Executive Summary
Pembina Pipeline Corporation provides transportation and midstream services for the energy industry. More Details
Rewards
Risk Analysis
Dividend of 6.89% is not well covered by earnings or forecast to be in the next 3 years
Snowflake Analysis
Average dividend payer with moderate growth potential.
Similar Companies
Share Price & News
How has Pembina Pipeline's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: PPL is less volatile than 75% of Canadian stocks over the past 3 months, typically moving +/- 4% a week.
Volatility Over Time: PPL's weekly volatility (4%) has been stable over the past year.
Market Performance
7 Day Return
-0.2%
PPL
-0.3%
CA Oil and Gas
0.9%
CA Market
1 Year Return
28.1%
PPL
39.3%
CA Oil and Gas
39.2%
CA Market
Return vs Industry: PPL underperformed the Canadian Oil and Gas industry which returned 39.3% over the past year.
Return vs Market: PPL underperformed the Canadian Market which returned 39.2% over the past year.
Shareholder returns
| PPL | Industry | Market | |
|---|---|---|---|
| 7 Day | -0.2% | -0.3% | 0.9% |
| 30 Day | -4.2% | 1.2% | 3.0% |
| 90 Day | 8.2% | 14.6% | 7.5% |
| 1 Year | 38.4%28.1% | 47.0%39.3% | 43.9%39.2% |
| 3 Year | 8.8%-9.4% | -3.0%-14.9% | 32.5%19.8% |
| 5 Year | 36.5%3.1% | 0.6%-17.3% | 59.3%35.1% |
Long-Term Price Volatility Vs. Market
How volatile is Pembina Pipeline's share price compared to the market and industry in the last 5 years?
Simply Wall St News
4 days ago | Simply Wall St
Is Pembina Pipeline (TSE:PPL) A Risky Investment?3 weeks ago | Simply Wall St
Don't Race Out To Buy Pembina Pipeline Corporation (TSE:PPL) Just Because It's Going Ex-DividendValuation
Is Pembina Pipeline undervalued compared to its fair value and its price relative to the market?
32.0%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: PPL (CA$36.58) is trading below our estimate of fair value (CA$53.78)
Significantly Below Fair Value: PPL is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: PPL is unprofitable, so we can't compare its PE Ratio to the CA Oil and Gas industry average.
PE vs Market: PPL is unprofitable, so we can't compare its PE Ratio to the Canadian market.
Price to Earnings Growth Ratio
PEG Ratio: Insufficient data to calculate PPL's PEG Ratio to determine if it is good value.
Price to Book Ratio
PB vs Industry: PPL is overvalued based on its PB Ratio (1.7x) compared to the CA Oil and Gas industry average (1.4x).
Future Growth
How is Pembina Pipeline forecast to perform in the next 1 to 3 years based on estimates from 10 analysts?
69.1%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: PPL is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (1.5%).
Earnings vs Market: PPL is forecast to become profitable over the next 3 years, which is considered above average market growth.
High Growth Earnings: PPL's is expected to become profitable in the next 3 years.
Revenue vs Market: PPL's revenue (5.7% per year) is forecast to grow slower than the Canadian market (7.2% per year).
High Growth Revenue: PPL's revenue (5.7% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: PPL's Return on Equity is forecast to be low in 3 years time (11%).
Past Performance
How has Pembina Pipeline performed over the past 5 years?
16.0%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: PPL is currently unprofitable.
Growing Profit Margin: PPL is currently unprofitable.
Past Earnings Growth Analysis
Earnings Trend: PPL is unprofitable, but has reduced losses over the past 5 years at a rate of 16% per year.
Accelerating Growth: Unable to compare PPL's earnings growth over the past year to its 5-year average as it is currently unprofitable
Earnings vs Industry: PPL is unprofitable, making it difficult to compare its past year earnings growth to the Oil and Gas industry (-31.2%).
Return on Equity
High ROE: PPL has a negative Return on Equity (-2.1%), as it is currently unprofitable.
Financial Health
How is Pembina Pipeline's financial position?
Financial Position Analysis
Short Term Liabilities: PPL's short term assets (CA$989.0M) do not cover its short term liabilities (CA$1.8B).
Long Term Liabilities: PPL's short term assets (CA$989.0M) do not cover its long term liabilities (CA$14.6B).
Debt to Equity History and Analysis
Debt Level: PPL's debt to equity ratio (72.4%) is considered high.
Reducing Debt: PPL's debt to equity ratio has increased from 44.8% to 72.4% over the past 5 years.
Debt Coverage: PPL's debt is well covered by operating cash flow (20.7%).
Interest Coverage: PPL is unprofitable, therefore interest payments are not well covered by earnings.
Balance Sheet
Dividend
What is Pembina Pipeline current dividend yield, its reliability and sustainability?
6.89%
Current Dividend Yield
Upcoming Dividend Payment
Dividend Yield vs Market
Notable Dividend: PPL's dividend (6.89%) is higher than the bottom 25% of dividend payers in the Canadian market (1.47%).
High Dividend: PPL's dividend (6.89%) is in the top 25% of dividend payers in the Canadian market (4.73%)
Stability and Growth of Payments
Stable Dividend: PPL's dividends per share have been stable in the past 10 years.
Growing Dividend: PPL's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: PPL is paying a dividend but the company is unprofitable.
Future Payout to Shareholders
Future Dividend Coverage: PPL's dividends in 3 years are not forecast to be well covered by earnings (111.4% payout ratio).
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
6.3yrs
Average management tenure
CEO
Mick Dilger (57 yo)
7.25yrs
Tenure
CA$7,972,829
Compensation
Mr. Michael H. Dilger, also known as Mick, has been the Chief Executive Officer and President of Pembina NGL Corporation since January 2014 and serves as its President since February 15, 2012. Mr. Dilger h...
CEO Compensation Analysis
Compensation vs Market: Mick's total compensation ($USD6.35M) is about average for companies of similar size in the Canadian market ($USD7.19M).
Compensation vs Earnings: Mick's compensation has been consistent with company performance over the past year.
Leadership Team
Experienced Management: PPL's management team is seasoned and experienced (6.3 years average tenure).
Board Members
Experienced Board: PPL's board of directors are considered experienced (6.3 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: PPL insiders have sold more shares than they have bought 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
Pembina Pipeline Corporation's company bio, employee growth, exchange listings and data sources
Key Information
- Name: Pembina Pipeline Corporation
- Ticker: PPL
- Exchange: TSX
- Founded: 1954
- Industry: Oil and Gas Storage and Transportation
- Sector: Energy
- Market Cap: CA$20.117b
- Shares outstanding: 549.95m
- Website: https://www.pembina.com
Number of Employees
Location
- Pembina Pipeline Corporation
- 585 - 8th Avenue South West
- Suite 4000
- Calgary
- Alberta
- T2P 1G1
- Canada
Listings
Biography
Pembina Pipeline Corporation provides transportation and midstream services for the energy industry. It operates through three segments: Pipelines, Facilities, and Marketing & New Ventures. The Pipelines s...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2021/04/11 00:12 |
| End of Day Share Price | 2021/04/09 00:00 |
| Earnings | 2020/12/31 |
| Annual Earnings | 2020/12/31 |
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.