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Laredo Petroleum

NYSE:LPI
Snowflake Description

Good value with acceptable track record.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
LPI
NYSE
$764M
Market Cap
  1. Home
  2. US
  3. Energy
Company description

Laredo Petroleum, Inc., an independent energy company, engages in the acquisition, exploration, and development of oil and natural gas properties in the Permian Basin of West Texas, the United States. The last earnings update was 18 days ago. More info.


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LPI Share Price and Events
7 Day Returns
-0.6%
NYSE:LPI
0.4%
US Oil and Gas
-0.7%
US Market
1 Year Returns
-66.2%
NYSE:LPI
-16.7%
US Oil and Gas
3%
US Market
LPI Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Laredo Petroleum (LPI) -0.6% 6.4% -11.2% -66.2% -70% -87.6%
US Oil and Gas 0.4% -4.6% -2.2% -16.7% -0.1% -32.7%
US Market -0.7% -2% 2.4% 3% 39.2% 42%
1 Year Return vs Industry and Market
  • LPI underperformed the Oil and Gas industry which returned -16.7% over the past year.
  • LPI underperformed the Market in United States of America which returned 3% over the past year.
Price Volatility
LPI
Industry
5yr Volatility vs Market

LPI Value

 Is Laredo Petroleum undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
  • It is not possible to calculate the future cash flow value for Laredo Petroleum. This is due to cash flow or dividend data being unavailable. The share price is $3.34.
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for Laredo Petroleum's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Laredo Petroleum's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
NYSE:LPI PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2019-03-31) in USD $0.99
NYSE:LPI Share Price ** NYSE (2019-05-17) in USD $3.34
United States of America Oil and Gas Industry PE Ratio Median Figure of 100 Publicly-Listed Oil and Gas Companies 12.94x
United States of America Market PE Ratio Median Figure of 3,088 Publicly-Listed Companies 17.89x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of Laredo Petroleum.

NYSE:LPI PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= NYSE:LPI Share Price ÷ EPS (both in USD)

= 3.34 ÷ 0.99

3.37x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Laredo Petroleum is good value based on earnings compared to the US Oil and Gas industry average.
  • Laredo Petroleum is good value based on earnings compared to the United States of America market.
Price based on expected Growth
Does Laredo Petroleum's expected growth come at a high price?
Raw Data
NYSE:LPI PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 3.37x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 10 Analysts
6.1%per year
United States of America Oil and Gas Industry PEG Ratio Median Figure of 75 Publicly-Listed Oil and Gas Companies 0.51x
United States of America Market PEG Ratio Median Figure of 2,117 Publicly-Listed Companies 1.56x

*Line of best fit is calculated by linear regression .

NYSE:LPI PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 3.37x ÷ 6.1%

0.55x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Laredo Petroleum is good value based on expected growth next year.
Price based on value of assets
What value do investors place on Laredo Petroleum's assets?
Raw Data
NYSE:LPI PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2019-03-31) in USD $5.06
NYSE:LPI Share Price * NYSE (2019-05-17) in USD $3.34
United States of America Oil and Gas Industry PB Ratio Median Figure of 194 Publicly-Listed Oil and Gas Companies 1.05x
United States of America Market PB Ratio Median Figure of 5,195 Publicly-Listed Companies 1.83x
NYSE:LPI PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= NYSE:LPI Share Price ÷ Book Value per Share (both in USD)

= 3.34 ÷ 5.06

0.66x

* Primary Listing of Laredo Petroleum.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Laredo Petroleum is good value based on assets compared to the US Oil and Gas industry average.
X
Value checks
We assess Laredo Petroleum's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Oil and Gas industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Oil and Gas industry average (and greater than 0)? (1 check)
  5. Laredo Petroleum has a total score of 4/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

