Seplat Petroleum Development Company Plc engages in the oil and gas exploration and production, and gas processing activities in Nigeria. More Details
Very undervalued with reasonable growth potential.
Share Price & News
How has Seplat Petroleum Development's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: SEPL is not significantly more volatile than the rest of UK stocks over the past 3 months, typically moving +/- 6% a week.
Volatility Over Time: SEPL's weekly volatility (6%) has been stable over the past year.
7 Day Return
GB Oil and Gas
1 Year Return
GB Oil and Gas
Return vs Industry: SEPL exceeded the UK Oil and Gas industry which returned 20% over the past year.
Return vs Market: SEPL exceeded the UK Market which returned 18.9% over the past year.
Long-Term Price Volatility Vs. Market
How volatile is Seplat Petroleum Development's share price compared to the market and industry in the last 5 years?
Simply Wall St News
3 weeks ago | Simply Wall StSeplat Petroleum Development (LON:SEPL) Has A Somewhat Strained Balance Sheet
1 month ago | Simply Wall StWhat You Need To Know About Seplat Petroleum Development Company Plc's (LON:SEPL) Investor Composition
2 months ago | Simply Wall StDon't Race Out To Buy Seplat Petroleum Development Company Plc (LON:SEPL) Just Because It's Going Ex-Dividend
Is Seplat Petroleum Development undervalued compared to its fair value and its price relative to the market?
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: SEPL (£1.01) is trading below our estimate of fair value (£1.84)
Significantly Below Fair Value: SEPL is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: SEPL is good value based on its PE Ratio (12.1x) compared to the UK Oil and Gas industry average (19.1x).
PE vs Market: SEPL is good value based on its PE Ratio (12.1x) compared to the UK market (23.7x).
Price to Earnings Growth Ratio
PEG Ratio: SEPL is good value based on its PEG Ratio (0.3x)
Price to Book Ratio
PB vs Industry: SEPL is good value based on its PB Ratio (0.5x) compared to the GB Oil and Gas industry average (1x).
How is Seplat Petroleum Development forecast to perform in the next 1 to 3 years based on estimates from 7 analysts?
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: SEPL's forecast earnings growth (40.5% per year) is above the savings rate (0.9%).
Earnings vs Market: SEPL's earnings (40.5% per year) are forecast to grow faster than the UK market (16.9% per year).
High Growth Earnings: earnings are expected to grow significantly over the next 3 years.
Revenue vs Market: SEPL's revenue (18% per year) is forecast to grow faster than the UK market (5.3% per year).
High Growth Revenue: SEPL's revenue (18% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: SEPL's Return on Equity is forecast to be low in 3 years time (9.5%).
How has Seplat Petroleum Development performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: SEPL has a large one-off gain of $78.8M impacting its March 31 2021 financial results.
Growing Profit Margin: SEPL's current net profit margins (12.2%) are lower than last year (18.6%).
Past Earnings Growth Analysis
Earnings Trend: SEPL's earnings have grown significantly by 21.4% per year over the past 5 years.
Accelerating Growth: SEPL's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: SEPL had negative earnings growth (-45.9%) over the past year, making it difficult to compare to the Oil and Gas industry average (-0.4%).
Return on Equity
High ROE: SEPL's Return on Equity (2.7%) is considered low.
How is Seplat Petroleum Development's financial position?
Financial Position Analysis
Short Term Liabilities: SEPL's short term assets ($608.0M) exceed its short term liabilities ($424.5M).
Long Term Liabilities: SEPL's short term assets ($608.0M) do not cover its long term liabilities ($1.3B).
Debt to Equity History and Analysis
Debt Level: SEPL's debt to equity ratio (41.1%) is considered high.
Reducing Debt: SEPL's debt to equity ratio has reduced from 60.3% to 41.1% over the past 5 years.
Debt Coverage: SEPL's debt is well covered by operating cash flow (35.8%).
Interest Coverage: SEPL's interest payments on its debt are not well covered by EBIT (0.9x coverage).
What is Seplat Petroleum Development current dividend yield, its reliability and sustainability?
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: SEPL's dividend (7.16%) is higher than the bottom 25% of dividend payers in the UK market (1.31%).
High Dividend: SEPL's dividend (7.16%) is in the top 25% of dividend payers in the UK market (4.03%)
Stability and Growth of Payments
Stable Dividend: SEPL has been paying a dividend for less than 10 years and during this time payments have been volatile.
Growing Dividend: SEPL has only been paying a dividend for 7 years, and since then payments have fallen.
Current Payout to Shareholders
Dividend Coverage: With its high payout ratio (108.3%), SEPL's dividend payments are not well covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: SEPL's dividends in 3 years are forecast to be well covered by earnings (31.3% payout ratio).
How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
Roger Brown (51 yo)
Mr. Roger Thompson Brown has been the Chief Executive Officer of Seplat Petroleum Development Company Plc since August 01, 2020. Mr. Brown served as the Chief Financial Officer until July 31, 2020 and serv...
CEO Compensation Analysis
Compensation vs Market: Roger's total compensation ($USD2.20M) is above average for companies of similar size in the UK market ($USD976.75K).
Compensation vs Earnings: Roger's compensation has increased by more than 20% whilst company earnings have fallen more than 20% in the past year.
Experienced Management: SEPL's management team is considered experienced (2.2 years average tenure).
Experienced Board: SEPL's board of directors are not considered experienced ( 2 years average tenure), which suggests a new board.
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.
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Seplat Petroleum Development Company Plc's company bio, employee growth, exchange listings and data sources
- Name: Seplat Petroleum Development Company Plc
- Ticker: SEPL
- Exchange: LSE
- Founded: 2009
- Industry: Oil and Gas Exploration and Production
- Sector: Energy
- Market Cap: UK£587.659m
- Shares outstanding: 581.84m
- Website: https://seplatpetroleum.com
Number of Employees
- Seplat Petroleum Development Company Plc
- 16A Temple Road
- Olu Holloway
Seplat Petroleum Development Company Plc engages in the oil and gas exploration and production, and gas processing activities in Nigeria. It operates a seven oil and gas blocks in the Niger Delta region. T...
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2021/07/26 21:20|
|End of Day Share Price||2021/07/26 00:00|
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.