DB:241A

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Centennial Resource Development

Executive Summary

Centennial Resource Development, Inc., an independent oil and natural gas company, focuses on the development of unconventional oil and associated liquids-rich natural gas reserves in the United States.


Snowflake Analysis

Fair value with worrying balance sheet.


Similar Companies

Share Price & News

How has Centennial Resource Development's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: 241A's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

11.5%

241A

8.2%

DE Oil and Gas

0.7%

DE Market


1 Year Return

-82.1%

241A

55.8%

DE Oil and Gas

8.8%

DE Market

Return vs Industry: 241A underperformed the German Oil and Gas industry which returned 56.2% over the past year.

Return vs Market: 241A underperformed the German Market which returned 8.1% over the past year.


Shareholder returns

241AIndustryMarket
7 Day11.5%8.2%0.7%
30 Day5.8%4.2%0.1%
90 Day-16.6%34.2%12.6%
1 Year-82.1%-82.1%59.8%55.8%11.2%8.8%
3 Year-94.8%-94.8%24.5%13.3%5.4%-3.0%
5 Yearn/a178.4%136.7%15.9%0.3%

Price Volatility Vs. Market

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


Simply Wall St News

No news available

Valuation

Is Centennial Resource Development 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: 241A (€0.73) is trading below our estimate of fair value (€3)

Significantly Below Fair Value: 241A is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: 241A is unprofitable, so we can't compare its PE Ratio to the XE Oil and Gas industry average.

PE vs Market: 241A 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 241A's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: 241A is good value based on its PB Ratio (0.1x) compared to the DE Oil and Gas industry average (1.3x).


Next Steps

Future Growth

How is Centennial Resource Development forecast to perform in the next 1 to 3 years based on estimates from 12 analysts?

98.4%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: 241A is forecast to remain unprofitable over the next 3 years.

Earnings vs Market: 241A is forecast to remain unprofitable over the next 3 years.

High Growth Earnings: 241A is forecast to remain unprofitable over the next 3 years.

Revenue vs Market: 241A's revenue (0.9% per year) is forecast to grow slower than the German market (5.9% per year).

High Growth Revenue: 241A's revenue (0.9% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: 241A is forecast to be unprofitable in 3 years.


Next Steps

Past Performance

How has Centennial Resource Development performed over the past 5 years?

-48.2%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 241A is currently unprofitable.

Growing Profit Margin: 241A is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: 241A is unprofitable, and losses have increased over the past 5 years at a rate of 48.2% per year.

Accelerating Growth: Unable to compare 241A's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: 241A is unprofitable, making it difficult to compare its past year earnings growth to the Oil and Gas industry (-13.4%).


Return on Equity

High ROE: 241A has a negative Return on Equity (-19.71%), as it is currently unprofitable.


Next Steps

Financial Health

How is Centennial Resource Development's financial position?


Financial Position Analysis

Short Term Liabilities: 241A's short term assets ($77.6M) do not cover its short term liabilities ($157.9M).

Long Term Liabilities: 241A's short term assets ($77.6M) do not cover its long term liabilities ($1.1B).


Debt to Equity History and Analysis

Debt Level: 241A's debt to equity ratio (40.4%) is considered high.

Reducing Debt: Insufficient data to determine if 241A's debt to equity ratio has reduced over the past 5 years.

Debt Coverage: 241A's debt is well covered by operating cash flow (33.3%).

Interest Coverage: Insufficient data to determine if 241A's interest payments on its debt are well covered by EBIT.


Balance Sheet


Next Steps

Dividend

What is Centennial Resource Development current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

Notable Dividend: Unable to evaluate 241A's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate 241A's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if 241A's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if 241A's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of 241A's dividend in 3 years as they are not forecast to pay a notable one for the German market.


Next Steps

  • Explore strong dividend paying companies in the Energy industry.