LPI Future Performance

 How is Laredo Petroleum expected to perform in the next 1 to 3 years based on estimates from 10 analysts?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
6.1%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Laredo Petroleum expected to grow at an attractive rate?
  • Laredo Petroleum's earnings growth is expected to exceed the low risk savings rate of 2.7%.
Growth vs Market Checks
  • Laredo Petroleum's earnings growth is positive but not above the United States of America market average.
  • Laredo Petroleum's revenues are expected to decrease over the next 1-3 years, this is below the United States of America market average.
Annual Growth Rates Comparison
Raw Data
NYSE:LPI Future Growth Rates Data Sources
Data Point Source Value (per year)
NYSE:LPI Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 10 Analysts 6.1%
NYSE:LPI Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 10 Analysts -0.3%
United States of America Oil and Gas Industry Earnings Growth Rate Market Cap Weighted Average 12.9%
United States of America Oil and Gas Industry Revenue Growth Rate Market Cap Weighted Average 4.8%
United States of America Market Earnings Growth Rate Market Cap Weighted Average 13.9%
United States of America Market Revenue Growth Rate Market Cap Weighted Average 7.3%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
NYSE:LPI Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (1 month ago) See Below
Future Estimates Average of up to 10 Analyst Estimates (S&P Global) See Below
All numbers in USD Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
NYSE:LPI Future Estimates Data
Date (Data in USD Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2023-12-31 917 575 227 2
2022-12-31 881 555 208 2
2021-12-31 911 544 201 3
2020-12-31 899 479 204 5
2019-12-31 872 493 159 5
NYSE:LPI Past Financials Data
Date (Data in USD Millions) Revenue Cash Flow Net Income *
2019-03-31 1,055 469 229
2018-12-31 1,106 538 325
2018-09-30 1,131 521 584
2018-06-30 1,057 491 540
2018-03-31 893 468 567
2017-12-31 822 385 549
2017-09-30 766 383 122
2017-06-30 720 375 120
2017-03-31 680 364 -12
2016-12-31 597 356 -261
2016-09-30 536 336 -1,207
2016-06-30 527 340 -2,064

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Laredo Petroleum's earnings are expected to grow by 6.1% yearly, however this is not considered high growth (20% yearly).
  • Laredo Petroleum's revenue is expected to decrease over the next 1-3 years, this is not considered high growth.
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
NYSE:LPI Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (1 month ago) See Below
Future Estimates Average of up to 10 Analyst Estimates (S&P Global) See Below

All data from Laredo Petroleum Company Filings, last reported 1 month ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NYSE:LPI Future Estimates Data
Date (Data in USD Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2023-12-31 0.66 0.66 0.66 1.00
2022-12-31 0.66 0.66 0.66 1.00
2021-12-31 0.83 1.34 0.48 3.00
2020-12-31 0.88 1.26 0.62 9.00
2019-12-31 0.69 0.83 0.39 7.00
NYSE:LPI Past Financials Data
Date (Data in USD Millions) EPS *
2019-03-31 0.99
2018-12-31 1.40
2018-09-30 2.49
2018-06-30 2.28
2018-03-31 2.37
2017-12-31 2.30
2017-09-30 0.51
2017-06-30 0.51
2017-03-31 -0.05
2016-12-31 -1.16
2016-09-30 -5.52
2016-06-30 -9.69

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • Unable to establish if Laredo Petroleum will efficiently use shareholders’ funds in the future without estimates of Return on Equity.
X
Future performance checks
We assess Laredo Petroleum's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the United States of America market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the United States of America market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
Laredo Petroleum has a total score of 1/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

