NasdaqGS:PDCE

Stock Analysis Report

NOT FOR DISTRIBUTION
Header cover image

Executive Summary

PDC Energy, Inc., an independent exploration and production company, acquires, explores for, develops, and produces crude oil, natural gas, and natural gas liquids in the United States. More Details


Snowflake Analysis

Fair value with moderate growth potential.


Similar Companies

Share Price & News

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


Latest Share Price and Events

Stable Share Price: PDCE's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

2.0%

PDCE

1.9%

US Oil and Gas

0.4%

US Market


1 Year Return

-39.2%

PDCE

-45.8%

US Oil and Gas

17.8%

US Market

Return vs Industry: PDCE exceeded the US Oil and Gas industry which returned -45.8% over the past year.

Return vs Market: PDCE underperformed the US Market which returned 17.8% over the past year.


Shareholder returns

PDCEIndustryMarket
7 Day2.0%1.9%0.4%
30 Day12.0%3.4%6.1%
90 Day-7.5%-14.4%8.9%
1 Year-39.2%-39.2%-42.4%-45.8%20.5%17.8%
3 Year-73.6%-73.6%-45.3%-52.5%42.3%32.9%
5 Year-78.9%-78.9%-43.2%-54.2%84.2%63.4%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is PDC Energy undervalued compared to its fair value and its price relative to the market?

35.3%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: PDCE ($13.16) is trading below our estimate of fair value ($20.33)

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


Price To Earnings Ratio

PE vs Industry: PDCE is unprofitable, so we can't compare its PE Ratio to the US Oil and Gas industry average.

PE vs Market: PDCE 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 PDCE's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: PDCE is good value based on its PB Ratio (0.5x) compared to the US Oil and Gas industry average (0.8x).


Next Steps

Future Growth

How is PDC Energy forecast to perform in the next 1 to 3 years based on estimates from 9 analysts?

74.7%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: PDCE is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (2.2%).

Earnings vs Market: PDCE is forecast to become profitable over the next 3 years, which is considered above average market growth.

High Growth Earnings: PDCE's is expected to become profitable in the next 3 years.

Revenue vs Market: PDCE's revenue (4.6% per year) is forecast to grow slower than the US market (9.9% per year).

High Growth Revenue: PDCE's revenue (4.6% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: PDCE's Return on Equity is forecast to be low in 3 years time (6.3%).


Next Steps

Past Performance

How has PDC Energy performed over the past 5 years?

-20.0%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: PDCE is currently unprofitable.

Growing Profit Margin: PDCE is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: PDCE is unprofitable, and losses have increased over the past 5 years at a rate of 20% per year.

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

Earnings vs Industry: PDCE is unprofitable, making it difficult to compare its past year earnings growth to the Oil and Gas industry (-35%).


Return on Equity

High ROE: PDCE has a negative Return on Equity (-26.17%), as it is currently unprofitable.


Next Steps

Financial Health

How is PDC Energy's financial position?


Financial Position Analysis

Short Term Liabilities: PDCE's short term assets ($427.5M) do not cover its short term liabilities ($522.9M).

Long Term Liabilities: PDCE's short term assets ($427.5M) do not cover its long term liabilities ($2.3B).


Debt to Equity History and Analysis

Debt Level: PDCE's debt to equity ratio (73.2%) is considered high.

Reducing Debt: PDCE's debt to equity ratio has increased from 50.5% to 73.2% 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 PDCE has sufficient cash runway for more than 3 years if it maintains its current positive free cash flow level.

Forecast Cash Runway: PDCE is unprofitable but has sufficient cash runway for more than 3 years, due to free cash flow being positive and growing by 37.4% per year.


Next Steps

Dividend

What is PDC Energy current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

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

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

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


Next Steps

Management

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

2.5yrs

Average management tenure


CEO

Bart Brookman (58 yo)

5.75yrs

Tenure

US$7,730,290

Compensation

Mr. Barton R. Brookman, Jr., also known as Bart, has been the Chief Executive Officer and President at PDC Energy, Inc., since January 1, 2015 and June 2014 respectively. Mr. Brookman served as the Chief O ...


CEO Compensation Analysis

Compensation vs Market: Bart's total compensation ($USD7.73M) is above average for companies of similar size in the US market ($USD4.43M).

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


Leadership Team

NamePositionTenureCompensationOwnership
Barton Brookman
CEO, President & Director5.75yrsUS$7.73m0.19%
$ 2.4m
R. Meyers
Chief Financial Officer2.75yrsUS$2.75m0.020%
$ 257.7k
Nicole Martinet
General Counsel1.75yrsUS$1.40m0.038%
$ 502.1k
Lance Lauck
Executive Vice President of Corporate Development & Strategy5.75yrsUS$3.18m0.087%
$ 1.1m
David Lillo
Senior Vice President of Operations0.17yrno data0.023%
$ 300.9k
Douglas Griggs
Chief Accounting Officer2.33yrsno data0.0065%
$ 85.6k
Erik Roach
Director of Reservoir Engineering & Technology2.17yrsno datano data
George Courcier
Vice President of Marketing & Midstreamno datano datano data
Crystal Rakosky
Director of Human Resources2.25yrsno datano data
Ronald Wirth
Vice President of Finance & Treasurer7.92yrsno datano data
Troy Welling
Controller2.75yrsno datano data

2.5yrs

Average Tenure

58yo

Average Age

Experienced Management: PDCE's management team is considered experienced (2.5 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Barton Brookman
CEO, President & Director5.75yrsUS$7.73m0.19%
$ 2.4m
Paul Korus
Director0.75yrno data0.015%
$ 191.2k
Randy Nickerson
Independent Director3.58yrsUS$261.15k0.0081%
$ 106.7k
David Parke
Independent Director16.92yrsUS$276.15k0.015%
$ 193.1k
Lynn Peterson
Director0.75yrno data0.22%
$ 2.9m
Anthony Crisafio
Independent Director14yrsUS$286.15k0.017%
$ 228.5k
Mark Ellis
Independent Non-Executive Chairman0.67yrUS$251.15k0.027%
$ 348.1k
Christina Ibrahim
Independent Director2.75yrsUS$257.03k0.0057%
$ 74.7k

3.2yrs

Average Tenure

60.5yo

Average Age

Experienced Board: PDCE's board of directors are considered experienced (3.2 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.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have been substantially diluted in the past year, with total shares outstanding growing by 59%.


Top Shareholders

Company Information

PDC Energy, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: PDC Energy, Inc.
  • Ticker: PDCE
  • Exchange: NasdaqGS
  • Founded: 1969
  • Industry: Oil and Gas Exploration and Production
  • Sector: Energy
  • Market Cap: US$1.311b
  • Shares outstanding: 99.60m
  • Website: https://www.pdce.com

Number of Employees


Location

  • PDC Energy, Inc.
  • 1775 Sherman Street
  • Suite 3000
  • Denver
  • Colorado
  • 80203
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
PDCENasdaqGS (Nasdaq Global Select)YesCommon StockUSUSDAug 1976
PD3DB (Deutsche Boerse AG)YesCommon StockDEEURAug 1976

Biography

PDC Energy, Inc., an independent exploration and production company, acquires, explores for, develops, and produces crude oil, natural gas, and natural gas liquids in the United States. The company’s opera ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/10/26 05:21
End of Day Share Price2020/10/23 00:00
Earnings2020/06/30
Annual Earnings2019/12/31


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.