Logo image of PHX.CA

PHX ENERGY SERVICES CORP (PHX.CA) Stock Fundamental Analysis

TSX:PHX - Toronto Stock Exchange - CA69338U1012 - Common Stock - Currency: CAD

9.15  +0.05 (+0.55%)

Fundamental Rating

6

PHX gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 27 industry peers in the Energy Equipment & Services industry. Both the health and profitability get an excellent rating, making PHX a very profitable company, without any liquidiy or solvency issues. PHX has a valuation in line with the averages, but on the other hand it scores bad on growth. Finally PHX also has an excellent dividend rating. These ratings could make PHX a good candidate for dividend investing.


Dividend Valuation Growth Profitability Health

7

1. Profitability

1.1 Basic Checks

PHX had positive earnings in the past year.
In the past year PHX had a positive cash flow from operations.
In multiple years PHX reported negative net income over the last 5 years.
In the past 5 years PHX always reported a positive cash flow from operatings.
PHX.CA Yearly Net Income VS EBIT VS OCF VS FCFPHX.CA Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2015 2016 2017 2018 2019 2020 2021 2022 2023 0 50M -50M

1.2 Ratios

Looking at the Return On Assets, with a value of 18.63%, PHX belongs to the top of the industry, outperforming 85.19% of the companies in the same industry.
PHX has a better Return On Equity (35.04%) than 88.89% of its industry peers.
Looking at the Return On Invested Capital, with a value of 14.22%, PHX belongs to the top of the industry, outperforming 81.48% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for PHX is in line with the industry average of 12.47%.
The last Return On Invested Capital (14.22%) for PHX is above the 3 year average (11.95%), which is a sign of increasing profitability.
Industry RankSector Rank
ROA 18.63%
ROE 35.04%
ROIC 14.22%
ROA(3y)14.05%
ROA(5y)7.55%
ROE(3y)26.89%
ROE(5y)14.66%
ROIC(3y)11.95%
ROIC(5y)7.79%
PHX.CA Yearly ROA, ROE, ROICPHX.CA Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2015 2016 2017 2018 2019 2020 2021 2022 2023 0 20 -20 40

1.3 Margins

PHX's Profit Margin of 11.40% is fine compared to the rest of the industry. PHX outperforms 74.07% of its industry peers.
PHX's Operating Margin of 8.63% is in line compared to the rest of the industry. PHX outperforms 48.15% of its industry peers.
PHX's Operating Margin has improved in the last couple of years.
PHX has a Gross Margin of 20.10%. This is comparable to the rest of the industry: PHX outperforms 48.15% of its industry peers.
In the last couple of years the Gross Margin of PHX has grown nicely.
Industry RankSector Rank
OM 8.63%
PM (TTM) 11.4%
GM 20.1%
OM growth 3Y103.61%
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y18.65%
GM growth 5Y12.14%
PHX.CA Yearly Profit, Operating, Gross MarginsPHX.CA Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2015 2016 2017 2018 2019 2020 2021 2022 2023 0 20 -20

7

2. Health

2.1 Basic Checks

The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so PHX is still creating some value.
PHX has less shares outstanding than it did 1 year ago.
Compared to 5 years ago, PHX has less shares outstanding
Compared to 1 year ago, PHX has an improved debt to assets ratio.
PHX.CA Yearly Shares OutstandingPHX.CA Yearly Shares OutstandingYearly Shares Outstanding 2015 2016 2017 2018 2019 2020 2021 2022 2023 10M 20M 30M 40M 50M
PHX.CA Yearly Total Debt VS Total AssetsPHX.CA Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2015 2016 2017 2018 2019 2020 2021 2022 2023 100M 200M 300M

2.2 Solvency

An Altman-Z score of 3.56 indicates that PHX is not in any danger for bankruptcy at the moment.
With a decent Altman-Z score value of 3.56, PHX is doing good in the industry, outperforming 77.78% of the companies in the same industry.
PHX has a debt to FCF ratio of 1.73. This is a very positive value and a sign of high solvency as it would only need 1.73 years to pay back of all of its debts.
The Debt to FCF ratio of PHX (1.73) is better than 81.48% of its industry peers.
PHX has a Debt/Equity ratio of 0.24. This is a healthy value indicating a solid balance between debt and equity.
PHX has a Debt to Equity ratio of 0.24. This is in the better half of the industry: PHX outperforms 66.67% of its industry peers.
Industry RankSector Rank
Debt/Equity 0.24
Debt/FCF 1.73
Altman-Z 3.56
ROIC/WACC1.74
WACC8.15%
PHX.CA Yearly LT Debt VS Equity VS FCFPHX.CA Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2015 2016 2017 2018 2019 2020 2021 2022 2023 0 50M 100M 150M 200M

