Cairn Energy
Market Cap
UK£934.7m
Last Updated
2021/01/19 18:52 UTC
Data Sources
Company Financials +
Executive Summary
Cairn Energy PLC operates as an independent oil and gas exploration, development, and production company. More Details
Rewards
Risk Analysis
No risks detected for CNE from our risk checks.
Snowflake Analysis
Excellent balance sheet with reasonable growth potential.
Similar Companies
Share Price & News
How has Cairn Energy's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: CNE is not significantly more volatile than the rest of UK stocks over the past 3 months, typically moving +/- 9% a week.
Volatility Over Time: CNE's weekly volatility (9%) has been stable over the past year.
Market Performance
7 Day Return
-4.5%
CNE
1.3%
GB Oil and Gas
-0.1%
GB Market
1 Year Return
-0.9%
CNE
-24.1%
GB Oil and Gas
-8.1%
GB Market
Return vs Industry: CNE exceeded the UK Oil and Gas industry which returned -24.1% over the past year.
Return vs Market: CNE exceeded the UK Market which returned -8.1% over the past year.
Shareholder returns
| CNE | Industry | Market | |
|---|---|---|---|
| 7 Day | -4.5% | 1.3% | -0.1% |
| 30 Day | 14.7% | 12.4% | 3.7% |
| 90 Day | 35.5% | 42.6% | 16.2% |
| 1 Year | 17.2%-0.9% | -19.9%-24.1% | -4.3%-8.1% |
| 3 Year | 6.7%-9.8% | -2.7%-16.2% | 3.8%-8.9% |
| 5 Year | 64.6%39.1% | 65.5%29.0% | 46.9%13.6% |
Long-Term Price Volatility Vs. Market
How volatile is Cairn Energy's share price compared to the market and industry in the last 5 years?
Simply Wall St News
1 month ago | Simply Wall St
How Much Did Cairn Energy's(LON:CNE) Shareholders Earn From Share Price Movements Over The Last Three Years?3 months ago | Simply Wall St
Here's What We Learned About The CEO Pay At Cairn Energy PLC (LON:CNE)4 months ago | Simply Wall St
Cairn Energy's (LON:CNE) Stock Price Has Reduced19% In The Past Three YearsValuation
Is Cairn Energy 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: CNE (£1.9) is trading below our estimate of fair value (£22.87)
Significantly Below Fair Value: CNE is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: CNE is unprofitable, so we can't compare its PE Ratio to the GB Oil and Gas industry average.
PE vs Market: CNE 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 CNE's PEG Ratio to determine if it is good value.
Price to Book Ratio
PB vs Industry: CNE is overvalued based on its PB Ratio (1.3x) compared to the GB Oil and Gas industry average (1x).
Next Steps
Future Growth
How is Cairn Energy forecast to perform in the next 1 to 3 years based on estimates from 11 analysts?
66.9%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: CNE is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (1%).
Earnings vs Market: CNE is forecast to become profitable over the next 3 years, which is considered above average market growth.
High Growth Earnings: CNE's is expected to become profitable in the next 3 years.
Revenue vs Market: CNE's revenue (10.4% per year) is forecast to grow faster than the UK market (6.5% per year).
High Growth Revenue: CNE's revenue (10.4% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: CNE is forecast to be unprofitable in 3 years.
Next Steps
Past Performance
How has Cairn Energy performed over the past 5 years?
2.5%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: CNE is currently unprofitable.
Growing Profit Margin: CNE is currently unprofitable.
Past Earnings Growth Analysis
Earnings Trend: CNE is unprofitable, but has reduced losses over the past 5 years at a rate of 2.5% per year.
Accelerating Growth: Unable to compare CNE's earnings growth over the past year to its 5-year average as it is currently unprofitable
Earnings vs Industry: CNE is unprofitable, making it difficult to compare its past year earnings growth to the Oil and Gas industry (-55.7%).
Return on Equity
High ROE: CNE has a negative Return on Equity (-20.02%), as it is currently unprofitable.
Next Steps
Financial Health
How is Cairn Energy's financial position?
Financial Position Analysis
Short Term Liabilities: CNE's short term assets ($228.8M) exceed its short term liabilities ($164.1M).
Long Term Liabilities: CNE's short term assets ($228.8M) do not cover its long term liabilities ($379.1M).
Debt to Equity History and Analysis
Debt Level: CNE is debt free.
Reducing Debt: CNE had no debt 5 years ago.
