DB:CJB

Stock Analysis Report

Carnarvon Petroleum

Executive Summary

Carnarvon Petroleum Limited explores for, develops, and produces oil and gas in Australia.


Snowflake Analysis

Excellent balance sheet with weak fundamentals.


Similar Companies

Share Price & News

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


Latest Share Price and Events

Stable Share Price: CJB has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

1.9%

CJB

-5.2%

DE Oil and Gas

0.7%

DE Market


1 Year Return

-4.5%

CJB

82.2%

DE Oil and Gas

15.6%

DE Market

Return vs Industry: CJB underperformed the German Oil and Gas industry which returned 48.3% over the past year.

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


Shareholder returns

CJBIndustryMarket
7 Day1.9%-5.2%0.7%
30 Day7.1%3.1%1.7%
90 Day-7.1%37.8%6.3%
1 Year-4.5%-4.5%88.4%82.2%19.2%15.6%
3 Year328.6%328.6%39.2%27.1%18.3%7.9%
5 Year169.2%169.2%328.4%260.8%26.8%9.4%

Price Volatility Vs. Market

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


Simply Wall St News

No news available

Valuation

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

3.05x

Price to Book (PB) ratio


Share Price vs. Fair Value

Below Fair Value: Insufficient data to calculate CJB's fair value to establish if it is undervalued.

Significantly Below Fair Value: Insufficient data to calculate CJB's fair value to establish if it is undervalued.


Price To Earnings Ratio

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

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


Price to Book Ratio

PB vs Industry: CJB is overvalued based on its PB Ratio (3x) compared to the DE Oil and Gas industry average (1.1x).


Next Steps

Future Growth

How is Carnarvon Petroleum forecast to perform in the next 1 to 3 years based on estimates from 4 analysts?

-2.0%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

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

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

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

Revenue vs Market: Insufficient data to determine if CJB's revenue is forecast to grow faster than the German market.

High Growth Revenue: Insufficient data to determine if CJB's revenue is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: CJB's Return on Equity is forecast to be low in 3 years time (7.1%).


Next Steps

Past Performance

How has Carnarvon Petroleum performed over the past 5 years?

-8.7%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: CJB is currently unprofitable.

Growing Profit Margin: CJB is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: CJB is unprofitable, and losses have increased over the past 5 years at a rate of -8.7% per year.

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

Earnings vs Industry: CJB is unprofitable, making it difficult to compare its past year earnings growth to the Oil and Gas industry (-5.1%).


Return on Equity

High ROE: CJB has a negative Return on Equity (-4.96%), as it is currently unprofitable.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Carnarvon Petroleum's financial position?


Financial Position Analysis

Short Term Liabilities: CJB's short term assets (A$74.7M) exceed its short term liabilities (A$2.2M).

Long Term Liabilities: CJB's short term assets (A$74.7M) exceed its long term liabilities (A$283.0K).


Debt to Equity History and Analysis

Debt Level: CJB is debt free.

Reducing Debt: CJB has not had any debt for past 5 years.


Balance Sheet

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

Debt Coverage by Assets: Insufficient data to determine if CJB's debt is covered by short term assets.


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: CJB has sufficient cash runway for more than a year based on its current free cash flow.

Forecast Cash Runway: Insufficient data to determine if CJB has enough cash runway if its free cash flow continues to grow or shrink based on historical rates.


Next Steps

Dividend

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


Dividend Yield vs Market

companyn/amarketbottom25%1.4%markettop25%3.5%industryaverage5.7%forecastin3Years0%

Current dividend yield vs market & industry

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

High Dividend: Unable to evaluate CJB'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 CJB's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if CJB'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 CJB'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 Carnarvon Petroleum's salary, the management and board of directors tenure and is there insider trading?

6.5yrs

Average management tenure


CEO

Adrian Cook (52yo)

8.5yrs

Tenure

AU$1,298,958

Compensation

Mr. Adrian Caldwell Cook, B.Bus., C.A., M.App.Fin., FAICD has been the Chief Executive officer and Managing Director of Carnarvon Petroleum Limited since July 1, 2011. Mr. Cook served as a General Manager  ...


CEO Compensation Analysis

Compensation vs Market: Adrian's total compensation ($USD896.45K) is about average for companies of similar size in the German market ($USD817.80K).

