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SOFF

Solstad Offshore OB:SOFF Stock Report

Last Price

kr26.25

Market Cap

kr2.0b

7D

-17.7%

1Y

363.0%

Updated

26 Jun, 2022

Data

Company Financials
SOFF fundamental analysis
Snowflake Score
Valuation4/6
Future Growth0/6
Past Performance0/6
Financial Health2/6
Dividends0/6

SOFF Stock Overview

Solstad Offshore ASA operates offshore service and construction vessels for offshore and renewable energy industry worldwide.

Solstad Offshore Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Solstad Offshore
Historical stock prices
Current Share Pricekr26.25
52 Week Highkr49.50
52 Week Lowkr4.46
Beta2.91
1 Month Change-29.05%
3 Month Change55.33%
1 Year Change362.96%
3 Year Change-98.31%
5 Year Change-99.73%
Change since IPO-99.94%

Recent News & Updates

Apr 05
Here's Why Solstad Offshore (OB:SOFF) Has A Meaningful Debt Burden

Here's Why Solstad Offshore (OB:SOFF) Has A Meaningful Debt Burden

Legendary fund manager Li Lu (who Charlie Munger backed) once said, 'The biggest investment risk is not the volatility...

Shareholder Returns

SOFFNO Energy ServicesNO Market
7D-17.7%-7.0%-3.4%
1Y363.0%23.2%3.2%

Return vs Industry: SOFF exceeded the Norwegian Energy Services industry which returned 23.2% over the past year.

Return vs Market: SOFF exceeded the Norwegian Market which returned 3.2% over the past year.

Price Volatility

Is SOFF's price volatile compared to industry and market?
SOFF volatility
SOFF Average Weekly Movement18.2%
Energy Services Industry Average Movement10.0%
Market Average Movement7.2%
10% most volatile stocks in NO Market12.7%
10% least volatile stocks in NO Market4.0%

Stable Share Price: SOFF is more volatile than 90% of Norwegian stocks over the past 3 months, typically moving +/- 18% a week.

Volatility Over Time: SOFF's weekly volatility has increased from 13% to 18% over the past year.

About the Company

FoundedEmployeesCEOWebsite
19643,600Lars Solstadhttps://www.solstad.com

Solstad Offshore ASA operates offshore service and construction vessels for offshore and renewable energy industry worldwide. It provides platform supply vessel, anchor handling vessel, subsea construction, and renewable energy services. The company offers subsea construction and renewable energy services, such as geotechnical work, walk to work services, grouting, SURF operations, deep sea mining, cable laying and repair, trenching and burial, ROV support, installation of subsea equipment, survey work, IMR operations, node seismic operations, and diving and topside maintenance work.

Solstad Offshore Fundamentals Summary

How do Solstad Offshore's earnings and revenue compare to its market cap?
SOFF fundamental statistics
Market Capkr2.03b
Earnings (TTM)-kr1.03b
Revenue (TTM)kr5.04b

0.4x

P/S Ratio

-2.0x

P/E Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
SOFF income statement (TTM)
Revenuekr5.04b
Cost of Revenuekr2.45b
Gross Profitkr2.59b
Other Expenseskr3.62b
Earnings-kr1.03b

Last Reported Earnings

Mar 31, 2022

Next Earnings Date

Aug 18, 2022

Earnings per share (EPS)-13.29
Gross Margin51.41%
Net Profit Margin-20.40%
Debt/Equity Ratio643.1%

How did SOFF perform over the long term?

See historical performance and comparison
We’ve recently updated our valuation analysis.

Valuation

Is SOFF 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-Sales vs Peers

  • Price-To-Sales vs Industry

  • Price-To-Sales vs Fair Ratio

  • Below Fair Value

  • Significantly Below Fair Value

  • PEG Ratio

Key Valuation Metric

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

Other financial metrics that can be useful for relative valuation.

SOFF 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/Revenue4.1x
Enterprise Value/EBITDA19.5x
PEG Ration/a

Price to Sales Ratio vs Peers

How does SOFF's PS Ratio compare to its peers?

SOFF PS Ratio vs Peers
The above table shows the PS ratio for SOFF vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPSEstimated GrowthMarket Cap
Peer Average1.9x
SIOFF Siem Offshore
1xn/akr2.6b
AKAST Akastor
2.2x-13.1%kr2.2b
MSEIS Magseis Fairfield
0.5x7.3%kr1.5b
SDSD S.D. Standard ETC
4xn/akr1.0b
SOFF Solstad Offshore
0.4xn/akr2.0b

Price-To-Sales vs Peers: SOFF is good value based on its Price-To-Sales Ratio (0.4x) compared to the peer average (1.9x).


