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EnQuest

LSE:ENQ
Snowflake Description

Very undervalued with limited growth.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
ENQ
LSE
£344M
Market Cap
  1. Home
  2. GB
  3. Energy
Company description

EnQuest PLC operates as an oil and gas development and production company, explores for, extracts, and produces hydrocarbons in the United Kingdom, North Sea, and Malaysia. The last earnings update was 33 days ago. More info.


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  • EnQuest has significant price volatility in the past 3 months.
ENQ Share Price and Events
7 Day Returns
8.4%
LSE:ENQ
3.5%
GB Oil and Gas
1.3%
GB Market
1 Year Returns
-51.7%
LSE:ENQ
3.1%
GB Oil and Gas
-5%
GB Market
ENQ Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
EnQuest (ENQ) 8.4% -0.6% -0.3% -51.7% -38.9% -84.8%
GB Oil and Gas 3.5% -2.2% 4.6% 3.1% 47% -10.6%
GB Market 1.3% -1.6% 1.9% -5% 15.8% 2.5%
1 Year Return vs Industry and Market
  • ENQ underperformed the Oil and Gas industry which returned 3.1% over the past year.
  • ENQ underperformed the Market in United Kingdom of Great Britain and Northern Ireland which returned -5% over the past year.
Price Volatility
ENQ
Industry
5yr Volatility vs Market

Value

 Is EnQuest undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of EnQuest to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for EnQuest.

LSE:ENQ Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 5 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 14.5%
Perpetual Growth Rate 10-Year GB Government Bond Rate 1.2%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for LSE:ENQ
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year GB Govt Bond Rate 1.2%
Equity Risk Premium S&P Global 6.7%
Oil and Gas Unlevered Beta Simply Wall St/ S&P Global 0.92
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.915 (1 + (1- 19%) (626.35%))
4.054
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
2
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 1.23% + (2 * 6.65%)
14.53%

Discounted Cash Flow Calculation for LSE:ENQ using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for EnQuest is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.

LSE:ENQ DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (USD, Millions) Source Present Value
Discounted (@ 14.53%)
2019 177.00 Analyst x2 154.55
2020 346.50 Analyst x2 264.17
2021 514.00 Analyst x1 342.17
2022 406.00 Analyst x1 235.99
2023 340.72 Est @ -16.08% 172.93
2024 303.63 Est @ -10.89% 134.56
2025 281.61 Est @ -7.25% 108.97
2026 268.35 Est @ -4.71% 90.67
2027 260.50 Est @ -2.93% 76.85
2028 256.12 Est @ -1.68% 65.97
Present value of next 10 years cash flows $1,646.82
LSE:ENQ DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2028 × (1 + g) ÷ (Discount Rate – g)
= $256.12 × (1 + 1.23%) ÷ (14.53% – 1.23%)
$1,949.31
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= $1,949.31 ÷ (1 + 14.53%)10
$502.11
LSE:ENQ Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= $1,646.82 + $502.11
$2,148.93
Equity Value per Share
(USD)
= Total value / Shares Outstanding
= $2,148.93 / 1,621.23
$1.33
LSE:ENQ Discount to Share Price
Calculation Result
Exchange Rate USD/GBP
(Reporting currency to currency of LSE:ENQ)
0.785
Value per Share
(GBP)
= Value per Share in USD x Exchange Rate (USD/GBP)
= $1.33 x 0.785
£1.04
Value per share (GBP) From above. £1.04
Current discount Discount to share price of £0.21
= -1 x (£0.21 - £1.04) / £1.04
79.6%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

