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Keane Group

DB:9KG
Snowflake Description

Fair value with acceptable track record.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
9KG
DB
$1B
Market Cap
  1. Home
  2. DE
  3. Energy
Company description

Keane Group, Inc. provides integrated well completion services primarily in the United States. The last earnings update was 18 days ago. More info.


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9KG Share Price and Events
7 Day Returns
4%
DB:9KG
5.6%
Europe Energy Services
1.8%
DE Market
1 Year Returns
-33%
DB:9KG
-9.1%
Europe Energy Services
-8.9%
DE Market
9KG Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Keane Group (9KG) 4% -10.8% 7.2% -33% - -
Europe Energy Services 5.6% 6.9% 15.5% -9.1% -30.7% -81.5%
DE Market 1.8% 3.9% 6.1% -8.9% 9.3% 11.7%
1 Year Return vs Industry and Market
  • 9KG underperformed the Energy Services industry which returned -9.1% over the past year.
  • 9KG underperformed the Market in Germany which returned -8.9% over the past year.
Price Volatility
9KG
Industry
5yr Volatility vs Market

Value

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

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of Keane Group to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data    Our intrinsic value calculation method has changed recently, learn more here.

Below are the data sources, inputs and calculation used to determine the intrinsic value for Keane Group.

DB:9KG Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 17 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 7.5%
Perpetual Growth Rate 10-Year DE Government Bond Rate 0.2%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for DB:9KG
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year DE Govt Bond Rate 0.2%
Equity Risk Premium S&P Global 6%
Energy Services Unlevered Beta Simply Wall St/ S&P Global 1.04
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 1.039 (1 + (1- 21%) (34.36%))
1.215
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
1.22
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 0.23% + (1.215 * 5.96%)
7.47%

Discounted Cash Flow Calculation for DB:9KG using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for Keane Group is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.

DB:9KG DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (USD, Millions) Source Present Value
Discounted (@ 7.47%)
2019 127.19 Analyst x7 118.34
2020 156.97 Analyst x7 135.91
2021 133.00 Analyst x1 107.15
2022 117.69 Est @ -11.51% 88.22
2023 108.28 Est @ -7.99% 75.53
2024 102.30 Est @ -5.53% 66.40
2025 98.41 Est @ -3.8% 59.43
2026 95.86 Est @ -2.59% 53.87
2027 94.19 Est @ -1.75% 49.25
2028 93.11 Est @ -1.15% 45.30
Present value of next 10 years cash flows $799.39
DB:9KG DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2028 × (1 + g) ÷ (Discount Rate – g)
= $93.11 × (1 + 0.23%) ÷ (7.47% – 0.23%)
$1,288.42
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= $1,288.42 ÷ (1 + 7.47%)10
$626.83
DB:9KG Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= $799.39 + $626.83
$1,426.22
Equity Value per Share
(USD)
= Total value / Shares Outstanding
= $1,426.22 / 104.41
$12.1
DB:9KG Discount to Share Price
Calculation Result
Non-primary Listing Adjustment Factor 1 share in DB:9KG represents 0.88572x of NYSE:FRAC
(This could be a different class, a depositary receipt, a different currency, or all of these things.)
0.88572x
Value per Share
(Listing Adjusted, EUR)
= Value per Share (USD) x Listing Adjustment Factor
= $ 13.66 x 0.88572
€12.10
Value per share (EUR) From above. €12.10
Current discount Discount to share price of €8.68
= -1 x (€8.68 - €12.10) / €12.10
28.3%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

Current Discount
Amount off the current price Keane Group is available for.
Intrinsic value
28%
Share price is €8.68 vs Future cash flow value of €12.1
Current Discount Checks
For Keane Group to be considered undervalued it must be available for at least 20% below the current price. Less than 40% is even better.
  • Keane Group's share price is below the future cash flow value, and at a moderate discount (> 20%).
  • Keane Group's share price is below the future cash flow value, but not at a substantial discount (< 40%).
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for Keane Group's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Keane Group's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
DB:9KG PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2018-12-31) in USD $0.54
NYSE:FRAC Share Price ** NYSE (2019-03-15) in USD $9.8
Europe Energy Services Industry PE Ratio Median Figure of 27 Publicly-Listed Energy Services Companies 18.79x
Germany Market PE Ratio Median Figure of 423 Publicly-Listed Companies 19.52x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of Keane Group.

