ADAMS RESOURCES & ENERGY INC (AE)
US0063513081 - Common Stock
We assign a fundamental rating of 4 out of 10 to AE. AE was compared to 214 industry peers in the Oil, Gas & Consumable Fuels industry. While AE seems to be doing ok healthwise, there are quite some concerns on its profitability. AE does not seem to be growing, but still is valued expensively.
1. Profitability
1.1 Basic Checks
AE had negative earnings in the past year.
In the past year AE had a positive cash flow from operations.
Each year in the past 5 years AE has been profitable.
Of the past 5 years AE 4 years had a positive operating cash flow.
1.2 Ratios
With a Return On Assets value of 0.06%, AE is not doing good in the industry: 80.37% of the companies in the same industry are doing better.
The Return On Equity of AE (0.23%) is worse than 77.10% of its industry peers.
AE's Return On Invested Capital of 1.47% is on the low side compared to the rest of the industry. AE is outperformed by 80.84% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for AE is significantly below the industry average of 44.40%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.06% | ||
| ROE | 0.23% | ||
| ROIC | 1.47% |
ROA(3y)1.38%
ROA(5y)1.39%
ROE(3y)3.79%
ROE(5y)3.49%
ROIC(3y)3.82%
ROIC(5y)N/A
1.3 Margins
With a Profit Margin value of 0.01%, AE is not doing good in the industry: 80.37% of the companies in the same industry are doing better.
AE's Profit Margin has declined in the last couple of years.
AE's Operating Margin of 0.10% is on the low side compared to the rest of the industry. AE is outperformed by 84.11% of its industry peers.
AE's Operating Margin has improved in the last couple of years.
AE's Gross Margin of 1.65% is on the low side compared to the rest of the industry. AE is outperformed by 84.58% of its industry peers.
AE's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 0.1% | ||
| PM (TTM) | 0.01% | ||
| GM | 1.65% |
OM growth 3YN/A
OM growth 5Y4.85%
PM growth 3Y-57.03%
PM growth 5Y-46.01%
GM growth 3Y-10.03%
GM growth 5Y6.53%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), AE is destroying value.
Compared to 1 year ago, AE has more shares outstanding
Compared to 5 years ago, AE has less shares outstanding
Compared to 1 year ago, AE has a worse debt to assets ratio.
2.2 Solvency
AE has an Altman-Z score of 8.13. This indicates that AE is financially healthy and has little risk of bankruptcy at the moment.
The Altman-Z score of AE (8.13) is better than 92.99% of its industry peers.
AE has a debt to FCF ratio of 2.60. This is a good value and a sign of high solvency as AE would need 2.60 years to pay back of all of its debts.
With a decent Debt to FCF ratio value of 2.60, AE is doing good in the industry, outperforming 70.09% of the companies in the same industry.
AE has a Debt/Equity ratio of 0.42. This is a healthy value indicating a solid balance between debt and equity.
The Debt to Equity ratio of AE (0.42) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.42 | ||
| Debt/FCF | 2.6 | ||
| Altman-Z | 8.13 |
ROIC/WACC0.18
WACC8.04%
2.3 Liquidity
AE has a Current Ratio of 1.10. This is a normal value and indicates that AE is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Current ratio, with a value of 1.10, AE is in line with its industry, outperforming 43.93% of the companies in the same industry.
AE has a Quick Ratio of 1.01. This is a normal value and indicates that AE is financially healthy and should not expect problems in meeting its short term obligations.
The Quick ratio of AE (1.01) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.1 | ||
| Quick Ratio | 1.01 |
3. Growth
3.1 Past
AE shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -936.36%.
Measured over the past years, AE shows a very negative growth in Earnings Per Share. The EPS has been decreasing by -34.75% on average per year.
The Revenue for AE has decreased by -18.46% in the past year. This is quite bad
The Revenue has been growing by 9.42% on average over the past years. This is quite good.
EPS 1Y (TTM)-936.36%
EPS 3Y-29.33%
EPS 5Y-34.75%
EPS growth Q2Q85.47%
Revenue 1Y (TTM)-18.46%
Revenue growth 3Y38.99%
Revenue growth 5Y9.42%
Revenue growth Q2Q-5.08%
3.2 Future
AE is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 28.13% yearly.
The Revenue is expected to decrease by -5.78% on average over the next years.
EPS Next Y53.54%
EPS Next 2Y28.13%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year-13.95%
Revenue Next 2Y-5.78%
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
AE reported negative earnings for the last year, which makes the Price/Earnings Ratio negative.
Also next year AE is expected to report negative earnings again, which makes the also the Forward Price/Earnings Ratio negative.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | N/A |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of AE indicates a rather cheap valuation: AE is cheaper than 92.06% of the companies listed in the same industry.
Based on the Price/Free Cash Flow ratio, AE is valued cheaper than 89.25% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 4.07 | ||
| EV/EBITDA | 2.85 |
4.3 Compensation for Growth
AE's earnings are expected to grow with 28.13% in the coming years. This may justify a more expensive valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y28.13%
EPS Next 3YN/A
5. Dividend
5.1 Amount
AE has a Yearly Dividend Yield of 3.32%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 5.88, AE has a dividend in line with its industry peers.
AE's Dividend Yield is a higher than the S&P500 average which is at 2.40.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.32% |
5.2 History
The dividend of AE has a limited annual growth rate of 2.56%.
AE has paid a dividend for at least 10 years, which is a reliable track record.
AE has not decreased its dividend in the past 5 years, so it has a somewhat stable track record.
Dividend Growth(5Y)2.56%
Div Incr Years0
Div Non Decr Years6
5.3 Sustainability
AE pays out 1187.26% of its income as dividend. This is not a sustainable payout ratio.
AE's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP1187.26%
EPS Next 2Y28.13%
EPS Next 3YN/A
ADAMS RESOURCES & ENERGY INC
NYSEARCA:AE (5/7/2024, 10:12:27 AM)
29.075
+0.68 (+2.38%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap74.72M
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.32% |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
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EPS beat(8)
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EPS beat(12)
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EPS beat(16)
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Revenue beat(2)
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Revenue beat(8)
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Revenue beat(12)
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Revenue beat(16)
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PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | N/A | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.06% | ||
| ROE | 0.23% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 0.1% | ||
| PM (TTM) | 0.01% | ||
| GM | 1.65% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover7.6
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.42 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 1.1 | ||
| Quick Ratio | 1.01 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
Growth
EPS 1Y (TTM)-936.36%
EPS 3Y-29.33%
EPS 5Y
EPS growth Q2Q
EPS Next Y53.54%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)-18.46%
Revenue growth 3Y38.99%
Revenue growth 5Y
Revenue growth Q2Q
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y