LSE:TLW

Stock Analysis Report

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Executive Summary

Tullow Oil plc engages in the oil and gas exploration, development, and production activities primarily in Africa and South America.


Snowflake Analysis

Mediocre balance sheet with weak fundamentals.


Similar Companies

Share Price & News

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


Latest Share Price and Events

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


Market Performance


7 Day Return

6.2%

TLW

4.1%

GB Oil and Gas

1.1%

GB Market


1 Year Return

-87.8%

TLW

-32.3%

GB Oil and Gas

-11.5%

GB Market

Return vs Industry: TLW underperformed the UK Oil and Gas industry which returned -33.6% over the past year.

Return vs Market: TLW underperformed the UK Market which returned -12.4% over the past year.


Shareholder returns

TLWIndustryMarket
7 Day6.2%4.1%1.1%
30 Day-12.6%0.6%0.6%
90 Day2.1%0.8%3.6%
1 Year-87.7%-87.8%-28.7%-32.3%-7.9%-11.5%
3 Year-83.5%-83.9%-4.2%-16.7%-5.1%-16.5%
5 Year-85.5%-87.9%17.8%-5.8%14.8%-10.6%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

0.49x

Price to Book (PB) ratio


Share Price vs. Fair Value

Below Fair Value: TLW (£0.26) is trading above our estimate of fair value (£0.26)

Significantly Below Fair Value: TLW is trading above our estimate of fair value.


Price To Earnings Ratio

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

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


Price to Book Ratio

PB vs Industry: TLW's PB Ratio (0.5x) is in line with the GB Oil and Gas industry average.


Next Steps

Future Growth

How is Tullow Oil forecast to perform in the next 1 to 3 years based on estimates from 14 analysts?

66.3%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: TLW is forecast to remain unprofitable over the next 3 years.

Earnings vs Market: TLW is forecast to remain unprofitable over the next 3 years.

High Growth Earnings: TLW is forecast to remain unprofitable over the next 3 years.

Revenue vs Market: TLW's revenue is expected to decline over the next 3 years (-9.4% per year).

High Growth Revenue: TLW's revenue is forecast to decline over the next 3 years (-9.4% per year).


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: TLW is forecast to be unprofitable in 3 years.


Next Steps

Past Performance

How has Tullow Oil performed over the past 5 years?

33.6%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: TLW is currently unprofitable.

Growing Profit Margin: TLW is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: TLW is unprofitable, but has reduced losses over the past 5 years at a rate of 33.6% per year.

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

Earnings vs Industry: TLW is unprofitable, making it difficult to compare its past year earnings growth to the Oil and Gas industry (-10.5%).


Return on Equity

High ROE: TLW has a negative Return on Equity (-172.23%), as it is currently unprofitable.


Next Steps

Financial Health

How is Tullow Oil's financial position?


Financial Position Analysis

Short Term Liabilities: TLW's short term assets ($1.5B) exceed its short term liabilities ($1.5B).

Long Term Liabilities: TLW's short term assets ($1.5B) do not cover its long term liabilities ($5.8B).


Debt to Equity History and Analysis

Debt Level: TLW's debt to equity ratio (312.3%) is considered high.

Reducing Debt: TLW's debt to equity ratio has increased from 83.4% to 312.3% over the past 5 years.


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: Whilst unprofitable TLW has sufficient cash runway for more than 3 years if it maintains its current positive free cash flow level.

Forecast Cash Runway: TLW is unprofitable but has sufficient cash runway for more than 3 years, due to free cash flow being positive and growing by 48.3% per year.


Next Steps

Dividend

What is Tullow Oil current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

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

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

Growing Dividend: Insufficient data to determine if TLW's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: TLW is not paying a notable dividend for the UK market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of TLW'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?

3.4yrs

Average management tenure


CEO

Rahul Dhir (54 yo)

0.083

Tenure

Mr. Rahul Dhir serves as Chief Executive Officer and an Executive Director at Tullow Oil plc since July 1, 2020. He is Venture Partner of GTI Group LLC. Mr. Dhir served as Chief Executive Officer and Manag ...


Leadership Team

NamePositionTenureCompensationOwnership
Dorothy Thompson
Executive Chairman2.08yrsUS$318.90k0.0048%
$ 17.9k
Les Wood
CFO & Executive Director3.17yrsUS$578.36k0.014%
$ 53.3k
Rahul Dhir
CEO & Executive Director0.083yrno datano data
Mark MacFarlane
Chief Operating Officer0.67yrno datano data
Brian Williams
Vice President of Corporate Finance20.58yrsno datano data
Nicola Rogers
Head of Investor Relationsno datano datano data
Gary Thompson
Executive Vice President of West Africa3.58yrsno datano data
Claire Hawkings
Executive VP of Organisation Strategy & Company Performanceno datano datano data
Ian Cloke
Executive Vice President of Change3.58yrsno datano data
Sandra Stash
Executive Vice President of Safety & Sustainability3.58yrsno datano data
Julia Ross
Chief of Staffno datano datano data
George Cazenove
Head of Corporate Affairsno datano datano data

3.4yrs

Average Tenure

58yo

Average Age

Experienced Management: TLW's management team is considered experienced (3.4 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Dorothy Thompson
Executive Chairman2.08yrsUS$318.90k0.0048%
$ 17.9k
Les Wood
CFO & Executive Director3.17yrsUS$578.36k0.014%
$ 53.3k
Rahul Dhir
CEO & Executive Director0.083yrno datano data
Jeremy Wilson
Senior Independent Director3.33yrsUS$100.14k0.0062%
$ 23.0k
Martin Greenslade
Independent Non-Executive Director0.75yrUS$10.86kno data
Michael Daly
Independent Non-Executive Director6.17yrsUS$80.00k0.00034%
$ 1.3k
Genevieve Sangudi
Independent Non-Executive Director1.33yrsUS$49.07kno data
Sheila Khama
Independent Non-Executive Director1.33yrsUS$49.82kno data

1.7yrs

Average Tenure

56.5yo

Average Age

Experienced Board: TLW's board of directors are not considered experienced ( 1.7 years average tenure), which suggests a new board.


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

Tullow Oil plc's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Tullow Oil plc
  • Ticker: TLW
  • Exchange: LSE
  • Founded: 1985
  • Industry: Oil and Gas Exploration and Production
  • Sector: Energy
  • Market Cap: UK£369.654m
  • Shares outstanding: 1.41b
  • Website: https://www.tullowoil.com

Number of Employees


Location

  • Tullow Oil plc
  • 9 Chiswick Park
  • 566 Chiswick High Road
  • London
  • Greater London
  • W4 5XT
  • United Kingdom

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
TUWL.FOTCPK (Pink Sheets LLC)YesOrdinary SharesUSUSDJan 1992
TLWLSE (London Stock Exchange)YesOrdinary SharesGBGBPJan 1992
TQWISE (Irish Stock Exchange)YesOrdinary SharesIEEURJan 1992
TQWDB (Deutsche Boerse AG)YesOrdinary SharesDEEURJan 1992
TLWLBATS-CHIXE (BATS 'Chi-X Europe')YesOrdinary SharesGBGBPJan 1992
TUWO.YOTCPK (Pink Sheets LLC)ADRUSUSDDec 2009
TLWGHSE (Ghana Stock Exchange)GBP0.1GHGHSJun 2019

Biography

Tullow Oil plc engages in the oil and gas exploration, development, and production activities primarily in Africa and South America. Its portfolio comprises 80 licenses covering 195,751 square kilometers i ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/08/10 21:48
End of Day Share Price2020/08/10 00:00
Earnings2019/12/31
Annual Earnings2019/12/31


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.