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Sinopec Oilfield Service

Market Cap

HK$38.7b

Last Updated

2021/05/13 10:38 UTC

Data Sources

Company Financials +

Executive Summary

Sinopec Oilfield Service Corporation provides petroleum engineering and technical services in the People’s Republic of China, the Middle East, and internationally. More Details


Snowflake Analysis

Slightly overvalued with imperfect balance sheet.


Similar Companies

Share Price & News

How has Sinopec Oilfield Service's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: 1033 is not significantly more volatile than the rest of Hong Kong stocks over the past 3 months, typically moving +/- 8% a week.

Volatility Over Time: 1033's weekly volatility (8%) has been stable over the past year.


Market Performance


7 Day Return

4.2%

1033

8.2%

HK Energy Services

-1.1%

HK Market


1 Year Return

39.6%

1033

30.5%

HK Energy Services

24.0%

HK Market

Return vs Industry: 1033 exceeded the Hong Kong Energy Services industry which returned 30.5% over the past year.

Return vs Market: 1033 exceeded the Hong Kong Market which returned 24% over the past year.


Shareholder returns

1033IndustryMarket
7 Day4.2%8.2%-1.1%
30 Day4.2%5.8%-0.4%
90 Day13.8%-4.9%-6.8%
1 Year39.6%39.6%32.6%30.5%28.8%24.0%
3 Year-40.3%-40.3%-22.2%-24.3%1.7%-9.1%
5 Year-47.5%-47.5%-13.2%-15.6%59.5%32.5%

Long-Term Price Volatility Vs. Market

How volatile is Sinopec Oilfield Service's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Sinopec Oilfield Service 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: 1033 (HK$0.74) is trading below our estimate of fair value (HK$15.34)

Significantly Below Fair Value: 1033 is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: 1033 is poor value based on its PE Ratio (26.8x) compared to the Hong Kong Energy Services industry average (11.2x).

PE vs Market: 1033 is poor value based on its PE Ratio (26.8x) compared to the Hong Kong market (11.7x).


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate 1033's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: 1033 is overvalued based on its PB Ratio (1.7x) compared to the HK Energy Services industry average (0.6x).


Future Growth

How is Sinopec Oilfield Service forecast to perform in the next 1 to 3 years based on estimates from 4 analysts?

6.9%

Forecasted annual revenue growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: Insufficient data to determine if 1033's forecast earnings growth is above the savings rate (1.5%).

Earnings vs Market: Insufficient data to determine if 1033's earnings are forecast to grow faster than the Hong Kong market

High Growth Earnings: Insufficient data to determine if earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: 1033's revenue (6.9% per year) is forecast to grow slower than the Hong Kong market (12.4% per year).

High Growth Revenue: 1033's revenue (6.9% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: 1033's Return on Equity is forecast to be low in 3 years time (16.3%).


Past Performance

How has Sinopec Oilfield Service performed over the past 5 years?

51.0%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 1033 has a large one-off gain of CN¥377.6M impacting its March 31 2021 financial results.

Growing Profit Margin: 1033's current net profit margins (0.6%) are lower than last year (0.8%).


Past Earnings Growth Analysis

Earnings Trend: 1033 has become profitable over the past 5 years, growing earnings by 51% per year.

Accelerating Growth: 1033's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: 1033 had negative earnings growth (-21.5%) over the past year, making it difficult to compare to the Energy Services industry average (-4.3%).


Return on Equity

High ROE: 1033's Return on Equity (6.1%) is considered low.


Financial Health

How is Sinopec Oilfield Service's financial position?


Financial Position Analysis

Short Term Liabilities: 1033's short term assets (CN¥31.5B) do not cover its short term liabilities (CN¥52.7B).

Long Term Liabilities: 1033's short term assets (CN¥31.5B) exceed its long term liabilities (CN¥1.9B).


Debt to Equity History and Analysis

Debt Level: 1033's debt to equity ratio (295.9%) is considered high.

Reducing Debt: 1033's debt to equity ratio has increased from 64.2% to 295.9% over the past 5 years.

Debt Coverage: 1033's debt is well covered by operating cash flow (25.4%).

Interest Coverage: 1033's interest payments on its debt are not well covered by EBIT (2x coverage).


Balance Sheet


Dividend

What is Sinopec Oilfield Service current dividend yield, its reliability and sustainability?

0.72%

Forecast Dividend Yield


Dividend Yield vs Market

Notable Dividend: Unable to evaluate 1033's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate 1033'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 1033's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if 1033'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 1033's dividend in 3 years as they are not forecast to pay a notable one for the Hong Kong market.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

2.0yrs

Average management tenure


CEO

Jianqiang Yuan (56 yo)

2yrs

Tenure

CN¥1,017,720

Compensation

Mr. Jianqiang Yuan serves as General Manger of Sinopec Oilfield Service Corporation since May 20, 2019 and serves as its Executive Director since June 26, 2019. Mr. Jianqiang has been Non-Independent Direc...


CEO Compensation Analysis

Compensation vs Market: Jianqiang's total compensation ($USD157.64K) is below average for companies of similar size in the Hong Kong market ($USD615.16K).

Compensation vs Earnings: Insufficient data to compare Jianqiang's compensation with company performance.


Leadership Team

Experienced Management: 1033's management team is considered experienced (2 years average tenure).


Board Members

Experienced Board: 1033's board of directors are not considered experienced ( 2.4 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.


Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Sinopec Oilfield Service Corporation's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Sinopec Oilfield Service Corporation
  • Ticker: 1033
  • Exchange: SEHK
  • Founded: NaN
  • Industry: Oil and Gas Equipment and Services
  • Sector: Energy
  • Market Cap: HK$38.722b
  • Shares outstanding: 18.98b
  • Website: https://ssc.sinopec.com

Number of Employees


Location

  • Sinopec Oilfield Service Corporation
  • No.9 ,Jishikou Road
  • Chaoyang District
  • Beijing
  • Beijing Province
  • 100728
  • China

Listings


Biography

Sinopec Oilfield Service Corporation provides petroleum engineering and technical services in the People’s Republic of China, the Middle East, and internationally. It operates through five segments: Geophy...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/05/13 10:38
End of Day Share Price2021/05/13 00:00
Earnings2021/03/31
Annual Earnings2020/12/31


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.