DOF (OB:DOF) - Share price, News & Analysis

Q: What is the Fair Price of DOF when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

DOF (NOK1.19) is trading below our estimate of [[fair value]] (NOK16.81)

DOF fundamental analysis
Snowflake Score
Valuation	4/6
Future Growth	0/6
Past Performance	3/6
Financial Health	0/6
Dividends	0/6

DOF Stock Overview

DOF ASA, together with its subsidiaries, owns and operates a fleet of offshore/subsea vessels.

Rewards

Trading at 92.9% below our estimate of its fair value

Became profitable this year

Risk Analysis

Interest payments are not well covered by earnings

Highly volatile share price over the past 3 months

Negative shareholders equity

Does not have a meaningful market cap (NOK363M)

DOF Competitors

Carbon Transition

OB:CARBN

kr290.1m

Havila Shipping

OB:HAVI

kr369.5m

Eidesvik Offshore

OB:EIOF

kr561.8m

Reach Subsea

OB:REACH

kr796.2m

Price History & Performance

Summary of all time highs, changes and price drops for DOF
Historical stock prices
Current Share Price	kr1.19
52 Week High	kr4.87
52 Week Low	kr0.51
Beta	1.96
1 Month Change	4.96%
3 Month Change	-28.30%
1 Year Change	101.02%
3 Year Change	-57.03%
5 Year Change	-85.88%
Change since IPO	-98.73%

Shareholder Returns

	DOF	NO Energy Services	NO Market
7D	2.4%	0.7%	0.6%
1Y	101.0%	57.4%	9.4%

Return vs Industry: DOF exceeded the Norwegian Energy Services industry which returned 57.4% over the past year.

Return vs Market: DOF exceeded the Norwegian Market which returned 9.4% over the past year.

Price Volatility

Is DOF's price volatile compared to industry and market?
DOF volatility
DOF Average Weekly Movement	19.4%
Energy Services Industry Average Movement	8.4%
Market Average Movement	6.6%
10% most volatile stocks in NO Market	12.3%
10% least volatile stocks in NO Market	3.7%

Stable Share Price: DOF is more volatile than 90% of Norwegian stocks over the past 3 months, typically moving +/- 19% a week.

Volatility Over Time: DOF's weekly volatility (19%) has been stable over the past year, but is still higher than 75% of Norwegian stocks.

About the Company

Founded	Employees	CEO	Website
1981	3,835	Mons Aase	https://www.dof.no

DOF ASA, together with its subsidiaries, owns and operates a fleet of offshore/subsea vessels. It operates a fleet of platform supply vessels (PSVs) that are used to transport oilfield products and supplies to offshore drilling and production facilities; anchor handling tug supply (AHTS) vessels used to set anchors for drilling rigs, and tow mobile drilling rigs and equipment from one location to another; and subsea vessels used for a range of subsea services. The company also provides subsea services, including project management, engineering, construction and installation, life-of-field, decommissioning/field abandonment, and survey and positioning, as well as inspection, repair, and maintenance services.

DOF Fundamentals Summary

How do DOF's earnings and revenue compare to its market cap?
DOF fundamental statistics
Market Cap	kr363.29m
Earnings (TTM)	kr1.01b
Revenue (TTM)	kr6.96b

0.4x

P/E Ratio

0.1x

P/S Ratio

Is DOF overvalued?

See Fair Value and valuation analysis

Earnings & Revenue

Key profitability statistics from the latest earnings report
DOF income statement (TTM)
Revenue	kr6.96b
Cost of Revenue	kr3.14b
Gross Profit	kr3.82b
Other Expenses	kr2.80b
Earnings	kr1.01b

Last Reported Earnings

Mar 31, 2022

Next Earnings Date

Aug 25, 2022

Earnings per share (EPS)	3.20
Gross Margin	54.84%
Net Profit Margin	14.56%
Debt/Equity Ratio	-2,378.8%

How did DOF perform over the long term?

See historical performance and comparison

We’ve recently updated our valuation analysis.

Valuation

Is DOF undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

4/6

Valuation Score 4/6

Price-To-Earnings vs Peers
Price-To-Earnings vs Industry
Price-To-Earnings vs Fair Ratio
Below Fair Value
Significantly Below Fair Value
Analyst Forecast

Key Valuation Metric

Which metric is best to use when looking at relative valuation for DOF?

Other financial metrics that can be useful for relative valuation.

The above table shows the n/a ratio for DOF. This is calculated by dividing DOF's market cap by their current preferred multiple.
What is DOF's n/a Ratio?
n/a Ratio	0x
n/a	n/a
Market Cap	kr363.29m

DOF key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue	2.6x
Enterprise Value/EBITDA	9.5x
PEG Ratio	n/a

Price to Earnings Ratio vs Peers

How does DOF's PE Ratio compare to its peers?

