Petrovietnam Drilling and Well Services (HOSE:PVD) - Share price, News & Analysis

Q: What is the Fair Price of PVD when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

PVD (₫17750) is trading below our estimate of [[fair value]] (₫24236.5)

PVD fundamental analysis
Snowflake Score
Valuation	2/6
Future Growth	4/6
Past Performance	0/6
Financial Health	4/6
Dividends	0/6

PVD Stock Overview

Rewards

Trading at 26.8% below our estimate of its fair value

Earnings are forecast to grow 43.12% per year

Earnings have grown 4.8% per year over the past 5 years

Risk Analysis

Volatile share price over the past 3 months

Petrovietnam Drilling and Well Services Competitors

PetroVietnam Technical Services

HNX:PVS

₫11.8t

PetroVietnam Transportation

HOSE:PVT

₫6.8t

Vietnam National Petroleum Group

HOSE:PLX

₫53.5t

Petrovietnam Chemical and Services

HNX:PVC

₫905.0b

Price History & Performance

Summary of all time highs, changes and price drops for Petrovietnam Drilling and Well Services
Historical stock prices
Current Share Price	₫17,750.00
52 Week High	₫30,530.30
52 Week Low	₫13,030.30
Beta	1.72
1 Month Change	25.97%
3 Month Change	2.76%
1 Year Change	19.54%
3 Year Change	48.76%
5 Year Change	71.82%
Change since IPO	-74.24%

Shareholder Returns

	PVD	VN Energy Services	VN Market
7D	9.7%	8.8%	2.0%
1Y	19.5%	10.1%	-8.1%

Return vs Industry: PVD exceeded the VN Energy Services industry which returned 10.1% over the past year.

Return vs Market: PVD exceeded the VN Market which returned -8.1% over the past year.

Price Volatility

Is PVD's price volatile compared to industry and market?
PVD volatility
PVD Average Weekly Movement	8.9%
Energy Services Industry Average Movement	9.8%
Market Average Movement	7.4%
10% most volatile stocks in VN Market	10.0%
10% least volatile stocks in VN Market	4.2%

Stable Share Price: PVD is more volatile than 75% of VN stocks over the past 3 months, typically moving +/- 9% a week.

Volatility Over Time: PVD's weekly volatility (9%) has been stable over the past year, but is still higher than 75% of VN stocks.

About the Company

Founded	Employees	CEO	Website
2001	2,116	Nguyen Cuong	https://www.pvdrilling.com.vn

Petrovietnam Drilling and Well Services Corporation, together with its subsidiaries, provides drilling rigs and drilling-related services to the oil and gas industry in the Socialist Republic of Vietnam and internationally. The company owns and operates offshore and onshore rigs. It also provides drilling-related and well technical services; and design, engineering, inspection, repairing, maintenance, workshop, trading and other, manpower and training program, and oil spill response and environment impact assessment services.

Petrovietnam Drilling and Well Services Fundamentals Summary

How do Petrovietnam Drilling and Well Services's earnings and revenue compare to its market cap?
PVD fundamental statistics
Market Cap	US$421.79m
Earnings (TTM)	-US$1.55m
Revenue (TTM)	US$219.56m

1.9x

P/S Ratio

-272.0x

P/E Ratio

Is PVD overvalued?

See Fair Value and valuation analysis

Earnings & Revenue

Key profitability statistics from the latest earnings report
PVD income statement (TTM)
Revenue	US$219.56m
Cost of Revenue	US$199.91m
Gross Profit	US$19.65m
Other Expenses	US$21.20m
Earnings	-US$1.55m

Last Reported Earnings

Jun 30, 2022

Next Earnings Date

n/a

Earnings per share (EPS)	-0.0028
Gross Margin	8.95%
Net Profit Margin	-0.71%
Debt/Equity Ratio	28.0%

How did PVD perform over the long term?

See historical performance and comparison

We’ve recently updated our valuation analysis.

Valuation

Is PVD undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

2/6

Valuation Score 2/6

Price-To-Sales vs Peers
Price-To-Sales vs Industry
Price-To-Sales vs Fair Ratio
Below Fair Value
Significantly Below Fair Value
Analyst Forecast

Key Valuation Metric

Which metric is best to use when looking at relative valuation for PVD?

Other financial metrics that can be useful for relative valuation.

The above table shows the n/a ratio for PVD. This is calculated by dividing PVD's market cap by their current preferred multiple.
What is PVD's n/a Ratio?
n/a Ratio	0x
n/a	n/a
Market Cap	US$421.79m

PVD key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue	2.3x
Enterprise Value/EBITDA	16.7x
PEG Ratio	n/a

Price to Sales Ratio vs Peers

How does PVD's PS Ratio compare to its peers?

PVD PS Ratio vs Peers

The above table shows the PS ratio for PVD vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
Company	PS	Estimated Growth	Market Cap
Peer Average	0.5x
PVS PetroVietnam Technical Services	0.7x	24.3%	₫11.8t
PVT PetroVietnam Transportation	0.9x	6.7%	₫6.8t
PLX Vietnam National Petroleum Group	0.2x	1.1%	₫53.5t
PVC Petrovietnam Chemical and Services	0.3x	n/a	₫905.0b
PVD Petrovietnam Drilling and Well Services	1.9x	19.8%	₫9.9t

Price-To-Sales vs Peers: PVD is expensive based on its Price-To-Sales Ratio (1.9x) compared to the peer average (0.5x).

