NYSE:JAG

Stock Analysis Report

Executive Summary

Jagged Peak Energy Inc. operates as an independent oil and natural gas company.

Snowflake

Fundamentals

Good value with reasonable growth potential.


Similar Companies

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

-0.7%

JAG

-1.8%

US Oil and Gas

0.4%

US Market


1 Year Return

-50.5%

JAG

-21.8%

US Oil and Gas

6.9%

US Market

Return vs Industry: JAG underperformed the US Oil and Gas industry which returned -21.8% over the past year.

Return vs Market: JAG underperformed the US Market which returned 6.9% over the past year.


Shareholder returns

JAGIndustryMarket
7 Day-0.7%-1.8%0.4%
30 Day-12.2%-6.4%-1.1%
90 Day-9.1%-9.2%-0.5%
1 Year-50.5%-50.5%-18.9%-21.8%9.3%6.9%
3 Yearn/a-8.3%-16.5%45.8%36.4%
5 Yearn/a-24.8%-35.3%62.9%45.1%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

46.7%

Undervalued compared to fair value


Share Price vs. Fair Value

Undervalued: JAG ($6.77) is trading below our estimate of fair value ($12.71)

Significantly Undervalued: JAG is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: JAG is poor value based on its PE Ratio (13.5x) compared to the Oil and Gas industry average (9.8x).

PE vs Market: JAG is good value based on its PE Ratio (13.5x) compared to the US market (17.6x).


Price to Earnings Growth Ratio

Low PEG Ratio: JAG is good value based on its PEG Ratio (0.3x)


Price to Book Ratio

PB vs Industry: JAG is overvalued based on its PB Ratio (1.6x) compared to the US Oil and Gas industry average (0.9x).


Next Steps

Future Growth

How is Jagged Peak Energy forecast to perform in the next 1 to 3 years based on estimates from 15 analysts?

40.8%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: JAG's forecast earnings growth (40.8% per year) is above the savings rate (2.7%).

Earnings vs Market: JAG's earnings (40.8% per year) are forecast to grow faster than the US market (14.6% per year).

High Growth Earnings: earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: JAG's revenue (16.6% per year) is forecast to grow faster than the US market (7.2% per year).

High Growth Revenue: JAG's revenue (16.6% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

High Future ROE: JAG's Return on Equity is forecast to be low in 3 years time (13.7%).


Next Steps

Past Performance

How has Jagged Peak Energy performed over the past 5 years?

48.2%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: JAG's earnings have grown significantly by 48.2% per year over the past 5 years.

Accelerating Growth: JAG's earnings growth over the past year (3214.7%) exceeds its 5-year average (48.2% per year).

Earnings vs Industry: JAG earnings growth over the past year (3214.7%) exceeded the Oil and Gas industry 22.6%.


Return on Equity

High ROE: JAG's Return on Equity (11.9%) is considered low.


Return on Assets

ROA vs Industry: JAG has a higher Return on Assets than the Oil and Gas industry average last year.


Return on Capital Employed

ROCE Improving: JAG's Return on Capital Employed has declined over the past 3 years.


Next Steps

Financial Health

How is Jagged Peak Energy's financial position?


Financial Position Analysis

Short Term Liabilities: JAG's short term assets ($110.3M) do not cover its short term liabilities ($226.8M)

Long Term Liabilities: JAG's short term assets (110.3M) do not cover its long term liabilities (786.3M)


Debt to Equity History and Analysis

Debt Level: JAG's debt to equity ratio (71%) is considered high

Reducing Debt: Insufficient data to determine if JAG's debt to equity ratio has reduced over the past 5 years.

Debt Coverage: JAG's debt is well covered by operating cash flow (61.9%).

Interest Coverage: JAG's interest payments on its debt are well covered by EBIT (4.9x coverage).


Balance Sheet

Inventory Level: JAG has a high level of physical assets or inventory.

Debt Coverage by Assets: JAG's debt is not covered by short term assets (assets are 0.2x debt).


Next Steps

Dividend

What is Jagged Peak Energy's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

companyn/amarketbottom25%1.4%markettop25%3.7%industryaverage4.2%forecastin3Years0%

Current dividend yield vs market & industry


Stability and Growth of Payments

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

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

Growing Dividend: Insufficient data to determine if JAG'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 JAG'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 Jagged Peak Energy's salary, the management and board of directors tenure and is there insider trading?