Current Discount
Amount off the current price EnQuest is available for.
Intrinsic value
>50%
Share price is £0.21 vs Future cash flow value of £1.04
Current Discount Checks
For EnQuest to be considered undervalued it must be available for at least 20% below the current price. Less than 40% is even better.
  • EnQuest's share price is below the future cash flow value, and at a moderate discount (> 20%).
  • EnQuest's share price is below the future cash flow value, and at a substantial discount (> 40%).
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for EnQuest's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are EnQuest's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
LSE:ENQ PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2018-12-31) in USD $0.10
LSE:ENQ Share Price ** LSE (2019-05-20) in GBP £0.21
LSE:ENQ Share Price converted to USD reporting currency Exchange rate (GBP/ USD) 1.273 $0.27
United Kingdom of Great Britain and Northern Ireland Oil and Gas Industry PE Ratio Median Figure of 32 Publicly-Listed Oil and Gas Companies 9.44x
United Kingdom of Great Britain and Northern Ireland Market PE Ratio Median Figure of 788 Publicly-Listed Companies 16.24x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of EnQuest.

LSE:ENQ PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= LSE:ENQ Share Price ÷ EPS (both in USD)

= 0.27 ÷ 0.10

2.61x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • EnQuest is good value based on earnings compared to the GB Oil and Gas industry average.
  • EnQuest is good value based on earnings compared to the United Kingdom of Great Britain and Northern Ireland market.
Price based on expected Growth
Does EnQuest's expected growth come at a high price?
Raw Data
LSE:ENQ PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 2.61x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 5 Analysts
15.1%per year
United Kingdom of Great Britain and Northern Ireland Oil and Gas Industry PEG Ratio Median Figure of 20 Publicly-Listed Oil and Gas Companies 0.7x
United Kingdom of Great Britain and Northern Ireland Market PEG Ratio Median Figure of 574 Publicly-Listed Companies 1.5x

*Line of best fit is calculated by linear regression .

LSE:ENQ PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 2.61x ÷ 15.1%

0.17x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • EnQuest is good value based on expected growth next year.
Price based on value of assets
What value do investors place on EnQuest's assets?
Raw Data
LSE:ENQ PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2018-12-31) in USD $0.61
LSE:ENQ Share Price * LSE (2019-05-20) in GBP £0.21
LSE:ENQ Share Price converted to USD reporting currency Exchange rate (GBP/ USD) 1.273 $0.27
United Kingdom of Great Britain and Northern Ireland Oil and Gas Industry PB Ratio Median Figure of 102 Publicly-Listed Oil and Gas Companies 0.85x
United Kingdom of Great Britain and Northern Ireland Market PB Ratio Median Figure of 1,368 Publicly-Listed Companies 1.51x
LSE:ENQ PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= LSE:ENQ Share Price ÷ Book Value per Share (both in USD)

= 0.27 ÷ 0.61

0.45x

* Primary Listing of EnQuest.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • EnQuest is good value based on assets compared to the GB Oil and Gas industry average.
X
Value checks
We assess EnQuest's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Oil and Gas industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Oil and Gas industry average (and greater than 0)? (1 check)
  5. EnQuest has a total score of 6/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

Future Performance

 How is EnQuest expected to perform in the next 1 to 3 years based on estimates from 5 analysts?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
15.1%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is EnQuest expected to grow at an attractive rate?
  • EnQuest's earnings growth is expected to exceed the low risk savings rate of 1.2%.
Growth vs Market Checks
  • EnQuest's earnings growth is expected to exceed the United Kingdom of Great Britain and Northern Ireland market average.
  • EnQuest's revenue growth is positive but not above the United Kingdom of Great Britain and Northern Ireland market average.
Annual Growth Rates Comparison
Raw Data
LSE:ENQ Future Growth Rates Data Sources
Data Point Source Value (per year)
LSE:ENQ Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 5 Analysts 15.1%
LSE:ENQ Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 5 Analysts 2.5%
United Kingdom of Great Britain and Northern Ireland Oil and Gas Industry Earnings Growth Rate Market Cap Weighted Average 11.9%
United Kingdom of Great Britain and Northern Ireland Oil and Gas Industry Revenue Growth Rate Market Cap Weighted Average 3.3%
United Kingdom of Great Britain and Northern Ireland Market Earnings Growth Rate Market Cap Weighted Average 10.8%
United Kingdom of Great Britain and Northern Ireland Market Revenue Growth Rate Market Cap Weighted Average 4.9%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
LSE:ENQ Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (4 months ago) See Below
Future Estimates Average of up to 5 Analyst Estimates (S&P Global) See Below
All numbers in USD Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
LSE:ENQ Future Estimates Data
Date (Data in USD Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2022-12-31
2021-12-31 1,360 670 189 3
2020-12-31 1,530 732 410 4
2019-12-31 1,494 528 220 5
LSE:ENQ Past Financials Data
Date (Data in USD Millions) Revenue Cash Flow Net Income *
2018-12-31 1,298 794 127
2018-09-30 1,067 642 40
2018-06-30 836 490 -47
2018-03-31 732 396 -54
2017-12-31 627 302 -61
2017-09-30 693 331 1
2017-06-30 758 360 63
2017-03-31 778 370 124
2016-12-31 798 379 185
2016-09-30 837 362 -261
2016-06-30 876 344 -707
2016-03-31 892 294 -733

