DRIL-QUIP INC (DRQ) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:DRQ - US2620371045 - Common Stock
15.41 USD
-0.56 (-3.51%)
15.41 USD
0 (0%)
DRQ gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 62 industry peers in the Energy Equipment & Services industry. While DRQ has a great health rating, there are worries on its profitability. While showing a medium growth rate, DRQ is valued expensive at the moment.
1. Profitability
1.1 Basic Checks
- In the past year DRQ has reported negative net income.
- DRQ had a positive operating cash flow in the past year.
- In multiple years DRQ reported negative net income over the last 5 years.
- The reported operating cash flow has been mixed in the past 5 years: DRQ reported negative operating cash flow in multiple years.
1.2 Ratios
- DRQ has a Return On Assets of -2.68%. This is in the lower half of the industry: DRQ underperforms 74.19% of its industry peers.
- Looking at the Return On Equity, with a value of -3.17%, DRQ is doing worse than 70.97% of the companies in the same industry.
- With a Return On Invested Capital value of 0.68%, DRQ is not doing good in the industry: 79.03% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -2.68% | ||
| ROE | -3.17% | ||
| ROIC | 0.68% |
ROA(3y)-4.28%
ROA(5y)-3.07%
ROE(3y)-4.81%
ROE(5y)-3.45%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
- DRQ's Operating Margin of 1.61% is on the low side compared to the rest of the industry. DRQ is outperformed by 75.81% of its industry peers.
- With a Gross Margin value of 28.53%, DRQ perfoms like the industry average, outperforming 58.06% of the companies in the same industry.
- DRQ's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 1.61% | ||
| PM (TTM) | N/A | ||
| GM | 28.53% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y1.44%
GM growth 5Y-1.51%
2. Health
2.1 Basic Checks
- The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so DRQ is destroying value.
- Compared to 1 year ago, DRQ has more shares outstanding
- Compared to 1 year ago, DRQ has a worse debt to assets ratio.
2.2 Solvency
- An Altman-Z score of 4.52 indicates that DRQ is not in any danger for bankruptcy at the moment.
- Looking at the Altman-Z score, with a value of 4.52, DRQ belongs to the top of the industry, outperforming 91.94% of the companies in the same industry.
- DRQ has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | 4.52 |
ROIC/WACC0.08
WACC8.32%
2.3 Liquidity
- A Current Ratio of 5.60 indicates that DRQ has no problem at all paying its short term obligations.
- The Current ratio of DRQ (5.60) is better than 95.16% of its industry peers.
- DRQ has a Quick Ratio of 3.98. This indicates that DRQ is financially healthy and has no problem in meeting its short term obligations.
- With an excellent Quick ratio value of 3.98, DRQ belongs to the best of the industry, outperforming 95.16% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 5.6 | ||
| Quick Ratio | 3.98 |
3. Growth
3.1 Past
- DRQ shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -1000.00%.
- DRQ shows a strong growth in Revenue. In the last year, the Revenue has grown by 29.77%.
- The Revenue has been growing slightly by 1.97% on average over the past years.
EPS 1Y (TTM)-1000%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%433.33%
Revenue 1Y (TTM)29.77%
Revenue growth 3Y5.13%
Revenue growth 5Y1.97%
Sales Q2Q%34.3%
3.2 Future
- The Earnings Per Share is expected to grow by 67.14% on average over the next years. This is a very strong growth
- DRQ is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 12.73% yearly.
EPS Next Y187.53%
EPS Next 2Y168.04%
EPS Next 3Y111.1%
EPS Next 5Y67.14%
Revenue Next Year20.38%
Revenue Next 2Y13.37%
Revenue Next 3Y10.52%
Revenue Next 5Y12.73%
3.3 Evolution
- The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
- The Price/Earnings Ratio is negative for DRQ. In the last year negative earnings were reported.
- The Price/Forward Earnings ratio is 19.81, which indicates a rather expensive current valuation of DRQ.
- DRQ's Price/Forward Earnings ratio is a bit more expensive when compared to the industry. DRQ is more expensive than 79.03% of the companies in the same industry.
- DRQ's Price/Forward Earnings ratio indicates a similar valuation than the S&P500 average which is at 24.29.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 19.81 |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, DRQ is valued a bit more expensive than 66.13% of the companies in the same industry.
