DRIL-QUIP INC (DRQ)
US2620371045 - Common Stock
Overall DRQ gets a fundamental rating of 5 out of 10. We evaluated DRQ against 66 industry peers in the Energy Equipment & Services industry. No worries on liquidiy or solvency for DRQ as it has an excellent financial health rating, but there are worries on the profitability. While showing a medium growth rate, DRQ is valued expensive at the moment.
1. Profitability
1.1 Basic Checks
DRQ had positive earnings in the past year.
DRQ had a negative 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
Looking at the Return On Assets, with a value of 2.12%, DRQ is in line with its industry, outperforming 42.19% of the companies in the same industry.
DRQ has a Return On Equity (2.36%) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.12% | ||
| ROE | 2.36% | ||
| ROIC | N/A |
ROA(3y)N/A
ROA(5y)N/A
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
With a decent Profit Margin value of 5.68%, DRQ is doing good in the industry, outperforming 64.06% of the companies in the same industry.
In the last couple of years the Profit Margin of DRQ has declined.
With a Gross Margin value of 27.90%, DRQ perfoms like the industry average, outperforming 53.13% of the companies in the same industry.
In the last couple of years the Gross Margin of DRQ has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | N/A | ||
| PM | 5.68% | ||
| GM | 27.9% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3Y-33.17%
PM growth 5YN/A
GM growth 3Y-2.76%
GM growth 5Y-4.23%
2. Health
2.1 Basic Checks
DRQ does not have a ROIC to compare to the WACC, probably because it is not profitable.
DRQ has less shares outstanding than it did 1 year ago.
DRQ has less shares outstanding than it did 5 years ago.
DRQ has a better debt/assets ratio than last year.
2.2 Solvency
DRQ has an Altman-Z score of 8.20. This indicates that DRQ is financially healthy and has little risk of bankruptcy at the moment.
DRQ's Altman-Z score of 8.20 is amongst the best of the industry. DRQ outperforms 93.75% of its industry peers.
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 | N/A | ||
| Altman-Z | 8.2 |
ROIC/WACCN/A
WACC9.7%
2.3 Liquidity
DRQ has a Current Ratio of 8.57. This indicates that DRQ is financially healthy and has no problem in meeting its short term obligations.
DRQ's Current ratio of 8.57 is amongst the best of the industry. DRQ outperforms 98.44% of its industry peers.
DRQ has a Quick Ratio of 6.70. This indicates that DRQ is financially healthy and has no problem in meeting its short term obligations.
DRQ's Quick ratio of 6.70 is amongst the best of the industry. DRQ outperforms 98.44% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 8.57 | ||
| Quick Ratio | 6.7 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 105.83% over the past year.
The earnings per share for DRQ have been decreasing by -36.42% on average. This is quite bad
The Revenue has grown by 8.11% in the past year. This is quite good.
The Revenue has been decreasing by -4.49% on average over the past years.
EPS 1Y105.83%
EPS 3Y-36.42%
EPS 5YN/A
EPS growth Q2Q70%
Revenue growth 1Y8.11%
Revenue growth 3Y-4.43%
Revenue growth 5Y-4.49%
Revenue growth Q2Q-4.65%
3.2 Future
The Earnings Per Share is expected to grow by 42.77% on average over the next years. This is a very strong growth
The Revenue is expected to grow by 11.01% on average over the next years. This is quite good.
EPS Next Y238.78%
EPS Next 2Y128.18%
EPS Next 3Y85.84%
EPS Next 5Y42.77%
Revenue Next Year19.6%
Revenue Next 2Y23.94%
Revenue Next 3Y19.12%
Revenue Next 5Y11.01%
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 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 389.71, which means the current valuation is very expensive for DRQ.
68.75% of the companies in the same industry are cheaper than DRQ, based on the Price/Earnings ratio.
Compared to an average S&P500 Price/Earnings ratio of 25.89, DRQ is valued quite expensively.
A Price/Forward Earnings ratio of 30.38 indicates a quite expensive valuation of DRQ.
DRQ's Price/Forward Earnings ratio is a bit more expensive when compared to the industry. DRQ is more expensive than 78.13% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 18.97, DRQ is valued quite expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 389.71 | ||
| Fwd PE | 30.38 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, DRQ is valued expensively inside the industry as 85.94% of the companies are valued cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 29.26 |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
A more expensive valuation may be justified as DRQ's earnings are expected to grow with 85.84% in the coming years.