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • EnQuest's earnings are expected to grow by 15.1% yearly, however this is not considered high growth (20% yearly).
  • EnQuest's revenue is expected to grow by 2.5% yearly, however this is not considered high growth (20% yearly).
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
LSE:ENQ Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (4 months ago) See Below
Future Estimates Average of up to 5 Analyst Estimates (S&P Global) See Below

All data from EnQuest Company Filings, last reported 4 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

LSE:ENQ Future Estimates Data
Date (Data in USD Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2022-12-31
2021-12-31 0.11 0.14 0.08 3.00
2020-12-31 0.08 0.11 0.06 4.00
2019-12-31 0.08 0.15 0.02 7.00
LSE:ENQ Past Financials Data
Date (Data in USD Millions) EPS *
2018-12-31 0.10
2018-09-30 0.02
2018-06-30 -0.04
2018-03-31 -0.05
2017-12-31 -0.05
2017-09-30 0.00
2017-06-30 0.06
2017-03-31 0.14
2016-12-31 0.23
2016-09-30 -0.33
2016-06-30 -0.91
2016-03-31 -0.95

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • EnQuest is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).
X
Future performance checks
We assess EnQuest's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the United Kingdom of Great Britain and Northern Ireland market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the United Kingdom of Great Britain and Northern Ireland market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
EnQuest has a total score of 2/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

Past Performance

  How has EnQuest performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare EnQuest's growth in the last year to its industry (Oil and Gas).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • EnQuest's year on year earnings growth rate has been positive over the past 5 years.
  • EnQuest has become profitable in the last year making the earnings growth rate difficult to compare to the 5-year average.
  • EnQuest has become profitable in the last year making it difficult to compare the GB Oil and Gas industry average.
Earnings and Revenue History
EnQuest's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from EnQuest Company Filings, last reported 4 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

LSE:ENQ Past Revenue, Cash Flow and Net Income Data
Date (Data in USD Millions) Revenue Net Income * G+A Expenses R&D Expenses
2018-12-31 1,298.44 127.28 4.02
2018-09-30 1,067.16 40.23 5.30
2018-06-30 835.88 -46.83 6.58
2018-03-31 731.67 -53.83 3.71
2017-12-31 627.45 -60.83 0.85
2017-09-30 692.87 1.21 3.79
2017-06-30 758.28 63.25 6.74
2017-03-31 778.20 124.23 8.81
2016-12-31 798.12 185.21 10.89
2016-09-30 837.13 -261.08 12.88
2016-06-30 876.14 -707.37 14.87
2016-03-31 892.33 -733.43 14.78
2015-12-31 908.51 -759.48 14.70
2015-09-30 924.02 -449.13 17.01
2015-06-30 939.52 -138.78 19.31
2015-03-31 984.01 -157.59 19.62
2014-12-31 1,028.50 -176.41 19.93
2014-09-30 1,015.74 -10.10 25.68
2014-06-30 1,002.98 156.21 31.44
2014-03-31 979.11 172.91 31.92
2013-12-31 955.25 189.60 32.40
2013-09-30 930.27 260.15 26.32
2013-06-30 905.29 330.69 20.24
2013-03-31 897.40 346.45 21.73
2012-12-31 889.51 362.22 23.22
2012-09-30 877.07 263.49 16.73
2012-06-30 864.64 164.76 10.24

