NasdaqCM:ENG

Stock Analysis Report

Executive Summary

ENGlobal Corporation provides engineered modular solutions and professional services primarily to the energy industry worldwide.

Snowflake

Fundamentals

Flawless balance sheet and slightly overvalued.


Similar Companies

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

-1.9%

ENG

1.1%

US Energy Services

1.0%

US Market


1 Year Return

16.0%

ENG

-43.1%

US Energy Services

8.0%

US Market

Return vs Industry: ENG exceeded the US Energy Services industry which returned -43.1% over the past year.

Return vs Market: ENG exceeded the US Market which returned 8% over the past year.


Shareholder returns

ENGIndustryMarket
7 Day-1.9%1.1%1.0%
30 Day-3.8%-9.2%-0.07%
90 Day4.1%-17.6%-1.0%
1 Year16.0%16.0%-41.5%-43.1%10.4%8.0%
3 Year-32.2%-32.2%-53.3%-59.1%46.2%36.7%
5 Year-24.6%-24.6%-63.9%-69.2%64.3%46.2%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is ENGlobal 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: ENG ($1.01) is trading below our estimate of fair value ($9.69)

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


Price To Earnings Ratio

PE vs Industry: ENG is unprofitable, so we can't compare its PE Ratio to the Energy Services industry average.

PE vs Market: ENG is unprofitable, so we can't compare its PE Ratio to the US market.


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: ENG is overvalued based on its PB Ratio (2x) compared to the US Energy Services industry average (0.7x).


Next Steps

Future Growth

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

55.8%

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 ENGlobal 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.


Next Steps

Past Performance

How has ENGlobal performed over the past 5 years?

-55.6%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: ENG is unprofitable, and losses have increased over the past 5 years at a rate of -55.6% per year.

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

Earnings vs Industry: ENG is unprofitable, making it difficult to compare its past year earnings growth to the Energy Services industry (-13.1%).


Return on Equity

High ROE: ENG has a negative Return on Equity (-35.57%), as it is currently unprofitable.


Return on Assets

ROA vs Industry: ENG is currently unprofitable, so its Return on Assets is negative.


Return on Capital Employed

ROCE Improving: ENG is currently unprofitable, so its Return on Capital Employed is negative.


Next Steps

Financial Health

How is ENGlobal's financial position?


Financial Position Analysis

Short Term Liabilities: ENG's short term assets ($20.9M) exceeds its short term liabilities ($9.5M)

Long Term Liabilities: ENG's short term assets (20.9M) exceeds its long term liabilities (1.7M)


Debt to Equity History and Analysis

Debt Level: ENG is debt free.

Reducing Debt: ENG currently has no debt however we can't compare to 5 years ago as we have no data for that period.


Balance Sheet

Inventory Level: ENG has a low level of unsold assets or inventory.

Debt Coverage by Assets: Insufficient data to determine if ENG's debt is 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.

Stable Cash Runway: Whilst unprofitable ENG has sufficient cash runway for more than 3 years if it maintains its current positive free cash flow level.

Forecast Cash Runway: ENG is unprofitable but has sufficient cash runway for more than 3 years, even with free cash flow being positive and shrinking by -47% per year.


Next Steps

Dividend

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


Dividend Yield vs Market

companyn/amarketbottom25%1.4%markettop25%3.7%industryaverage4.3%forecastin3Yearsn/a

Current dividend yield vs market & industry


Stability and Growth of Payments

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

High Dividend: Unable to evaluate ENG's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.

Stable Dividend: Insufficient data to determine if ENG's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if ENG'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 ENG's dividend in 3 years as they are not forecast to pay a notable one for the US market.


Next Steps

Management

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

7.2yrs

Average management tenure


CEO

Bill Coskey (66yo)

7.2yrs

Tenure

US$49,442

Compensation

Mr. William A. Coskey, P.E Co-Founded ENGlobal Corp. in 1985 and has been Chief Executive Officer and President since August 1, 2012. Mr. Coskey serves as Chief Executive Officer and President of IDS Engin ...


CEO Compensation Analysis

Compensation vs. Market: Bill's total compensation ($USD49.44K) is too low to compare against companies of similar size in the US market ($USD509.77K).

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


Management Age and Tenure

7.2yrs

Average Tenure

66yo

Average Age

Experienced Management: ENG's management team is seasoned and experienced (7.2 years average tenure).


Board Age and Tenure

17.8yrs

Average Tenure

66yo

Average Age

Experienced Board: ENG's board of directors are seasoned and experienced ( 17.8 years average tenure).


Insider Trading

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown


Management Team

  • Bill Coskey (66yo)

    Founder

    • Tenure: 7.2yrs
    • Compensation: US$49.44k
  • Mike Patton (66yo)

    Senior Vice President

    • Tenure: 10yrs
    • Compensation: US$320.30k
  • Mark Hess (59yo)

    CFO, Treasurer & Corporate Secretary

    • Tenure: 7.1yrs
    • Compensation: US$220.46k
  • Robert Williams (66yo)

    Senior Vice President of Engineering & Construction Segment

    • Tenure: 7.9yrs
    • Compensation: US$240.01k
  • Scott Curd

    Vice President of Human Resources

    • Tenure: 0yrs
  • John Kratzert (56yo)

    Senior Vice President of Automation

    • Tenure: 1.8yrs

Board Members

  • Randy Hale (57yo)

    Independent Director

    • Tenure: 17.8yrs
    • Compensation: US$75.50k
  • Bill Coskey (66yo)

    Founder

    • Tenure: 7.2yrs
    • Compensation: US$49.44k
  • David Gent (66yo)

    Lead Independent Director

    • Tenure: 17.8yrs
    • Compensation: US$72.50k
  • David Roussel (70yo)

    Independent Director

    • Tenure: 17.8yrs
    • Compensation: US$72.50k
  • Kevin Palma (40yo)

    Independent Director

    • Tenure: 3.3yrs

Company Information

ENGlobal Corporation's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: ENGlobal Corporation
  • Ticker: ENG
  • Exchange: NasdaqCM
  • Founded: 1985
  • Industry: Oil and Gas Equipment and Services
  • Sector: Energy
  • Market Cap: US$27.679m
  • Shares outstanding: 27.40m
  • Website: https://www.englobal.com

Number of Employees


Location

  • ENGlobal Corporation
  • 654 North Sam Houston Parkway East
  • Suite 400
  • Houston
  • Texas
  • 77060
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
ENGNasdaqCM (Nasdaq Capital Market)YesCommon StockUSUSDJun 1995
4EGDB (Deutsche Boerse AG)YesCommon StockDEEURJun 1995

Biography

ENGlobal Corporation provides engineered modular solutions and professional services primarily to the energy industry worldwide. It operates in two segments, Engineering, Procurement and Construction Manag ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/21 23:35
End of Day Share Price2019/10/21 00:00
Earnings2019/06/29
Annual Earnings2018/12/29


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.