OB:TGS

Stock Analysis Report

TGS-NOPEC Geophysical

Executive Summary

TGS-NOPEC Geophysical Company ASA provides geoscientific data products and services to the oil and gas industry worldwide.

Snowflake

Fundamentals

Excellent balance sheet with proven track record and pays a dividend.


Similar Companies

Share Price & News

How has TGS-NOPEC Geophysical's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

3.6%

OB:TGS

-5.6%

NO Energy Services

-1.6%

NO Market


1 Year Return

-34.5%

OB:TGS

-42.0%

NO Energy Services

-14.3%

NO Market

TGS outperformed the Energy Services industry which returned -42% over the past year.

TGS underperformed the Market in Norway which returned -14.3% over the past year.


Share holder returns

TGSIndustryMarket
7 Day3.6%-5.6%-1.6%
30 Day-10.1%-15.8%-4.9%
90 Day-15.6%-27.2%-8.3%
1 Year-32.1%-34.5%-40.9%-42.0%-9.6%-14.3%
3 Year55.4%42.0%-8.9%-15.2%36.7%19.1%
5 Year39.3%18.3%-53.6%-67.0%37.0%6.3%

Price Volatility Vs. Market

How volatile is TGS-NOPEC Geophysical's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is TGS-NOPEC Geophysical undervalued based on future cash flows and its price relative to the stock market?

48%

Discount to future cash flow value


Intrinsic Value Based on Future Cash Flows

TGS-NOPEC Geophysical's share price is below the future cash flow value, and at a moderate discount (> 20%).

TGS-NOPEC Geophysical's share price is below the future cash flow value, and at a substantial discount (> 40%).


Price Based on Earnings

TGS-NOPEC Geophysical is overvalued based on earnings compared to the NO Energy Services industry average.

TGS-NOPEC Geophysical is overvalued based on earnings compared to the Norway market.


Price Based on Expected Growth

TGS-NOPEC Geophysical is good value based on expected growth next year.


Price Based on Value of Assets

TGS-NOPEC Geophysical is overvalued based on assets compared to the NO Energy Services industry average.


Next Steps

Future Growth

How is TGS-NOPEC Geophysical expected to perform in the next 1 to 3 years based on estimates from 9 analysts?

27.3%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

TGS-NOPEC Geophysical's revenue is expected to grow by 16.6% yearly, however this is not considered high growth (20% yearly).

TGS-NOPEC Geophysical's earnings are expected to grow significantly at over 20% yearly.

TGS-NOPEC Geophysical's revenue growth is expected to exceed the Norway market average.

TGS-NOPEC Geophysical's earnings growth is expected to exceed the Norway market average.

TGS-NOPEC Geophysical's earnings growth is expected to exceed the low risk savings rate of 1.8%.


Earnings per Share Growth Estimates


Future Return on Equity

TGS-NOPEC Geophysical is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).


Next Steps

Past Performance

How has TGS-NOPEC Geophysical performed over the past 5 years?

-9.0%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

TGS-NOPEC Geophysical's year on year earnings growth rate was negative over the past 5 years, however the most recent earnings are above average.

TGS-NOPEC Geophysical's 1-year earnings growth exceeds its 5-year average (88.6% vs -9%)

TGS-NOPEC Geophysical's earnings growth has exceeded the NO Energy Services industry average in the past year (88.6% vs -17.7%).


Return on Equity

TGS-NOPEC Geophysical has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).


Return on Assets

TGS-NOPEC Geophysical used its assets more efficiently than the NO Energy Services industry average last year based on Return on Assets.


Return on Capital Employed

TGS-NOPEC Geophysical has significantly improved its use of capital last year versus 3 years ago (Return on Capital Employed).


Next Steps

Financial Health

How is TGS-NOPEC Geophysical's financial position?


Financial Position Analysis

TGS-NOPEC Geophysical is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.

TGS-NOPEC Geophysical's cash and other short term assets cover its long term commitments.


Debt to Equity History and Analysis

TGS-NOPEC Geophysical's level of debt (0.2%) compared to net worth is satisfactory (less than 40%).

Unable to establish if TGS-NOPEC Geophysical's debt level has increased without past 5-year debt data.

Debt is well covered by operating cash flow (17111%, greater than 20% of total debt).

TGS-NOPEC Geophysical earns more interest than it pays, coverage of interest payments is not a concern.


Balance Sheet

Low level of unsold assets.

Debt is covered by short term assets, assets are 294.3x debt.


Next Steps

Dividend

What is TGS-NOPEC Geophysical's current dividend yield, its reliability and sustainability?

5.67%

Expected Dividend Yield


Dividend Yield and Payments Analysis

TGS-NOPEC Geophysical's pays a higher dividend yield than the bottom 25% of dividend payers in Norway (2.74%).

TGS-NOPEC Geophysical's dividend is below the markets top 25% of dividend payers in Norway (6.45%).

Dividends per share have been volatile in the past 10 years (annual drop of over 20%).

Dividends per share have increased over the past 10 years.


Current Payout to Shareholders

Dividends paid are covered by earnings (1.5x coverage).


Future Payout to Shareholders

Dividends after 3 years are expected to be covered by earnings (1.8x coverage).


Next Steps

Management

What is the CEO of TGS-NOPEC Geophysical's salary, the management and board of directors tenure and is there insider trading?

3.4yrs

Average management tenure


CEO

Kristian Johansen (48yo)

3.4yrs

Tenure

US$2,157,000

Compensation

Mr. Kristian Kuvaas Johansen has been the Chief Executive Officer of TGS-NOPEC Geophysical Company ASA since March 11, 2016 and has been its Interim Leader North & South America since January 13, 2017. Mr. ...