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • EnQuest has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
  • EnQuest used its assets less efficiently than the GB Oil and Gas industry average last year based on Return on Assets.
  • EnQuest has significantly improved its use of capital last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess EnQuest's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Oil and Gas industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
EnQuest has a total score of 2/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

Health

 How is EnQuest's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up EnQuest's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • EnQuest's short term (1 year) commitments are greater than its holdings of cash and other short term assets.
  • EnQuest's long term commitments exceed its cash and other short term assets.
Balance sheet
This treemap shows a more detailed breakdown of EnQuest's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • High level of physical assets or inventory.
  • Debt is not covered by short term assets, assets are 0.2x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from EnQuest Company Filings, last reported 4 months ago.

LSE:ENQ Past Debt and Equity Data
Date (Data in USD Millions) Total Equity Total Debt Cash & Short Term Investments
2018-12-31 983.55 2,745.96 240.60
2018-09-30 983.55 2,745.96 240.60
2018-06-30 768.08 2,937.85 188.74
2018-03-31 768.08 2,937.85 188.74
2017-12-31 760.87 2,951.29 173.16
2017-09-30 760.87 2,951.29 173.16
2017-06-30 853.04 2,743.61 66.92
2017-03-31 853.04 2,743.61 66.92
2016-12-31 818.85 1,957.42 174.68
2016-09-30 818.85 1,957.42 174.68
2016-06-30 738.13 1,830.24 163.29
2016-03-31 738.13 1,830.24 163.29
2015-12-31 667.20 1,799.86 269.10
2015-09-30 667.20 1,799.86 269.10
2015-06-30 1,424.34 1,600.14 305.61
2015-03-31 1,424.34 1,600.14 305.61
2014-12-31 1,346.17 1,122.36 176.79
2014-09-30 1,346.17 1,122.36 176.79
2014-06-30 1,548.86 941.74 213.02
2014-03-31 1,548.86 941.74 213.02
2013-12-31 1,484.71 458.29 72.81
2013-09-30 1,484.71 458.29 72.81
2013-06-30 1,390.29 305.80 203.76
2013-03-31 1,390.29 305.80 203.76
2012-12-31 1,293.87 34.74 124.52
2012-09-30 1,293.87 34.74 124.52
2012-06-30 1,065.58 24.63 124.06
  • EnQuest's level of debt (279.2%) compared to net worth is high (greater than 40%).
  • The level of debt compared to net worth has increased over the past 5 years (31.2% vs 279.2% today).
  • Debt is well covered by operating cash flow (28.9%, greater than 20% of total debt).
  • Interest payments on debt are not well covered by earnings (EBIT is 1.6x annual interest expense, ideally 3x coverage).
X
Financial health checks
We assess EnQuest's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. EnQuest has a total score of 1/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

Dividends

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

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
0%
Current annual income from EnQuest dividends. Estimated to be 0% next year.
If you bought £2,000 of EnQuest shares you are expected to receive £0 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Unable to evaluate EnQuest's dividend yield against the bottom 25% of dividend payers as the company has not reported any payouts.
  • Unable to evaluate EnQuest's dividend against the top 25% market benchmark as the company has not reported any payouts.
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
LSE:ENQ Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 5 Analyst Estimates (S&P Global) See Below
United Kingdom of Great Britain and Northern Ireland Oil and Gas Industry Average Dividend Yield Market Cap Weighted Average of 13 Stocks 5.1%
United Kingdom of Great Britain and Northern Ireland Market Average Dividend Yield Market Cap Weighted Average of 705 Stocks 4.3%
United Kingdom of Great Britain and Northern Ireland Minimum Threshold Dividend Yield 10th Percentile 1%
United Kingdom of Great Britain and Northern Ireland Bottom 25% Dividend Yield 25th Percentile 2%
United Kingdom of Great Britain and Northern Ireland Top 25% Dividend Yield 75th Percentile 5.2%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