DOF PE Ratio vs Peers

The above table shows the PE ratio for DOF vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
Company	PE	Estimated Growth	Market Cap
Peer Average	7.4x
CARBN Carbon Transition	1.2x	n/a	kr290.1m
HAVI Havila Shipping	2.3x	n/a	kr369.5m
EIOF Eidesvik Offshore	9.2x	n/a	kr561.8m
REACH Reach Subsea	16.7x	33.8%	kr796.2m
DOF DOF	0.4x	n/a	kr363.3m

Price-To-Earnings vs Peers: DOF is good value based on its Price-To-Earnings Ratio (0.4x) compared to the peer average (7.4x).

Price to Earnings Ratio vs Industry

How does DOF's PE Ratio compare vs other companies in the European Energy Services Industry?

Price-To-Earnings vs Industry: DOF is good value based on its Price-To-Earnings Ratio (0.4x) compared to the Norwegian Energy Services industry average (9.2x)

Price to Earnings Ratio vs Fair Ratio

What is DOF's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

DOF PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio	0.4x
Fair PE Ratio	n/a

Price-To-Earnings vs Fair Ratio: Insufficient data to calculate DOF's Price-To-Earnings Fair Ratio for valuation analysis.

Share Price vs Fair Value

What is the Fair Price of DOF when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: DOF (NOK1.19) is trading below our estimate of fair value (NOK16.81)

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

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

Analyst Forecast: Insufficient data to show price forecast.

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Future Growth

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

Future Growth Score

0/6

Future Growth Score 0/6

Earnings vs Savings Rate
Earnings vs Market
High Growth Earnings
Revenue vs Market
High Growth Revenue
Future ROE

45.6%

Forecasted Energy industry annual growth in earnings

In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as DOF has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.

This is quite a rare situation as 97% of companies covered by SimplyWall St do have past financial data.

Discover growth companies

Examine whether DOF is trading at an attractive price based on how much it is expected to earn in the future, and relative to its industry peers and the wider market.
DOF competitive advantages and company strategy can generally be found in its financial reports archived here.

Past Performance

How has DOF performed over the past 5 years?

Past Performance Score

3/6

Past Performance Score 3/6

Quality Earnings
Growing Profit Margin
Earnings Trend
Accelerating Growth
Earnings vs Industry
High ROE

-10.5%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: DOF has high quality earnings.

Growing Profit Margin: DOF became profitable in the past.

Past Earnings Growth Analysis

Earnings Trend: DOF has become profitable over the past 5 years, growing earnings by -10.5% per year.

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

Earnings vs Industry: DOF has become profitable in the last year, making it difficult to compare its past year earnings growth to the Energy Services industry (-45.5%).

Return on Equity

High ROE: DOF's liabilities exceed its assets, so it is difficult to calculate its Return on Equity.

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Financial Health

How is DOF's financial position?

Financial Health Score

0/6

Financial Health Score 0/6

Short Term Liabilities
Long Term Liabilities
Debt Level
Reducing Debt
Debt Coverage
Interest Coverage

Financial Position Analysis

Short Term Liabilities: DOF has negative shareholder equity, which is a more serious situation than short term assets not covering short term liabilities.

Long Term Liabilities: DOF has negative shareholder equity, which is a more serious situation than short term assets not covering long term liabilities.

Debt to Equity History and Analysis

Debt Level: DOF has negative shareholder equity, which is a more serious situation than a high debt level.

Reducing Debt: DOF's has negative shareholder equity, so we do not need to check if its debt has reduced over time.

Debt Coverage: DOF's debt is not well covered by operating cash flow (6.3%).

Interest Coverage: DOF's interest payments on its debt are not well covered by EBIT (0.9x coverage).

Balance Sheet

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Dividend

What is DOF current dividend yield, its reliability and sustainability?

Dividend Score

0/6

Dividend Score 0/6

Notable Dividend
High Dividend
Stable Dividend
Growing Dividend
Earnings Coverage
Cash Flow Coverage

Dividend Yield vs Market

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

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

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

Earnings Payout to Shareholders

Earnings Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.

Cash Payout to Shareholders

Cash Flow Coverage: Unable to calculate sustainability of dividends as DOF has not reported any payouts.

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Management

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

4.8yrs

Average board tenure

CEO

Mons Aase (56 yo)

17.58yrs

Tenure

kr6,682,000

Compensation

Mr. Mons Svendal Aase serves as Chief Executive Officer of DOF ASA since 2005 and serves as Director. He has been the Chief Executive Officer of DOF Subsea AS since 2005 and has been a part of Management t...

CEO Compensation Analysis

Compensation vs Market: Insufficient data to establish whether Mons's total compensation is reasonable compared to companies of similar size in the Norwegian market.

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

Board Members

Experienced Board: DOF's board of directors are considered experienced (4.8 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.

Ownership Breakdown

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

Data	Last Updated (UTC time)
Company Analysis	2022/08/18 00:00
End of Day Share Price	2022/08/18 00:00
Earnings	2022/03/31
Annual Earnings	2021/12/31