AIM:I3E

Stock Analysis Report

Executive Summary

i3 Energy Plc, a holding company, engages in the identification, evaluation, acquisition, appraisal, development, and production of oil and gas assets in the United Kingdom.


Snowflake Analysis

Mediocre balance sheet and overvalued.

Share Price & News

How has i3 Energy's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: I3E's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

35.5%

I3E

6.6%

GB Oil and Gas

8.6%

GB Market


1 Year Return

-82.3%

I3E

-34.7%

GB Oil and Gas

-19.4%

GB Market

Return vs Industry: I3E underperformed the UK Oil and Gas industry which returned -36.5% over the past year.

Return vs Market: I3E underperformed the UK Market which returned -25.9% over the past year.


Shareholder returns

I3EIndustryMarket
7 Day35.5%6.6%8.6%
30 Day66.7%8.4%-3.5%
90 Day-43.1%-34.0%-23.0%
1 Year-82.3%-82.3%-31.3%-34.7%-15.5%-19.4%
3 Yearn/a-8.5%-20.0%-8.8%-19.9%
5 Yearn/a-2.3%-21.9%4.2%-19.0%

Price Volatility Vs. Market

How volatile is i3 Energy's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is i3 Energy undervalued compared to its fair value and its price relative to the market?

0.23x

Price to Book (PB) ratio


Share Price vs. Fair Value

Below Fair Value: Insufficient data to calculate I3E's fair value to establish if it is undervalued.

Significantly Below Fair Value: Insufficient data to calculate I3E's fair value to establish if it is undervalued.


Price To Earnings Ratio

PE vs Industry: I3E is unprofitable, so we can't compare its PE Ratio to the Oil and Gas industry average.

PE vs Market: I3E is unprofitable, so we can't compare its PE Ratio to the UK market.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate I3E's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: I3E is good value based on its PB Ratio (0.2x) compared to the GB Oil and Gas industry average (0.4x).


Next Steps

Future Growth

How is i3 Energy forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

16.3%

Forecasted Energy industry annual growth in earnings


In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as i3 Energy has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.

This is quite a rare situation as 97% of companies covered by SimplyWall St do have past financial data.


Next Steps

Past Performance

How has i3 Energy performed over the past 5 years?

-404.5%

Last years earnings growth


Earnings and Revenue History

Quality Earnings: I3E is currently unprofitable.

Growing Profit Margin: I3E is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: Insufficient data to determine if I3E's year-on-year earnings growth rate was positive over the past 5 years.

Accelerating Growth: Unable to compare I3E's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: I3E is unprofitable, making it difficult to compare its past year earnings growth to the Oil and Gas industry (47.5%).


Return on Equity

High ROE: I3E has a negative Return on Equity (-20.46%), as it is currently unprofitable.


Next Steps

Financial Health

How is i3 Energy's financial position?


Financial Position Analysis

Short Term Liabilities: I3E's short term assets (£33.4M) exceed its short term liabilities (£1.3M).

Long Term Liabilities: I3E's short term assets (£33.4M) exceed its long term liabilities (£10.8M).


Debt to Equity History and Analysis

Debt Level: I3E's debt to equity ratio (35.9%) is considered satisfactory.

Reducing Debt: Insufficient data to determine if I3E's debt to equity ratio has reduced over the past 5 years.


Balance Sheet


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: Insufficient data to determine if I3E has enough cash runway based on its current free cash flow.

Forecast Cash Runway: Insufficient data to determine if I3E has enough cash runway if its free cash flow continues to grow or shrink based on historical rates.


Next Steps

Dividend

What is i3 Energy's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

Notable Dividend: Unable to evaluate I3E's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.

High Dividend: Unable to evaluate I3E'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 I3E's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if I3E'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 I3E's dividend in 3 years as they are not forecast to pay a notable one for the UK market.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

1.5yrs

Average management tenure


CEO

Majid Shafiq (54yo)

1.5s

Tenure

UK£277,773

Compensation

Mr. Majid Shafiq has been Chief Executive Officer at i3 Energy Plc since October 8, 2018. Mr. Majid Shafiq serves Chief Executive Officer of Àrgentil Capital Partners since 2015. Mr. Shafiq has 29 years of ...


CEO Compensation Analysis

Compensation vs Market: Majid's total compensation ($USD340.11K) is about average for companies of similar size in the UK market ($USD335.89K).

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


Leadership Team

NamePositionTenureCompensationOwnership
Majid Shafiq
CEO & Executive Director1.5yrsUK£277.77k0.13% £10.4k
Graham Heath
CFO & Executive Director3.08yrsUK£168.21k6.33% £494.2k
John Woods
Chief Operating Officer1.5yrsno datano data
Sheri Barton
Manager Finance & Admin and Corporate Secretaryno datano datano data
Edward Eames
Head of Commercial1.5yrsno datano data

1.5yrs

Average Tenure

Experienced Management: I3E's management team is not considered experienced ( 1.5 years average tenure), which suggests a new team.


Board Members

NamePositionTenureCompensationOwnership
Majid Shafiq
CEO & Executive Director1.5yrsUK£277.77k0.13% £10.4k
Graham Heath
CFO & Executive Director3.08yrsUK£168.21k6.33% £494.2k
Neill Carson
Non-Executive Director3.08yrsUK£340.88k6.23% £486.6k
Richard Ames
Non-Executive Director2.75yrsUK£63.53k0.19% £14.8k
Linda Beal
Non-Executive Chairperson0.17yrno datano data

2.8yrs

Average Tenure

58yo

Average Age

Experienced Board: I3E's board of directors are not considered experienced ( 2.8 years average tenure), which suggests a new board.


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown

Dilution of Shares: Shareholders have been substantially diluted in the past year, with total shares outstanding growing by 103.6%.


Top Shareholders

Company Information

i3 Energy Plc's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: i3 Energy Plc
  • Ticker: I3E
  • Exchange: AIM
  • Founded: 2014
  • Industry: Oil and Gas Exploration and Production
  • Sector: Energy
  • Market Cap: UK£7.810m
  • Shares outstanding: 107.72m
  • Website: https://www.i3.energy

Number of Employees


Location

  • i3 Energy Plc
  • 11 Abercrombie Court
  • Prospect Road
  • Westhill
  • Aberdeenshire
  • AB32 6FE
  • United Kingdom

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
I3EAIM (London Stock Exchange AIM Market)YesNew Ordinary SharesGBGBPJul 2017
I32DB (Deutsche Boerse AG)YesNew Ordinary SharesDEEURJul 2017

Biography

i3 Energy Plc, a holding company, engages in the identification, evaluation, acquisition, appraisal, development, and production of oil and gas assets in the United Kingdom. It owns a 100% interest in the License P.1987, Blocks 13/23d and 13/23c of Liberator oil field located in the North Sea. The company was founded in 2014 and is headquartered in Westhill, the United Kingdom. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/04/10 02:38
End of Day Share Price2020/04/09 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.