AIM:ELA

Stock Analysis Report

Executive Summary

Eland Oil & Gas PLC, together with its subsidiaries, engages in development, exploration, and production of oil and gas properties in West Africa.

Snowflake

Fundamentals

Outstanding track record with excellent balance sheet.

Share Price & News

How has Eland Oil & Gas's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

5.9%

AIM:ELA

-0.1%

GB Oil and Gas

1.6%

GB Market


1 Year Return

10.3%

AIM:ELA

-2.1%

GB Oil and Gas

0.3%

GB Market

ELA outperformed the Oil and Gas industry which returned -2.1% over the past year.

ELA outperformed the Market in United Kingdom of Great Britain and Northern Ireland which returned 0.3% over the past year.


Share holder returns

ELAIndustryMarket
7 Day5.9%-0.1%1.6%
30 Day10.7%4.0%5.7%
90 Day9.4%-3.4%1.3%
1 Year10.3%10.3%2.6%-2.1%5.1%0.3%
3 Year326.9%326.9%43.0%26.0%23.7%9.0%
5 Year25.2%25.2%15.8%-4.0%29.9%2.5%

Price Volatility Vs. Market

How volatile is Eland Oil & Gas's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Eland Oil & Gas 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

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

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


Price Based on Earnings

Eland Oil & Gas is good value based on earnings compared to the GB Oil and Gas industry average.

Eland Oil & Gas is good value based on earnings compared to the United Kingdom of Great Britain and Northern Ireland market.


Price Based on Expected Growth

Eland Oil & Gas earnings are not expected to grow next year, we can't assess if its growth is good value.


Price Based on Value of Assets

Eland Oil & Gas is overvalued based on assets compared to the GB Oil and Gas industry average.


Next Steps

Future Growth

How is Eland Oil & Gas expected to perform in the next 1 to 3 years based on estimates from 7 analysts?

-1.2%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Eland Oil & Gas's revenue is expected to grow by 16.5% yearly, however this is not considered high growth (20% yearly).

Eland Oil & Gas's earnings are expected to decrease over the next 1-3 years, this is not considered high growth.

Eland Oil & Gas's revenue growth is expected to exceed the United Kingdom of Great Britain and Northern Ireland market average.

Eland Oil & Gas's earnings are expected to decrease over the next 1-3 years, this is below the United Kingdom of Great Britain and Northern Ireland market average.

Eland Oil & Gas's earnings are expected to decrease over the next 1-3 years, this is below the low risk savings rate of 1.2%.


Earnings per Share Growth Estimates


Future Return on Equity

Unable to establish if Eland Oil & Gas will efficiently use shareholders’ funds in the future without estimates of Return on Equity.


Next Steps

Past Performance

How has Eland Oil & Gas performed over the past 5 years?

37.5%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Eland Oil & Gas has delivered over 20% year on year earnings growth in the past 5 years.

Eland Oil & Gas's 1-year earnings growth exceeds its 5-year average (219.4% vs 37.5%)

Eland Oil & Gas's earnings growth has exceeded the GB Oil and Gas industry average in the past year (219.4% vs 84.6%).


Return on Equity

Eland Oil & Gas has efficiently used shareholders’ funds last year (Return on Equity greater than 20%).


Return on Assets

Eland Oil & Gas used its assets more efficiently than the GB Oil and Gas industry average last year based on Return on Assets.


Return on Capital Employed

Eland Oil & Gas 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).


Next Steps

Financial Health

How is Eland Oil & Gas's financial position?


Financial Position Analysis

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

Eland Oil & Gas's cash and other short term assets cover its long term commitments.


Debt to Equity History and Analysis

Eland Oil & Gas's level of debt (18.2%) compared to net worth is satisfactory (less than 40%).

Unable to establish if Eland Oil & Gas's debt level has increased without past 5-year debt data.

Debt is well covered by operating cash flow (92%, greater than 20% of total debt).

Interest payments on debt are well covered by earnings (EBIT is 15.7x coverage).


Balance Sheet

High level of physical assets or inventory.

Debt is covered by short term assets, assets are 2.1x debt.


Next Steps

Dividend

What is Eland Oil & Gas's current dividend yield, its reliability and sustainability?

2.40%

Expected Dividend Yield


Dividend Yield and Payments Analysis

Eland Oil & Gas's pays a lower dividend yield than the bottom 25% of dividend payers in United Kingdom of Great Britain and Northern Ireland (1.99%).

Eland Oil & Gas's dividend is below the markets top 25% of dividend payers in United Kingdom of Great Britain and Northern Ireland (5.48%).

It is too early to tell whether Eland Oil & Gas has stable dividend payments.

Eland Oil & Gas only just started paying a dividend, it is too early to tell if payments are increasing.


Current Payout to Shareholders

Dividends paid are thoroughly covered by earnings (25x coverage).


