LSE:ROSN

Stock Analysis Report

Executive Summary

Public Joint Stock Company Rosneft Oil Company, together with its subsidiaries, engages in the exploration, development, production, and sale of crude oil and gas.

Snowflake

Fundamentals

Established dividend payer with proven track record.


Similar Companies

Share Price & News

How has Rosneft Oil's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: ROSN has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

-0.3%

ROSN

-1.8%

GB Oil and Gas

-0.07%

GB Market


1 Year Return

13.7%

ROSN

4.6%

GB Oil and Gas

6.0%

GB Market

Return vs Industry: ROSN exceeded the UK Oil and Gas industry which returned 4.6% over the past year.

Return vs Market: ROSN exceeded the UK Market which returned 6% over the past year.


Shareholder returns

ROSNIndustryMarket
7 Day-0.3%-1.8%-0.07%
30 Day10.5%3.2%2.2%
90 Day14.0%4.7%3.8%
1 Year20.2%13.7%9.9%4.6%11.5%6.0%
3 Year50.9%33.7%40.9%22.8%22.0%6.6%
5 Year62.1%35.4%34.9%9.7%33.5%3.3%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Rosneft Oil undervalued compared to its fair value and its price relative to the market?

31.1%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: ROSN ($7.08) is trading below our estimate of fair value ($10.28)

Significantly Below Fair Value: ROSN is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

PE vs Industry: ROSN is poor value based on its PE Ratio (7.3x) compared to the Oil and Gas industry average (7.1x).

PE vs Market: ROSN is good value based on its PE Ratio (7.3x) compared to the UK market (17x).


Price to Earnings Growth Ratio

PEG Ratio: ROSN is good value based on its PEG Ratio (0.6x)


Price to Book Ratio

PB vs Industry: ROSN 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 Rosneft Oil forecast to perform in the next 1 to 3 years based on estimates from 13 analysts?

11.7%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: ROSN's forecast earnings growth (11.7% per year) is above the savings rate (1.2%).

Earnings vs Market: ROSN's earnings (11.7% per year) are forecast to grow slower than the UK market (12.6% per year).

High Growth Earnings: ROSN's earnings are forecast to grow, but not significantly.

Revenue vs Market: ROSN's revenue (1.9% per year) is forecast to grow slower than the UK market (3.6% per year).

High Growth Revenue: ROSN's revenue (1.9% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: ROSN's Return on Equity is forecast to be low in 3 years time (19.3%).


Next Steps

Past Performance

How has Rosneft Oil performed over the past 5 years?

14.5%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: ROSN has high quality earnings.

Growing Profit Margin: ROSN's current net profit margins (8%) are higher than last year (7.2%).


Past Earnings Growth Analysis

Earnings Trend: ROSN's earnings have grown by 14.5% per year over the past 5 years.

Accelerating Growth: ROSN's earnings growth over the past year (24.1%) exceeds its 5-year average (14.5% per year).

Earnings vs Industry: ROSN earnings growth over the past year (24.1%) underperformed the Oil and Gas industry 24.7%.


Return on Equity

High ROE: ROSN's Return on Equity (15.2%) is considered low.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Rosneft Oil's financial position?


Financial Position Analysis

Short Term Liabilities: ROSN's short term assets (RUB2,461.0B) do not cover its short term liabilities (RUB2,971.0B)

Long Term Liabilities: ROSN's short term assets (RUB2,461.0B) do not cover its long term liabilities (4,993.0B)


Debt to Equity History and Analysis

Debt Level: ROSN's debt to equity ratio (72%) is considered high.

Reducing Debt: ROSN's debt to equity ratio has reduced from 79.3% to 72% over the past 5 years.

Debt Coverage: ROSN's debt is well covered by operating cash flow (32%).

Interest Coverage: ROSN's interest payments on its debt are well covered by EBIT (14x coverage).


Balance Sheet

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

Debt Coverage by Assets: ROSN's debt is not covered by short term assets (assets are 0.7x debt).


Next Steps

Dividend

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

5.90%

Current Dividend Yield


Dividend Yield vs Market

company5.9%marketbottom25%2.0%markettop25%5.4%industryaverage5.3%forecastin3Years8.2%

Current dividend yield vs market & industry

Notable Dividend: ROSN's dividend (5.9%) is higher than the bottom 25% of dividend payers in the UK market (1.97%).

High Dividend: ROSN's dividend (5.9%) is in the top 25% of dividend payers in the UK market (5.38%)


Stability and Growth of Payments

Stable Dividend: ROSN's dividend payments have been volatile in the past 10 years.

Growing Dividend: ROSN's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (42.9%), ROSN's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: ROSN's dividends in 3 years are forecast to be well covered by earnings (49.3% payout ratio).