LPI Past Performance

  How has Laredo Petroleum performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare Laredo Petroleum's growth in the last year to its industry (Oil and Gas).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • Laredo Petroleum has delivered over 20% year on year earnings growth in the past 5 years.
  • Laredo Petroleum's 1-year earnings growth is negative, it can't be compared to the 5-year average.
  • Laredo Petroleum's 1-year earnings growth is negative, it can't be compared to the US Oil and Gas industry average.
Earnings and Revenue History
Laredo Petroleum's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from Laredo Petroleum Company Filings, last reported 1 month ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NYSE:LPI Past Revenue, Cash Flow and Net Income Data
Date (Data in USD Millions) Revenue Net Income * G+A Expenses R&D Expenses
2019-03-31 1,055.03 228.58 92.93
2018-12-31 1,105.78 324.60 96.14
2018-09-30 1,130.83 583.58 98.66
2018-06-30 1,056.90 539.56 100.27
2018-03-31 892.85 567.22 95.44
2017-12-31 822.16 548.97 96.31
2017-09-30 766.14 121.99 98.30
2017-06-30 720.06 120.45 99.41
2017-03-31 679.83 -12.09 97.90
2016-12-31 597.38 -260.74 91.76
2016-09-30 536.34 -1,206.97 88.51
2016-06-30 526.95 -2,064.23 85.32
2016-03-31 562.50 -2,389.84 88.02
2015-12-31 606.64 -2,209.94 90.43
2015-09-30 720.66 -1,044.01 90.26
2015-06-30 770.56 -112.82 94.43
2015-03-31 771.27 265.31 100.77
2014-12-31 793.89 265.57 106.57
2014-09-30 710.01 132.62 104.75
2014-06-30 680.61 61.03 102.07
2014-03-31 674.86 115.23 92.34
2013-12-31 665.26 116.58 85.00
2013-09-30 663.17 60.12 81.32
2013-06-30 636.17 41.03 71.26
2013-03-31 598.59 36.82 66.12
2012-12-31 583.89 61.76 62.11
2012-09-30 571.53 51.46 63.02
2012-06-30 560.16 116.97 67.85

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • Laredo Petroleum has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
  • Laredo Petroleum used its assets more efficiently than the US Oil and Gas industry average last year based on Return on Assets.
  • Laredo Petroleum has significantly improved its use of capital last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess Laredo Petroleum's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Oil and Gas industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
Laredo Petroleum has a total score of 3/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

LPI Health

 How is Laredo Petroleum's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up Laredo Petroleum's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Laredo Petroleum's short term (1 year) commitments are greater than its holdings of cash and other short term assets.
  • Laredo Petroleum's long term commitments exceed its cash and other short term assets.
Balance sheet
This treemap shows a more detailed breakdown of Laredo Petroleum's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • High level of physical assets or inventory.
  • Debt is not covered by short term assets, assets are 0.2x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from Laredo Petroleum Company Filings, last reported 1 month ago.

NYSE:LPI Past Debt and Equity Data
Date (Data in USD Millions) Total Equity Total Debt Cash & Short Term Investments
2019-03-31 1,171.43 1,086.28 44.54
2018-12-31 1,174.23 983.64 45.15
2018-09-30 1,015.11 963.19 50.41
2018-06-30 959.17 902.75 36.60
2018-03-31 941.83 847.30 55.89
2017-12-31 765.58 791.86 112.16
2017-09-30 346.23 1,440.97 20.82
2017-06-30 324.40 1,390.28 35.02
2017-03-31 252.91 1,349.59 30.35
2016-12-31 180.57 1,353.91 32.67
2016-09-30 187.10 1,353.23 30.36
2016-06-30 9.16 1,392.88 19.31
2016-03-31 -45.72 1,476.89 12.10
2015-12-31 131.45 1,416.23 31.15
2015-09-30 1,088.68 1,415.57 76.40
2015-06-30 1,928.95 1,425.00 57.59
2015-03-31 2,319.11 1,851.23 569.09
2014-12-31 1,563.20 1,779.45 29.32
2014-09-30 1,354.70 1,576.36 55.76
2014-06-30 1,264.31 1,501.42 399.51
2014-03-31 1,275.60 1,501.48 547.52
2013-12-31 1,272.26 1,051.54 198.15
2013-09-30 1,195.35 1,051.60 265.27
2013-06-30 875.71 1,446.65 43.59
2013-03-31 835.47 1,351.71 31.02
2012-12-31 831.72 1,216.76 33.22
2012-09-30 817.44 1,101.81 29.12
2012-06-30 822.06 1,051.86 146.49
  • Laredo Petroleum's level of debt (92.7%) compared to net worth is high (greater than 40%).
  • The level of debt compared to net worth has been reduced over the past 5 years (117.7% vs 92.7% today).
  • Debt is well covered by operating cash flow (43.2%, greater than 20% of total debt).
  • Interest payments on debt are well covered by earnings (EBIT is 4.9x coverage).
X
Financial health checks
We assess Laredo Petroleum's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. Laredo Petroleum has a total score of 3/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

