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

Solid 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

-1.0%

ELA

1.7%

GB Oil and Gas

0.08%

GB Market


1 Year Return

59.0%

ELA

-0.7%

GB Oil and Gas

3.5%

GB Market

Return vs Industry: ELA exceeded the UK Oil and Gas industry which returned -0.7% over the past year.

Return vs Market: ELA exceeded the UK Market which returned 3.5% over the past year.


Shareholder returns

ELAIndustryMarket
7 Day-1.0%1.7%0.08%
30 Day25.4%-2.1%-1.3%
90 Day34.7%-2.9%-2.2%
1 Year60.0%59.0%4.3%-0.7%9.0%3.5%
3 Year279.2%276.9%32.8%15.3%18.1%3.1%
5 Year83.2%82.1%34.1%9.1%36.2%5.3%

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 compared to its fair value and its price relative to the market?

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: ELA (£1.63) is trading below our estimate of fair value (£8.8)

Significantly Below Fair Value: ELA is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: ELA is good value based on its PE Ratio (6.6x) compared to the Oil and Gas industry average (7.3x).

PE vs Market: ELA is good value based on its PE Ratio (6.6x) compared to the UK market (16.7x).


Price to Earnings Growth Ratio

PEG Ratio: ELA's earnings are forecast to decline next year, so we can't calculate its PEG ratio.


Price to Book Ratio

PB vs Industry: ELA is overvalued based on its PB Ratio (1.1x) compared to the GB Oil and Gas industry average (0.8x).


Next Steps

Future Growth

How is Eland Oil & Gas forecast to perform in the next 1 to 3 years based on estimates from 4 analysts?

-1.2%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: ELA's earnings are forecast to decline over the next 3 years (-1.2% per year).

Earnings vs Market: ELA's earnings are forecast to decline over the next 3 years (-1.2% per year).

High Growth Earnings: ELA's earnings are forecast to decline over the next 3 years.

Revenue vs Market: ELA's revenue (26.9% per year) is forecast to grow faster than the UK market (4% per year).

High Growth Revenue: ELA's revenue (26.9% per year) is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: Insufficient data to determine if ELA's Return on Equity is forecast to be high in 3 years time


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

Earnings Trend: ELA's earnings have grown significantly by 37.5% per year over the past 5 years.

Accelerating Growth: ELA's earnings growth over the past year (219.4%) exceeds its 5-year average (37.5% per year).

Earnings vs Industry: ELA earnings growth over the past year (219.4%) exceeded the Oil and Gas industry 29.4%.


Return on Equity

High ROE: ELA's Return on Equity (39.5%) is considered high.


Return on Assets

ROA vs Industry: ELA has a higher Return on Assets than the Oil and Gas industry average last year.


Return on Capital Employed

ROCE Improving: ELA's Return on Capital Employed has declined over the past 3 years.


Next Steps

Financial Health

How is Eland Oil & Gas's financial position?


Financial Position Analysis

Short Term Liabilities: ELA's short term assets ($130.0M) exceeds its short term liabilities ($129.7M)

Long Term Liabilities: ELA's short term assets (130.0M) exceeds its long term liabilities (75.2M)


Debt to Equity History and Analysis

Debt Level: ELA's debt to equity ratio (18.2%) is considered satisfactory

Reducing Debt: Insufficient data to determine if ELA's debt to equity ratio has reduced over the past 5 years.

Debt Coverage: ELA's debt is well covered by operating cash flow (92%).

Interest Coverage: ELA's interest payments on its debt are well covered by EBIT (15.7x coverage).


Balance Sheet

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

Debt Coverage by Assets: ELA's 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?

1.16%

Current Dividend Yield


Dividend Yield vs Market

company1.2%marketbottom25%2.0%markettop25%5.4%industryaverage5.3%forecastin3Years1.4%

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: ELA's dividend (1.16%) isn’t notable compared to the bottom 25% of dividend payers in the UK market (1.98%).

High Dividend: ELA's dividend (1.16%) is low compared to the top 25% of dividend payers in the UK market (5.37%).

