AIM:PMG

Stock Analysis Report

Executive Summary

The Parkmead Group plc, an independent oil and gas company, engages in the exploration and production of oil and gas properties in Europe, North America, and internationally.


Snowflake Analysis

Flawless balance sheet and overvalued.


Similar Companies

Share Price & News

How has Parkmead Group's share price performed over time and what events caused price changes?


Latest Share Price and Events

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


Market Performance


7 Day Return

9.7%

PMG

15.3%

GB Oil and Gas

6.2%

GB Market


1 Year Return

-57.0%

PMG

-42.8%

GB Oil and Gas

-22.7%

GB Market

Return vs Industry: PMG underperformed the UK Oil and Gas industry which returned -42.8% over the past year.

Return vs Market: PMG underperformed the UK Market which returned -22.7% over the past year.


Shareholder returns

PMGIndustryMarket
7 Day9.7%15.3%6.2%
30 Day-29.7%-27.2%-17.8%
90 Day-46.4%-41.9%-27.7%
1 Year-57.0%-57.0%-39.8%-42.8%-18.6%-22.7%
3 Year-45.6%-45.6%-21.8%-31.7%-13.4%-24.6%
5 Year-76.5%-76.5%-4.1%-24.0%1.3%-22.0%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Parkmead Group undervalued compared to its fair value and its price relative to the market?

0.38x

Price to Book (PB) ratio


Share Price vs. Fair Value

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

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


Price To Earnings Ratio

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

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


Price to Book Ratio

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


Next Steps

Future Growth

How is Parkmead Group forecast to perform in the next 1 to 3 years based on estimates from 1 analyst?

-9.8%

Forecasted annual revenue growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: Insufficient data to determine if PMG's forecast earnings growth is above the savings rate (0.5%).

Earnings vs Market: Insufficient data to determine if PMG's earnings are forecast to grow faster than the UK market

High Growth Earnings: Insufficient data to determine if earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: PMG's revenue is expected to decline over the next 3 years (-9.8% per year).

High Growth Revenue: PMG's revenue is forecast to decline over the next 3 years (-9.8% per year).


Earnings per Share Growth Forecasts


Future Return on Equity

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


Next Steps

Past Performance

How has Parkmead Group performed over the past 5 years?

56.1%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: PMG is currently unprofitable.

Growing Profit Margin: PMG is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: PMG is unprofitable, but has reduced losses over the past 5 years at a rate of 56.1% per year.

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

Earnings vs Industry: PMG is unprofitable, making it difficult to compare its past year earnings growth to the Oil and Gas industry (38.2%).


Return on Equity

High ROE: PMG has a negative Return on Equity (-2.15%), as it is currently unprofitable.


Next Steps

Financial Health

How is Parkmead Group's financial position?


Financial Position Analysis

Short Term Liabilities: PMG's short term assets (£27.6M) exceed its short term liabilities (£5.0M).

Long Term Liabilities: PMG's short term assets (£27.6M) exceed its long term liabilities (£13.7M).


Debt to Equity History and Analysis

Debt Level: PMG's debt to equity ratio (5.1%) is considered satisfactory.

Reducing Debt: PMG's debt to equity ratio has reduced from 5.6% to 5.1% over the past 5 years.


Balance Sheet

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

Debt Coverage by Assets: PMG's debt is covered by short term assets (assets are 7.7x debt).


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: PMG has sufficient cash runway for more than 3 years based on its current free cash flow.

Forecast Cash Runway: PMG has sufficient cash runway for more than 3 years if free cash flow continues to grow at historical rates of 28.6% each year


Next Steps

Dividend

What is Parkmead Group's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

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

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

Growing Dividend: Insufficient data to determine if PMG'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 PMG'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?

4.4yrs

Average management tenure


CEO

Tom Cross

8.42s

Tenure

UK£509,000

Compensation

Mr. Thomas P. Cross, also known as Tom, serves as an Executive Chairman and Chief Executive Officer at The Parkmead Group, Investment Arm. Mr. Cross has been the Executive Chairman of The Parkmead Group Pl ...


CEO Compensation Analysis

Compensation vs Market: Tom's total compensation ($USD631.80K) is above average for companies of similar size in the UK market ($USD332.86K).

Compensation vs Earnings: Tom's compensation has been consistent with company performance over the past year.


Leadership Team

NamePositionTenureCompensationOwnership
Thomas Cross
Executive Chairman & CEO8.42yrsUK£509.00k24.1% £6.7m
Ryan Stroulger
Finance Director7.25yrsUK£103.00k0.15% £40.4k
Tim Coxe
Managing Director of North Sea0.33yrno datano data
Donald Wilson
Financial Controller0.33yrno datano data
Brian D. Wilson
9.25yrsno datano data

4.4yrs

Average Tenure

Experienced Management: PMG's management team is considered experienced (4.4 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Thomas Cross
Executive Chairman & CEO8.42yrsUK£509.00k24.1% £6.7m
Ryan Stroulger
Finance Director7.25yrsUK£103.00k0.15% £40.4k
David Bamford
Member of Advisory Board11.83yrsno datano data
Philip Dayer
Non-Executive Director9.25yrsUK£20.00k0.13% £36.6k
Peter Davies
Member of Advisory Board11.83yrsno datano data
David Rawlinson
Non-Executive Director9.25yrsUK£20.00k0.098% £27.1k

9.3yrs

Average Tenure

64.5yo

Average Age

Experienced Board: PMG's board of directors are considered experienced (9.3 years average tenure).


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 diluted in the past year, with total shares outstanding growing by 2.6%.


Top Shareholders

Company Information

The Parkmead Group Plc's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: The Parkmead Group Plc
  • Ticker: PMG
  • Exchange: AIM
  • Founded: 2000
  • Industry: Oil and Gas Exploration and Production
  • Sector: Energy
  • Market Cap: UK£27.632m
  • Shares outstanding: 108.57m
  • Website: https://www.parkmeadgroup.com

Number of Employees


Location

  • The Parkmead Group Plc
  • 4 Queen’s Terrace
  • Aberdeen
  • Aberdeenshire
  • AB10 1XL
  • United Kingdom

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
PMGAIM (London Stock Exchange AIM Market)YesOrdinary SharesGBGBPMar 2000
LYK1DB (Deutsche Boerse AG)YesOrdinary SharesDEEURMar 2000

Biography

The Parkmead Group plc, an independent oil and gas company, engages in the exploration and production of oil and gas properties in Europe, North America, and internationally. It operates in two segments, Oil and Gas Exploration and Production, and Energy Economics. The company produces gas from a portfolio of 4 fields across the Netherlands; and holds oil and gas interests in 28 exploration and production blocks under license. t also provides energy sector economics, valuation, and benchmarking services, as well as advises on energy policies and fiscal matters, and undertakes economic evaluations; and benchmarking and training services. The company was incorporated in 2000 and is headquartered in Aberdeen, the United Kingdom. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/03/30 20:44
End of Day Share Price2020/03/30 00:00
Earnings2019/12/31
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.