LSE:ENQ Future Dividends Estimate Data
Date (Data in $) Dividend per Share (annual) Avg. No. Analysts
2022-12-31
2021-12-31 0.00 1.00
2020-12-31 0.00 1.00
2019-12-31 0.00 1.00

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Unable to perform a dividend volatility check as EnQuest has not reported any payouts.
  • Unable to verify if EnQuest's dividend has been increasing as the company has not reported any payouts.
Current Payout to shareholders
What portion of EnQuest's earnings are paid to the shareholders as a dividend.
  • Unable to calculate sustainability of dividends as EnQuest has not reported any payouts.
Future Payout to shareholders
  • No need to calculate the sustainability of EnQuest's dividends in 3 years as they are not expected to pay a notable one for United Kingdom of Great Britain and Northern Ireland.
X
Income/ dividend checks
We assess EnQuest's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 1%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can EnQuest afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. EnQuest has a total score of 0/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

Management

 What is the CEO of EnQuest's salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Amjad Bseisu
COMPENSATION $1,352,000
AGE 54
TENURE AS CEO 9.3 years
CEO Bio

Mr. Amjad Bseisu formed EnQuest PLC and has been its Chief Executive Officer since 2010. Mr. Bseisu served as the Chief Executive Officer of Petrofac Energy Developments International Limited. He served as the President and Chief Executive Officer of Petrofac Resources International Ltd. Mr. Bseisu was a co-founder of Petrofac. From 1984 to 1998, he worked for Atlantic Richfield Company ('ARCO') starting his career as Senior Engineer in the drilling and production division and moving to the position of Vice-President, Arco Petroleum Ventures with responsibility for operations and commercial activities in the Middle East and North Africa and ultimately since 1996, as General Manager of International Marketing, Negotiations and Business Development and President of ARCO Petroleum Ventures and ARCO Crude Trading Inc. In 1998, Mr. Bseisu set up Petrofac Resources International Ltd., the resource and operations subsidiary of Petrofac Limited. He embarked on a career at ARCO International Oil & Gas, where he served as a Member of a seven-person executive management team, responsible for all commercial and trading activities and presiding over a business unit with $3 billion in revenue and 300 mboepd in boe production. He has been the Chairman of the Board and Director of Enviromena Power Systems LLC since September 2010. He has been an Executive Director of EnQuest PLC since February 22, 2010. He served as a Director at Petrofac Limited until September 13, 2005 and again from May 11, 2007 to April 2010. Mr. Bseisu served as a Director of Petrofac Resources International Ltd. He served as a Director of Stratic Energy Corp. from 2003 to May 2006 and Serica Energy PLC from 2004 to September 1, 2005. He holds an MS/a PhD in Engineering from Stanford University in 1984 and an MBA from Southern Methodist University in 1989. Mr. Bseisu received his B.Sc. Honours degree in Mechanical Engineering from Duke University in 1981 and his M.Sc. and D.ENG degrees in Aeronautical Engineering from Stanford University.

CEO Compensation
  • Amjad's compensation has increased in line with EnQuest recently becoming profitable.
  • Amjad's remuneration is higher than average for companies of similar size in United Kingdom of Great Britain and Northern Ireland.
Management Team Tenure

Average tenure and age of the EnQuest management team in years:

