AMEX:AE

Stock Analysis Report

Adams Resources & Energy

Executive Summary

Adams Resources & Energy, Inc., through its subsidiaries, primarily engages in the marketing, transportation, and storage of crude oil in the United States.


Snowflake Analysis

Flawless balance sheet with solid track record and pays a dividend.

Share Price & News

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


Latest Share Price and Events

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


Market Performance


7 Day Return

55.8%

AE

12.3%

US Oil and Gas

10.5%

US Market


1 Year Return

-31.2%

AE

-56.4%

US Oil and Gas

-11.5%

US Market

Return vs Industry: AE exceeded the US Oil and Gas industry which returned -54.1% over the past year.

Return vs Market: AE underperformed the US Market which returned -9.1% over the past year.


Shareholder returns

AEIndustryMarket
7 Day55.8%12.3%10.5%
30 Day-13.0%-35.6%-15.4%
90 Day-26.6%-51.6%-21.4%
1 Year-29.1%-31.2%-54.6%-56.4%-9.6%-11.5%
3 Year-22.6%-28.1%-52.0%-56.6%12.6%5.4%
5 Year-56.8%-61.6%-54.7%-61.6%32.8%18.1%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Adams Resources & Energy 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: AE ($26.86) is trading below our estimate of fair value ($287.12)

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


Price To Earnings Ratio

PE vs Industry: AE is poor value based on its PE Ratio (13.8x) compared to the Oil and Gas industry average (7.3x).

PE vs Market: AE is poor value based on its PE Ratio (13.8x) compared to the US market (13.4x).


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate AE's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: AE is overvalued based on its PB Ratio (0.8x) compared to the US Oil and Gas industry average (0.5x).


Next Steps

Future Growth

How is Adams Resources & Energy forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

20.3%

Forecasted Energy industry annual growth in earnings


In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as Adams Resources & Energy has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.

This is quite a rare situation as 97% of companies covered by SimplyWall St do have past financial data.


Next Steps

Past Performance

How has Adams Resources & Energy performed over the past 5 years?

24.2%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: AE has high quality earnings.

Growing Profit Margin: AE's current net profit margins (0.5%) are higher than last year (0.2%).


Past Earnings Growth Analysis

Earnings Trend: AE's earnings have grown significantly by 24.2% per year over the past 5 years.

Accelerating Growth: AE's earnings growth over the past year (178.7%) exceeds its 5-year average (24.2% per year).

Earnings vs Industry: AE earnings growth over the past year (178.7%) exceeded the Oil and Gas industry -11.4%.


Return on Equity

High ROE: AE's Return on Equity (5.4%) is considered low.


Next Steps

Financial Health

How is Adams Resources & Energy's financial position?


Financial Position Analysis

Short Term Liabilities: AE's short term assets ($247.3M) exceed its short term liabilities ($159.6M).

Long Term Liabilities: AE's short term assets ($247.3M) exceed its long term liabilities ($19.6M).


Debt to Equity History and Analysis

Debt Level: AE is debt free.

Reducing Debt: AE has not had any debt for past 5 years.

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

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


Balance Sheet

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

Debt Coverage by Assets: Insufficient data to determine if AE's debt is covered by short term assets.


Next Steps

Dividend

What is Adams Resources & Energy's current dividend yield, its reliability and sustainability?

3.57%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: AE's dividend (3.57%) is higher than the bottom 25% of dividend payers in the US market (1.93%).

High Dividend: AE's dividend (3.57%) is low compared to the top 25% of dividend payers in the US market (5.33%).


Stability and Growth of Payments

Stable Dividend: AE's dividends per share have been stable in the past 10 years.