DB:9KG PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= NYSE:FRAC Share Price ÷ EPS (both in USD)

= 9.8 ÷ 0.54

18.06x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Keane Group is good value based on earnings compared to the Europe Energy Services industry average.
  • Keane Group is good value based on earnings compared to the Germany market.
Price based on expected Growth
Does Keane Group's expected growth come at a high price?
Raw Data
DB:9KG PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 18.06x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 17 Analysts
-31.8%per year
Europe Energy Services Industry PEG Ratio Median Figure of 20 Publicly-Listed Energy Services Companies 0.89x
Germany Market PEG Ratio Median Figure of 275 Publicly-Listed Companies 1.42x

*Line of best fit is calculated by linear regression .

DB:9KG PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 18.06x ÷ -31.8%

-0.57x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Keane Group earnings are not expected to grow next year, we can't assess if its growth is good value.
Price based on value of assets
What value do investors place on Keane Group's assets?
Raw Data
DB:9KG PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2018-12-31) in USD $4.68
NYSE:FRAC Share Price * NYSE (2019-03-15) in USD $9.8
Europe Energy Services Industry PB Ratio Median Figure of 64 Publicly-Listed Energy Services Companies 0.99x
Germany Market PB Ratio Median Figure of 569 Publicly-Listed Companies 1.77x
DB:9KG PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= NYSE:FRAC Share Price ÷ Book Value per Share (both in USD)

= 9.8 ÷ 4.68

2.1x

* Primary Listing of Keane Group.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Keane Group is overvalued based on assets compared to the Europe Energy Services industry average.
X
Value checks
We assess Keane Group's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Energy Services industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Energy Services industry average (and greater than 0)? (1 check)
  5. Keane Group has a total score of 3/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

Future Performance

 How is Keane Group expected to perform in the next 1 to 3 years based on estimates from 17 analysts?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
-31.8%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Keane Group expected to grow at an attractive rate?
  • Keane Group's earnings are expected to decrease over the next 1-3 years, this is below the low risk savings rate of 0.2%.
Growth vs Market Checks
  • Keane Group's earnings are expected to decrease over the next 1-3 years, this is below the Germany market average.
  • Keane Group's revenues are expected to decrease over the next 1-3 years, this is below the Germany market average.
Annual Growth Rates Comparison
Raw Data
DB:9KG Future Growth Rates Data Sources
Data Point Source Value (per year)
DB:9KG Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 17 Analysts -31.8%
DB:9KG Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 17 Analysts -2.1%
Europe Energy Services Industry Earnings Growth Rate Market Cap Weighted Average 31.9%
Europe Energy Services Industry Revenue Growth Rate Market Cap Weighted Average 7.5%
Germany Market Earnings Growth Rate Market Cap Weighted Average 11.8%
Germany Market Revenue Growth Rate Market Cap Weighted Average 5.1%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
DB:9KG Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (2 months ago) See Below
Future Estimates Average of up to 17 Analyst Estimates (S&P Global) See Below
All numbers in USD Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
DB:9KG Future Estimates Data
Date (Data in USD Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2021-12-31 2,010 273 -17 4
2020-12-31 1,982 303 57 16
2019-12-31 1,777 263 -10 17
DB:9KG Past Financials Data
Date (Data in USD Millions) Revenue Cash Flow Net Income *
2018-12-31 2,137 350 59
2018-09-30 2,152 326 89
2018-06-30 2,070 261 70
2018-03-31 1,815 161 28
2017-12-31 1,542 80 -28
2017-09-30 1,192 1 -251
2017-06-30 831 -61 -255
2017-03-31 600 -65 -251
2016-12-31 421 -54 -187
2016-09-30 324 -58 -26
2016-06-30 291 -20 -44
2016-03-31 313 -12 -54

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Keane Group's earnings are expected to decrease over the next 1-3 years, this is not considered high growth.
  • Keane Group's revenue is expected to decrease over the next 1-3 years, this is not considered high growth.
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
DB:9KG Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (2 months ago) See Below
Future Estimates Average of up to 17 Analyst Estimates (S&P Global) See Below

All data from Keane Group Company Filings, last reported 2 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