LPI Dividends

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

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
0%
Current annual income from Laredo Petroleum dividends. Estimated to be 0% next year.
If you bought $2,000 of Laredo Petroleum shares you are expected to receive $0 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Unable to evaluate Laredo Petroleum's dividend yield against the bottom 25% of dividend payers as the company has not reported any payouts.
  • Unable to evaluate Laredo Petroleum's dividend against the top 25% market benchmark as the company has not reported any payouts.
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
NYSE:LPI Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 10 Analyst Estimates (S&P Global) See Below
United States of America Oil and Gas Industry Average Dividend Yield Market Cap Weighted Average of 66 Stocks 3.7%
United States of America Market Average Dividend Yield Market Cap Weighted Average of 2000 Stocks 2.5%
United States of America Minimum Threshold Dividend Yield 10th Percentile 0.8%
United States of America Bottom 25% Dividend Yield 25th Percentile 1.4%
United States of America Top 25% Dividend Yield 75th Percentile 3.7%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

NYSE:LPI Future Dividends Estimate Data
Date (Data in $) Dividend per Share (annual) Avg. No. Analysts
2023-12-31
2022-12-31
2021-12-31 0.00 2.00
2020-12-31 0.00 3.00
2019-12-31 0.00 4.00

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Unable to perform a dividend volatility check as Laredo Petroleum has not reported any payouts.
  • Unable to verify if Laredo Petroleum's dividend has been increasing as the company has not reported any payouts.
Current Payout to shareholders
What portion of Laredo Petroleum's earnings are paid to the shareholders as a dividend.
  • Unable to calculate sustainability of dividends as Laredo Petroleum has not reported any payouts.
Future Payout to shareholders
  • No need to calculate the sustainability of Laredo Petroleum's dividends in 3 years as they are not expected to pay a notable one for United States of America.
X
Income/ dividend checks
We assess Laredo Petroleum's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 0.8%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can Laredo Petroleum afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Laredo Petroleum has a total score of 0/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

LPI Management

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

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Randy Foutch
COMPENSATION $8,840,734
AGE 66
TENURE AS CEO 12.6 years
CEO Bio

Mr. Randy A. Foutch founded Laredo Petroleum, Inc. in October 2006 and has been its Chairman of the Board and Chief Executive Officer since then. He founded and served in executive roles with Pogo Producing Company and Lariat Petroleum, Inc. Mr. Foutch has an experience in the oil and gas industry. Mr. Foutch is serving on the Board of Directors of Helmerich & Payne, Inc. since 2007 and served on the Board of Directors of Bill Barrett Corporation from 2006 to August 2011. From 2013 to June 2015, he served as a Director of Cheniere Energy, Inc. From 2006 to 2008, he served as a Director of MacroSolve, Inc. Mr. Foutch also serves on several nonprofit and private industry boards. Mr. Foutch is a Member of the National Petroleum Council, America’s Natural Gas Alliance and the Advisory Council of the Energy Institute at the University of Texas, Austin. He holds a Bachelor of Science in Geology from the University of Texas and a Master of Science in Petroleum Engineering from the University of Houston. As a result of Mr. Foutch's service as the Chief Executive Officer and in other executive positions and as a director of several oil and gas exploration and development companies, he provides valuable business, leadership and management experience and insights into many aspects of the oil, natural gas and contract drilling industries to the Company.

CEO Compensation
  • Randy's compensation has increased by more than 20% whilst company earnings have fallen more than 20% in the past year.
  • Randy's remuneration is higher than average for companies of similar size in United States of America.
Management Team Tenure

Average tenure and age of the Laredo Petroleum management team in years:

1.1
Average Tenure
47
Average Age
  • The average tenure for the Laredo Petroleum management team is less than 2 years, this suggests a new team.
Management Team

Randy Foutch

TITLE
Founder
COMPENSATION
$9M
AGE
66
TENURE
12.6 yrs

Tommye Chandler

TITLE
Senior VP & COO
COMPENSATION
$1M
AGE
47
TENURE
0.6 yrs

Michael Beyer

TITLE
Senior VP & CFO
AGE
42
TENURE
0.1 yrs

Ron Hagood

TITLE
Vice President of Investor Relations
TENURE
1.5 yrs

Mark Denny

TITLE
Senior VP
TENURE
0.8 yrs

Benjamin Klein

TITLE
Vice President of Midstream & Marketing
TENURE
1.7 yrs
Board of Directors Tenure