Growing Dividend: AE's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (48.4%), AE's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: Insufficient data to determine if a dividend will be paid in 3 years and that it will be covered by earnings.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

1.8yrs

Average management tenure


CEO

Kevin Roycraft (49yo)

0.17

Tenure

US$543,238

Compensation

Mr. Kevin J. Roycraf serves as Chief Executive Officer at Adams Resources & Energy, Inc. since January 1, 2020. Mr. Roycraf served as President of Adams Resources & Energy, Inc. from January 1, 2020 until  ...


CEO Compensation Analysis

Compensation vs Market: Kevin's total compensation ($USD543.24K) is about average for companies of similar size in the US market ($USD596.44K).

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


Leadership Team

NamePositionTenureCompensationOwnership
Kevin Roycraft
Chief Executive Officer0.17yrUS$543.24k0.030% $34.6k
Tracy Ohmart
Executive VP1.75yrsUS$422.95k0.026% $29.4k
Sharon Davis
Executive VP5yrsUS$504.44k0.016% $18.2k
David Hurst
Secretaryno datano datano data
Wade Harrison
President of Service Transport Company0.17yrno datano data
John Barrett
Non Voting Advisory Member of the Boardno datano datano data
R. Stevens
Non Voting Advisory Member of the Board14.5yrsno datano data

1.8yrs

Average Tenure

59yo

Average Age

Experienced Management: AE's management team is not considered experienced ( 1.8 years average tenure), which suggests a new team.


Board Members

NamePositionTenureCompensationOwnership
Townes Pressler
Chairman of the Board2.5yrsUS$675.83k0.095% $108.6k
John Niemann
Director0.83yrno data0.021% $24.3k
Michelle Earley
Independent Director5yrsUS$82.13k0.0089% $10.1k
Murray Brasseux
Independent Director5yrsUS$92.13k0.032% $36.9k
Richard Jenner
Independent Director3.83yrsUS$92.13k0.021% $23.5k
W. Scofield
Director3.83yrsUS$82.13k0.0089% $10.1k
Dennis Dominic
Independent Director0.33yrno datano data

3.8yrs

Average Tenure

66yo

Average Age

Experienced Board: AE's board of directors are considered experienced (3.8 years average tenure).


Ownership

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


Insider Trading Volume

Insider Buying: AE insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Adams Resources & Energy, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Adams Resources & Energy, Inc.
  • Ticker: AE
  • Exchange: AMEX
  • Founded: 1947
  • Industry: Oil and Gas Refining and Marketing
  • Sector: Energy
  • Market Cap: US$113.766m
  • Shares outstanding: 4.24m
  • Website: https://www.adamsresources.com

Number of Employees


Location

  • Adams Resources & Energy, Inc.
  • 17 South Briar Hollow Lane
  • Suite 100
  • Houston
  • Texas
  • 77027
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
AEAMEX (NYSE MKT LLC)YesCommon StockUSUSDJan 1975

Biography

Adams Resources & Energy, Inc., through its subsidiaries, primarily engages in the marketing, transportation, and storage of crude oil in the United States. The company operates in two segments, Crude Oil Marketing, Transportation and Storage; and Tank Truck Transportation of Liquid Chemicals and Dry Bulk. The Crude Oil Marketing, Transportation and Storage segment purchases crude oil, and arranges sales and deliveries to refiners and other customers primarily onshore in Texas, Oklahoma, North Dakota, Michigan, and Louisiana. This segment operates a fleet of 255 tractor-trailer rigs and maintains approximately 201 pipeline inventory locations or injection stations. The Tank Truck Transportation of Liquid Chemicals and Dry Bulk segment transports liquid chemicals and dry bulk on a for hire basis in the continental United States and into Canada and Mexico. It operates truck terminals in Houston, Corpus Christi, Nederland, and Freeport, Texas; Baton Rouge, St. Rose, and Boutte, Louisiana; and Mobile, Alabama. Adams Resources & Energy, Inc. was founded in 1947 and is headquartered in Houston, Texas. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/03/28 00:54
End of Day Share Price2020/03/27 00:00
Earnings2019/12/31
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.