Next Steps

Management

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

5.6yrs

Average management tenure


CEO

Igor Sechin (59yo)

7.8yrs

Tenure

0

Mr. Igor Ivanovich Sechin has been the Chairman of Management Board of ROSNEFT Oil Company, PJSC since 2016 and Chief Executive Officer since May 22, 2012. Mr. Sechin served as the President of Rosneft unt ...


Management Age and Tenure

5.6yrs

Average Tenure

62.5yo

Average Age

Experienced Management: ROSN's management team is seasoned and experienced (5.6 years average tenure).


Board Age and Tenure

4.4yrs

Average Tenure

63yo

Average Age

Experienced Board: ROSN's board of directors are considered experienced (4.4 years average tenure).


Insider Trading

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 not been meaningfully diluted in the past year.


Management Team

  • Igor Sechin (59yo)

    Chairman of Management Board

    • Tenure: 7.8yrs
  • Vlada Rusakova (66yo)

    Member of Management Board

    • Tenure: 2.3yrs
  • Didier Casimiro (53yo)

    VP of Refining

    • Tenure: 7.4yrs
  • Peter Lazarev (52yo)

    Financial Director & Member of Management Board

    • Tenure: 7.8yrs
  • Andrei Shishkin (60yo)

    VP for Informatization

    • Tenure: 4.6yrs
  • Zeljko Runje (65yo)

    VP of Offshore Projects & Member of Management Board

    • Tenure: 7yrs
  • Yuri Kalinin (73yo)

    Deputy Chairman of Management Board and VP of Human Resource & Social Affairs

    • Tenure: 5.1yrs
  • Eric Liron (65yo)

    First VP of Production & Member of Management Board

    • Tenure: 6.2yrs
  • Gennady Bukaev (72yo)

    Head of Internal Audit

    • Tenure: 3.4yrs
  • Yuri Kurilin (47yo)

    VP, Chief of Staff & Member of Management Board

    • Tenure: 2.6yrs

Board Members

  • Hans-Georg Rudloff (79yo)

    Independent Director

    • Tenure: 1.4yrs
    • Compensation: ₽200.00k
  • Bob Dudley (64yo)

    Director

    • Tenure: 6.4yrs
  • Igor Sechin (59yo)

    Chairman of Management Board

    • Tenure: 7.8yrs
  • Oleg Viyugin (67yo)

    Independent Director

    • Tenure: 4.4yrs
  • Arthur Warnig (64yo)

    Deputy Chairman of the Board

    • Tenure: 5.3yrs
  • Andrey Belousov (60yo)

    Director

    • Tenure: 4.4yrs
  • Gerhard Schroeder (75yo)

    Independent Chairman

    • Tenure: 0yrs
  • Alexander Novak (48yo)

    Director

    • Tenure: 2.2yrs
  • Guillermo Quintero (62yo)

    Director

    • Tenure: 4.4yrs
  • Zakhar Sabantsev (45yo)

    Chairman of the Audit Commission

    • Tenure: 0yrs

Company Information

Public Joint Stock Company Rosneft Oil Company's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Public Joint Stock Company Rosneft Oil Company
  • Ticker: ROSN
  • Exchange: LSE
  • Founded: 1993
  • Industry: Integrated Oil and Gas
  • Sector: Energy
  • Market Cap: US$75.078b
  • Shares outstanding: 10.60b
  • Website: https://www.rosneft.com

Location

  • Public Joint Stock Company Rosneft Oil Company
  • 26/1, Sofiyskaya Embankment
  • Moscow
  • 117997
  • Russia

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
ROSNLSE (London Stock Exchange)YesGDR EACH REPR 1 ORD REGSGBUSDJul 2006
OJS1DB (Deutsche Boerse AG)YesGDR EACH REPR 1 ORD REGSDEEURJul 2006
OJSC.YOTCPK (Pink Sheets LLC)YesGDR EACH REPR 1 ORD REGSUSUSDJul 2006
ROSNLBATS-CHIXE (BATS 'Chi-X Europe')YesGDR EACH REPR 1 ORD REGSGBUSDJul 2006
ROSNWBAG (Wiener Boerse AG)YesGDR EACH REPR 1 ORD REGSATEURJul 2006
ROSNMISX (Micex - Rts)Common StockRURUBJul 2006
RNFT.FOTCPK (Pink Sheets LLC)Common StockUSUSDJul 2006

Biography

Public Joint Stock Company Rosneft Oil Company, together with its subsidiaries, engages in the exploration, development, production, and sale of crude oil and gas. It operates through Exploration and Produ ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/11/19 20:58
End of Day Share Price2019/11/19 00:00
Earnings2019/09/30
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.