DB:9KG Future Estimates Data
Date (Data in USD Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2021-12-31 -0.19 -0.19 -0.19 1.00
2020-12-31 0.52 0.65 0.34 5.00
2019-12-31 -0.12 0.05 -0.20 6.00
DB:9KG Past Financials Data
Date (Data in USD Millions) EPS *
2018-12-31 0.54
2018-09-30 0.80
2018-06-30 0.63
2018-03-31 0.26
2017-12-31 -0.27
2017-09-30 -2.51
2017-06-30 -2.71
2017-03-31 -2.76
2016-12-31 -2.14
2016-09-30 -0.29
2016-06-30 -0.50
2016-03-31 -0.62

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • Unable to establish if Keane Group will efficiently use shareholders’ funds in the future (Return on Equity greater than 20%) as it is not expected to be profitable.
X
Future performance checks
We assess Keane Group's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the Europe market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the Europe market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
Keane Group has a total score of 0/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

Past Performance

  How has Keane Group performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare Keane Group's growth in the last year to its industry (Energy Services).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • Keane Group has delivered over 20% year on year earnings growth in the past 5 years.
  • Keane Group has become profitable in the last year making the earnings growth rate difficult to compare to the 5-year average.
  • Keane Group has become profitable in the last year making it difficult to compare the Europe Energy Services industry average.
Earnings and Revenue History
Keane Group's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from Keane Group Company Filings, last reported 2 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

DB:9KG Past Revenue, Cash Flow and Net Income Data
Date (Data in USD Millions) Revenue Net Income * G+A Expenses R&D Expenses
2018-12-31 2,137.01 59.33 110.72
2018-09-30 2,151.95 89.23 111.44
2018-06-30 2,070.34 70.44 100.75
2018-03-31 1,814.94 27.87 96.36
2017-12-31 1,542.08 -28.22 75.63
2017-09-30 1,191.62 -251.34 37.76
2017-06-30 831.08 -255.40 26.36
2017-03-31 599.53 -251.42 27.78
2016-12-31 420.57 -187.09 31.76
2016-09-30 323.52 -25.73 52.92
2016-06-30 291.02 -43.67 48.98
2016-03-31 313.39 -54.15 38.05
2015-12-31 366.16 -64.64 22.58
2014-12-31 395.83 -45.59 25.16

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • Keane Group has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
  • Keane Group used its assets more efficiently than the Europe Energy Services industry average last year based on Return on Assets.
  • Keane Group has become profitable over the past 3 years. This is considered to be a significant improvement in its use of capital (Return on Capital Employed).
X
Past performance checks
We assess Keane Group's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Energy Services industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
Keane Group has a total score of 3/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

Health

 How is Keane Group's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up Keane Group's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Keane Group is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • Keane Group's long term commitments exceed its cash and other short term assets.
Balance sheet
This treemap shows a more detailed breakdown of Keane Group's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • High level of physical assets or inventory.
  • Debt is not covered by short term assets, assets are 0.9x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from Keane Group Company Filings, last reported 2 months ago.

DB:9KG Past Debt and Equity Data
Date (Data in USD Millions) Total Equity Total Debt Cash & Short Term Investments
2018-12-31 487.18 351.54 80.21
2018-09-30 512.58 351.75 82.85
2018-06-30 505.38 351.10 109.53
2018-03-31 510.97 282.63 95.91
2017-12-31 513.09 283.20 96.12
2017-09-30 464.95 284.34 71.73
2017-06-30 327.45 153.74 75.55
2017-03-31 336.38 154.50 85.80
2016-12-31 162.25 280.10 48.92
2016-09-30 200.14 281.49 62.38
2016-06-30 253.87 283.52 96.54
2016-03-31 80.16 217.22 53.42
2015-12-31 80.16 217.22 53.42
2014-12-31 146.64 220.00 52.21
  • Keane Group's level of debt (72.2%) compared to net worth is high (greater than 40%).
  • Unable to establish if Keane Group's debt level has increased without past 5-year debt data.
  • Debt is well covered by operating cash flow (99.7%, greater than 20% of total debt).
  • Interest payments on debt are well covered by earnings (EBIT is 3.2x coverage).
X
Financial health checks
We assess Keane Group's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. Keane Group has a total score of 3/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