3
Average Tenure
54
Average Age
  • The tenure for the EnQuest management team is about average.
Management Team

Amjad Bseisu

TITLE
CEO & Executive Director
COMPENSATION
$1M
AGE
54
TENURE
9.3 yrs

Jonathan Swinney

TITLE
CFO & Executive Director
COMPENSATION
$974K
TENURE
9.2 yrs

Ian Wood

TITLE
Head of Communications & Investor Relations

Stefan Ricketts

TITLE
General Counsel & Company Secretary
AGE
51

Faysal Hamza

TITLE
Managing Director of Corporate Development
AGE
54
TENURE
3 yrs

Michael Easton

TITLE
Human Resources Director

Bob Davenport

TITLE
Managing Director of North Sea
TENURE
2.8 yrs

Martin Mentiply

TITLE
Chief Petroleum Engineer

John Penrose

TITLE
Managing Director of Malaysia

Andy Duncanson

TITLE
Head of Major Projects & Kraken Area Manager
TENURE
1.2 yrs
Board of Directors Tenure

Average tenure and age of the EnQuest board of directors in years:

3.2
Average Tenure
62
Average Age
  • The tenure for the EnQuest board of directors is about average.
Board of Directors

Jock Lennox

TITLE
Non-Executive Chairman
COMPENSATION
$150K
AGE
62
TENURE
2.7 yrs

Amjad Bseisu

TITLE
CEO & Executive Director
COMPENSATION
$1M
AGE
54
TENURE
9.3 yrs

Jonathan Swinney

TITLE
CFO & Executive Director
COMPENSATION
$974K
TENURE
9.2 yrs

Phil Holland

TITLE
Non-Executive Director
COMPENSATION
$60K
AGE
62
TENURE
3.8 yrs

Carl Hughes

TITLE
Non-Executive Director
COMPENSATION
$60K
TENURE
2.3 yrs

Laurie Fitch

TITLE
Non-Executive Director
COMPENSATION
$50K
TENURE
1.3 yrs

Helmut Langanger

TITLE
Senior Independent Non-Executive Director
COMPENSATION
$70K
AGE
68
TENURE
9.2 yrs

John Winterman

TITLE
Non-Executive Director
COMPENSATION
$50K
TENURE
1.7 yrs

Howard Paver

TITLE
Non-Executive Director
AGE
67
Who owns this company?
Recent Insider Trading
  • More shares have been bought than sold by EnQuest insiders in the past 3 months.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price (£) Value (£)
13. May 19 Buy Amjad Bseisu Individual 10. May 19 10. May 19 483,688 £0.20 £95,286
08. May 19 Buy Helmut Langanger Individual 07. May 19 07. May 19 87,302 £0.20 £17,460
08. Apr 19 Buy Amjad Bseisu Individual 05. Apr 19 05. Apr 19 274,317 £0.20 £53,766
27. Mar 19 Buy John Lennox Individual 27. Mar 19 27. Mar 19 28,732 £0.19 £5,344
26. Nov 18 Buy Double A Ltd Company 23. Nov 18 23. Nov 18 1,259,493 £0.23 £293,462
01. Nov 18 Buy Laurie Fitch Individual 29. Oct 18 29. Oct 18 70,000 £0.26 £18,270
24. Oct 18 Buy Double A Ltd Company 22. Oct 18 22. Oct 18 5,000,000 £0.21 £1,050,001
02. Oct 18 Sell Double A Ltd Company 28. Sep 18 28. Sep 18 -154,580 £0.36 £-55,063
02. Oct 18 Buy Double A Ltd Company 28. Sep 18 28. Sep 18 154,580 £0.42 £64,769
24. Sep 18 Buy John Winterman Individual 21. Sep 18 21. Sep 18 20,000 £0.38 £7,560
X
Management checks
We assess EnQuest's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. EnQuest has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

News

Simply Wall St News

How EnQuest PLC (LON:ENQ) Could Add Value To Your Portfolio

EnQuest PLC (LON:ENQ) is a company with exceptional fundamental characteristics. … Upon building up an investment case for a stock, we should look at various aspects. … In the following section, I expand a bit more on these key aspects.

Simply Wall St -

Who Are EnQuest PLC's (LON:ENQ) Major Shareholders?

In this analysis, my focus will be on developing a perspective on EnQuest PLC’s (LON:ENQ) latest ownership structure, a less discussed, but important factor. … Ownership structure of a company has been found to affect share performance over time. … Differences in ownership structure of companies can have a profound effect on how management's incentives are aligned with shareholder returns, and whether they adhere to corporate governance best practices.