Future Payout to Shareholders

Dividends after 3 years are expected to be thoroughly covered by earnings (11.3x coverage).


Next Steps

Management

What is the CEO of Eland Oil & Gas's salary, the management and board of directors tenure and is there insider trading?

2.1yrs

Average management tenure


CEO

George Walter Maxwell (53yo)

5yrs

Tenure

US$937,000

Compensation

Mr. George Walter Mitchell Maxwell is the Founder of Eland Oil & Gas PLC and has been its Chief Executive Officer since September 8, 2014 and served as its Chief Financial Officer since September 28, 2009. ...


CEO Compensation Analysis

George Walter's remuneration is higher than average for companies of similar size in United Kingdom of Great Britain and Northern Ireland.

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


Management Age and Tenure

2.1yrs

Average Tenure

The tenure for the Eland Oil & Gas management team is about average.


Board Age and Tenure

3.2yrs

Average Tenure

59yo

Average Age

The tenure for the Eland Oil & Gas board of directors is about average.


Insider Trading

More shares have been bought than sold by Eland Oil & Gas individual insiders in the past 3 months, but not in substantial volumes.


Recent Insider Transactions

BuyUS$10,00025 Jun 19
George Walter Maxwell
EntityIndividual
Role
Chief Executive Officer
Founder
Shares8,345
Max PriceUS$1.20
BuyUS$19,11921 Nov 18
Ronald Bain
EntityIndividual
Role
Member of the Board of Directors
CFO & Executive Director
Shares17,500
Max PriceUS$1.09
SellUS$92,38629 Oct 18
Lombard Odier Asset Management (Europe) Limited
EntityCompany
Shares9,623,702
Max PriceUS$0.0096
BuyUS$92,38629 Oct 18
Lombard Odier Asset Management (Europe) Limited
EntityCompany
Shares9,623,702
Max PriceUS$0.0096

Ownership Breakdown


Management Team

  • John Downey

    Exploration Director

    • Tenure: 0.5yrs
  • Yannis Korakakis

    Chief Operating Officer

    • Tenure: 1.2yrs
  • Adebayo Ayorinde

    Managing Director of Nigeria

    • Tenure: 3.6yrs
  • Ruy Serra

    Consultant

    • Tenure: 2.2yrs
  • George Walter Maxwell (53yo)

    Founder

    • Tenure: 5yrs
    • Compensation: US$937.00k
  • Les Blair (66yo)

    • Tenure: 0yrs
  • Ewan Neilson

    Secretary

    • Tenure: 0yrs
  • Michael Cameron

    Head of Finance

    • Tenure: 0yrs
  • Ron Bain

    CFO & Executive Director

    • Tenure: 2.1yrs
    • Compensation: US$473.00k

Board Members

  • Nicholas Gay (63yo)

    Non-Executive Director

    • Tenure: 1.3yrs
    • Compensation: US$25.00k
  • Brian O'Cathain (59yo)

    Non-Executive Director

    • Tenure: 1.9yrs
    • Compensation: US$47.00k
  • Henry Obi (56yo)

    Non-Executive Director

    • Tenure: 3.2yrs
    • Compensation: US$49.00k
  • Russell Harvey (67yo)

    Non-Executive Chairman

    • Tenure: 3.8yrs
    • Compensation: US$130.00k
  • George Walter Maxwell (53yo)

    Founder

    • Tenure: 5yrs
    • Compensation: US$937.00k
  • Grégory Stoupnitzky (63yo)

    Senior Independent Non-executive Director

    • Tenure: 0yrs
    • Compensation: US$49.00k
  • Henry Arthur Turcan (45yo)

    Non-Executive Director

    • Tenure: 4.7yrs
    • Compensation: US$51.00k
  • Ron Bain

    CFO & Executive Director

    • Tenure: 2.1yrs
    • Compensation: US$473.00k

Company Information

Eland Oil & Gas PLC's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Eland Oil & Gas PLC
  • Ticker: ELA
  • Exchange: AIM
  • Founded: 2009
  • Industry: Oil and Gas Exploration and Production
  • Sector: Energy
  • Market Cap: UK£280.826m
  • Shares outstanding: 215.69m
  • Website: https://www.elandoilandgas.com

Number of Employees


Location

  • Eland Oil & Gas PLC
  • Seabrokers House
  • Prospect Road
  • Aberdeen
  • Aberdeenshire
  • AB32 6FE
  • United Kingdom

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
ELAAIM (London Stock Exchange AIM Market)YesOrdinary SharesGBGBPSep 2012

Biography

Eland Oil & Gas PLC, together with its subsidiaries, engages in development, exploration, and production of oil and gas properties in West Africa. The company primarily holds interests in the OML 40 licens ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/09/14 22:09
End of Day Share Price2019/09/13 00:00
Earnings2019/06/30
Annual Earnings2018/12/31


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.