Dividends

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

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
0%
Current annual income from Keane Group dividends. Estimated to be 0% next year.
If you bought €2,000 of Keane Group shares you are expected to receive €0 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Unable to evaluate Keane Group's dividend yield against the bottom 25% of dividend payers as the company has not reported any payouts.
  • Unable to evaluate Keane Group's dividend against the top 25% market benchmark as the company has not reported any payouts.
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
DB:9KG Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 17 Analyst Estimates (S&P Global) See Below
Europe Energy Services Industry Average Dividend Yield Market Cap Weighted Average of 17 Stocks 3.3%
Germany Market Average Dividend Yield Market Cap Weighted Average of 333 Stocks 3.1%
Germany Minimum Threshold Dividend Yield 10th Percentile 0.8%
Germany Bottom 25% Dividend Yield 25th Percentile 1.5%
Germany Top 25% Dividend Yield 75th Percentile 3.9%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

DB:9KG Future Dividends Estimate Data
Date (Data in $) Dividend per Share (annual) Avg. No. Analysts
2021-12-31 0.00 3.00
2020-12-31 0.00 5.00
2019-12-31 0.00 5.00

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Unable to perform a dividend volatility check as Keane Group has not reported any payouts.
  • Unable to verify if Keane Group's dividend has been increasing as the company has not reported any payouts.
Current Payout to shareholders
What portion of Keane Group's earnings are paid to the shareholders as a dividend.
  • Unable to calculate sustainability of dividends as Keane Group has not reported any payouts.
Future Payout to shareholders
  • No need to calculate the sustainability of Keane Group's dividends in 3 years as they are not expected to pay a notable one for Germany.
X
Income/ dividend checks
We assess Keane Group's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 0.8%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can Keane Group afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Keane Group has a total score of 0/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

Management

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

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Robert Drummond
AGE 57
TENURE AS CEO 0.6 years
CEO Bio

Mr. Robert Wayne Drummond, Jr. has been the Chief Executive Officer and Director of Keane Group, Inc. since August 6, 2018. Mr. Drummond has been a Director of Key Energy Services, Inc. since November 23, 2015. He was the Chief Executive Officer of Key Energy Services Inc. since December 31, 2016 until May 11, 2018. He served as President at Key Energy Services, Inc. until May 11, 2018. Mr. Drummond served as the Chief Operating Officer at Key Energy Services Inc. since June 22, 2015. He served as the President North America at Schlumberger Limited from January 2011 to June 2015. He served as President of North America Offshore & Alaska from May 2010 to December 2010. He served as Vice President and General Manager for the US Gulf of Mexico from May 2009 to May 2010; Vice President of Global Sales from July 2007 to April 2009; Vice President and General Manager for US Land from February 2004 to June 2007; Wireline Operations Manager from October 2003 to January 2004; Vice President and General Manager for Atlantic and Eastern Canada from July 2000 to September 2003; and Oilfield Services Sales Manager from January 1998 to June 2000. Mr. Drummond is a member of the Society of Petroleum Engineers and served as a Director of the National Ocean Industries Association. He has been Supervisory Director at Frank's International N.V. since May 19, 2017. Mr. Drummond began his career in 1984 with Schlumberger. He serves on the Board of Directors for the Petroleum Equipment Suppliers Association and the Houston Offshore Energy Center. Formerly, he served on the Board of Directors for the Greater Houston Partnership and on the Board of Trustees for the Hibernia Platform Employees Organization †Newfoundland; and as an advisory board member for each of the University of Houston Global Energy Management Institute, the Texas Tech University Petroleum Engineers and Memorial University's Oil and Gas Development Partnership. Mr. Drummond received his Bachelors of Science in Mineral/Petroleum Engineering from the University of Alabama in 1983.