Simply Wall St -

Who Are The Largest Shareholders In EnQuest PLC (LON:ENQ)?

In this article, I'm going to take a look at EnQuest PLC’s (LSE:ENQ) latest ownership structure, a non-fundamental factor which is important, but remains a less discussed subject among investors. … With this size of ownership, retail investors can collectively play a role in major company policies that affect shareholders returns, including executive remuneration and the appointment of directors. … Private Company Ownership Potential investors in ENQ should also look at another important group of investors: private companies, with a stake of 9.18%, who are primarily invested because of strategic and capital gain interests.

Simply Wall St -

What Kind Of Risk Should You Expect For EnQuest PLC (LON:ENQ)?

A widely-used metric to measure a stock's market risk is beta, and the broad market index represents a beta value of one. … With a beta of 2.98, EnQuest is a stock that tends to experience more gains than the market during a growth phase and also a bigger reduction in value compared to the market during a broad downturn. … A market capitalisation of UK£394.61M puts ENQ in the category of small-cap stocks, which tends to possess higher beta than larger companies.

Simply Wall St -

Have Investors Priced In EnQuest PLC's (LON:ENQ) Growth?

EnQuest PLC (LSE:ENQ), an energy company based in United Kingdom, saw a significant share price rise of over 20% in the past couple of months on the LSE. … LSE:ENQ Future Profit Apr 26th 18 Future outlook is an important aspect when you’re looking at buying a stock, especially if you are an investor looking for growth in your portfolio. … With a positive outlook on the horizon, it seems like this growth has not yet been fully factored into the share price.

Simply Wall St -

Does EnQuest PLC's (LON:ENQ) -132.84% Earnings Drop Reflect A Longer Term Trend?

After looking at EnQuest PLC's (LSE:ENQ) latest earnings announcement (31 December 2017), I found it useful to revisit the company's performance in the past couple of years and assess this against the most recent figures. … View our latest analysis for EnQuest Despite a decline, did ENQ underperform the long-term trend and the industry? … I suggest you continue to research EnQuest to get a better picture of the stock by looking at: Future Outlook: What are well-informed industry analysts predicting for ENQ’s future growth?

Simply Wall St -

Is EnQuest PLC (LON:ENQ) A Financially Sound Company?

How does ENQ’s operating cash flow stack up against its debt? … Moreover, ENQ has generated US$379.46M in operating cash flow during the same period of time, leading to an operating cash to total debt ratio of 19.39%, indicating that ENQ’s current level of operating cash is not high enough to cover debt. … In ENQ's case, the ratio of 1.92x suggests that interest is not strongly covered, which means that lenders may be more reluctant to lend out more funding as ENQ’s low interest coverage already puts the company at higher risk of default.Next Steps: ENQ’s high debt levels is not met with high cash flow coverage.

Simply Wall St -

What Should Investors Know About EnQuest PLC's (LON:ENQ) Future Margins?

To get some insight, I will try to evaluate EnQuest's margin behaviour to assist in analysing the revenue and cost anatomy behind the earnings expectations for the future and the impact it has on shareholder returns relative to the wider industry. … Margin Calculation for ENQ Profit Margin = Net Income ÷ Revenue ∴ Profit Margin = 63.25 Million ÷ 758.28 Million = 8.34% EnQuest's margin has contracted in the past five years, due to net income declining at -34.14% on average, which was faster than the average fall in revenue of -0.46%, which suggests that the falling revenue has also resulted in a decline in the net income that is converted from from the top line. … Understanding what could be driving EnQuest's future earnings Based on future expectations, ENQ's profit margin will reverse its previous trend and start to expand, with 9.00% in expected annual revenue growth and 33.16% earnings growth expected annually.