1.7yrs

Average management tenure


CEO

Jim Kleckner (61yo)

1.6yrs

Tenure

US$8,527,052

Compensation

Mr. James J. Kleckner, also known as Jim, serves as President and Chief Executive Officer of Jagged Peak Energy Inc. since March 31, 2018 and has been its Director since January 2017. He served as an Execu ...


CEO Compensation Analysis

Compensation vs. Market: Insufficient data to establish whether Jim's total compensation is reasonable compared to companies of similar size in the US market.

Compensation vs Earnings: Jim's compensation has increased by more than 20% in the past year.


Management Age and Tenure

1.7yrs

Average Tenure

61yo

Average Age

Experienced Management: JAG's management team is not considered experienced ( 1.7 years average tenure), which suggests a new team.


Board Age and Tenure

2.8yrs

Average Tenure

59.5yo

Average Age

Experienced Board: JAG's board of directors are not considered experienced ( 2.8 years average tenure), which suggests a new board.


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

  • Bob Howard (64yo)

    Executive VP & CFO

    • Tenure: 3.1yrs
    • Compensation: US$3.16m
  • Mark Petry (64yo)

    Executive Vice President of Land & Acquisitions

    • Tenure: 2.9yrs
    • Compensation: US$1.56m
  • Jim Kleckner (61yo)

    President

    • Tenure: 1.6yrs
    • Compensation: US$8.53m
  • Christopher Humber (46yo)

    Executive VP

    • Tenure: 2.9yrs
    • Compensation: US$1.98m
  • Craig Walters (47yo)

    COO & Executive VP

    • Tenure: 1.7yrs
    • Compensation: US$4.27m
  • James Edwards

    Director of Investor Relations

    • Tenure: 0yrs
  • Shonn Stahlecker

    Controller

    • Tenure: 0yrs
  • David Eckelberger

    Vice President of Land

    • Tenure: 1.5yrs
  • Megan Morris

    Vice President of Human Resources

    • Tenure: 0.7yrs

Board Members

  • Roger Jarvis (65yo)

    Independent Director

    • Tenure: 2.8yrs
    • Compensation: US$233.50k
  • Chuck Davidson (69yo)

    Chairman of the Board

    • Tenure: 1.6yrs
  • S. Wil VanLoh (48yo)

    Director

    • Tenure: 3.1yrs
  • Mike Linn (67yo)

    Independent Director

    • Tenure: 2.8yrs
    • Compensation: US$216.00k
  • J.R. Sult (60yo)

    Independent Director

    • Tenure: 2.8yrs
    • Compensation: US$236.00k
  • Adrianna Ma (45yo)

    Director

    • Tenure: 0.3yrs
  • Blake Webster (42yo)

    Director

    • Tenure: 3.1yrs
  • D Verma (41yo)

    Director

    • Tenure: 2.8yrs
  • Jim Kleckner (61yo)

    President

    • Tenure: 1.6yrs
    • Compensation: US$8.53m
  • Janeen Judah (59yo)

    Director

    • Tenure: 0.5yrs

Company Information

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


Key Information

  • Name: Jagged Peak Energy Inc.
  • Ticker: JAG
  • Exchange: NYSE
  • Founded: 2013
  • Industry: Oil and Gas Exploration and Production
  • Sector: Energy
  • Market Cap: US$1.445b
  • Shares outstanding: 213.40m
  • Website: https://www.jaggedpeakenergy.com

Number of Employees


Location

  • Jagged Peak Energy Inc.
  • 1401 Lawrence Street
  • Suite 1800
  • Denver
  • Colorado
  • 80202
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
JAGNYSE (New York Stock Exchange)YesCommon StockUSUSDJan 2017
2JADB (Deutsche Boerse AG)YesCommon StockDEEURJan 2017

Biography

Jagged Peak Energy Inc. operates as an independent oil and natural gas company. The company focuses on the acquisition and development of unconventional oil and associated liquids-rich natural gas reserves ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/20 00:38
End of Day Share Price2019/10/18 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.