CEO Compensation
  • Insufficient data for Robert to compare compensation growth.
  • Insufficient data for Robert to establish whether their remuneration is reasonable compared to companies of similar size in Germany.
Management Team Tenure

Average tenure and age of the Keane Group management team in years:

2
Average Tenure
52
Average Age
  • The tenure for the Keane Group management team is about average.
Management Team

James Stewart

TITLE
Executive Chairman
COMPENSATION
$13M
AGE
55

Gregory Powell

TITLE
President & CFO
COMPENSATION
$11M
AGE
43
TENURE
3.7 yrs

Kevin McDonald

TITLE
Executive VP
COMPENSATION
$3M
AGE
51
TENURE
2.3 yrs

Paul DeBonis

TITLE
Advisor to Chairman
COMPENSATION
$4M
AGE
58
TENURE
0.5 yrs

Ian Henkes

TITLE
VP and GM of South Region & National Wireline
COMPENSATION
$1M
AGE
46
TENURE
1.7 yrs

Robert Drummond

TITLE
CEO & Director
AGE
57
TENURE
0.6 yrs

Phung Ngo-Burns

TITLE
Chief Accounting Officer
AGE
52
TENURE
2 yrs

Louis Wilpitz

TITLE
Vice President of Sales & Marketing
TENURE
3.2 yrs

Brian Coe

TITLE
Treasurer
TENURE
2 yrs
Board of Directors Tenure

Average tenure and age of the Keane Group board of directors in years:

3
Average Tenure
56
Average Age
  • The tenure for the Keane Group board of directors is about average.
Board of Directors

Robert Drummond

TITLE
CEO & Director
AGE
57
TENURE
0.6 yrs

Marc G. Edwards

TITLE
Lead Director
COMPENSATION
$100K
AGE
57

James Stewart

TITLE
Executive Chairman
COMPENSATION
$13M
AGE
55
TENURE
8 yrs

Lisa Gray

TITLE
Director
COMPENSATION
$75K
AGE
63
TENURE
8 yrs

Scott Wille

TITLE
Director
COMPENSATION
$75K
AGE
37
TENURE
8 yrs

Christian Garcia

TITLE
Director
COMPENSATION
$334K
AGE
54
TENURE
1.8 yrs

Lucas Batzer

TITLE
Director
COMPENSATION
$75K
AGE
35
TENURE
3 yrs

Dale Dusterhoft

TITLE
Director
COMPENSATION
$75K
AGE
57
TENURE
3 yrs

Gary Halverson

TITLE
Independent Director
COMPENSATION
$75K
AGE
59
TENURE
2.5 yrs

Shawn Keane

TITLE
Director
COMPENSATION
$75K
AGE
52
TENURE
8 yrs
Who owns this company?
Recent Insider Trading
  • No 3 month insider trading information.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price (€) Value (€)
10. Dec 18 Sell Keane Investor Holdings LLC Company 06. Dec 18 06. Dec 18 -5,251,249 €9.47 €-49,735,304
X
Management checks
We assess Keane Group's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. Keane Group has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

News

Simply Wall St News

Company Info

Description

Keane Group, Inc. provides integrated well completion services primarily in the United States. Its principal service offerings include horizontal and vertical fracturing, wireline perforation and logging, and engineered solutions. The company also provides cementing and drilling services; and engineering software and technical guidance for remedial cementing applications and acidizing. Its customers primarily include integrated and large independent oil and natural gas exploration and production companies. The company has 29 hydraulic fracturing fleets, 34 wireline trucks, 24 cementing pumps, and other ancillary assets located in the Permian Basin, the Marcellus Shale/Utica Shale, the Eagle Ford Formation, the Bakken Formation, and other active oil and gas basins. Keane Group, Inc. was founded in 1973 and is headquartered in Houston, Texas. Keane Group, Inc. is a subsidiary of Keane Investor Holdings LLC.

Details
Name: Keane Group, Inc.
9KG
Exchange: DB
Founded: 1973
$903,663,907
104,405,121
Website: http://www.keanegrp.com
Address: Keane Group, Inc.
1800 Post Oak Boulevard,
Suite 450,
Houston,
Texas, 77056,
United States
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
NYSE FRAC Common Stock New York Stock Exchange US USD 20. Jan 2017
DB 9KG Common Stock Deutsche Boerse AG DE EUR 20. Jan 2017
Number of employees
Current staff
Staff numbers
2,833
Keane Group employees.
Industry
Oil and Gas Equipment and Services
Energy
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/03/17 21:50
End of day share price update: 2019/03/15 00:00
Last estimates confirmation: 2019/03/15
Last earnings filing: 2019/02/27
Last earnings reported: 2018/12/31
Last annual earnings reported: 2018/12/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

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.