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


Management Age and Tenure

6.5yrs

Average Tenure

Experienced Management: CJB's management team is seasoned and experienced (6.5 years average tenure).


Board Age and Tenure

6.5yrs

Average Tenure

Experienced Board: CJB's board of directors are considered experienced (6.5 years average tenure).


Insider Trading

Insider Buying: CJB insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Buy€9,21326 Nov 19
Peter Moore
EntityIndividual
Role
Member of the Board of Directors
Non-Executive Director
Shares44,000
Max Price€0.21
Buy€31,69015 Apr 19
Foster Pty Ltd
EntityCompany
Shares113,636
Max Price€0.28
Buy€43,80614 Mar 19
S. Ryan
EntityIndividual
Role
Member of the Board of Directors
Non-Executive Director
Shares159,240
Max Price€0.28
Buy€26,29610 Mar 19
Peter Moore
EntityIndividual
Role
Member of the Board of Directors
Non-Executive Director
Shares100,000
Max Price€0.26

Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 19.1%.


Management Team

  • Andy Padman

    Chief Geophysicist

    • Adrian Cook (52yo)

      CEO, MD & Executive Director

      • Tenure: 8.5yrs
      • Compensation: AU$1.30m
    • Philip Huizenga

      Chief Operating Officer

      • Tenure: 12yrs
      • Compensation: AU$1.46m
    • Thomson Naude

      CFO & Joint Company Secretary

      • Tenure: 4.5yrs
      • Compensation: AU$762.08k
    • Jeff Goodall

      Chief Geologist

      • Alex Doering

        Joint Company Secretary

        • Tenure: 0.4yrs

      Board Members

      • Peter Leonhardt (72yo)

        Non-Executive Chairman

        • Tenure: 14.8yrs
        • Compensation: AU$120.82k
      • Adrian Cook (52yo)

        CEO, MD & Executive Director

        • Tenure: 8.5yrs
        • Compensation: AU$1.30m
      • Peter Moore

        Non-Executive Director

        • Tenure: 4.6yrs
        • Compensation: AU$78.80k
      • Bill Foster

        Lead Independent Director

        • Compensation: AU$83.47k
      • S. Ryan

        Non-Executive Director

        • Tenure: 1.5yrs
        • Compensation: AU$72.86k

      Company Information

      Carnarvon Petroleum Limited's company bio, employee growth, exchange listings and data sources


      Key Information

      • Name: Carnarvon Petroleum Limited
      • Ticker: CJB
      • Exchange: DB
      • Founded:
      • Industry: Oil and Gas Exploration and Production
      • Sector: Energy
      • Market Cap: AU$570.999m
      • Listing Market Cap: AU$354.076m
      • Shares outstanding: 1.56b
      • Website: https://www.carnarvon.com.au

      Location

      • Carnarvon Petroleum Limited
      • 76 Kings Park Road
      • Level 2
      • West Perth
      • Western Australia
      • 6005
      • Australia

      Listings

      TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
      CVNASX (Australian Securities Exchange)YesOrdinary SharesAUAUDJan 1992
      CVON.FOTCPK (Pink Sheets LLC)YesOrdinary SharesUSUSDJan 1992
      CJBDB (Deutsche Boerse AG)YesOrdinary SharesDEEURJan 1992
      CVNCHIA (Chi-X Australia)YesOrdinary SharesAUAUDJan 1992

      Biography

      Carnarvon Petroleum Limited explores for, develops, and produces oil and gas in Australia. The company owns interests in the Phoenix project located in the Bedout Sub-basin acreage offshore of Western Australia; the Buffalo project located in the Bonaparte Basin; and the Labyrinth project located in the Roebuck Basin in the North West Shelf of Western Australia. It also holds interests in the Maracas project located in the Dampier Sub-Basin in the North West Shelf of Western Australia; the Condor and Eagle projects located in the Vulcan sub basin in the Bonaparte basin; and the Outtrim project located in the Barrow sub-basin within the Northern Carnarvon basin of the North West Shelf. Carnarvon Petroleum Limited is headquartered in West Perth, Australia. 


      Company Analysis and Financial Data Status

      All financial data provided by Standard & Poor's Capital IQ.
      DataLast Updated (UTC time)
      Company Analysis2020/01/20 21:29
      End of Day Share Price2020/01/20 00:00
      Earnings2019/06/30
      Annual Earnings2019/06/30


      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.