NYSE:SOI

Stock Analysis Report

Solaris Oilfield Infrastructure

Executive Summary

Solaris Oilfield Infrastructure, Inc. manufactures and rents mobile proppant and chemical management systems to unload, store, and deliver proppant and chemicals at oil and natural gas well sites in the United States.

Snowflake

Fundamentals

Flawless balance sheet and undervalued.


Similar Companies

Share Price & News

How has Solaris Oilfield Infrastructure's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

0.7%

SOI

3.8%

US Energy Services

0.07%

US Market


1 Year Return

-17.6%

SOI

-39.4%

US Energy Services

8.9%

US Market

Return vs Industry: SOI exceeded the US Energy Services industry which returned -39.4% over the past year.

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


Shareholder returns

SOIIndustryMarket
7 Day0.7%3.8%0.07%
30 Day-19.8%-7.2%-0.3%
90 Day-15.6%-15.6%-1.6%
1 Year-15.2%-17.6%-37.7%-39.4%11.3%8.9%
3 Yearn/a-51.7%-57.7%46.3%36.8%
5 Yearn/a-63.6%-69.0%62.1%44.3%

Price Volatility Vs. Market

How volatile is Solaris Oilfield Infrastructure's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Solaris Oilfield Infrastructure 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: SOI ($11.28) is trading below our estimate of fair value ($29.3)

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


Price To Earnings Ratio

PE vs Industry: SOI is good value based on its PE Ratio (6.3x) compared to the Energy Services industry average (14.7x).

PE vs Market: SOI is good value based on its PE Ratio (6.3x) compared to the US market (17.8x).


Price to Earnings Growth Ratio

PEG Ratio: SOI is good value based on its PEG Ratio (0.2x)


Price to Book Ratio

PB vs Industry: SOI is overvalued based on its PB Ratio (1.4x) compared to the US Energy Services industry average (0.7x).


Next Steps

Future Growth

How is Solaris Oilfield Infrastructure forecast to perform in the next 1 to 3 years based on estimates from 13 analysts?

27.3%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: SOI's forecast earnings growth (27.3% per year) is above the savings rate (2.7%).

Earnings vs Market: SOI's earnings (27.3% per year) are forecast to grow faster than the US market (14.5% per year).

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

Revenue vs Market: SOI's revenue (5.1% per year) is forecast to grow slower than the US market (7.2% per year).

High Growth Revenue: SOI's revenue (5.1% 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 SOI's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has Solaris Oilfield Infrastructure performed over the past 5 years?

102.7%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: SOI's earnings have grown significantly by 102.7% per year over the past 5 years.

Accelerating Growth: SOI's earnings growth over the past year (339%) exceeds its 5-year average (102.7% per year).

Earnings vs Industry: SOI earnings growth over the past year (339%) exceeded the Energy Services industry -13.1%.


Return on Equity

High ROE: SOI's Return on Equity (25.8%) is considered high.


Return on Assets

ROA vs Industry: SOI has a higher Return on Assets than the Energy Services industry average last year.


Return on Capital Employed

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


Next Steps

Financial Health

How is Solaris Oilfield Infrastructure's financial position?


Financial Position Analysis

Short Term Liabilities: SOI's short term assets ($88.5M) exceeds its short term liabilities ($33.6M)

Long Term Liabilities: SOI's short term assets (88.5M) exceeds its long term liabilities (82.9M)


Debt to Equity History and Analysis

Debt Level: SOI is debt free.

Reducing Debt: SOI had no debt 5 years ago.

Debt Coverage: SOI has no debt, therefore it does not need to be covered by operating cash flow.

Interest Coverage: SOI has no debt, therefore coverage of interest payments is not a concern.


Balance Sheet

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

Debt Coverage by Assets: SOI's debt is not covered by short term assets (assets are -4.9813189578437E+16x debt).


Next Steps

Dividend

What is Solaris Oilfield Infrastructure's current dividend yield, its reliability and sustainability?

3.55%

Current Dividend Yield


Dividend Yield vs Market

company3.5%marketbottom25%1.4%markettop25%3.7%industryaverage4.2%forecastin3Years3.6%

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: SOI's dividend (3.55%) is higher than the bottom 25% of dividend payers in the US market (1.45%).

High Dividend: SOI's dividend (3.55%) is low compared to the top 25% of dividend payers in the US market (3.68%).

Stable Dividend: Too early to tell whether SOI's dividend payments have been stable as they only just started paying a dividend.

Growing Dividend: Too early to tell if SOI's dividend payments are increasing as they only just started paying a dividend.


Current Payout to Shareholders

Dividend Coverage: With its low payout ratio (16.7%), SOI's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: SOI's dividends in 3 years are forecast to be well covered by earnings (28.3% payout ratio).