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: CNE has sufficient cash runway for more than a year based on its current free cash flow.
Forecast Cash Runway: CNE has sufficient cash runway for 2.3 years if free cash flow continues to grow at historical rates of 32.2% each year.
Next Steps
Dividend
What is Cairn Energy current dividend yield, its reliability and sustainability?
6.68%
Forecast Dividend Yield
Dividend Yield vs Market
Notable Dividend: Unable to evaluate CNE's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.
High Dividend: Unable to evaluate CNE's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.
Stability and Growth of Payments
Stable Dividend: Insufficient data to determine if CNE's dividends per share have been stable in the past.
Growing Dividend: Insufficient data to determine if CNE'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 CNE'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?
8.0yrs
Average management tenure
CEO
Simon Thomson (55 yo)
9.5yrs
Tenure
US$1,554,374
Compensation
Mr. Simon John Thomson has been the Chief Executive Officer of Cairn Energy Plc (Holding Company of Agora Oil and Gas AS) since July 1, 2011. Mr. Thomson serves as Chief Executive Officer of Cairn Energy p...
CEO Compensation Analysis
Compensation vs Market: Simon's total compensation ($USD1.55M) is about average for companies of similar size in the UK market ($USD1.76M).
Compensation vs Earnings: Simon's compensation has been consistent with company performance over the past year.
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| CEO & Executive Director | 9.5yrs | US$1.55m | 0.27% $ 2.6m | |
| CFO & Executive Director | 6.67yrs | US$1.03m | 0.11% $ 1.0m | |
| Chief Operating Officer | 8yrs | no data | 0.13% $ 1.2m | |
| Head of Group Corporate Affairs | no data | no data | 0.023% $ 213.9k | |
| Group Company Secretary | 0.083yr | no data | no data | |
| Director of Exploration | 13.75yrs | no data | 0.0096% $ 89.8k |
8.0yrs
Average Tenure
Experienced Management: CNE's management team is seasoned and experienced (8 years average tenure).
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| CEO & Executive Director | 9.5yrs | US$1.55m | 0.27% $ 2.6m | |
| CFO & Executive Director | 6.67yrs | US$1.03m | 0.11% $ 1.0m | |
| Independent Non-Executive Director | 5.67yrs | US$113.24k | no data | |
| Independent Non-Executive Director | 0.67yr | no data | no data | |
| Independent Non Executive Director | 1.5yrs | US$50.00k | no data | |
| Independent Non-Executive Chairwoman | no data | US$113.24k | no data | |
| Independent Non-Executive Director | 1.5yrs | US$50.00k | no data | |
| Independent Non-Executive Director | 5.33yrs | US$99.99k | 0.0022% $ 20.8k |
5.3yrs
Average Tenure
56yo
Average Age
Experienced Board: CNE's board of directors are considered experienced (5.3 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.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Top Shareholders
Company Information
Cairn Energy PLC's company bio, employee growth, exchange listings and data sources
Key Information
- Name: Cairn Energy PLC
- Ticker: CNE
- Exchange: LSE
- Founded: 2002
- Industry: Oil and Gas Exploration and Production
- Sector: Energy
- Market Cap: UK£934.725m
- Shares outstanding: 492.22m
- Website: https://www.cairnenergy.com
Number of Employees
Location
- Cairn Energy PLC
- 50 Lothian Road
- Edinburgh
- EH3 9BY
- United Kingdom
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| CRNZ.F | OTCPK (Pink Sheets LLC) | Yes | Ordinary Shares | US | USD | Jan 1992 |
| CNE | LSE (London Stock Exchange) | Yes | Ordinary Shares | GB | GBP | Jan 1992 |
| FKGD | DB (Deutsche Boerse AG) | Yes | Ordinary Shares | DE | EUR | Jan 1992 |
| FKGD | HMSE (Hamburg Stock Exchange) | Yes | Ordinary Shares | DE | EUR | Jan 1992 |
| CRNC.Y | OTCPK (Pink Sheets LLC) | ADR NEW | US | USD | Oct 2008 |
Biography
Cairn Energy PLC operates as an independent oil and gas exploration, development, and production company. It holds a portfolio of exploration, development, and production assets in the United Kingdom, Isra...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2021/01/19 18:52 |
| End of Day Share Price | 2021/01/19 00:00 |
| Earnings | 2020/06/30 |
| Annual Earnings | 2019/12/31 |
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.