NYSE:ROAN

Stock Analysis Report

Executive Summary

Roan Resources, Inc. engages in the acquisition, exploration, development, production, and sale of oil and natural gas reserves.

Snowflake

Fundamentals

Overvalued with weak fundamentals.

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

1.3%

ROAN

1.0%

US Oil and Gas

0.07%

US Market


1 Year Return

-90.4%

ROAN

-16.7%

US Oil and Gas

8.9%

US Market

Return vs Industry: ROAN underperformed the US Oil and Gas industry which returned -16.7% over the past year.

Return vs Market: ROAN underperformed the US Market which returned 8.9% over the past year.


Shareholder returns

ROANIndustryMarket
7 Day1.3%1.0%0.07%
30 Day-7.9%-4.3%-0.3%
90 Day32.5%-7.3%-1.6%
1 Year-90.4%-90.4%-13.5%-16.7%11.3%8.9%
3 Yearn/a-5.8%-14.4%46.3%36.8%
5 Yearn/a-23.1%-34.1%62.1%44.3%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Roan Resources undervalued compared to its fair value and its price relative to the market?

0.16x

Price to Book (PB) ratio


Share Price vs. Fair Value

Below Fair Value: Insufficient data to calculate ROAN's fair value to establish if it is undervalued.

Significantly Below Fair Value: Insufficient data to calculate ROAN's fair value to establish if it is undervalued.


Price To Earnings Ratio

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

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


Price to Book Ratio

PB vs Industry: ROAN is good value based on its PB Ratio (0.2x) compared to the US Oil and Gas industry average (0.9x).


Next Steps

Future Growth

How is Roan Resources forecast to perform in the next 1 to 3 years based on estimates from 2 analysts?

112.8%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: ROAN is forecast to remain unprofitable over the next 3 years.

Earnings vs Market: ROAN is forecast to remain unprofitable over the next 3 years.

High Growth Earnings: ROAN is forecast to remain unprofitable over the next 3 years.

Revenue vs Market: ROAN's revenue (2.5% per year) is forecast to grow slower than the US market (7.2% per year).

High Growth Revenue: ROAN's revenue (2.5% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

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


Next Steps

Past Performance

How has Roan Resources performed over the past 5 years?

-69.1%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: ROAN is unprofitable, and losses have increased over the past 5 years at a rate of -69.1% per year.

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

Earnings vs Industry: ROAN is unprofitable, making it difficult to compare its past year earnings growth to the Oil and Gas industry (20.6%).


Return on Equity

High ROE: ROAN has a negative Return on Equity (-12.53%), as it is currently unprofitable.


Return on Assets

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


Return on Capital Employed

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


Next Steps

Financial Health

How is Roan Resources's financial position?


Financial Position Analysis

Short Term Liabilities: ROAN's short term assets ($267.8M) do not cover its short term liabilities ($329.0M)

Long Term Liabilities: ROAN's short term assets (267.8M) do not cover its long term liabilities (1.1B)


Debt to Equity History and Analysis

Debt Level: ROAN's debt to equity ratio (48%) is considered high

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


Balance Sheet

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

Debt Coverage by Assets: ROAN's debt is not covered by short term assets (assets are 0.4x debt).


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: ROAN has less than a year of cash runway based on its current free cash flow.

Forecast Cash Runway: ROAN has less than a year of cash runway if free cash flow continues to reduce at historical rates of -39.3% each year


Next Steps

Dividend

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


Dividend Yield vs Market

companyn/amarketbottom25%1.4%markettop25%3.7%industryaverage4.2%forecastin3Yearsn/a

Current dividend yield vs market & industry


Stability and Growth of Payments

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

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

Growing Dividend: Insufficient data to determine if ROAN'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 ROAN'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 Roan Resources's salary, the management and board of directors tenure and is there insider trading?