Price to Earnings Ratio vs Industry

How does SOFF's PE Ratio compare vs other companies in the NO Energy Services Industry?

Price-To-Sales vs Industry: SOFF is good value based on its Price-To-Sales Ratio (0.4x) compared to the Norwegian Energy Services industry average (1x)


Price to Sales Ratio vs Fair Ratio

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

SOFF PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio0.4x
Fair PS Ration/a

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


Share Price vs Fair Value

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

Below Fair Value: SOFF (NOK26.25) is trading below our estimate of fair value (NOK188.56)

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


Price to Earnings Growth Ratio

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


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Future Growth

How is Solstad Offshore forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

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


42.9%

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 Solstad Offshore 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 Solstad Offshore 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.
  • Solstad Offshore competitive advantages and company strategy can generally be found in its financial reports archived here.

Past Performance

How has Solstad Offshore performed over the past 5 years?

Past Performance Score

0/6

Past Performance Score 0/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


32.2%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: SOFF is currently unprofitable.

Growing Profit Margin: SOFF is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: SOFF is unprofitable, but has reduced losses over the past 5 years at a rate of 32.2% per year.

Accelerating Growth: Unable to compare SOFF's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: SOFF is unprofitable, making it difficult to compare its past year earnings growth to the Energy Services industry (-45.5%).


Return on Equity

High ROE: SOFF has a negative Return on Equity (-38.13%), as it is currently unprofitable.


Discover strong past performing companies

Financial Health

How is Solstad Offshore's financial position?

Financial Health Score

2/6

Financial Health Score 2/6

  • Short Term Liabilities

  • Long Term Liabilities

  • Debt Level

  • Reducing Debt

  • Stable Cash Runway

  • Forecast Cash Runway

Financial Position Analysis

Short Term Liabilities: SOFF's short term assets (NOK3.9B) do not cover its short term liabilities (NOK4.4B).

Long Term Liabilities: SOFF's short term assets (NOK3.9B) do not cover its long term liabilities (NOK17.4B).


Debt to Equity History and Analysis

Debt Level: SOFF's net debt to equity ratio (566.6%) is considered high.

Reducing Debt: SOFF's debt to equity ratio has increased from 448.1% to 643.1% 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: Whilst unprofitable SOFF has sufficient cash runway for more than 3 years if it maintains its current positive free cash flow level.

Forecast Cash Runway: SOFF is unprofitable but has sufficient cash runway for more than 3 years, due to free cash flow being positive and growing by 30.9% per year.


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Dividend

What is Solstad Offshore 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

  • Future Dividend Coverage

Dividend Yield vs Market

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

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

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


Earnings Payout to Shareholders

Earnings Coverage: SOFF is not paying a notable dividend for the Norwegian market.


Cash Payout to Shareholders

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


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Management

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

3.4yrs

Average management tenure


CEO

Lars Solstad

no data

Tenure

kr7,009,000

Compensation

Mr. Lars Peder Solstad serves as Chief Executive Officer of Solstad Offshore ASA and has been its Managing Director since 2002.


CEO Compensation Analysis

Compensation vs Market: Lars's total compensation ($USD710.24K) is above average for companies of similar size in the Norwegian market ($USD536.37K).

Compensation vs Earnings: Lars's compensation has increased whilst the company is unprofitable.


Leadership Team

Experienced Management: SOFF's management team is considered experienced (3.4 years average tenure).


Board Members

Experienced Board: SOFF's board of directors are not considered experienced ( 2 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 been diluted in the past year, with total shares outstanding growing by 3%.


Top Shareholders

Company Information

Solstad Offshore ASA's employee growth, exchange listings and data sources


Key Information

  • Name: Solstad Offshore ASA
  • Ticker: SOFF
  • Exchange: OB
  • Founded: 1964
  • Industry: Oil and Gas Equipment and Services
  • Sector: Energy
  • Implied Market Cap: kr2.029b
  • Shares outstanding: 77.31m
  • Website: https://www.solstad.com

Number of Employees


Location

  • Solstad Offshore ASA
  • Nesavegen 39
  • Skudeneshavn
  • Rogaland
  • 4280
  • Norway

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/06/26 00:00
End of Day Share Price2022/06/24 00:00
Earnings2022/03/31
Annual Earnings2021/12/31


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.