returned -0.1% over the past year.


Share holder returns

PKIIndustryMarket
7 Day0.4%2.4%1.3%
30 Day2.5%6.6%3.4%
90 Day5.1%-1.3%1.1%
1 Year6.6%3.5%-8.2%-12.2%3.2%-0.3%
3 Year62.3%45.5%-8.0%-17.5%19.1%8.4%
5 Year149.9%104.4%-28.1%-38.9%19.5%2.3%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

38%

Discount to future cash flow value


Intrinsic Value Based on Future Cash Flows

Parkland Fuel's share price is below the future cash flow value, and at a moderate discount (> 20%).

Parkland Fuel's share price is below the future cash flow value, but not at a substantial discount (< 40%).


Price Based on Earnings

Parkland Fuel is overvalued based on earnings compared to the CA Oil and Gas industry average.

Parkland Fuel is overvalued based on earnings compared to the Canada market.


Price Based on Expected Growth

Parkland Fuel is poor value based on expected growth next year.


Price Based on Value of Assets

Parkland Fuel is overvalued based on assets compared to the CA Oil and Gas industry average.


Next Steps

Future Growth

How is Parkland Fuel expected to perform in the next 1 to 3 years based on estimates from 8 analysts?

2.5%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Parkland Fuel's revenue is expected to grow by 1.7% yearly, however this is not considered high growth (20% yearly).

Parkland Fuel's earnings are expected to grow by 2.5% yearly, however this is not considered high growth (20% yearly).

Parkland Fuel's revenue growth is positive but not above the Canada market average.

Parkland Fuel's earnings growth is positive but not above the Canada market average.

Parkland Fuel's earnings growth is expected to exceed the low risk savings rate of 1.9%.


Earnings per Share Growth Estimates


Future Return on Equity

Parkland Fuel is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).


Next Steps

Past Performance

How has Parkland Fuel performed over the past 5 years?

41.6%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Parkland Fuel has delivered over 20% year on year earnings growth in the past 5 years.

Parkland Fuel's 1-year earnings growth exceeds its 5-year average (118.4% vs 41.6%)

Parkland Fuel's earnings growth has exceeded the CA Oil and Gas industry average in the past year (118.4% vs 62.2%).


Return on Equity

Parkland Fuel has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).


Return on Assets

Parkland Fuel used its assets less efficiently than the CA Oil and Gas industry average last year based on Return on Assets.


Return on Capital Employed

Parkland Fuel has improved its use of capital last year versus 3 years ago (Return on Capital Employed).


Next Steps

Financial Health

How is Parkland Fuel's financial position?


Financial Position Analysis

Parkland Fuel is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.

Parkland Fuel's long term commitments exceed its cash and other short term assets.


Debt to Equity History and Analysis

Parkland Fuel's level of debt (146.3%) compared to net worth is high (greater than 40%).

The level of debt compared to net worth has increased over the past 5 years (92% vs 146.3% today).

Debt is well covered by operating cash flow (28.4%, greater than 20% of total debt).

Interest payments on debt are well covered by earnings (EBIT is 4.2x coverage).


Balance Sheet

High level of physical assets or inventory.

Debt is not covered by short term assets, assets are 0.7x debt.


Next Steps

Dividend

What is Parkland Fuel's current dividend yield, its reliability and sustainability?

2.74%

Expected Dividend Yield


Upcoming Dividend Payment

Purchase Parkland Fuel before the 'Buy Limit' to receive their next dividend payment.


Dividend Yield and Payments Analysis

Parkland Fuel's pays a higher dividend yield than the bottom 25% of dividend payers in Canada (1.99%).

Parkland Fuel's dividend is below the markets top 25% of dividend payers in Canada (5.85%).

Dividends per share have been stable in the past 10 years.

Dividends per share have fallen over the past 10 years.


Current Payout to Shareholders

Dividends paid are covered by earnings (1.9x coverage).


Future Payout to Shareholders

Insufficient estimate data to determine if a dividend will be paid in 3 years and that it will be sustainable.


Next Steps

Management

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

1.4yrs

Average management tenure


CEO

Bob Espey (53yo)

8.3yrs

Tenure

CA$3,782,662

Compensation

Mr. Robert Berthold Espey, also known as Bob, has been the President at Parkland Fuel Corporation since March 15, 2011 and its Chief Executive Officer since May 01, 2011. Mr. Espey served as Transition Co ...


CEO Compensation Analysis

Bob's remuneration is lower than average for companies of similar size in Canada.

Bob's compensation has been consistent with company performance over the past year, both up more than 20%.


Management Age and Tenure

1.4yrs

Average Tenure

50yo

Average Age

The average tenure for the Parkland Fuel management team is less than 2 years, this suggests a new team.


Board Age and Tenure

5.3yrs

Average Tenure

60.5yo

Average Age

The tenure for the Parkland Fuel board of directors is about average.


Insider Trading

More shares have been bought than sold by Parkland Fuel individual insiders in the past 3 months.


