SOLARIS OILFIELD INFRAST-A (SOI)
US83418M1036 - Common Stock
We assign a fundamental rating of 5 out of 10 to SOI. SOI was compared to 65 industry peers in the Energy Equipment & Services industry. SOI has only an average score on both its financial health and profitability. SOI has a valuation in line with the averages, but on the other hand it scores bad on growth.
1. Profitability
1.1 Basic Checks
In the past year SOI was profitable.
SOI had a positive operating cash flow in the past year.
The reported net income has been mixed in the past 5 years: SOI reported negative net income in multiple years.
In the past 5 years SOI always reported a positive cash flow from operatings.
1.2 Ratios
The Return On Assets of SOI (4.36%) is comparable to the rest of the industry.
SOI has a Return On Equity (9.95%) which is comparable to the rest of the industry.
SOI's Return On Invested Capital of 9.04% is fine compared to the rest of the industry. SOI outperforms 66.15% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.36% | ||
| ROE | 9.95% | ||
| ROIC | 9.04% |
ROA(3y)3.01%
ROA(5y)2.44%
ROE(3y)6.69%
ROE(5y)5.04%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
Looking at the Profit Margin, with a value of 7.16%, SOI is in the better half of the industry, outperforming 63.08% of the companies in the same industry.
SOI's Profit Margin has declined in the last couple of years.
The Operating Margin of SOI (16.68%) is better than 76.92% of its industry peers.
In the last couple of years the Operating Margin of SOI has declined.
SOI has a Gross Margin of 40.85%. This is amongst the best in the industry. SOI outperforms 83.08% of its industry peers.
SOI's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 16.68% | ||
| PM (TTM) | 7.16% | ||
| GM | 40.85% |
OM growth 3YN/A
OM growth 5Y-19.03%
PM growth 3YN/A
PM growth 5Y-18.13%
GM growth 3Y2.57%
GM growth 5Y-10.68%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so SOI is destroying value.
Compared to 1 year ago, SOI has less shares outstanding
Compared to 5 years ago, SOI has less shares outstanding
The debt/assets ratio for SOI is higher compared to a year ago.
2.2 Solvency
SOI has an Altman-Z score of 1.98. This is not the best score and indicates that SOI is in the grey zone with still only limited risk for bankruptcy at the moment.
SOI has a Altman-Z score of 1.98. This is comparable to the rest of the industry: SOI outperforms 55.38% of its industry peers.
SOI has a debt to FCF ratio of 0.83. This is a very positive value and a sign of high solvency as it would only need 0.83 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 0.83, SOI belongs to the top of the industry, outperforming 89.23% of the companies in the same industry.
A Debt/Equity ratio of 0.16 indicates that SOI is not too dependend on debt financing.
The Debt to Equity ratio of SOI (0.16) is better than 69.23% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.16 | ||
| Debt/FCF | 0.83 | ||
| Altman-Z | 1.98 |
ROIC/WACC0.97
WACC9.32%
2.3 Liquidity
SOI has a Current Ratio of 1.78. This is a normal value and indicates that SOI is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Current ratio, with a value of 1.78, SOI is in line with its industry, outperforming 44.62% of the companies in the same industry.
A Quick Ratio of 1.58 indicates that SOI should not have too much problems paying its short term obligations.
SOI has a Quick ratio (1.58) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.78 | ||
| Quick Ratio | 1.58 |
3. Growth
3.1 Past
The earnings per share for SOI have decreased strongly by -16.67% in the last year.
Measured over the past years, SOI shows a very negative growth in Earnings Per Share. The EPS has been decreasing by -13.26% on average per year.
The Revenue for SOI has decreased by -19.58% in the past year. This is quite bad
Measured over the past years, SOI shows a quite strong growth in Revenue. The Revenue has been growing by 8.24% on average per year.
EPS 1Y (TTM)-16.67%
EPS 3Y246.22%
EPS 5Y-13.26%
EPS growth Q2Q-33.33%
Revenue 1Y (TTM)-19.58%
Revenue growth 3Y41.68%
Revenue growth 5Y8.24%
Revenue growth Q2Q-17.93%
3.2 Future
Based on estimates for the next years, SOI will show a quite strong growth in Earnings Per Share. The EPS will grow by 11.40% on average per year.
The Revenue is expected to decrease by -0.09% on average over the next years.
EPS Next Y-7.15%
EPS Next 2Y4.02%
EPS Next 3Y11.4%
EPS Next 5YN/A
Revenue Next Year-8.3%
Revenue Next 2Y-0.52%
Revenue Next 3Y-0.09%
Revenue Next 5YN/A
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
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.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 11.83 indicates a reasonable valuation of SOI.
Compared to the rest of the industry, the Price/Earnings ratio of SOI indicates a somewhat cheap valuation: SOI is cheaper than 76.92% of the companies listed in the same industry.
SOI's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 24.55.
With a Price/Forward Earnings ratio of 9.88, the valuation of SOI can be described as very reasonable.
75.38% of the companies in the same industry are more expensive than SOI, based on the Price/Forward Earnings ratio.
SOI is valuated cheaply when we compare the Price/Forward Earnings ratio to 20.92, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.83 | ||
| Fwd PE | 9.88 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, SOI is valued a bit cheaper than 69.23% of the companies in the same industry.
76.92% of the companies in the same industry are more expensive than SOI, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 9.49 | ||
| EV/EBITDA | 5.01 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y4.02%
EPS Next 3Y11.4%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 5.45%, SOI is a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 3.21, SOI pays a better dividend. On top of this SOI pays more dividend than 95.38% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.39, SOI pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.45% |
5.2 History
The dividend of SOI is nicely growing with an annual growth rate of 35.87%!
SOI has been paying a dividend for over 5 years, so it has already some track record.
As SOI did not decrease their dividend in the past 5 years, we can say the dividend looks stable.
Dividend Growth(5Y)35.87%
Div Incr Years1
Div Non Decr Years5
5.3 Sustainability
SOI pays out 102.45% of its income as dividend. This is not a sustainable payout ratio.
SOI's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP102.45%
EPS Next 2Y4.02%
EPS Next 3Y11.4%
SOLARIS OILFIELD INFRAST-A
NYSE:SOI (5/1/2024, 7:23:10 PM)
After market: 8.87 0 (0%)8.87
+0.06 (+0.68%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryEnergy Equipment & Services
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap390.55M
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.45% |
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)
Max EPS beat(2)
EPS beat(4)
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Min EPS beat(4)
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EPS beat(8)
Avg EPS beat(8)
EPS beat(12)
Avg EPS beat(12)
EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
Avg Revenue beat(2)
Min Revenue beat(2)
Max Revenue beat(2)
Revenue beat(4)
Avg Revenue beat(4)
Min Revenue beat(4)
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Revenue beat(8)
Avg Revenue beat(8)
Revenue beat(12)
Avg Revenue beat(12)
Revenue beat(16)
Avg Revenue beat(16)
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 | 11.83 | ||
| Fwd PE | 9.88 | ||
| 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 | 4.36% | ||
| ROE | 9.95% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 16.68% | ||
| PM (TTM) | 7.16% | ||
| GM | 40.85% | ||
| 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 Turnover0.61
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.16 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 1.78 | ||
| Quick Ratio | 1.58 | ||
| 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)-16.67%
EPS 3Y246.22%
EPS 5Y
EPS growth Q2Q
EPS Next Y-7.15%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)-19.58%
Revenue growth 3Y41.68%
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