Price to Earnings Ratio vs Industry

How does PVD's PE Ratio compare vs other companies in the Asian Energy Services Industry?

Price-To-Sales vs Industry: PVD is expensive based on its Price-To-Sales Ratio (1.9x) compared to the VN Energy Services industry average (0.7x)

Price to Sales Ratio vs Fair Ratio

What is PVD's PS Ratio compared to its Fair PS Ratio? This is the expected PS Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

PVD PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio	1.9x
Fair PS Ratio	1.1x

Price-To-Sales vs Fair Ratio: PVD is expensive based on its Price-To-Sales Ratio (1.9x) compared to the estimated Fair Price-To-Sales Ratio (1.1x).

Share Price vs Fair Value

What is the Fair Price of PVD when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: PVD (₫17750) is trading below our estimate of fair value (₫24236.5)

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

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

Analyst Forecast: Target price is more than 20% higher than the current share price, but analysts are not within a statistically confident range of agreement.

Discover undervalued companies

Future Growth

How is Petrovietnam Drilling and Well Services forecast to perform in the next 1 to 3 years based on estimates from 6 analysts?

Future Growth Score

4/6

Future Growth Score 4/6

Earnings vs Savings Rate
Earnings vs Market
High Growth Earnings
Revenue vs Market
High Growth Revenue
Future ROE

43.1%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts

Analyst Future Growth Forecasts

Earnings vs Savings Rate: PVD is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (3.7%).

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

High Growth Earnings: PVD is expected to become profitable in the next 3 years.

Revenue vs Market: PVD's revenue (19.8% per year) is forecast to grow faster than the VN market (17.2% per year).

High Growth Revenue: PVD's revenue (19.8% per year) is forecast to grow slower than 20% per year.

Earnings per Share Growth Forecasts

Future Return on Equity

Future ROE: PVD's Return on Equity is forecast to be low in 3 years time (5.8%).

Discover growth companies

Past Performance

How has Petrovietnam Drilling and Well Services performed over the past 5 years?

Past Performance Score

0/6

Past Performance Score 0/6

Quality Earnings
Growing Profit Margin
Earnings Trend
Accelerating Growth
Earnings vs Industry
High ROE

4.8%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: PVD is currently unprofitable.

Growing Profit Margin: PVD is currently unprofitable.

Past Earnings Growth Analysis

Earnings Trend: PVD is unprofitable, but has reduced losses over the past 5 years at a rate of 4.8% per year.

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

Earnings vs Industry: PVD is unprofitable, making it difficult to compare its past year earnings growth to the Energy Services industry (-6.8%).

Return on Equity

High ROE: PVD has a negative Return on Equity (-0.32%), as it is currently unprofitable.

Discover strong past performing companies

Financial Health

How is Petrovietnam Drilling and Well Services's financial position?

Financial Health Score

4/6

Financial Health Score 4/6

Short Term Liabilities
Long Term Liabilities
Debt Level
Reducing Debt
Debt Coverage
Interest Coverage

Financial Position Analysis

Short Term Liabilities: PVD's short term assets ($241.3M) exceed its short term liabilities ($131.2M).

Long Term Liabilities: PVD's short term assets ($241.3M) exceed its long term liabilities ($165.5M).

Debt to Equity History and Analysis

Debt Level: PVD's net debt to equity ratio (11.8%) is considered satisfactory.

Reducing Debt: PVD's debt to equity ratio has reduced from 38.3% to 28% over the past 5 years.

Debt Coverage: PVD's operating cash flow is negative, therefore debt is not well covered.

Interest Coverage: PVD's interest payments on its debt are not well covered by EBIT (2.6x coverage).

Balance Sheet

Discover healthy companies

Dividend

What is Petrovietnam Drilling and Well Services's current dividend yield, its reliability and sustainability?

Dividend Score

0/6

Dividend Score 0/6

Notable Dividend
High Dividend
Stable Dividend
Growing Dividend
Earnings Coverage
Cash Flow Coverage

2.23%

Forecast Dividend Yield

Dividend Yield vs Market

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

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

Growing Dividend: Insufficient data to determine if PVD's dividend payments have been increasing.

Earnings Payout to Shareholders

Earnings Coverage: PVD is not paying a notable dividend for the VN market.

Cash Payout to Shareholders

Cash Flow Coverage: Unable to calculate sustainability of dividends as PVD has not reported any payouts.

Discover strong dividend paying companies

Management

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

5.3yrs

Average management tenure

CEO

Nguyen Cuong (54 yo)

3.33yrs

Tenure

US$20

Compensation

Mr. Nguyen Xuan Cuong has been Chief Executive Officer and Director of Petrovietnam Drilling and Well Services Corporation since April 2019. Mr. Cuong has been President of Petrovietnam Drilling and Well S...

Leadership Team

Experienced Management: PVD's management team is seasoned and experienced (5.3 years average tenure).

Board Members

Experienced Board: PVD's board of directors are not considered experienced ( 2.8 years average tenure), which suggests a new board.

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.

Ownership Breakdown

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

Data	Last Updated (UTC time)
Company Analysis	2022/08/09 00:00
End of Day Share Price	2022/08/09 00:00
Earnings	2022/06/30
Annual Earnings	2021/12/31