Executive Summary
Shelf Drilling, Ltd., through its subsidiaries, operates as a shallow water offshore drilling contractor in the Middle East, North Africa, the Mediterranean, South East Asia, India, and West Africa. More Details
Rewards
Risk Analysis
Currently unprofitable and not forecast to become profitable over the next 3 years
Snowflake Analysis
Fair value with imperfect balance sheet.
Similar Companies
Share Price & News
How has Shelf Drilling's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: SHLF is more volatile than 75% of Norwegian stocks over the past 3 months, typically moving +/- 11% a week.
Volatility Over Time: SHLF's weekly volatility (11%) has been stable over the past year, but is still higher than 75% of Norwegian stocks.
Market Performance
7 Day Return
3.4%
SHLF
-1.3%
NO Energy Services
-1.7%
NO Market
1 Year Return
68.4%
SHLF
46.5%
NO Energy Services
39.2%
NO Market
Return vs Industry: SHLF exceeded the Norwegian Energy Services industry which returned 46.5% over the past year.
Return vs Market: SHLF exceeded the Norwegian Market which returned 39.2% over the past year.
Shareholder returns
| SHLF | Industry | Market | |
|---|---|---|---|
| 7 Day | 3.4% | -1.3% | -1.7% |
| 30 Day | 3.4% | -2.3% | -1.4% |
| 90 Day | 48.6% | -5.0% | 2.3% |
| 1 Year | 68.4%68.4% | 52.5%46.5% | 44.9%39.2% |
| 3 Year | -92.7%-92.7% | -64.4%-66.8% | 11.8%-0.5% |
| 5 Year | n/a | -3.8%-26.2% | 77.7%44.9% |
Long-Term Price Volatility Vs. Market
How volatile is Shelf Drilling's share price compared to the market and industry in the last 5 years?
Simply Wall St News
3 weeks ago | Simply Wall St
Returns On Capital At Shelf Drilling (OB:SHLF) Paint A Concerning Picture4 months ago | Simply Wall St
Should You Be Worried About Shelf Drilling's (OB:SHLF) Returns On Capital?7 months ago | Simply Wall St
Should You Be Worried About Shelf Drilling's (OB:SHLF) Returns On Capital?Valuation
Is Shelf Drilling 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: SHLF (NOK5.17) is trading below our estimate of fair value (NOK46.85)
Significantly Below Fair Value: SHLF is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: SHLF is unprofitable, so we can't compare its PE Ratio to the Norwegian Energy Services industry average.
PE vs Market: SHLF is unprofitable, so we can't compare its PE Ratio to the Norwegian market.
Price to Earnings Growth Ratio
PEG Ratio: Insufficient data to calculate SHLF's PEG Ratio to determine if it is good value.
Price to Book Ratio
PB vs Industry: SHLF is good value based on its PB Ratio (0.3x) compared to the NO Energy Services industry average (0.7x).
Future Growth
How is Shelf Drilling forecast to perform in the next 1 to 3 years based on estimates from 2 analysts?
117.5%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: SHLF is forecast to remain unprofitable over the next 3 years.
Earnings vs Market: SHLF is forecast to remain unprofitable over the next 3 years.
High Growth Earnings: SHLF is forecast to remain unprofitable over the next 3 years.
Revenue vs Market: SHLF's revenue (6.8% per year) is forecast to grow faster than the Norwegian market (4.4% per year).
High Growth Revenue: SHLF's revenue (6.8% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: Insufficient data to determine if SHLF's Return on Equity is forecast to be high in 3 years time
Past Performance
How has Shelf Drilling performed over the past 5 years?
-32.9%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: SHLF is currently unprofitable.
Growing Profit Margin: SHLF is currently unprofitable.
Past Earnings Growth Analysis
Earnings Trend: SHLF is unprofitable, and losses have increased over the past 5 years at a rate of 32.9% per year.
Accelerating Growth: Unable to compare SHLF's earnings growth over the past year to its 5-year average as it is currently unprofitable
Earnings vs Industry: SHLF is unprofitable, making it difficult to compare its past year earnings growth to the Energy Services industry (-5.2%).
Return on Equity
High ROE: SHLF has a negative Return on Equity (-38.87%), as it is currently unprofitable.
Financial Health
How is Shelf Drilling's financial position?
Financial Position Analysis
Short Term Liabilities: SHLF's short term assets ($451.9M) exceed its short term liabilities ($118.8M).
Long Term Liabilities: SHLF's short term assets ($451.9M) do not cover its long term liabilities ($1.2B).
Debt to Equity History and Analysis
Debt Level: SHLF's debt to equity ratio (426.1%) is considered high.
Reducing Debt: SHLF's debt to equity ratio has increased from 210.1% to 426.1% 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: SHLF has sufficient cash runway for more than 3 years based on its current free cash flow.
Forecast Cash Runway: Insufficient data to determine if SHLF has enough cash runway if its free cash flow continues to grow or shrink based on historical rates.
Dividend
What is Shelf Drilling current dividend yield, its reliability and sustainability?
Dividend Yield vs Market
Notable Dividend: Unable to evaluate SHLF's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.
High Dividend: Unable to evaluate SHLF'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 SHLF's dividends per share have been stable in the past.
Growing Dividend: Insufficient data to determine if SHLF'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 SHLF'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?
5.0yrs
Average board tenure
CEO
David Mullen (62 yo)
8.58yrs
Tenure
Mr. David J. Mullen serves as the Chief Executive Officer at Shelf Drilling Holdings Limited and Shelf Drilling, Ltd since October 2012. Mr. Mullen was founder of Shelf Drilling Holdings Limited. Mr. Mulle...
Board Members
Experienced Board: SHLF'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.
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Top Shareholders
Company Information
Shelf Drilling, Ltd.'s company bio, employee growth, exchange listings and data sources
Key Information
- Name: Shelf Drilling, Ltd.
- Ticker: SHLF
- Exchange: OB
- Founded: 2012
- Industry: Oil and Gas Drilling
- Sector: Energy
- Market Cap: kr707.959m
- Shares outstanding: 136.94m
- Website: https://www.shelfdrilling.com
Number of Employees
Location
- Shelf Drilling, Ltd.
- One JLT
- Floor 12
- Dubai
- United Arab Emirates
Listings
Biography
Shelf Drilling, Ltd., through its subsidiaries, operates as a shallow water offshore drilling contractor in the Middle East, North Africa, the Mediterranean, South East Asia, India, and West Africa. It pro...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2021/05/13 02:25 |
| End of Day Share Price | 2021/05/12 00:00 |
| Earnings | 2021/03/31 |
| Annual Earnings | 2020/12/31 |
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.