2.3 Liquidity

A Current Ratio of 1.67 indicates that PHX should not have too much problems paying its short term obligations.
Looking at the Current ratio, with a value of 1.67, PHX is in line with its industry, outperforming 59.26% of the companies in the same industry.
PHX has a Quick Ratio of 1.10. This is a normal value and indicates that PHX is financially healthy and should not expect problems in meeting its short term obligations.
PHX has a Quick ratio (1.10) which is in line with its industry peers.
Industry RankSector Rank
Current Ratio 1.67
Quick Ratio 1.1
PHX.CA Yearly Current Assets VS Current LiabilitesPHX.CA Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2015 2016 2017 2018 2019 2020 2021 2022 2023 50M 100M 150M 200M

2

3. Growth

3.1 Past

PHX shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -7.83%.
Looking at the last year, PHX shows a decrease in Revenue. The Revenue has decreased by -0.38% in the last year.
The Revenue has been growing by 15.66% on average over the past years. This is quite good.
EPS 1Y (TTM)-7.83%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-56%
Revenue 1Y (TTM)-0.38%
Revenue growth 3Y41.09%
Revenue growth 5Y15.66%
Sales Q2Q%-5.16%

3.2 Future

Based on estimates for the next years, PHX will show a decrease in Earnings Per Share. The EPS will decrease by -7.36% on average per year.
PHX is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 2.27% yearly.
EPS Next Y-39.4%
EPS Next 2Y-14.24%
EPS Next 3Y-7.36%
EPS Next 5YN/A
Revenue Next Year-0.79%
Revenue Next 2Y1.32%
Revenue Next 3Y2.27%
Revenue Next 5YN/A

3.3 Evolution

When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
PHX.CA Yearly Revenue VS EstimatesPHX.CA Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 200M 400M 600M
PHX.CA Yearly EPS VS EstimatesPHX.CA Yearly EPS VS EstimatesYearly EPS VS Estimates 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 0 0.5 -0.5 1 -1 1.5

6

4. Valuation

4.1 Price/Earnings Ratio

With a Price/Earnings ratio of 5.98, the valuation of PHX can be described as very cheap.
PHX's Price/Earnings ratio is rather cheap when compared to the industry. PHX is cheaper than 88.89% of the companies in the same industry.
PHX's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 30.19.
Based on the Price/Forward Earnings ratio of 6.38, the valuation of PHX can be described as very cheap.
81.48% of the companies in the same industry are more expensive than PHX, based on the Price/Forward Earnings ratio.
Compared to an average S&P500 Price/Forward Earnings ratio of 23.58, PHX is valued rather cheaply.
Industry RankSector Rank
PE 5.98
Fwd PE 6.38
PHX.CA Price Earnings VS Forward Price EarningsPHX.CA Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 10 20 30

4.2 Price Multiples

PHX's Enterprise Value to EBITDA is on the same level as the industry average.
PHX's Price/Free Cash Flow is on the same level as the industry average.
Industry RankSector Rank
P/FCF 13.19
EV/EBITDA 4.45
PHX.CA Per share dataPHX.CA EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 5 10

4.3 Compensation for Growth

The decent profitability rating of PHX may justify a higher PE ratio.
PHX's earnings are expected to decrease with -7.36% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-14.24%
EPS Next 3Y-7.36%

7

5. Dividend

5.1 Amount

PHX has a Yearly Dividend Yield of 8.79%, which is a nice return.
Compared to an average industry Dividend Yield of 14.05, PHX pays a better dividend. On top of this PHX pays more dividend than 96.30% of the companies listed in the same industry.
PHX's Dividend Yield is rather good when compared to the S&P500 average which is at 2.30.
Industry RankSector Rank
Dividend Yield 8.79%

5.2 History

On average, the dividend of PHX grows each year by 13.00%, which is quite nice.
PHX has paid a dividend for at least 10 years, which is a reliable track record.
PHX has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)13%
Div Incr Years4
Div Non Decr Years4
PHX.CA Yearly Dividends per sharePHX.CA Yearly Dividends per shareYearly Dividends per share 2015 2020 2021 2022 2023 2024 0.2 0.4 0.6 0.8

5.3 Sustainability

PHX pays out 48.42% of its income as dividend. This is a bit on the high side, but may be sustainable.
DP48.42%
EPS Next 2Y-14.24%
EPS Next 3Y-7.36%
PHX.CA Yearly Income VS Free CF VS DividendPHX.CA Yearly Income VS Free CF VS DividendYearly Income VS Free CF VS Dividend 2015 2016 2017 2018 2019 2020 2021 2022 2023 0 50M
PHX.CA Dividend Payout.PHX.CA Dividend Payout, showing the Payout Ratio.PHX.CA Dividend Payout.PayoutRetained Earnings

PHX ENERGY SERVICES CORP

TSX:PHX (2/14/2025, 7:00:00 PM)

9.15

+0.05 (+0.55%)

Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryEnergy Equipment & Services
Earnings (Last)11-05 2024-11-05/amc
Earnings (Next)02-26 2025-02-26/amc
Inst Owners20.26%
Inst Owner ChangeN/A
Ins Owners11.74%
Ins Owner ChangeN/A
Market Cap416.42M
Analysts80
Price Target12.58 (37.49%)
Short Float %N/A
Short RatioN/A
Dividend
Industry RankSector Rank
Dividend Yield 8.79%
Yearly Dividend0.62
Dividend Growth(5Y)13%
DP48.42%
Div Incr Years4
Div Non Decr Years4
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-5.19%
Min EPS beat(2)-27.39%
Max EPS beat(2)17.01%
EPS beat(4)3
Avg EPS beat(4)17.14%
Min EPS beat(4)-27.39%
Max EPS beat(4)77.18%
EPS beat(8)7
Avg EPS beat(8)24.29%
EPS beat(12)9
Avg EPS beat(12)10.38%
EPS beat(16)12
Avg EPS beat(16)91.6%
Revenue beat(2)1
Avg Revenue beat(2)-0.12%
Min Revenue beat(2)-2.73%
Max Revenue beat(2)2.49%
Revenue beat(4)3
Avg Revenue beat(4)1.3%
Min Revenue beat(4)-2.73%
Max Revenue beat(4)3.27%
Revenue beat(8)6
Avg Revenue beat(8)4.85%
Revenue beat(12)8
Avg Revenue beat(12)4.87%
Revenue beat(16)10
Avg Revenue beat(16)3.99%
PT rev (1m)2.07%
PT rev (3m)0%
EPS NQ rev (1m)3.45%
EPS NQ rev (3m)-23.08%
EPS NY rev (1m)0.86%
EPS NY rev (3m)-7.51%
Revenue NQ rev (1m)0.59%
Revenue NQ rev (3m)-0.88%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.39%
Valuation
Industry RankSector Rank
PE 5.98
Fwd PE 6.38
P/S 0.64
P/FCF 13.19
P/OCF 3.59
P/B 1.98
P/tB 2.12
EV/EBITDA 4.45
EPS(TTM)1.53
EY16.72%
EPS(NY)1.43
Fwd EY15.67%
FCF(TTM)0.69
FCFY7.58%
OCF(TTM)2.55
OCFY27.85%
SpS14.2
BVpS4.62
TBVpS4.31
PEG (NY)N/A
PEG (5Y)N/A
Profitability
Industry RankSector Rank
ROA 18.63%
ROE 35.04%
ROCE 19.75%
ROIC 14.22%
ROICexc 14.97%
ROICexgc 15.8%
OM 8.63%
PM (TTM) 11.4%
GM 20.1%
FCFM 4.89%
ROA(3y)14.05%
ROA(5y)7.55%
ROE(3y)26.89%
ROE(5y)14.66%
ROIC(3y)11.95%
ROIC(5y)7.79%
ROICexc(3y)12.93%
ROICexc(5y)8.45%
ROICexgc(3y)13.86%
ROICexgc(5y)9.11%
ROCE(3y)16.59%
ROCE(5y)10.83%
ROICexcg growth 3Y134.45%
ROICexcg growth 5YN/A
ROICexc growth 3Y139.12%
ROICexc growth 5YN/A
OM growth 3Y103.61%
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y18.65%
GM growth 5Y12.14%
F-Score5
Asset Turnover1.63
Health
Industry RankSector Rank
Debt/Equity 0.24
Debt/FCF 1.73
Debt/EBITDA 0.5
Cap/Depr 180.37%
Cap/Sales 13.06%
Interest Coverage 15.11
Cash Conversion 113.06%
Profit Quality 42.87%
Current Ratio 1.67
Quick Ratio 1.1
Altman-Z 3.56
F-Score5
WACC8.15%
ROIC/WACC1.74
Cap/Depr(3y)164.74%
Cap/Depr(5y)131.08%
Cap/Sales(3y)11.59%
Cap/Sales(5y)11.13%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-7.83%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-56%
EPS Next Y-39.4%
EPS Next 2Y-14.24%
EPS Next 3Y-7.36%
EPS Next 5YN/A
Revenue 1Y (TTM)-0.38%
Revenue growth 3Y41.09%
Revenue growth 5Y15.66%
Sales Q2Q%-5.16%
Revenue Next Year-0.79%
Revenue Next 2Y1.32%
Revenue Next 3Y2.27%
Revenue Next 5YN/A
EBIT growth 1Y-25.1%
EBIT growth 3Y187.27%
EBIT growth 5YN/A
EBIT Next Year74.85%
EBIT Next 3Y25.8%
EBIT Next 5YN/A
FCF growth 1Y232.64%
FCF growth 3Y-9.03%
FCF growth 5YN/A
OCF growth 1Y176.72%
OCF growth 3Y12.51%
OCF growth 5Y48.64%