- Compared to the rest of the industry, the Price/Free Cash Flow ratio of DRQ indicates a slightly more expensive valuation: DRQ is more expensive than 61.29% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 66.12 | ||
| EV/EBITDA | 8.54 |
4.3 Compensation for Growth
- DRQ's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
- DRQ's earnings are expected to grow with 111.09% in the coming years. This may justify a more expensive valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y168.04%
EPS Next 3Y111.1%
5. Dividend
5.1 Amount
- DRQ does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
15.41
-0.56 (-3.51%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryEnergy Equipment & Services
Earnings (Last)08-01 2024-08-01/amc
Earnings (Next)10-24 2024-10-24/amc
Inst Owners1.09%
Inst Owner Change0%
Ins Owners1.82%
Ins Owner Change0%
Market Cap530.87M
Revenue(TTM)474.23M
Net Income(TTM)-26.99M
Analysts48
Price Target28.9 (87.54%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly Dividend0
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-422.36%
Min EPS beat(2)-789.73%
Max EPS beat(2)-55%
EPS beat(4)0
Avg EPS beat(4)-291.04%
Min EPS beat(4)-789.73%
Max EPS beat(4)-55%
EPS beat(8)2
Avg EPS beat(8)-105.49%
EPS beat(12)2
Avg EPS beat(12)-107.98%
EPS beat(16)3
Avg EPS beat(16)-567.86%
Revenue beat(2)1
Avg Revenue beat(2)0.75%
Min Revenue beat(2)-1.53%
Max Revenue beat(2)3.02%
Revenue beat(4)3
Avg Revenue beat(4)2.74%
Min Revenue beat(4)-1.53%
Max Revenue beat(4)5.56%
Revenue beat(8)4
Avg Revenue beat(8)0.17%
Revenue beat(12)5
Avg Revenue beat(12)-0.6%
Revenue beat(16)6
Avg Revenue beat(16)-1.34%
PT rev (1m)0%
PT rev (3m)0%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-3.77%
EPS NY rev (1m)-70.45%
EPS NY rev (3m)-70.45%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0%
Revenue NY rev (1m)-0.1%
Revenue NY rev (3m)-0.1%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 19.81 | ||
| P/S | 1.12 | ||
| P/FCF | 66.12 | ||
| P/OCF | 14.76 | ||
| P/B | 0.62 | ||
| P/tB | 0.67 | ||
| EV/EBITDA | 8.54 |
EPS(TTM)-0.63
EYN/A
EPS(NY)0.78
Fwd EY5.05%
FCF(TTM)0.23
FCFY1.51%
OCF(TTM)1.04
OCFY6.77%
SpS13.77
BVpS24.75
TBVpS23.15
PEG (NY)N/A
PEG (5Y)N/A
Graham NumberN/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -2.68% | ||
| ROE | -3.17% | ||
| ROCE | 0.86% | ||
| ROIC | 0.68% | ||
| ROICexc | 0.86% | ||
| ROICexgc | 0.94% | ||
| OM | 1.61% | ||
| PM (TTM) | N/A | ||
| GM | 28.53% | ||
| FCFM | 1.69% |
ROA(3y)-4.28%
ROA(5y)-3.07%
ROE(3y)-4.81%
ROE(5y)-3.45%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y1.44%
GM growth 5Y-1.51%
F-Score5
Asset Turnover0.47
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 85.08% | ||
| Cap/Sales | 5.89% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 88.91% | ||
| Profit Quality | N/A | ||
| Current Ratio | 5.6 | ||
| Quick Ratio | 3.98 | ||
| Altman-Z | 4.52 |
F-Score5
WACC8.32%
ROIC/WACC0.08
Cap/Depr(3y)68.2%
Cap/Depr(5y)55.03%
Cap/Sales(3y)5.33%
Cap/Sales(5y)4.41%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-1000%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%433.33%
EPS Next Y187.53%
EPS Next 2Y168.04%
EPS Next 3Y111.1%
EPS Next 5Y67.14%
Revenue 1Y (TTM)29.77%
Revenue growth 3Y5.13%
Revenue growth 5Y1.97%
Sales Q2Q%34.3%
Revenue Next Year20.38%
Revenue Next 2Y13.37%
Revenue Next 3Y10.52%
Revenue Next 5Y12.73%
EBIT growth 1Y247.73%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year823.58%
EBIT Next 3Y135.99%
EBIT Next 5Y81%
FCF growth 1Y157.39%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y680.33%
OCF growth 3YN/A
OCF growth 5Y-29.85%
DRIL-QUIP INC / DRQ FAQ
What is the ChartMill fundamental rating of DRIL-QUIP INC (DRQ) stock?
ChartMill assigns a fundamental rating of 4 / 10 to DRQ.
What is the valuation status of DRIL-QUIP INC (DRQ) stock?
ChartMill assigns a valuation rating of 2 / 10 to DRIL-QUIP INC (DRQ). This can be considered as Overvalued.
Can you provide the profitability details for DRIL-QUIP INC?
DRIL-QUIP INC (DRQ) has a profitability rating of 1 / 10.
What is the earnings growth outlook for DRIL-QUIP INC?
The Earnings per Share (EPS) of DRIL-QUIP INC (DRQ) is expected to grow by 187.53% in the next year.