OB:AKA

Stock Analysis Report

Executive Summary

Akastor ASA operates as an oil-services investment company worldwide.


Snowflake Analysis

Excellent balance sheet and good value.


Similar Companies

Share Price & News

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


Latest Share Price and Events

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


Market Performance


7 Day Return

-3.4%

AKA

-9.0%

NO Energy Services

-5.1%

NO Market


1 Year Return

-34.6%

AKA

-32.2%

NO Energy Services

-5.6%

NO Market

Return vs Industry: AKA underperformed the Norwegian Energy Services industry which returned -32.8% over the past year.

Return vs Market: AKA underperformed the Norwegian Market which returned -5.1% over the past year.


Shareholder returns

AKAIndustryMarket
7 Day-3.4%-9.0%-5.1%
30 Day0.6%-17.6%-5.3%
90 Day-0.6%-19.6%-3.2%
1 Year-34.6%-34.6%-30.2%-32.2%-0.7%-5.6%
3 Year-31.1%-31.1%-28.1%-33.0%25.1%9.4%
5 Year-50.1%-50.1%-18.1%-48.5%52.3%18.3%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

45.7%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: AKA (NOK8.96) is trading below our estimate of fair value (NOK16.51)

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


Price To Earnings Ratio

PE vs Industry: AKA is good value based on its PE Ratio (-9.7x) compared to the Energy Services industry average (9.8x).

PE vs Market: AKA is good value based on its PE Ratio (-9.7x) compared to the Norwegian market (14.5x).


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: AKA is overvalued based on its PB Ratio (0.6x) compared to the NO Energy Services industry average (0.5x).


Next Steps

Future Growth

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

51.3%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: AKA's forecast earnings growth (51.3% per year) is above the savings rate (0.7%).

Earnings vs Market: AKA's earnings (51.3% per year) are forecast to grow faster than the Norwegian market (18.5% per year).

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

Revenue vs Market: AKA's revenue (3.2% per year) is forecast to grow slower than the Norwegian market (3.4% per year).

High Growth Revenue: AKA's revenue (3.2% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: AKA's Return on Equity is forecast to be low in 3 years time (6.4%).


Next Steps

Past Performance

How has Akastor performed over the past 5 years?

34.7%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: AKA has a large one-off gain of NOK22.0M impacting its December 31 2019 financial results.

Growing Profit Margin: AKA became profitable in the past.


Past Earnings Growth Analysis

Earnings Trend: AKA has become profitable over the past 5 years, growing earnings by 34.7% per year.

Accelerating Growth: AKA has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.

Earnings vs Industry: AKA has become profitable in the last year, making it difficult to compare its past year earnings growth to the Energy Services industry (-44.4%).


Return on Equity

High ROE: AKA's Return on Equity (1.1%) is considered low.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Akastor's financial position?


Financial Position Analysis

Short Term Liabilities: AKA's short term assets (NOK4.3B) exceed its short term liabilities (NOK3.3B).

Long Term Liabilities: AKA's short term assets (NOK4.3B) exceed its long term liabilities (NOK2.9B).


Debt to Equity History and Analysis

Debt Level: AKA's debt to equity ratio (33.1%) is considered satisfactory.

Reducing Debt: AKA's debt to equity ratio has reduced from 53.9% to 33.1% over the past 5 years.


Balance Sheet

Inventory Level: AKA has a low level of unsold assets or inventory.

Debt Coverage by Assets: AKA's debt is covered by short term assets (assets are 3x debt).


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: AKA is profitable, therefore cash runway is not a concern.

Forecast Cash Runway: AKA is profitable, therefore cash runway is not a concern.


Next Steps

Dividend

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


Dividend Yield vs Market

company0%marketbottom25%3.0%markettop25%6.4%industryaverage5.7%forecastin3Years0%

Current dividend yield vs market & industry

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

High Dividend: Unable to evaluate AKA's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if AKA's dividends per share have been stable in the past.

