DB:44C

Stock Analysis Report

Executive Summary

Civeo Corporation provides hospitality services to the natural resource industry in Canada, Australia, the United States, and internationally.

Rewards

Trading at 77.8% below its fair value

Revenue is forecast to grow 11.47% per year

Earnings have grown 10% per year over the past 5 years

Risk Analysis

Currently unprofitable and not forecast to become profitable over the next 3 years

Highly volatile share price over past 3 months

Shareholders have been diluted in the past year



Snowflake Analysis

Fair value with mediocre balance sheet.


Similar Companies

Share Price & News

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


Latest Share Price and Events

Stable Share Price: 44C's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

-8.6%

44C

0.8%

DE Commercial Services

0.3%

DE Market


1 Year Return

-44.8%

44C

7.5%

DE Commercial Services

13.8%

DE Market

Return vs Industry: 44C underperformed the German Commercial Services industry which returned 9.1% over the past year.

Return vs Market: 44C underperformed the German Market which returned 17.1% over the past year.


Shareholder returns

44CIndustryMarket
7 Day-8.6%0.8%0.3%
30 Day-12.4%-0.5%1.7%
90 Day18.4%9.7%5.7%
1 Year-44.8%-44.8%11.4%7.5%17.4%13.8%
3 Year-61.3%-61.3%5.5%-3.6%15.9%5.7%
5 Year-57.2%-57.2%11.2%-4.5%27.9%10.6%

Price Volatility Vs. Market

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


Simply Wall St News

No news available

Valuation

Is Civeo undervalued compared to its fair value and its price relative to the market?

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: 44C (€1.1) is trading below our estimate of fair value (€4.95)

Significantly Below Fair Value: 44C is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: 44C is unprofitable, so we can't compare its PE Ratio to the Commercial Services industry average.

PE vs Market: 44C is unprofitable, so we can't compare its PE Ratio to the German market.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate 44C's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: 44C is good value based on its PB Ratio (0.5x) compared to the DE Commercial Services industry average (3.2x).


Next Steps

Future Growth

How is Civeo forecast to perform in the next 1 to 3 years based on estimates from 2 analysts?

35.5%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: 44C is forecast to remain unprofitable over the next 3 years.

Earnings vs Market: 44C is forecast to remain unprofitable over the next 3 years.

High Growth Earnings: 44C is forecast to remain unprofitable over the next 3 years.

Revenue vs Market: 44C's revenue (11.5% per year) is forecast to grow faster than the German market (4.8% per year).

High Growth Revenue: 44C's revenue (11.5% 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 44C's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has Civeo performed over the past 5 years?

10.0%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 44C is currently unprofitable.

Growing Profit Margin: 44C is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: 44C is unprofitable, but has reduced losses over the past 5 years at a rate of 10% per year.

Accelerating Growth: Unable to compare 44C's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: 44C is unprofitable, making it difficult to compare its past year earnings growth to the Commercial Services industry (6.2%).


Return on Equity

High ROE: 44C has a negative Return on Equity (-7.93%), as it is currently unprofitable.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Civeo's financial position?


Financial Position Analysis

Short Term Liabilities: 44C's short term assets ($144.2M) exceed its short term liabilities ($103.4M).

Long Term Liabilities: 44C's short term assets ($144.2M) do not cover its long term liabilities ($401.9M).


Debt to Equity History and Analysis

Debt Level: 44C's debt to equity ratio (77.4%) is considered high.

Reducing Debt: 44C's debt to equity ratio has increased from 63.5% to 77.4% over the past 5 years.


Balance Sheet

Inventory Level: 44C has a high level of physical assets or inventory.

Debt Coverage by Assets: 44C's debt is not covered by short term assets (assets are 0.4x debt).


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.

Stable Cash Runway: Whilst unprofitable 44C has sufficient cash runway for more than 3 years if it maintains its current positive free cash flow level.

Forecast Cash Runway: 44C is unprofitable but has sufficient cash runway for more than 3 years, even with free cash flow being positive and shrinking by -9.3% per year.


Next Steps

Dividend

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


Dividend Yield vs Market

company0%marketbottom25%1.3%markettop25%3.6%industryaverage3.3%forecastin3Yearsn/a

Current dividend yield vs market & industry

Notable Dividend: Unable to evaluate 44C's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.

High Dividend: Unable to evaluate 44C's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if 44C's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if 44C's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: 44C is not paying a notable dividend for the German market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of 44C's dividend in 3 years as they are not forecast to pay a notable one for the German market.


