OB:NORTH

Stock Analysis Report

Executive Summary

North Energy ASA does not have significant operations.

Snowflake

Fundamentals

Flawless balance sheet and fair value.

Risks

  • North Energy has significant price volatility in the past 3 months.
  • North Energy is not covered by any analysts.

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

2.2%

OB:NORTH

3.4%

NO Energy Services

1.5%

NO Market


1 Year Return

-30.9%

OB:NORTH

-41.6%

NO Energy Services

-14.8%

NO Market

NORTH outperformed the Energy Services industry which returned -41.6% over the past year.

NORTH underperformed the Market in Norway which returned -14.8% over the past year.


Share holder returns

NORTHIndustryMarket
7 Day2.2%3.4%1.5%
30 Day-6.4%-14.6%-3.3%
90 Day-25.2%-21.9%-5.4%
1 Year-17.3%-30.9%-40.4%-41.6%-10.0%-14.8%
3 Year10.1%-16.4%-3.8%-10.5%38.1%19.9%
5 Year-59.6%-69.3%-51.2%-65.5%38.6%6.9%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is North Energy undervalued based on future cash flows and its price relative to the stock market?

>50%

Discount to future cash flow value


Intrinsic Value Based on Future Cash Flows

North Energy's share price is below the future cash flow value, and at a moderate discount (> 20%).

North Energy's share price is below the future cash flow value, and at a substantial discount (> 40%).


Price Based on Earnings

North Energy is loss making, we can't compare its value to the NO Energy Services industry average.

North Energy is loss making, we can't compare the value of its earnings to the Norway market.


Price Based on Expected Growth

Unable to calculate PEG ratio for North Energy, we can't assess if its growth is good value.


Price Based on Value of Assets

North Energy is good value based on assets compared to the NO Energy Services industry average.


Next Steps

Future Growth

How is North Energy expected to perform in the next 1 to 3 years based on estimates from 0 analysts?

43.8%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Unable to determine if North Energy is high growth as no revenue estimate data is available.

North Energy's earnings are expected to grow significantly at over 20% yearly.

Unable to compare North Energy's revenue growth to the Norway market average as no estimate data is available.

North Energy's earnings growth is expected to exceed the Norway market average.

North Energy's earnings growth is expected to exceed the low risk savings rate of 1.8%.


Earnings per Share Growth Estimates


Future Return on Equity

Unable to establish if North Energy will efficiently use shareholders’ funds in the future without estimates of Return on Equity.


Next Steps

Past Performance

How has North Energy performed over the past 5 years?

51.1%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

North Energy does not make a profit even though their year on year earnings growth rate was positive over the past 5 years.

Unable to compare North Energy's 1-year earnings growth to the 5-year average as it is not currently profitable.

Unable to compare North Energy's 1-year growth to the NO Energy Services industry average as it is not currently profitable.


Return on Equity

It is difficult to establish if North Energy has efficiently used shareholders’ funds last year (Return on Equity greater than 20%) as it is loss-making.


Return on Assets

It is difficult to establish if North Energy has efficiently used its assets last year compared to the NO Energy Services industry average (Return on Assets) as it is loss-making.


Return on Capital Employed

It is difficult to establish if North Energy improved its use of capital last year versus 3 years ago (Return on Capital Employed) as it is currently loss-making.


Next Steps

Financial Health

How is North Energy's financial position?


Financial Position Analysis

North Energy is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.

North Energy's cash and other short term assets cover its long term commitments.


Debt to Equity History and Analysis

North Energy has no debt.

North Energy has no debt compared to 5 years ago when it was 49.9%.


Balance Sheet

Low level of unsold assets.

North Energy has no debt, it does not need to be covered by short term assets.


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.

Whilst loss making North Energy has sufficient cash runway for more than 3 years if it maintains the current positive free cash flow level.

Whilst loss making North Energy has sufficient cash runway for more than 3 years, due to free cash flow being positive and growing by 33.7% per year.


Next Steps

Dividend

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

21.74%

Current Dividend Yield


Dividend Yield and Payments Analysis

North Energy's pays a higher dividend yield than the bottom 25% of dividend payers in Norway (2.72%).

North Energy's dividend is above the markets top 25% of dividend payers in Norway (6.43%).

It is too early to tell whether North Energy has stable dividend payments.

North Energy only just started paying a dividend, it is too early to tell if payments are increasing.


Current Payout to Shareholders

The company is paying a dividend however it is incurring a loss.


Future Payout to Shareholders

Insufficient estimate data to determine if a dividend will be paid in 3 years and that it will be sustainable.


Next Steps

Management

What is the CEO of North Energy's salary, the management and board of directors tenure and is there insider trading?

5.3yrs

Average board tenure


CEO

Knut Sæberg (60yo)

4.8yrs

Tenure

kr2,144,000

Compensation

Mr. Knut Sæberg has been the Chief Executive Officer of North Energy AS since October 2014. Mr. Sæberg served as the Acting Chief Executive Officer and Chief Financial Officer of North Energy AS until Octo ...


CEO Compensation Analysis

Knut's remuneration is about average for companies of similar size in Norway.

Knut's compensation has been consistent with company performance over the past year, both up more than 20%.


Board Age and Tenure

5.3yrs

Average Tenure

58yo

Average Age

The tenure for the North Energy board of directors is about average.


Insider Trading

More shares have been bought than sold by North Energy individual insiders in the past 3 months.


Recent Insider Transactions

Buykr288,29003 Jun 19
Anders Onarheim
EntityIndividual
Role
Chairman of the Board
Chairman of the Board
Shares202,309
Max Pricekr1.42

Ownership Breakdown


Management Team

  • Knut Sæberg (60yo)

    Chief Executive Officer

    • Tenure: 4.8yrs
    • Compensation: kr2.14m
  • Rune Damm

    Finance Manager

    • Tenure: 0.0yrs

Board Members

  • Anders Onarheim (60yo)

    Chairman of the Board

    • Tenure: 4.8yrs
    • Compensation: kr225.00k
  • Jogeir Romestrand (58yo)

    Director

    • Tenure: 5.5yrs
    • Compensation: kr225.00k
  • Elin Karfjell (54yo)

    Director

    • Tenure: 5.3yrs
    • Compensation: kr225.00k

Company Information

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


Key Information

  • Name: North Energy ASA
  • Ticker: NORTH
  • Exchange: OB
  • Founded: 2007
  • Industry: Oil and Gas Equipment and Services
  • Sector: Energy
  • Market Cap: kr161.807m
  • Shares outstanding: 117.25m
  • Website: https://www.northenergy.no

Number of Employees


Location

  • North Energy ASA
  • Tjuvholmen allé 3
  • Oslo
  • Oslo
  • 252
  • Norway

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
NORTHOB (Oslo Bors)YesOrdinary SharesNONOKFeb 2010

Biography

North Energy ASA does not have significant operations. Previously, it was engaged in the exploration, development, and production of oil and gas in the Norwegian continental shelf. The company was founded  ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/08/24 22:04
End of Day Share Price2019/08/23 00:00
Earnings2019/06/30
Annual Earnings2018/12/31


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.