CEO Compensation Analysis

Kristian's remuneration is higher than average for companies of similar size in Norway.

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


Management Age and Tenure

3.4yrs

Average Tenure

48yo

Average Age

The tenure for the TGS-NOPEC Geophysical management team is about average.


Board Age and Tenure

5.2yrs

Average Tenure

61.5yo

Average Age

The tenure for the TGS-NOPEC Geophysical board of directors is about average.


Insider Trading

More shares have been bought than sold by TGS-NOPEC Geophysical individual insiders in the past 3 months.


Recent Insider Transactions

BuyUS$1,441,51015 Aug 19
Kristian Johansen
EntityIndividual
Role
Chief Executive Officer
Chief Executive Officer
Shares7,000
Max PriceUS$205.93
BuyUS$328,83029 Jul 19
Kristian Johansen
EntityIndividual
Role
Chief Executive Officer
Chief Executive Officer
Shares1,500
Max PriceUS$219.22
BuyUS$509,00001 Nov 18
Sven Larsen
EntityIndividual
Role
Chief Financial Officer
Chief Financial Officer
Shares2,000
Max PriceUS$254.50
BuyUS$152,58001 Nov 18
Knut Agersborg
EntityIndividual
Role
Senior Key Executive
Senior Vice President of Global Services
Shares600
Max PriceUS$254.30
BuyUS$127,41001 Nov 18
Erik Finnstrom
EntityIndividual
Role
Senior Key Executive
Senior Vice President of New Ventures
Shares500
Max PriceUS$254.82

Ownership Breakdown


Management Team

  • Tana Pool (59yo)

    Senior VP of Legal & HR

    • Tenure: 6.6yrs
    • Compensation: US$615.00k
  • Zhiming Li

    Senior Vice President of Data Processing and Research & Development

    • Tenure: 12.6yrs
    • Compensation: US$820.00k
  • Kristian Johansen (48yo)

    Chief Executive Officer

    • Tenure: 3.4yrs
    • Compensation: US$2.16m
  • Sven Larsen (43yo)

    Chief Financial Officer

    • Tenure: 3.9yrs
    • Compensation: US$835.00k
  • Knut Agersborg

    Senior Vice President of Global Services

    • Tenure: 0.0yrs
    • Compensation: US$395.00k
  • Katja Akentieva

    Senior VP of Onshore Seismic & Well Data Products

    • Tenure: 3.3yrs
    • Compensation: US$639.00k
  • Will Ashby

    Senior Vice President of North America

    • Tenure: 0.6yrs
    • Compensation: US$585.00k
  • Fredrik Amundsen

    Senior VP of Europe & Asia Pacific

    • Tenure: 3.3yrs
    • Compensation: US$597.00k
  • Tanya Herwanger

    VP of Africa and Middle East

    • Tenure: 3.6yrs
    • Compensation: US$358.50k
  • Erik Finnstrom

    Senior Vice President of New Ventures

    • Tenure: 1.6yrs
    • Compensation: US$249.00k

Board Members

  • Hank Hamilton (60yo)

    Chairman

    • Tenure: 10.2yrs
    • Compensation: US$200.00k
  • Torstein Sanness (72yo)

    Independent Director

    • Tenure: 3.3yrs
    • Compensation: US$82.00k
  • Chris Finlayson (63yo)

    Independent Director

    • Tenure: 0.3yrs
  • Wenche Agerup (55yo)

    Independent Director

    • Tenure: 4.3yrs
    • Compensation: US$82.00k
  • Mark Leonard (64yo)

    Independent Director

    • Tenure: 10.6yrs
    • Compensation: US$88.00k
  • Tor Lønnum (52yo)

    Independent Director

    • Tenure: 6.2yrs
    • Compensation: US$88.00k
  • Vicki Messer (70yo)

    Independent Director

    • Tenure: 8.2yrs
    • Compensation: US$82.00k
  • Irene Egset (53yo)

    Independent Director

    • Tenure: 0.3yrs

Company Information

TGS-NOPEC Geophysical Company ASA's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: TGS-NOPEC Geophysical Company ASA
  • Ticker: TGS
  • Exchange: OB
  • Founded: 1981
  • Industry: Oil and Gas Equipment and Services
  • Sector: Energy
  • Market Cap: kr24.538b
  • Shares outstanding: 117.80m
  • Website: https://www.tgs.com

Number of Employees


Location

  • TGS-NOPEC Geophysical Company ASA
  • Lensmannslia 4
  • Asker
  • 1386
  • Norway

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
TGSOB (Oslo Bors)YesOrdinary SharesNONOKOct 1997
TGCDB (Deutsche Boerse AG)YesOrdinary SharesDEEUROct 1997
TGSN.FOTCPK (Pink Sheets LLC)YesOrdinary SharesUSUSDOct 1997
0MSJLSE (London Stock Exchange)YesOrdinary SharesGBNOKOct 1997
TGSOBATS-CHIXE (BATS 'Chi-X Europe')YesOrdinary SharesGBNOKOct 1997
TGSG.YOTCPK (Pink Sheets LLC)SPONSORED ADRUSUSDOct 2008

Biography

TGS-NOPEC Geophysical Company ASA provides geoscientific data products and services to the oil and gas industry worldwide. The company offers geophysical multi-client data, including seismic data; and geop ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/08/19 21:05
End of Day Share Price2019/08/19 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.