Recent Insider Transactions

BuyCA$6,943,76627 Aug 19
Timothy Rhodes
EntityIndividual
Shares168,538
Max PriceCA$41.20
SellCA$743,78721 Aug 19
Colin Kilty
EntityIndividual
Shares17,394
Max PriceCA$42.76
SellCA$478,50003 Jul 19
Darren Smart
EntityIndividual
Role
Head of Corporate Development
Senior Vice President of Strategy & Corporate Development
Shares11,600
Max PriceCA$41.25
SellCA$156,84318 Jun 19
Patricia van de Sande
EntityIndividual
Shares3,700
Max PriceCA$42.39
BuyCA$33,00018 Mar 19
James Pantelidis
EntityIndividual
Role
Chairman of the Board
Chairman
Shares1,520
Max PriceCA$33.00
SellCA$50,46408 Mar 19
Benjamin Brooks
EntityIndividual
Shares1,340
Max PriceCA$37.66
BuyCA$18,99807 Mar 19
Deborah Stein
EntityIndividual
Role
Member of the Board of Directors
Director
Shares510
Max PriceCA$37.25
BuyCA$12,56201 Jan 19
James Pantelidis
EntityIndividual
Role
Chairman of the Board
Chairman
Shares384
Max PriceCA$32.79
BuyCA$68,41922 Dec 18
James Pantelidis
EntityIndividual
Role
Chairman of the Board
Chairman
Shares2,000
Max PriceCA$34.42

Ownership Breakdown


Management Team

  • Darren Smart

    Senior Vice President of Strategy & Corporate Development

    • Tenure: 0.7yrs
    • Compensation: CA$976.54k
  • Pierre Patrick Magnan (45yo)

    President of Parkland International

    • Tenure: 0.9yrs
    • Compensation: CA$1.26m
  • Doug Haugh

    President of Parkland USA

    • Tenure: 1.8yrs
    • Compensation: CA$2.21m
  • Bob Espey (53yo)

    President

    • Tenure: 8.3yrs
    • Compensation: CA$3.78m
  • Mike McMillan

    Senior VP & CFO

    • Tenure: 4.6yrs
    • Compensation: CA$1.41m
  • Ryan Krogmeier (50yo)

    Senior Vice President of Supply

    • Tenure: 0.9yrs
    • Compensation: CA$2.13m
  • Stephanie McDonald

    Senior Vice President of People & Culture

    • Tenure: 0.9yrs
  • Annie Cuerrier

    Director of Corporate Communications

    • Tenure: 0yrs
  • Christy Elliott

    VP, General Counsel & Corporate Secretary

    • Tenure: 2.2yrs
  • Brad Monaco

    Director of Investor Relations

    • Tenure: 0yrs

Board Members

  • Lisa Colnett (61yo)

    Director

    • Tenure: 5.3yrs
    • Compensation: CA$198.44k
  • John Bechtold (73yo)

    Independent Director

    • Tenure: 13.1yrs
    • Compensation: CA$204.30k
  • Domenic Pilla (60yo)

    Independent Director

    • Tenure: 4.7yrs
    • Compensation: CA$171.85k
  • Jack Donald (84yo)

    Chairman Emeritus

    • Tenure: 0yrs
  • Jim Pantelidis (73yo)

    Chairman

    • Tenure: 14.3yrs
    • Compensation: CA$405.29k
  • Steve Richardson (59yo)

    Director

    • Tenure: 2.1yrs
    • Compensation: CA$166.26k
  • David Spencer (61yo)

    Non-Independent Director

    • Tenure: 14.3yrs
    • Compensation: CA$185.80k
  • Debbie Stein (58yo)

    Director

    • Tenure: 3.3yrs
    • Compensation: CA$194.91k
  • Bob Espey (53yo)

    President

    • Tenure: 8.3yrs
    • Compensation: CA$3.78m
  • Tim Hogarth (59yo)

    Director

    • Tenure: 4.3yrs
    • Compensation: CA$170.89k

Company Information

Parkland Fuel Corporation's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Parkland Fuel Corporation
  • Ticker: PKI
  • Exchange: TSX
  • Founded: 1977
  • Industry: Oil and Gas Refining and Marketing
  • Sector: Energy
  • Market Cap: CA$6.456b
  • Shares outstanding: 147.27m
  • Website: https://www.parkland.ca

Number of Employees


Location

  • Parkland Fuel Corporation
  • 333 96th Avenue NE
  • Suite 6302
  • Calgary
  • Alberta
  • T3K 0S3
  • Canada

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
PKITSX (The Toronto Stock Exchange)YesCommon SharesCACADSep 1982
PKIU.FOTCPK (Pink Sheets LLC)YesCommon SharesUSUSDSep 1982
PF6DB (Deutsche Boerse AG)YesCommon SharesDEEURSep 1982

Biography

Parkland Fuel Corporation operates as a marketer, distributor, and refiner of fuel and petroleum products in Canada and the United States. The company’s Retail segment supplies and supports a network of 1, ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/09/16 00:11
End of Day Share Price2019/09/13 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.