Average tenure and age of the Laredo Petroleum board of directors in years:

11.9
Average Tenure
64
Average Age
  • The average tenure for the Laredo Petroleum board of directors is over 10 years, this suggests they are a seasoned and experienced board.
Board of Directors

Bill Parker

TITLE
Independent Director
COMPENSATION
$265K
AGE
70
TENURE
12 yrs

Randy Foutch

TITLE
Founder
COMPENSATION
$9M
AGE
66
TENURE
12.6 yrs

Pam Pierce

TITLE
Independent Director
COMPENSATION
$271K
AGE
63
TENURE
12 yrs

Ed Segner

TITLE
Lead Independent Director
COMPENSATION
$300K
AGE
64

Peter Randall Kagan

TITLE
Independent Director
COMPENSATION
$250K
AGE
50
TENURE
11.8 yrs

James Levy

TITLE
Independent Director
COMPENSATION
$250K
AGE
42
TENURE
12 yrs

Don Wolf

TITLE
Independent Director
COMPENSATION
$250K
AGE
74
TENURE
9.3 yrs

Bill Scoggins

TITLE
Independent Director
COMPENSATION
$250K
AGE
70
TENURE
7 yrs

Frances R. Hawes

TITLE
Independent Director
COMPENSATION
$47K
AGE
63
TENURE
0.4 yrs
Who owns this company?
Recent Insider Trading
  • No 3 month insider trading information.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price ($) Value ($)
08. May 19 Sell SailingStone Capital Partners LLC Company 12. Mar 19 26. Apr 19 -188,427 $3.17 $-589,389
14. Feb 19 Sell SailingStone Capital Partners LLC Company 20. Dec 18 24. Jan 19 -2,880,472 $4.11 $-11,838,740
14. Feb 19 Buy SailingStone Capital Partners LLC Company 20. Dec 18 05. Feb 19 1,023,789 $4.15 $4,248,724
28. Sep 18 Sell Warburg Pincus LLC Company 27. Sep 18 27. Sep 18 -12,300,000 $8.08 $-99,384,000
12. Sep 18 Sell Warburg Pincus LLC Company 11. Sep 18 11. Sep 18 -14,200,000 $7.42 $-105,364,000
X
Management checks
We assess Laredo Petroleum's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. Laredo Petroleum has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

LPI News

Simply Wall St News

What Investors Should Know About Laredo Petroleum, Inc.'s (NYSE:LPI) Financial Strength

Additionally, LPI has generated US$469m in operating cash flow in the last twelve months, leading to an operating cash to total debt ratio of 43%, meaning that LPI’s debt is appropriately covered by operating cash. … Looking at LPI’s US$204m in current liabilities, it appears that the company may not be able to easily meet these obligations given the level of current assets of US$173m, with a current ratio of 0.85x. … Next Steps: Although LPI’s debt level is towards the higher end of the spectrum, its cash flow coverage seems adequate to meet debt obligations which means its debt is being efficiently utilised.

Simply Wall St -

Did Changing Sentiment Drive Laredo Petroleum's (NYSE:LPI) Share Price Down A Painful 89%?

One way to examine how market sentiment has changed over time is to look at the interaction between a company's share price and its earnings per share (EPS). … During five years of share price growth, Laredo Petroleum moved from a loss to profitability. … A more detailed examination of the revenue and earnings may or may not explain why the share price languishes; there could be an opportunity.

Simply Wall St -

Does The Laredo Petroleum, Inc. (NYSE:LPI) Share Price Tend To Follow The Market?

Some investors use beta as a measure of how much a certain stock is impacted by market risk (volatility). … While we should keep in mind that Warren Buffett has cautioned that 'Volatility is far from synonymous with risk', beta is still a useful factor to consider. … A stock with a beta below one is either less volatile than the market, or more volatile but not corellated with the overall market.