Next Steps

Management

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

2.6yrs

Average management tenure


CEO

Bradley Dodson (45yo)

5.7yrs

Tenure

US$3,433,865

Compensation

Mr. Bradley J. Dodson has been the Chief Executive Officer, President and Director of Civeo Corporation since May 2014. Mr. Dodson served as an Executive Vice President of Accommodations at Oil States Inte ...


CEO Compensation Analysis

Compensation vs Market: Bradley's total compensation ($USD3.43M) is above average for companies of similar size in the German market ($USD638.09K).

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


Management Age and Tenure

2.6yrs

Average Tenure

52yo

Average Age

Experienced Management: 44C's management team is considered experienced (2.6 years average tenure).


Board Age and Tenure

5.6yrs

Average Tenure

63yo

Average Age

Experienced Board: 44C's board of directors are considered experienced (5.6 years average tenure).


Insider Trading

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Sell€50,63029 Aug 19
Peter McCann
EntityIndividual
Role
Senior Key Executive
Senior Vice President of Australia
Shares40,000
Max Price€1.27

Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 12.1%.


Management Team

  • Bradley Dodson (45yo)

    CEO, President & Director

    • Tenure: 5.7yrs
    • Compensation: US$3.43m
  • Al Schoening (60yo)

    Senior Vice President of Canada

    • Tenure: 2.6yrs
    • Compensation: US$1.09m
  • Carolyn Stone (47yo)

    Senior VP

    • Tenure: 0.2yrs
  • Peter McCann (52yo)

    Senior Vice President of Australia

    • Tenure: 5.6yrs
    • Compensation: US$1.03m
  • Collin Gerry

    Vice President of Corporate Development

    • Frank Steininger (61yo)

      Executive Vice President of Strategic Initiatives

      • Tenure: 0.2yrs
      • Compensation: US$2.31m
    • Regan Nielsen

      Director of Corporate Development & Investor Relations


      Board Members

      • Bradley Dodson (45yo)

        CEO, President & Director

        • Tenure: 5.7yrs
        • Compensation: US$3.43m
      • Ron Blankenship (69yo)

        Independent Director

        • Tenure: 5.5yrs
        • Compensation: US$254.00k
      • Connie Moore (63yo)

        Independent Director

        • Tenure: 5.6yrs
        • Compensation: US$253.50k
      • Rick Navarre (58yo)

        Independent Chairman of the Board

        • Tenure: 2.7yrs
        • Compensation: US$293.00k
      • Martin Lambert (63yo)

        Independent Director

        • Tenure: 5.7yrs
        • Compensation: US$232.00k
      • Charles Szalkowski (70yo)

        Independent Director

        • Tenure: 5.6yrs
        • Compensation: US$243.00k
      • Tim Wall (57yo)

        Independent Director

        • Tenure: 2.8yrs
        • Compensation: US$221.00k

      Company Information

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


      Key Information

      • Name: Civeo Corporation
      • Ticker: 44C
      • Exchange: DB
      • Founded:
      • Industry: Diversified Support Services
      • Sector: Commercial Services
      • Market Cap: US$217.023m
      • Listing Market Cap: US$196.818m
      • Shares outstanding: 169.55m
      • Website: https://civeo.com

      Number of Employees


      Location

      • Civeo Corporation
      • Three Allen Center
      • Suite 4980
      • Houston
      • Texas
      • 77002
      • United States

      Listings

      TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
      CVEONYSE (New York Stock Exchange)YesNew Common StockUSUSDMay 2014
      44CDB (Deutsche Boerse AG)YesNew Common StockDEEURMay 2014

      Biography

      Civeo Corporation provides hospitality services to the natural resource industry in Canada, Australia, the United States, and internationally. The company develops lodges and villages; and mobile accommodations, including modular, skid-mounted accommodation, and central facilities that provide long-term and temporary work force accommodations. It also offers food, housekeeping, and maintenance services, as well as laundry, facility management and maintenance, water and wastewater treatment, power generation, communication systems, security, and logistics services; recreation facilities; and camp management services, including fresh water and sewage hauling services. In addition, the company provides site selection, permitting, engineering and designing, manufacturing management, and site construction services. It owns and operates 33 lodges and villages with approximately 33,000 rooms and a fleet of mobile accommodation assets. The company serves oil and natural gas, mining, and oilfield and mining service companies. The company is headquartered in Houston, Texas. 


      Company Analysis and Financial Data Status

      All financial data provided by Standard & Poor's Capital IQ.
      DataLast Updated (UTC time)
      Company Analysis2020/01/25 22:17
      End of Day Share Price2020/01/24 00:00
      Earnings2019/09/30
      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.