DB:4EG

Stock Analysis Report

Executive Summary

ENGlobal Corporation provides engineered modular solutions and professional services primarily to the energy industry worldwide.

Snowflake

Fundamentals

Flawless balance sheet and slightly overvalued.

Risks

  • ENGlobal has significant price volatility in the past 3 months.
  • ENGlobal is not covered by any analysts.

Similar Companies

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

-6.7%

DB:4EG

-5.2%

DE Energy Services

-1.5%

DE Market


1 Year Return

7.1%

DB:4EG

-33.1%

DE Energy Services

-10.4%

DE Market

4EG outperformed the Energy Services industry which returned -33.1% over the past year.

4EG outperformed the Market in Germany which returned -10.4% over the past year.


Share holder returns

4EGIndustryMarket
7 Day-6.7%-5.2%-1.5%
30 Day19.3%-12.9%-4.6%
90 Day61.0%-18.1%-4.6%
1 Year7.1%7.1%-31.7%-33.1%-7.6%-10.4%
3 Year-13.6%-13.6%-28.9%-41.4%9.4%0.03%
5 Year-53.7%-53.7%-68.8%-85.7%25.6%8.1%

Price Volatility Vs. Market

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


Simply Wall St News

No news available

Valuation

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

>50%

Discount to future cash flow value


Intrinsic Value Based on Future Cash Flows

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

ENGlobal's share price is below the future cash flow value, and at a substantial discount (> 40%).


Price Based on Earnings

ENGlobal is loss making, we can't compare its value to the Europe Energy Services industry average.

ENGlobal is loss making, we can't compare the value of its earnings to the Germany market.


Price Based on Expected Growth

Unable to calculate PEG ratio for ENGlobal, we can't assess if its growth is good value.


Price Based on Value of Assets

ENGlobal is overvalued based on assets compared to the Europe Energy Services industry average.


Next Steps

Future Growth

How is ENGlobal expected to perform in the next 1 to 3 years based on estimates from 0 analysts?

34.9%

Forecasted Energy industry annual growth in earnings


In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as ENGlobal has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.

This is quite a rare situation as 97% of companies covered by SimplyWall St do have past financial data.


Next Steps

Past Performance

How has ENGlobal performed over the past 5 years?

-55.6%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

ENGlobal does not make a profit and their year on year earnings growth rate was negative over the past 5 years.

Unable to compare ENGlobal's 1-year earnings growth to the 5-year average as it is not currently profitable.

Unable to compare ENGlobal's 1-year growth to the Europe Energy Services industry average as it is not currently profitable.


Return on Equity

It is difficult to establish if ENGlobal has efficiently used shareholders’ funds last year (Return on Equity greater than 20%) as it is loss-making.


Return on Assets

It is difficult to establish if ENGlobal has efficiently used its assets last year compared to the Europe Energy Services industry average (Return on Assets) as it is loss-making.


Return on Capital Employed

It is difficult to establish if ENGlobal improved its use of capital last year versus 3 years ago (Return on Capital Employed) as it is currently loss-making.


Next Steps

Financial Health

How is ENGlobal's financial position?


Financial Position Analysis

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

ENGlobal's cash and other short term assets cover its long term commitments.


Debt to Equity History and Analysis

ENGlobal's level of debt (-3.6%) compared to net worth is satisfactory (less than 40%).

The level of debt compared to net worth has been reduced over the past 5 years (-3.4% vs -3.6% today).


Balance Sheet

Low level of unsold assets.

Debt is not covered by short term assets, assets are -42.1x 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.

Whilst loss making ENGlobal has sufficient cash runway for more than 3 years if it maintains the current positive free cash flow level.

Whilst loss making ENGlobal has sufficient cash runway for more than 3 years, due to free cash flow being positive and growing by 47% per year.


Next Steps

Dividend

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


Dividend Yield and Payments Analysis

Unable to evaluate ENGlobal's dividend yield against the bottom 25% of dividend payers as the company has not reported any payouts.

Unable to evaluate ENGlobal's dividend against the top 25% market benchmark as the company has not reported any payouts.

Unable to perform a dividend volatility check as ENGlobal has not reported any payouts.

Unable to verify if ENGlobal's dividend has been increasing as the company has not reported any payouts.


Current Payout to Shareholders

Unable to calculate sustainability of dividends as ENGlobal has not reported any payouts.


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

7.0yrs

Average management tenure


CEO

Bill Coskey (66yo)

7.0yrs

Tenure

US$49,442

Compensation

Mr. William A. Coskey, P.E Co-Founded ENGlobal Corp. in 1985 and has been Chief Executive Officer and President since August 1, 2012. Mr. Coskey serves as Chief Executive Officer and President of IDS Engin ...


CEO Compensation Analysis

Bill's remuneration is lower than average for companies of similar size in Germany.

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


Management Age and Tenure

7.0yrs

Average Tenure

66yo

Average Age

The average tenure for the ENGlobal management team is over 5 years, this suggests they are a seasoned and experienced team.


Board Age and Tenure

17.6yrs

Average Tenure

66yo

Average Age

The average tenure for the ENGlobal board of directors is over 10 years, this suggests they are a seasoned and experienced board.


Insider Trading

No 3 month open market individual insider trading information.


Ownership Breakdown


Management Team

  • Bill Coskey (66yo)

    Founder

    • Tenure: 7.0yrs
    • Compensation: US$49.44k
  • Mike Patton (66yo)

    Senior Vice President

    • Tenure: 9.8yrs
    • Compensation: US$320.30k
  • Mark Hess (59yo)

    CFO, Treasurer & Corporate Secretary

    • Tenure: 6.9yrs
    • Compensation: US$220.46k
  • Robert Williams (66yo)

    Senior Vice President of Engineering & Construction Segment

    • Tenure: 7.8yrs
    • Compensation: US$240.01k
  • Scott Curd

    Vice President of Human Resources

    • Tenure: 0.0yrs
  • John Kratzert (56yo)

    Senior Vice President of Automation

    • Tenure: 1.6yrs

Board Members

  • Randy Hale (57yo)

    Independent Director

    • Tenure: 17.7yrs
    • Compensation: US$75.50k
  • Bill Coskey (66yo)

    Founder

    • Tenure: 7.0yrs
    • Compensation: US$49.44k
  • David Gent (66yo)

    Lead Independent Director

    • Tenure: 17.6yrs
    • Compensation: US$72.50k
  • David Roussel (70yo)

    Independent Director

    • Tenure: 17.7yrs
    • Compensation: US$72.50k
  • Kevin Palma (40yo)

    Director

    • Tenure: 3.2yrs

Company Information

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


Key Information

  • Name: ENGlobal Corporation
  • Ticker: 4EG
  • Exchange: DB
  • Founded: 1985
  • Industry: Oil and Gas Equipment and Services
  • Sector: Energy
  • Market Cap: US$32.474m
  • Listing Market Cap: US$29.266m
  • Shares outstanding: 27.40m
  • Website: https://www.englobal.com

Number of Employees


Location

  • ENGlobal Corporation
  • 654 North Sam Houston Parkway East
  • Suite 400
  • Houston
  • Texas
  • 77060
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
ENGNasdaqCM (Nasdaq Capital Market)YesCommon StockUSUSDJun 1995
4EGDB (Deutsche Boerse AG)YesCommon StockDEEURJun 1995

Biography

ENGlobal Corporation provides engineered modular solutions and professional services primarily to the energy industry worldwide. It operates in two segments, Engineering, Procurement and Construction Manag ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/08/18 21:09
End of Day Share Price2019/08/16 00:00
Earnings2019/06/29
Annual Earnings2018/12/29


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.