Simply Wall St -

Here's How P/E Ratios Can Help Us Understand Laredo Petroleum, Inc. (NYSE:LPI)

This article is written for those who want to get better at using price to earnings ratios (P/E ratios). … We'll show how you can use Laredo Petroleum, Inc.'s (NYSE:LPI) P/E ratio to inform your assessment of the investment opportunity. … Price to Earnings Ratio = Price per Share ÷ Earnings per Share (EPS)

Simply Wall St -

Here's What Laredo Petroleum, Inc.'s (NYSE:LPI) ROCE Can Tell Us

Specifically, we're going to calculate its Return On Capital Employed (ROCE), in the hopes of getting some insight into the business. … Understanding Return On Capital Employed (ROCE). … Analysts use this formula to calculate return on capital employed:

Simply Wall St -

How Financially Strong Is Laredo Petroleum, Inc. (NYSE:LPI)?

Investors are always looking for growth in small-cap stocks like Laredo Petroleum, Inc. … However, an important fact which most ignore is: how financially healthy is the business? … Assessing first and foremost the financial health is

Simply Wall St -

Here's How P/E Ratios Can Help Us Understand Laredo Petroleum Inc (NYSE:LPI)

This article is for investors who would like to improve their understanding of price to earnings ratios (P/E ratios). … Laredo Petroleum has a price to earnings ratio of 1.91, based on the last twelve months. … Price to Earnings Ratio = Price per Share ÷ Earnings per Share (EPS)

Simply Wall St -

Why Laredo Petroleum Inc (NYSE:LPI) Looks Like A Quality Company

We'll use ROE to examine Laredo Petroleum Inc (NYSE:LPI), by way of a worked example. … That means that for every $1 worth of shareholders' equity, it generated $0.57 in profit. … Return on Equity = Net Profit ÷ Shareholders' Equity

Simply Wall St -

How Does Laredo Petroleum Inc (NYSE:LPI) Affect Your Portfolio Volatility?

Beta is a widely used metric to measure a stock's exposure to market risk (volatility). … A stock with a beta below one is either less volatile than the market, or more volatile but not corellated with the overall market. … In comparison a stock with a beta of over one tends to be move in a similar direction to the market in the long term, but with greater changes in price.

Simply Wall St -

What Does Laredo Petroleum Inc's (NYSE:LPI) PE Ratio Tell You?

Laredo Petroleum Inc (NYSE:LPI) is currently trading at a trailing P/E of 3.3x, which is lower than the industry average of 13.3x. … Although some investors may jump to the conclusion that this is a great buying opportunity, understanding the assumptions behind the P/E ratio might change your mind. … See our latest analysis for Laredo Petroleum

Simply Wall St -

LPI Company Info

Description

Laredo Petroleum, Inc., an independent energy company, engages in the acquisition, exploration, and development of oil and natural gas properties in the Permian Basin of West Texas, the United States. The company also provides midstream and marketing services comprising transportation and marketing of oil and natural gas; and natural gas lift systems, crude oil and natural gas gathering, and water delivery and takeaway services. As of December 31, 2018, it had assembled 120,617 net acres in the Permian Basin; and had total proved reserves of 238,167 thousand barrels of oil equivalent. The company was formerly known as Laredo Petroleum Holdings, Inc. and changed its name to Laredo Petroleum, Inc. in December 2013. Laredo Petroleum, Inc. was founded in 2006 and is headquartered in Tulsa, Oklahoma.

Details
Name: Laredo Petroleum, Inc.
LPI
Exchange: NYSE
Founded: 2006
$763,798,260
228,682,114
Website: http://www.laredopetro.com
Address: Laredo Petroleum, Inc.
15 West Sixth Street,
Suite 900,
Tulsa,
Oklahoma, 74119,
United States
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
NYSE LPI Common Stock New York Stock Exchange US USD 15. Dec 2011
DB 8LP Common Stock Deutsche Boerse AG DE EUR 15. Dec 2011
Number of employees
Current staff
Staff numbers
340
Laredo Petroleum employees.
Industry
Oil and Gas Exploration and Production
Energy
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/05/20 02:47
End of day share price update: 2019/05/17 00:00
Last estimates confirmation: 2019/05/16
Last earnings filing: 2019/05/02
Last earnings reported: 2019/03/31
Last annual earnings reported: 2018/12/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

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.