PEG (NY)1.63
PEG (5Y)N/A
EPS Next 2Y128.18%
EPS Next 3Y85.84%
5. Dividend
5.1 Amount
DRQ does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
DRIL-QUIP INC
NYSE:DRQ (9/25/2023, 2:06:33 PM)
27.28
-0.41 (-1.48%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryEnergy Equipment & Services
Earnings (Last)07-31 2023-07-31/amc
Earnings (Next)10-25 2023-10-25/amc
Inst Owners101.43%
Inst Owner Change-2.09%
Ins Owners1.45%
Ins Owner Change0.61%
Market Cap932.30M
Analysts49.09
Price Target32.64 (19.65%)
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
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)-94.8%
Min EPS beat(2)-148.16%
Max EPS beat(2)-41.44%
EPS beat(4)2
Avg EPS beat(4)80.07%
Min EPS beat(4)-148.16%
Max EPS beat(4)281.67%
Revenue beat(2)2
Avg Revenue beat(2)93784%
Min Revenue beat(2)89879.5%
Max Revenue beat(2)97688.4%
Revenue beat(4)4
Avg Revenue beat(4)97505.8%
Min Revenue beat(4)89879.5%
Max Revenue beat(4)108211%
PT rev (1m)4.35%
PT rev (3m)3.23%
EPS NQ rev (1m)3.14%
EPS NQ rev (3m)8.49%
EPS NY rev (1m)44.92%
EPS NY rev (3m)8.59%
Revenue NQ rev (1m)-99.89%
Revenue NQ rev (3m)-99.89%
Revenue NY rev (1m)5.82%
Revenue NY rev (3m)6.04%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 389.71 | ||
| Fwd PE | 30.38 | ||
| P/S | 2.55 | ||
| P/FCF | N/A | ||
| P/OCF | N/A | ||
| P/B | 1.06 | ||
| P/tB | 1.09 | ||
| EV/EBITDA | 29.26 |
EPS(TTM)0.07
EY0.26%
EPS(NY)0.9
Fwd EY3.29%
FCF(TTM)-2.61
FCFYN/A
OCF(TTM)-1.7
OCFYN/A
SpS10.69
BVpS25.73
TBVpS25.09
PEG (NY)1.63
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.12% | ||
| ROE | 2.36% | ||
| ROCE | N/A | ||
| ROIC | N/A | ||
| ROICexc | N/A | ||
| ROICexgc | N/A | ||
| OM | N/A | ||
| PM | 5.68% | ||
| GM | 27.9% | ||
| FCFM | N/A |
ROA(3y)N/A
ROA(5y)N/A
ROE(3y)N/A
ROE(5y)N/A
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
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3Y-33.17%
PM growth 5YN/A
GM growth 3Y-2.76%
GM growth 5Y-4.23%
F-Score6
Asset Turnover0.37
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 110.37% | ||
| Cap/Sales | 8.5% | ||
| Profit Quality | N/A | ||
| Current Ratio | 8.57 | ||
| Quick Ratio | 6.7 | ||
| Altman-Z | 8.2 |
F-Score6
WACC9.7%
ROIC/WACCN/A
Cap/Depr(3y)44.58%
Cap/Depr(5y)51.7%
Cap/Sales(3y)3.85%
Cap/Sales(5y)4.54%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
Growth
EPS 1Y105.83%
EPS 3Y-36.42%
EPS 5YN/A
EPS growth Q2Q70%
EPS Next Y238.78%
EPS Next 2Y128.18%
EPS Next 3Y85.84%
EPS Next 5Y42.77%
Revenue growth 1Y8.11%
Revenue growth 3Y-4.43%
Revenue growth 5Y-4.49%
Revenue growth Q2Q-4.65%
Revenue Next Year19.6%
Revenue Next 2Y23.94%
Revenue Next 3Y19.12%
Revenue Next 5Y11.01%
EBIT growth 1Y84.92%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year567.08%
EBIT Next 3Y112.37%
EBIT Next 5Y66.25%
FCF growth 1Y-826.18%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-370.51%
OCF growth 3YN/A
OCF growth 5YN/A