Simply Wall St -

Investors Are Undervaluing EnQuest PLC (LSE:ENQ) By 30.95%, Here Is My Intrinsic Value Calculation

I am going to run you through how I calculated the intrinsic value of EnQuest PLC (LSE:ENQ) by estimating the company's future cash flows and discounting them to their present value. … 5-year cash flow estimate 2017 2018 2019 2020 2021 Levered FCF (GBP, Millions) $-155.00 $158.50 $153.86 $149.35 $144.97 Source Analyst x2 Analyst x2 Extrapolated @ (-2.93%) Extrapolated @ (-2.93%) Extrapolated @ (-2.93%) Present Value Discounted @ 18.51% $-130.79 $112.85 $92.44 $75.71 $62.02 Present Value of 5-year Cash Flow (PVCF)= $212 After calculating the present value of future cash flows in the intial 5-year period we need to calculate the Terminal Value, which accounts for all the future cash flows beyond the first stage. … Terminal Value (TV) = FCF2021 × (1 + g) ÷ (r – g) = $145 × (1 + 1.5%) ÷ (18.5% – 1.5%) = $864 Present Value of Terminal Value (PVTV) = TV / (1 + r)5 = $864 / ( 1 + 18.5%)5 = $370 The total value is the sum of cash flows for the next five years and the discounted terminal value, which results in the Total Equity Value, which in this case is £582.

Simply Wall St -

What does EnQuest PLC's (LSE:ENQ) Balance Sheet Tell Us Abouts Its Future?

Moreover, ENQ has generated cash from operations of $379M over the same time period, resulting in an operating cash to total debt ratio of 0.19x, meaning that ENQ’s operating cash is not sufficient to cover its debt. … With current liabilities at $538M liabilities, it appears that the company has not been able to meet these commitments with a current assets level of $493M, leading to a 0.92x current account ratio. … ENQ’s high debt level indicates room for improvement.

Simply Wall St -

Company Info

Description

EnQuest PLC operates as an oil and gas development and production company, explores for, extracts, and produces hydrocarbons in the United Kingdom, North Sea, and Malaysia. The company operates through two segments, North Sea and Malaysia. It primarily holds interests in the Thistle/Deveron, Heather/Broom, the Dons area, Magnus, the Greater Kittiwake Area, Scolty/Crathes, Alma/Galia, and Kraken. The company also has an interest in the non-operated Alba producing oil field, as well as the PM8/Seligi production sharing contract and the Tanjong Baram risk services contract in Malaysia. In addition, it holds 16 production licenses and 8 production hubs. As of December 31, 2018, the company had proved and probable reserves of 198 million barrels of oil equivalents. Further, it is involved in the construction, ownership, and operation of an oil pipeline; marketing and trading of crude oil; and leasing activities. EnQuest PLC was founded in 2010 and is based in London, the United Kingdom.

Details
Name: EnQuest PLC
ENQ
Exchange: LSE
Founded: 2010
£344,348,350
1,621,225,754
Website: http://www.enquest.com
Address: EnQuest PLC
Cunard House,
5th Floor,
London,
Greater London, SW1Y 4LR,
United Kingdom
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
LSE ENQ Ordinary Shares London Stock Exchange GB GBP 06. Apr 2010
OTCPK ENQU.F Ordinary Shares Pink Sheets LLC US USD 06. Apr 2010
DB 3EQ Ordinary Shares Deutsche Boerse AG DE EUR 06. Apr 2010
OM ENQ Ordinary Shares OMX Nordic Exchange Stockholm SE SEK 06. Apr 2010
BATS-CHIXE ENQS Ordinary Shares BATS 'Chi-X Europe' GB SEK 06. Apr 2010
BATS-CHIXE ENQL Ordinary Shares BATS 'Chi-X Europe' GB GBP 06. Apr 2010
Number of employees
Current staff
Staff numbers
839
EnQuest employees.
Industry
Oil and Gas Exploration and Production
Energy
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/05/20 21:33
End of day share price update: 2019/05/20 00:00
Last estimates confirmation: 2019/05/06
Last earnings filing: 2019/04/17
Last earnings reported: 2018/12/31
Last annual earnings reported: 2018/12/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

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.