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


Current Payout to Shareholders

Dividend Coverage: AKA is not paying a notable dividend for the Norwegian market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of AKA's dividend in 3 years as they are not forecast to pay a notable one for the Norwegian market.


Next Steps

Management

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

3.3yrs

Average management tenure


CEO

Karl Kjelstad (53yo)

2.1yrs

Tenure

kr6,961,312

Compensation

Mr. Karl Erik Kjelstad serves as Chief Executive Officer of Akastor ASA. Mr. Kjelstad served as the Head of Oilfield Services & Marine Assets at Akastor ASA (also known as Aker Solutions ASA) and Aker Solu ...


CEO Compensation Analysis

Compensation vs Market: Karl's total compensation ($USD742.65K) is above average for companies of similar size in the Norwegian market ($USD461.26K).

Compensation vs Earnings: Karl's compensation has been consistent with company performance over the past year.


Leadership Team

NamePositionTenureCompensationOwnership
Kristian Røkke
Chairman of the Board & Chief Investment Officer1.8yrskr600.00k0.074% NOK1.8m
Karl Kjelstad
Chief Executive Officer2.1yrskr6.96m0.11% NOK2.7m
Leif Borge
Chief Financial Officer12.1yrskr5.58m0.13% NOK3.0m
Paal Johnsen
Executive VP & Investment Director4.5yrskr4.55mno data
Tore Langballe
Head of Communications and Investor Relations0yrsno datano data
Mari Brekke
Head of Compliance0yrsno datano data

3.3yrs

Average Tenure

49yo

Average Age

Experienced Management: AKA's management team is considered experienced (3.3 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Kristian Røkke
Chairman of the Board & Chief Investment Officer1.8yrskr600.00k0.074% NOK1.8m
Kathryn Baker
Director0yrskr455.00k0.017% NOK409.3k
Lone Schrøder
Deputy Chairman0yrskr732.50k0.0016% NOK39.4k
Øyvind Eriksen
Director9.1yrskr340.00k0.081% NOK2.0m
Sarah Ryan
Director8.1yrskr421.43k0.0018% NOK44.8k
Svein Stoknes
Deputy Director0.8yrsno datano data
Per-Kjetil Skare
Deputy Director0yrsno datano data

5.0yrs

Average Tenure

53yo

Average Age

Experienced Board: AKA's board of directors are considered experienced (5 years average tenure).


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

Akastor ASA's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Akastor ASA
  • Ticker: AKA
  • Exchange: OB
  • Founded: 1841
  • Industry: Oil and Gas Equipment and Services
  • Sector: Energy
  • Market Cap: kr2.434b
  • Shares outstanding: 271.61m
  • Website: https://akastor.com

Number of Employees


Location

  • Akastor ASA
  • Building B
  • Oksenøyveien 10
  • Bærum
  • Akershus
  • 1366
  • Norway

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
AKKV.FOTCPK (Pink Sheets LLC)YesOrdinary SharesUSUSDApr 2004
AKAOB (Oslo Bors)YesOrdinary SharesNONOKApr 2004
AKVEROB (Oslo Bors)NOK2NONOKApr 2004
KY7DB (Deutsche Boerse AG)YesOrdinary SharesDEEURApr 2004
0IPTLSE (London Stock Exchange)YesOrdinary SharesGBNOKApr 2004
AKRY.YOTCPK (Pink Sheets LLC)Unsponsored ADR REPSTG 2 ORDUSUSDFeb 2015

Biography

Akastor ASA operates as an oil-services investment company worldwide. The company offers drilling equipment, drilling riser solutions, and related products and services for the drilling market; and vessel-based subsea well construction and intervention services to the oil and gas industry. It is also involved in waste management drilling activities; the provision of subsurface advice and products to E&P companies; and supplying vapor recovery units and systems. Akastor ASA was founded in 1841 and is based in Bærum, Norway. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/02/26 20:38
End of Day Share Price2020/02/26 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.