Management

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

3.4yrs

Average management tenure


CEO

Sean Smith (47 yo)

0.33

Tenure

US$4,374,776

Compensation

Mr. Sean R. Smith has been the Chief Executive Officer and Director of Centennial Resource Development, Inc. since April 1, 2020 and had been its Vice President and Chief Operating Officer since October 20 ...


CEO Compensation Analysis

Compensation vs Market: Sean's total compensation ($USD4.37M) is above average for companies of similar size in the German market ($USD780.48K).

Compensation vs Earnings: Sean's compensation has increased whilst the company is unprofitable.


Leadership Team

NamePositionTenureCompensationOwnership
Sean Smith
CEO & Director0.33yrUS$4.37m1.17%
$ 2.3m
George Glyphis
CFO, VP & Assistant Secretary3.83yrsUS$3.64m0.79%
$ 1.6m
Brent Jensen
Chief Accounting Officer & VP3.42yrsUS$2.04m0.43%
$ 873.8k
Davis O'Connor
VP & General Counsel3.83yrsUS$2.63m0.55%
$ 1.1m
Matt Garrison
VP & COO0.33yrno data0.57%
$ 1.1m
Hays Mabry
Director of Investor Relationsno datano datano data
Kathleen Phillips
Vice President of Human Resources3yrsno datano data
Stephen Coats
Secretary4.75yrsno datano data
William Weidig
Vice President of Finance & Treasurer1.5yrsno datano data
Jamie Wheat
Vice President of Accounting3.42yrsno datano data
Ward Polzin
Consultantno dataUS$326.92kno data
Bret Siepman
Consultantno dataUS$326.92kno data

3.4yrs

Average Tenure

50yo

Average Age

Experienced Management: 241A's management team is considered experienced (3.4 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Sean Smith
CEO & Director0.33yrUS$4.37m1.17%
$ 2.3m
Jeffrey Tepper
Independent Director4.5yrsUS$255.95kno data
David Leuschen
Director3.83yrsno datano data
Steven Shapiro
Independent Non-Executive Chairman0.33yrUS$50.98k0.083%
$ 165.9k
Pierre Lapeyre
Director3.83yrsno datano data
Robert Tichio
Director3.83yrsno datano data
Maire Baldwin
Independent Director3.83yrsUS$305.95kno data
Karl Bandtel
Independent Director3.83yrsUS$255.95kno data
Matthew Hyde
Independent Director2.58yrsUS$255.95kno data

3.8yrs

Average Tenure

55yo

Average Age

Experienced Board: 241A's board of directors are considered experienced (3.8 years average tenure).


Ownership

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


Insider Trading Volume

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


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 3.4%.


Top Shareholders

Company Information

Centennial Resource Development, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Centennial Resource Development, Inc.
  • Ticker: 241A
  • Exchange: DB
  • Founded: 2015
  • Industry: Oil and Gas Exploration and Production
  • Sector: Energy
  • Market Cap: US$236.777m
  • Listing Market Cap: US$200.882m
  • Shares outstanding: 273.38m
  • Website: https://www.cdevinc.com

Number of Employees


Location

  • Centennial Resource Development, Inc.
  • 1001 Seventeenth Street
  • Suite 1800
  • Denver
  • Colorado
  • 80202
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
CDEVNasdaqCM (Nasdaq Capital Market)YesClass A Common StockUSUSDApr 2016
CDEV *BMV (Bolsa Mexicana de Valores)YesClass A Common StockMXMXNApr 2016
241ADB (Deutsche Boerse AG)YesClass A Common StockDEEURApr 2016
0HVDLSE (London Stock Exchange)YesClass A Common StockGBUSDApr 2016

Biography

Centennial Resource Development, Inc., an independent oil and natural gas company, focuses on the development of unconventional oil and associated liquids-rich natural gas reserves in the United States. Th ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/08/10 21:19
End of Day Share Price2020/08/10 00:00
Earnings2020/06/30
Annual Earnings2019/12/31


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.