NYSE:WPX

Stock Analysis Report

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Executive Summary

WPX Energy, Inc., an independent oil and natural gas exploration and production company, engages in the exploitation and development of unconventional properties in the United States.


Snowflake Analysis

Moderate growth potential with worrying balance sheet.


Similar Companies

Share Price & News

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


Latest Share Price and Events

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


Market Performance


7 Day Return

5.4%

WPX

3.1%

US Oil and Gas

0.7%

US Market


1 Year Return

-33.0%

WPX

-29.6%

US Oil and Gas

20.1%

US Market

Return vs Industry: WPX underperformed the US Oil and Gas industry which returned -31.3% over the past year.

Return vs Market: WPX underperformed the US Market which returned 17.1% over the past year.


Shareholder returns

WPXIndustryMarket
7 Day5.4%3.1%0.7%
30 Day23.0%7.0%6.4%
90 Day25.5%6.4%20.1%
1 Year-33.0%-33.0%-26.0%-29.6%22.6%20.1%
3 Year-30.5%-30.5%-27.1%-35.1%45.1%35.7%
5 Year-14.0%-14.0%-28.2%-39.9%79.7%60.3%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

0.79x

Price to Book (PB) ratio


Share Price vs. Fair Value

Below Fair Value: WPX ($6.64) is trading above our estimate of fair value ($0.52)

Significantly Below Fair Value: WPX is trading above our estimate of fair value.


Price To Earnings Ratio

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

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


Price to Book Ratio

PB vs Industry: WPX's PB Ratio (0.8x) is in line with the US Oil and Gas industry average.


Next Steps

Future Growth

How is WPX Energy forecast to perform in the next 1 to 3 years based on estimates from 18 analysts?

78.8%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

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

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

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

Revenue vs Market: WPX's revenue (1% per year) is forecast to grow slower than the US market (9.4% per year).

High Growth Revenue: WPX's revenue (1% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: WPX is forecast to be unprofitable in 3 years.


Next Steps

Past Performance

How has WPX Energy performed over the past 5 years?

17.1%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: WPX is currently unprofitable.

Growing Profit Margin: WPX is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: WPX is unprofitable, but has reduced losses over the past 5 years at a rate of 17.1% per year.

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

Earnings vs Industry: WPX is unprofitable, making it difficult to compare its past year earnings growth to the Oil and Gas industry (-53.5%).


Return on Equity

High ROE: WPX has a negative Return on Equity (-13.17%), as it is currently unprofitable.


Next Steps

Financial Health

How is WPX Energy's financial position?


Financial Position Analysis

Short Term Liabilities: WPX's short term assets ($1.2B) exceed its short term liabilities ($1.1B).

Long Term Liabilities: WPX's short term assets ($1.2B) do not cover its long term liabilities ($4.1B).


Debt to Equity History and Analysis

Debt Level: WPX's debt to equity ratio (74.7%) is considered high.

Reducing Debt: WPX's debt to equity ratio has increased from 46.4% to 74.7% 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: Insufficient data to determine if WPX has enough cash runway based on its current free cash flow.

Forecast Cash Runway: Insufficient data to determine if WPX has enough cash runway if its free cash flow continues to grow or shrink based on historical rates.


Next Steps

Dividend

What is WPX Energy current dividend yield, its reliability and sustainability?

0.84%

Forecast Dividend Yield


Dividend Yield vs Market

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

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

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

6.0yrs

Average management tenure


CEO

Rick Muncrief (61 yo)

6.25yrs

Tenure

US$11,334,302

Compensation

Mr. Richard E. Muncrief, also known as Rick, has been the Chief Executive Officer of WPX Energy, Inc. since May 15, 2014 and served as its President since May 15, 2014 until December 2017. Mr. Muncrief ser ...


CEO Compensation Analysis

Compensation vs Market: Rick's total compensation ($USD11.33M) is above average for companies of similar size in the US market ($USD5.75M).

Compensation vs Earnings: Rick's compensation has increased whilst the company is unprofitable.


Leadership Team

NamePositionTenureCompensationOwnership
Richard Muncrief
CEO & Chairman of the Board6.25yrsUS$11.33m0.23%
$ 8.5m
Clay Gaspar
President0.75yrUS$5.30m0.17%
$ 6.3m
J. Vann
Executive VP & CFO6.42yrsUS$3.94m0.11%
$ 4.2m
Dennis Cameron
Executive VP & General Counsel6.67yrsUS$2.54m0.061%
$ 2.3m
Bryan Guderian
Executive Vice President of Business Development4.25yrsUS$3.02m0.085%
$ 3.2m
Stephen Faulkner
VP, Controller & Principal Accounting Officer5.75yrsno data0.013%
$ 480.1k
Angela Kouplen
Senior VP of Administration & Chief Information Officer4.58yrsno data0.020%
$ 740.9k
David Sullivan
Vice President of Investor Relations8.58yrsno datano data
Greg Horne
Vice President of Midstream & Marketingno datano datano data
Todd Scruggs
Vice President of Corporate Developmentno datano datano data
Stephen Brilz
VP & Corporate Secretaryno datano datano data

6.0yrs

Average Tenure

49yo

Average Age

Experienced Management: WPX's management team is seasoned and experienced (6 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Richard Muncrief
CEO & Chairman of the Board6.25yrsUS$11.33m0.23%
$ 8.5m
Clay Gaspar
President0.75yrUS$5.30m0.17%
$ 6.3m
D. Phillips
Independent Director0.42yrno data0.0050%
$ 187.0k
John Carrig
Independent Director8.67yrsUS$290.00k0.012%
$ 450.3k
Douglas Swanson
Independent Director0.42yrno data0.0050%
$ 187.0k
Kelt Kindick
Lead Independent Director2.25yrsUS$315.00k0.030%
$ 1.1m
Kimberly Lubel
Independent Director8.67yrsUS$270.00k0.025%
$ 948.7k
Karl Kurz
Independent Director6.58yrsUS$270.00k0.016%
$ 582.2k
Robert Herdman
Independent Director8.67yrsUS$271.86k0.0094%
$ 350.5k
Valerie Williams
Independent Director2.42yrsUS$270.00k0.00012%
$ 4.5k

3.0yrs

Average Tenure

62yo

Average Age

Experienced Board: WPX's board of directors are considered experienced (3 years average tenure).


Ownership

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


Insider Trading Volume

Insider Buying: Insufficient data to determine if 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 32.8%.


Top Shareholders

Company Information

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


Key Information

  • Name: WPX Energy, Inc.
  • Ticker: WPX
  • Exchange: NYSE
  • Founded: 1983
  • Industry: Oil and Gas Exploration and Production
  • Sector: Energy
  • Market Cap: US$3.725b
  • Shares outstanding: 560.99m
  • Website: https://www.wpxenergy.com

Number of Employees


Location

  • WPX Energy, Inc.
  • 3500 One Williams Center
  • Tulsa
  • Oklahoma
  • 74172-0172
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
WPXNYSE (New York Stock Exchange)YesCommon StockUSUSDDec 2011
WPEDB (Deutsche Boerse AG)YesCommon StockDEEURDec 2011

Biography

WPX Energy, Inc., an independent oil and natural gas exploration and production company, engages in the exploitation and development of unconventional properties in the United States. It produces oil, natu ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/08/12 23:45
End of Day Share Price2020/08/12 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.