1.1yrs

Average management tenure


CEO

Rick Gideon (44yo)

0yrs

Tenure

0

Mr. Richard A. Gideon, also known as Rick, serves as the Chief Executive Officer of Roan Resources Inc. since October 1, 2019. He served as Senior Vice President of Exploration and Production at Devon Ener ...


Management Age and Tenure

1.1yrs

Average Tenure

47yo

Average Age

Experienced Management: ROAN's management team is not considered experienced ( 1.1 years average tenure), which suggests a new team.


Board Age and Tenure

1.1yrs

Average Tenure

58.5yo

Average Age

Experienced Board: ROAN's board of directors are not considered experienced ( 1.1 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.


Recent Insider Transactions

BuyUS$36328 Jun 19
Elliott Management Corporation
EntityCompany
Shares363,044
Max PriceUS$0.001
BuyUS$17128 Jun 19
Elliott Management Corporation
EntityCompany
Shares170,844
Max PriceUS$0.001
SellUS$237,93628 Jun 19
York Capital Management
EntityCompany
Shares37,332
Max PriceUS$6.38
BuyUS$121,60026 Mar 19
Tony Maranto
EntityIndividual
Shares20,000
Max PriceUS$6.08
SellUS$789,35107 Dec 18
York Capital Management
EntityCompany
Shares78,587
Max PriceUS$10.32

Ownership Breakdown


Management Team

  • Joe Mills (59yo)

    Executive Chairman

    • Tenure: 0.5yrs
    • Compensation: US$115.49k
  • Amber Bonney (44yo)

    VP & Chief Accounting Officer

    • Tenure: 1.7yrs
    • Compensation: US$1.05m
  • Rick Gideon (44yo)

    Chief Executive Officer

    • Tenure: 0yrs
  • David Edwards (37yo)

    Chief Financial Officer

    • Tenure: 1.3yrs
    • Compensation: US$3.05m
  • Alyson Gilbert

    Investor Relations Manager

    • Tenure: 0yrs
  • Greg Condray (50yo)

    Executive Vice President of Geoscience & Business Development

    • Tenure: 1.1yrs
    • Compensation: US$569.40k
  • Joel Pettit (63yo)

    Executive Vice President of Operations & Marketing

    • Tenure: 1.1yrs
    • Compensation: US$537.96k

Board Members

  • Paul Loyd (72yo)

    Independent Director

    • Tenure: 1.1yrs
  • Tony Tripodo (66yo)

    Lead Independent Director

    • Tenure: 0yrs
    • Compensation: US$136.32k
  • John Lovoi (58yo)

    Independent Director

    • Tenure: 1.1yrs
  • Joe Mills (59yo)

    Executive Chairman

    • Tenure: 0.5yrs
    • Compensation: US$115.49k
  • Michael Raleigh (61yo)

    Independent Director

    • Tenure: 1.1yrs
  • Matthew Bonanno (40yo)

    Independent Director

    • Tenure: 1.1yrs
  • Evan Lederman (39yo)

    Independent Director

    • Tenure: 1.1yrs
  • Andy Taylor (41yo)

    Independent Director

    • Tenure: 1.1yrs

Company Information

Roan Resources, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Roan Resources, Inc.
  • Ticker: ROAN
  • Exchange: NYSE
  • Founded: 2018
  • Industry: Oil and Gas Exploration and Production
  • Sector: Energy
  • Market Cap: US$233.044m
  • Shares outstanding: 154.33m
  • Website: https://www.roanresources.com

Number of Employees


Location

  • Roan Resources, Inc.
  • 14701 Hertz Quail Springs Parkway
  • Oklahoma City
  • Oklahoma
  • 73134
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
ROANNYSE (New York Stock Exchange)YesClass A Common StockUSUSDMar 2017

Biography

Roan Resources, Inc. engages in the acquisition, exploration, development, production, and sale of oil and natural gas reserves. It holds interest in the Merge, SCOOP, and STACK plays covering an area of a ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/23 00:52
End of Day Share Price2019/10/22 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.