NasdaqCM:PEIX

Stock Analysis Report

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Executive Summary

Pacific Ethanol, Inc. produces and markets low-carbon renewable fuels and alcohol products in the United States. More Details


Snowflake Analysis

Moderate growth potential and slightly overvalued.


Similar Companies

Share Price & News

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


Latest Share Price and Events

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


Market Performance


7 Day Return

-27.5%

PEIX

-6.8%

US Oil and Gas

-4.1%

US Market


1 Year Return

1,069.1%

PEIX

-48.3%

US Oil and Gas

12.0%

US Market

Return vs Industry: PEIX exceeded the US Oil and Gas industry which returned -48.3% over the past year.

Return vs Market: PEIX exceeded the US Market which returned 12% over the past year.


Shareholder returns

PEIXIndustryMarket
7 Day-27.5%-6.8%-4.1%
30 Day-12.0%-3.1%-0.2%
90 Day173.6%-17.3%2.8%
1 Year1,069.1%1,069.1%-45.0%-48.3%14.6%12.0%
3 Year40.5%40.5%-49.5%-56.2%35.8%26.8%
5 Year22.2%22.2%-46.6%-57.0%75.2%55.6%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Pacific Ethanol 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: PEIX ($6.43) is trading below our estimate of fair value ($20.49)

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


Price To Earnings Ratio

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

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


Price to Book Ratio

PB vs Industry: PEIX is overvalued based on its PB Ratio (1.7x) compared to the US Oil and Gas industry average (0.7x).


Next Steps

Future Growth

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

149.2%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

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

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

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

Revenue vs Market: PEIX's revenue is expected to decline over the next 3 years (-3.6% per year).

High Growth Revenue: PEIX's revenue is forecast to decline over the next 3 years (-3.6% per year).


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: Insufficient data to determine if PEIX's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has Pacific Ethanol performed over the past 5 years?

-48.2%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: PEIX is currently unprofitable.

Growing Profit Margin: PEIX is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: PEIX is unprofitable, and losses have increased over the past 5 years at a rate of 48.2% per year.

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

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


Return on Equity

High ROE: PEIX has a negative Return on Equity (-43.24%), as it is currently unprofitable.


Next Steps

Financial Health

How is Pacific Ethanol's financial position?


Financial Position Analysis

Short Term Liabilities: PEIX's short term assets ($131.8M) do not cover its short term liabilities ($147.0M).

Long Term Liabilities: PEIX's short term assets ($131.8M) do not cover its long term liabilities ($139.4M).


Debt to Equity History and Analysis

Debt Level: PEIX's debt to equity ratio (91.1%) is considered high.

Reducing Debt: PEIX's debt to equity ratio has increased from 13.8% to 91.1% 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 PEIX has sufficient cash runway for more than 3 years if it maintains its current positive free cash flow level.

Forecast Cash Runway: PEIX is unprofitable but has sufficient cash runway for more than 3 years, even with free cash flow being positive and shrinking by 22.8% per year.


Next Steps

Dividend

What is Pacific Ethanol current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

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

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

Growing Dividend: Insufficient data to determine if PEIX'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 PEIX'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?

5.3yrs

Average management tenure


CEO

Mike Kandris (72 yo)

0.083

Tenure

US$433,545

Compensation

Mr. Michael D. Kandris, also known as Mike, serves as President and Chief Executive Officer at Pacific Ethanol, Inc. since September 30, 2020. Mr. Kandris served as Co-President and Co-Chief Executive Offi ...


CEO Compensation Analysis

Compensation vs Market: Mike's total compensation ($USD433.55K) is below average for companies of similar size in the US market ($USD1.96M).

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


Leadership Team

NamePositionTenureCompensationOwnership
William Jones
Founder & Independent Chairman of the Board15.58yrsUS$137.68k0.24%
$ 1.1m
Michael Kandris
CEO, President0.083yrUS$433.55k0.67%
$ 3.0m
Neil Koehler
Founder & Director15.58yrsUS$694.95k1.36%
$ 6.0m
Bryon McGregor
Chief Financial Officer10.92yrsUS$400.04k0.45%
$ 2.0m
Christopher Wright
VP, General Counsel & Secretary14.33yrsUS$538.01k0.26%
$ 1.2m
Paul Koehler
Vice President of Commodities & Corporate Development5.25yrsno data0.33%
$ 1.4m
Ed Baker
Vice President of Human Resourcesno datano datano data
Winston Mar
Chief Restructuring Officer0.58yrno datano data

5.3yrs

Average Tenure

62yo

Average Age

Experienced Management: PEIX's management team is seasoned and experienced (5.3 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
William Jones
Founder & Independent Chairman of the Board15.58yrsUS$137.68k0.24%
$ 1.1m
Michael Kandris
CEO, President0.083yrUS$433.55k0.67%
$ 3.0m
Neil Koehler
Founder & Director15.58yrsUS$694.95k1.36%
$ 6.0m
John Prince
Lead Independent Director8yrsUS$103.78k0.17%
$ 754.6k
Terry Stone
Independent Director15.58yrsUS$91.78k0.19%
$ 850.0k
Douglas Kieta
Independent Director14.5yrsUS$91.78k0.21%
$ 939.8k
Dianne Nury
Independent Director0.92yrUS$66.78k0.050%
$ 219.6k
Gilbert Nathan
Independent Director0.92yrUS$66.78k0.35%
$ 1.5m

13.4yrs

Average Tenure

70yo

Average Age

Experienced Board: PEIX's board of directors are seasoned and experienced ( 13.4 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: PEIX 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 diluted in the past year, with total shares outstanding growing by 37.6%.


Top Shareholders

Company Information

Pacific Ethanol, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Pacific Ethanol, Inc.
  • Ticker: PEIX
  • Exchange: NasdaqCM
  • Founded: 2003
  • Industry: Oil and Gas Refining and Marketing
  • Sector: Energy
  • Market Cap: US$440.428m
  • Shares outstanding: 68.50m
  • Website: https://www.pacificethanol.com

Number of Employees


Location

  • Pacific Ethanol, Inc.
  • 400 Capitol Mall
  • Suite 2060
  • Sacramento
  • California
  • 95814
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
FPRPDB (Deutsche Boerse AG)YesCommon StockDEEURMay 2004
PEIXNasdaqCM (Nasdaq Capital Market)YesCommon StockUSUSDMay 2004

Biography

Pacific Ethanol, Inc. produces and markets low-carbon renewable fuels and alcohol products in the United States. The company operates in two segments, Production and Marketing. It produces and markets etha ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/10/30 03:34
End of Day Share Price2020/10/29 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.