Next Steps

Management

What is the CEO of Solaris Oilfield Infrastructure's salary, the management and board of directors tenure and is there insider trading?

2.2yrs

Average management tenure


CEO

Bill Zartler (54yo)

1.3yrs

Tenure

US$396,769

Compensation

Mr. William A. Zartler, also known as Bill, founded Solaris Oilfield Infrastructure, Inc. and has been its Chairman since February 2017 and has been its Chief Executive Officer since July 30, 2018. Mr. Zar ...


CEO Compensation Analysis

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

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


Management Age and Tenure

2.2yrs

Average Tenure

49yo

Average Age

Experienced Management: SOI's management team is considered experienced (2.2 years average tenure).


Board Age and Tenure

2.4yrs

Average Tenure

65.5yo

Average Age

Experienced Board: SOI's board of directors are not considered experienced ( 2.4 years average tenure), which suggests a new board.


Insider Trading

Insider Buying: SOI insiders have only sold shares in the past 3 months.


Recent Insider Transactions

SellUS$618,59017 Sep 19
Cynthia Durrett
EntityIndividual
Role
Member of the Board of Directors
Chief Administrative Officer & Director
Shares42,167
Max PriceUS$14.67
SellUS$393,02426 Aug 19
Christopher Powell
EntityIndividual
Role
Chief Legal Officer
Chief Legal Officer & Corporate Secretary
Shares29,418
Max PriceUS$13.36
SellUS$75,87126 Aug 19
James Burke
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares5,641
Max PriceUS$13.45

Ownership Breakdown


Management Team

  • Bill Zartler (54yo)

    Founder

    • Tenure: 1.3yrs
    • Compensation: US$396.77k
  • Yvonne Fletcher

    Senior Vice President of Finance & Investor Relations

    • Tenure: 1.2yrs
  • Kyle Ramachandran (34yo)

    CFO & President

    • Tenure: 1.3yrs
    • Compensation: US$560.44k
  • Jonathan Scheiner

    Senior Vice President of Commercial & Strategy

    • Tenure: 0yrs
  • Kelly Price (60yo)

    Chief Operating Officer

    • Tenure: 2.6yrs
    • Compensation: US$604.75k
  • Lindsay Bourg (41yo)

    Chief Accounting Officer

    • Tenure: 2.5yrs
  • Cynthia Durrett (54yo)

    Chief Administrative Officer & Director

    • Tenure: 0.6yrs
  • Greg Garcia

    Executive Vice President of Sales & Marketing

    • Tenure: 0yrs
  • Christopher Powell (44yo)

    Chief Legal Officer & Corporate Secretary

    • Tenure: 2.2yrs
  • Alfonso Olvera

    Senior Vice President of Software Solutions

    • Tenure: 0yrs

Board Members

  • William Keenan (68yo)

    Independent Director

    • Tenure: 2.4yrs
    • Compensation: US$150.45k
  • Jim Teague (74yo)

    Independent Director

    • Tenure: 2.4yrs
    • Compensation: US$150.45k
  • Jamie Burke (81yo)

    Independent Director

    • Tenure: 2.4yrs
    • Compensation: US$150.45k
  • F. Parker (77yo)

    Independent Director

    • Tenure: 2.4yrs
    • Compensation: US$160.45k
  • Bill Zartler (54yo)

    Founder

    • Tenure: 1.3yrs
    • Compensation: US$396.77k
  • Ray Walker (61yo)

    Independent Director

    • Tenure: 1.2yrs
    • Compensation: US$122.95k
  • Bud Giesinger (63yo)

    Independent Director

    • Tenure: 2.4yrs
    • Compensation: US$170.45k
  • Cynthia Durrett (54yo)

    Chief Administrative Officer & Director

    • Tenure: 0.6yrs

Company Information

Solaris Oilfield Infrastructure, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Solaris Oilfield Infrastructure, Inc.
  • Ticker: SOI
  • Exchange: NYSE
  • Founded: 2014
  • Industry: Oil and Gas Equipment and Services
  • Sector: Energy
  • Implied Market Cap: US$534.790m
  • Market Cap: US$356.899m
  • Shares outstanding: 47.58m
  • Website: https://www.solarisoilfield.com

Number of Employees


Location

  • Solaris Oilfield Infrastructure, Inc.
  • 9811 Katy Freeway
  • Suite 700
  • Houston
  • Texas
  • 77024
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
SOINYSE (New York Stock Exchange)YesClass A Common StockUSUSDMay 2017
68SDB (Deutsche Boerse AG)YesClass A Common StockDEEURMay 2017

Biography

Solaris Oilfield Infrastructure, Inc. manufactures and rents mobile proppant and chemical management systems to unload, store, and deliver proppant and chemicals at oil and natural gas well sites in the Un ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/23 00:48
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.