Stable Dividend: Too early to tell whether ELA's dividend payments have been stable as they only just started paying a dividend.

Growing Dividend: Too early to tell if ELA's dividend payments are increasing as they only just started paying a dividend.


Current Payout to Shareholders

Dividend Coverage: With its low payout ratio (4%), ELA's dividend payments are thoroughly covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: ELA's dividends in 3 years are forecast to be thoroughly covered by earnings (9.9% payout ratio).


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?

2.2yrs

Average management tenure


CEO

George Walter Maxwell (53yo)

5.1yrs

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

Compensation vs. Market: George Walter's total compensation ($USD1.21M) is about average for companies of similar size in the UK market ($USD886.64K).

Compensation vs Earnings: George Walter's compensation has increased by more than 20% in the past year.


Management Age and Tenure

2.2yrs

Average Tenure

Experienced Management: ELA's management team is considered experienced (2.2 years average tenure).


Board Age and Tenure

3.3yrs

Average Tenure

59yo

Average Age

Experienced Board: ELA's board of directors are considered experienced (3.3 years average tenure).


Insider Trading

Insider Buying: ELA insiders have only sold shares in the past 3 months.


Recent Insider Transactions

SellUS$439,75218 Oct 19
Nomura Holdings Inc, Securities & Investment Arm
EntityCompany
Shares268,387
Max PriceUS$1.64
BuyUS$2,076,83118 Oct 19
Nomura Holdings Inc, Securities & Investment Arm
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Shares1,269,259
Max PriceUS$1.64
SellUS$3,683,92618 Oct 19
Societe Generale Group, Banking Investments
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Shares2,250,000
Max PriceUS$1.64
BuyUS$4,774,68518 Oct 19
Societe Generale Group, Banking Investments
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Shares2,913,600
Max PriceUS$1.64
SellUS$986,85717 Oct 19
Nomura Holdings Inc, Securities & Investment Arm
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Shares599,916
Max PriceUS$1.65
BuyUS$2,628,48317 Oct 19
Nomura Holdings Inc, Securities & Investment Arm
EntityCompany
Shares1,597,573
Max PriceUS$1.65
BuyUS$1,266,46117 Oct 19
Societe Generale Group, Banking Investments
EntityCompany
Shares770,000
Max PriceUS$1.65
SellUS$328,25416 Oct 19
Richard Griffiths
EntityIndividual
Shares199,911
Max PriceUS$1.64
SellUS$970,16216 Oct 19
BlackRock, Inc.
EntityCompany
Shares591,995
Max PriceUS$1.64
BuyUS$2,643,50916 Oct 19
Lombard Odier Asset Management (Europe) Limited
EntityCompany
Shares1,610,913
Max PriceUS$1.64
SellUS$6,523,91316 Oct 19
Societe Generale Group, Banking Investments
EntityCompany
Shares3,973,411
Max PriceUS$1.65
BuyUS$2,330,69016 Oct 19
Societe Generale Group, Banking Investments
EntityCompany
Shares1,420,000
Max PriceUS$1.64
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: 0.6yrs
  • Yannis Korakakis

    Chief Operating Officer

    • Tenure: 1.3yrs
  • Adebayo Ayorinde

    Managing Director of Nigeria

    • Tenure: 3.7yrs
  • Ruy Serra

    Consultant

    • Tenure: 2.3yrs
  • George Walter Maxwell (53yo)

    Founder

    • Tenure: 5.1yrs
    • 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: 2.2yrs
    • 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: 2yrs
    • Compensation: US$47.00k
  • Henry Obi (56yo)

    Non-Executive Director

    • Tenure: 3.3yrs
    • Compensation: US$49.00k
  • Russell Harvey (67yo)

    Non-Executive Chairman

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

    Founder

    • Tenure: 5.1yrs
    • 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: 4.8yrs
    • Compensation: US$51.00k
  • Ron Bain

    CFO & Executive Director

    • Tenure: 2.2yrs
    • 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£351.415m
  • Shares outstanding: 215.59m
  • 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 Analysis2019/10/23 21:21
End of Day Share Price2019/10/23 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.