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
In this section, we usually try to help investors determine whether Ferrellgas Partners is trading at an attractive price based on the cash flow it is expected to produce in the future. But as Ferrellgas Partners has not provided consistent financial data, and the stock also has no analyst forecast or coverage, its intrinsic value cannot be reliably calculated by extrapolating past data or using analyst consensus cash flow predictions.
This is quite a rare situation as 89% of companies covered by Simply Wall St do have a valuation analysis. You can see them here.
Show me the analysis anyway
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
It is not possible to calculate the future cash flow value for
Ferrellgas Partners. This is due to cash flow or dividend data being
unavailable. The share price is
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
is considered below, and whether this is a fair price.
Price based on past earnings
Ferrellgas Partners's earnings available for a low price, and how does
this compare to other companies in the same industry?
Ferrellgas Partners has negative assets, we can't compare the value of its assets to the Europe Gas Utilities industry average.
Take a look at our analysis of FEG’s management and see if the CEO’s compensation is within a reasonable range, who is on the board and if insiders have been trading lately.
When valuing a company like this, investors focus more on how they perceive the size of the opportunity, the company's ability to deliver and scale, and the strength of the team. While we are not analysing this type of data at the moment, if you don’t know where to start, we recommend reading through Ferrellgas Partners's regulatory filings and announcements.
Ferrellgas Partners is not considered high growth as it is expected to be loss making for the next 1-3 years.
Ferrellgas Partners's revenue is expected to grow by 1.6% yearly, however this is not considered high growth (20% yearly).
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.
Ferrellgas Partners's performance over the past 5 years by checking for:
Has earnings increased in past 5 years? (1 check)
Has the earnings growth in the last year exceeded that of the
industry? (1 check)
Is the recent earnings growth over the last year higher than the average annual growth over the
past 5 years? (1 check)
Is the Return on Equity (ROE) higher than 20%? (1 check)
Is the Return on Assets (ROA) above industry average? (1 check)
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.
has a total score of
0/6, see the detailed checks below.
Note: We use GAAP Net Income excluding extraordinary items in all our calculations.
A company's financial position is much like your own financial position,
it includes everything you own
The boxes below represent the relative size of what makes up
Ferrellgas Partners's finances.
The net worth of a company is the difference between its assets and liabilities.
Ferrellgas Partners is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
Ferrellgas Partners's long term commitments exceed its cash and other short term assets.
This treemap shows a more detailed breakdown of
Ferrellgas Partners'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
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
High level of physical assets or inventory.
Ferrellgas Partners has negative shareholder equity (liabilities exceed assets) therefore debt is not covered by short term assets.
Nearly all companies have debt. Debt in itself isn’t
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.
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.
TENURE AS CEO
Mr. James E. Ferrell has been the Interim Chief Executive Officer and Interim President of Ferrellgas Inc - General Partner of Ferrellgas Partners LP and Ferrellgas L.P. since September 27, 2016. Mr. Ferrell served as President and Chief Executive Officer at Ferrell International Ltd. He served as the Chief Executive Officer and President at Ferrellgas, Inc., a General Partner of Ferrellgas Partners LP, Ferrellgas Partners Finance Corp., and Ferrellgas Finance Corp., since October 5, 2000. Mr.Ferrell served as Ferrellgas, Inc.'s Chief Executive Officer until August 1998 and as President until October 1996. He has been the Chairman of the Board of Ferrellgas, Inc. and has been its Director of Ferrellgas Inc since 1984. He has been with Ferrell Companies or its predecessors and its affiliates in various executive capacities since 1965. An active member of the retail propane industry, Mr. Ferrell served as President of the World LP Gas Association and as Chairman of the Propane Vehicle Council.
Jim's compensation has increased whilst company is loss making.
Jim's remuneration is higher than average for companies of similar size in Germany.
Management Team Tenure
Average tenure and age of the
management team in years:
The tenure for the Ferrellgas Partners management team is about average.
Thomas Van Buren
Executive Vice President of Ferrell North America & Midstream - Ferrellgas Inc
Chief Financial Officer of Ferrellgas Inc.
Chief Operating Officer of Ferrellgas Inc.
Vice President of Environmental Safety & Regulatory Compliance - Ferrellgas Inc
Vice President of Legal & Corporate Secretary
Vice President of Human Resources
Senior Vice President of Logistics and Safety - Bridger Logistics
Senior Vice President of Business Development - Bridger Logistics
Senior Vice President of Ferrellgas Inc
Board of Directors Tenure
Average tenure and age of the
board of directors in years:
The average tenure for the Ferrellgas Partners board of directors is over 10 years, this suggests they are a seasoned and experienced board.
Ferrellgas Partners, L.P. distributes and sells propane and related equipment and supplies. The company transports propane to propane distribution locations, tanks on customers’ premises, or to portable propane tanks delivered to retailers. It conducts its portable tank exchange operations under the Blue Rhino brand name through a network of independent and partnership-owned distribution outlets. The company’s propane is primarily used for space heating, water heating, cooking, outdoor cooking using gas grills, crop drying, irrigation, weed control, and other propane fueled appliances; as an engine fuel for combustion engine vehicles and forklifts; and as a heating or energy source in manufacturing and drying processes. It serves residential, industrial/commercial, portable tank exchange, agricultural, wholesale, and other customers in the United States, the District of Columbia, and Puerto Rico. As of July 31, 2018, it operated 72 service centers and 859 propane distribution locations. The company is also involved in the sale of refined fuels; provision of common carrier services; and retail sale of propane appliances and related parts and fittings, as well as other retail propane related services and consumer products. Ferrellgas Partners, L.P. was founded in 1939 and is headquartered in Overland Park, Kansas.
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