Enerflex Ltd. supplies natural gas compression, oil and gas processing, refrigeration systems, and electric power generation equipment to the oil and natural gas industry.
The last earnings update was 28 days ago.
Discounted Cash Flow Calculation for OTCPK:ENRF.F using 2 Stage Free Cash Flow to Equity Model
The calculations below outline how an intrinsic value for
is arrived at by discounting future cash flows to their present value using the 2 stage method.
We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.
OTCPK:ENRF.F DCF 1st Stage: Next 10 year cash flow forecast
Amount off the current price
is available for.
Share price is
vs Future cash flow value of
Current Discount Checks
to be considered undervalued it must be available for at least 20% below the
current price. Less than 40% is even better.
Enerflex's share price is below the future cash flow value, and at a moderate discount (> 20%).
Enerflex's share price is below the future cash flow value, and at a substantial discount (> 40%).
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
is considered below, and whether this is a fair price.
Price based on past earnings
Enerflex's earnings available for a low price, and how does
this compare to other companies in the same industry?
Enerflex's earnings are expected to grow by 10.3% yearly, however this is not considered high growth (20% yearly).
Enerflex's revenue is expected to grow by 10.1% yearly, however this is not considered high growth (20% yearly).
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.
Enerflex's performance over the past 5 years by checking for:
Has earnings increased in past 5 years? (1 check)
Has the earnings growth in the last year exceeded that of the
industry? (1 check)
Is the recent earnings growth over the last year higher than the average annual growth over the
past 5 years? (1 check)
Is the Return on Equity (ROE) higher than 20%? (1 check)
Is the Return on Assets (ROA) above industry average? (1 check)
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.
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.
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.
TENURE AS CEO
Mr. John Blair Goertzen served as the President of Enerflex Ltd. from April 14, 2005 to May 05, 2019 and served as its Chief Executive Officer from June 1, 2006 to May 03, 2019. Mr. Goertzen served as Chief Operating Officer of Enerflex Ltd. April 14, 2005 to June 1, 2006 and its Executive Vice President from June 19, 2003 to April 14, 2005. From September 1999 to May 2003, he served as the President of IPEC Ltd. He served as Chief Executive Officer and President of Enerflex AustralAsia Holdings Pty. Ltd. He served as Chief Operating Officer of EnSource Energy Services, Inc. He served as an Executive Vice President of Flint Energy Services (Formerly known as URS Flint). From 1989 to 1999, he served as Vice President of Enserv Corporation. He served as Chief Operating Officer and Executive Vice-President of Precision Drilling Corporation. He has been an Independent Director of Winalta Inc. since April 24, 2007. He served as an Independent Director at Zedcor Energy Inc. from 2007 to January 15, 2018. With over 40 years in the energy services industry, Mr. Goertzen played an integral role in shaping Zedcor. He has been a Director of C-TECH Oilwell Technologies, Inc. (Alternate Names: C-Tech Energy Services Inc.) since May 15, 2003. He served as a Director of Enerflex Ltd. from 2011 to May 03, 2019. Mr. Goertzen has been a Director of the Red Deer Regional Health.
John's compensation has increased by more than 20% in the past year.
John's remuneration is about average for companies of similar size in United States of America.
Management Team Tenure
Average tenure and age of the
management team in years:
The average tenure for the Enerflex management team is over 5 years, this suggests they are a seasoned and experienced team.
CEO, President & Director
Executive VP & CFO
Executive VP & COO
President of Latin America Operations
President of International
Director of Marketing & Public Relations
VP & General Counsel
VP of Human Resources and Director of Training & Change Management
Managing Director of ME
Board of Directors Tenure
Average tenure and age of the
board of directors in years:
The tenure for the Enerflex board of directors is about average.
Enerflex Ltd. supplies natural gas compression, oil and gas processing, refrigeration systems, and electric power generation equipment to the oil and natural gas industry. The company provides custom and standard compression packages for reciprocating and screw compressor applications; designs, engineers, manufactures, constructs, and installs modular natural gas processing equipment, and refrigeration and waste gas systems, as well as engages in re-engineering, reconfiguration, and repackaging of compressors for various field applications. It also offers after-market mechanical, parts distribution, operation, maintenance, and overhaul services; and integrated turnkey power generation and gas processing facilities. In addition, the company rents and leases electric and processing equipment, and natural gas compressors totaling approximately 640,000 horsepower. It operates in Canada, the United States, Argentina, Bolivia, Brazil, Colombia, Mexico, Australia, the United Kingdom, the United Arab Emirates, Oman, Bahrain, Indonesia, Malaysia, Thailand, and internationally. Enerflex Ltd. was founded in 1980 and is headquartered in Calgary, Canada.
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