Precision Drilling Valuation
| PDS Stock | USD 87.17 4.14 4.99% |
At this time, the company appears to be undervalued. Precision Drilling holds a recent Real Value of $94.56 per share. The prevailing price of the company is $87.17. Our model determines the value of Precision Drilling from analyzing the company fundamentals such as Operating Margin of 0.08 %, return on equity of 0.036, and Shares Outstanding of 12.93 M as well as examining its technical indicators and probability of bankruptcy. Key fundamental drivers impacting Precision Drilling's valuation include:
Undervalued
Today
Please note that Precision Drilling's price fluctuation is very steady at this time. Calculation of the real value of Precision Drilling is based on 3 months time horizon. Increasing Precision Drilling's time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
The fair value of the Precision stock is determined by what a typical buyer is willing to pay for full or partial control of Precision Drilling. Since Precision Drilling is currently traded on the exchange, buyers and sellers on that exchange determine the market value of Precision Stock. However, Precision Drilling's intrinsic value may or may not be the same as its current market price, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value. | Historical | Market 87.17 | Real 94.56 | Target 95.16 | Hype 87.27 |
The intrinsic value of Precision Drilling's stock can be calculated using various methods such as discounted cash flow analysis, price-to-earnings ratio, or price-to-book ratio. That value may differ from its current market price, which is determined by supply and demand factors such as investor sentiment, market trends, news, and other external factors that may influence Precision Drilling's stock price. It is important to note that the real value of any stock may change over time based on changes in the company's performance.
Estimating the potential upside or downside of Precision Drilling helps investors to forecast how Precision stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of Precision Drilling more accurately as focusing exclusively on Precision Drilling's fundamentals will not take into account other important factors: Traditionally, analysts and sophisticated investors use multiple methods for valuing a cash-flow-generating entity or its stock. For example, some money managers use Precision Drilling's intrinsic value based on its ongoing forecasts of Precision Drilling's financial statements. In contrast, other private, professional wealth advisors use a multiplier approach by looking to relative value analysis against Precision Drilling's closest peers.
Precision Drilling Cash |
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Precision Drilling Total Value Analysis
Precision Drilling is at this time forecasted to have company total value of 1.64 B with market capitalization of 1.15 B, debt of 887.59 M, and cash on hands of 51.64 M. Please note that company total value may be misleading and is a subject to accounting gimmicks. We encourage investors to carefully check all of the Precision Drilling fundamentals before making security assessment based on enterprise value of the company| Takeover Price | Market Cap | Debt Obligations | Cash |
1.64 B | 1.15 B | 887.59 M | 51.64 M |
Precision Drilling Investor Information
About 55.0% of the company shares are owned by institutional investors. The company has price-to-book ratio of 0.93. Typically companies with comparable Price to Book (P/B) are able to outperform the market in the long run. Precision Drilling has Price/Earnings To Growth (PEG) ratio of 0.4. The entity last dividend was issued on the 4th of November 2015. The firm had 1:20 split on the 12th of November 2020. Precision Drilling is performing exceptionally good at this time. It has a great probability to report excellent financial results in March.| Current Value | Last Year | Change From Last Year | 10 Year Trend | ||||||
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| Total Cash From Operating Activities | 362.4 M | 554.4 M |
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Precision Drilling Asset Utilization
The asset utilization indicator refers to the revenue earned for every dollar of assets a company currently reports. Precision Drilling has an asset utilization ratio of 64.35 percent. This implies that the Company is making $0.64 for each dollar of assets. An increasing asset utilization means that Precision Drilling is more efficient with each dollar of assets it utilizes for everyday operations.Precision Drilling Profitability Analysis
Considering the key profitability indicators obtained from Precision Drilling's historical financial statements, Precision Drilling is performing exceptionally good at this time. It has a great probability to showcase excellent profitability results in March. Profitability indicators assess Precision Drilling's ability to earn profits and add value for shareholders.Net Income | First Reported 1995-06-30 | Previous Quarter 16.3 M | Current Value -6.8 M | Quarterly Volatility 139.3 M |
For Precision Drilling profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Precision Drilling to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Precision Drilling utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Precision Drilling's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Precision Drilling over time as well as its relative position and ranking within its peers.
Precision Drilling Earnings per Share Projection vs Actual
The next projected EPS of Precision Drilling is estimated to be 1.985075 with future projections ranging from a low of 1.388025 to a high of 2.9925. Precision Drilling's most recent 12-month trailing earnings per share (EPS TTM) is at 3.05. Please be aware that the consensus of earnings estimates for Precision Drilling is based on EPS before non-recurring items and includes expenses related to employee stock options.Precision Drilling Earnings Estimation Breakdown
The calculation of Precision Drilling's earning per share is based on the data from the past 12 consecutive months, used for reporting the company's financial figures. The next projected EPS of Precision Drilling is estimated to be 1.985075 with the future projection ranging from a low of 1.388025 to a high of 2.9925. Please be aware that this consensus of annual earnings estimates for Precision Drilling is based on EPS before non-recurring items and includes expenses related to employee stock options.Last Reported EPS
1.39 Lowest | Expected EPS | 2.99 Highest |
Precision Drilling Earnings Projection Consensus
Suppose the current estimates of Precision Drilling's value are higher than the current market price of the Precision Drilling stock. In this case, investors may conclude that Precision Drilling is overpriced and will exhibit bullish sentiment. On the other hand, if the present value is lower than the stock price, analysts may conclude that the market undervalues the equity. These scenarios may suggest that the market is not as efficient as it should be at the estimation time, and Precision Drilling's stock will quickly adjusts to the new information provided by the consensus estimate.
| Number of Analysts | Historical Accuracy | Last Reported EPS | Estimated EPS for 31st of December 2026 | Current EPS (TTM) | |
| 10 | 50.32% | 0.0 | 1.985075 | 3.05 |
Precision Drilling Ownership Allocation
The market capitalization of Precision Drilling is $1.15 Billion. Over half of Precision Drilling's outstanding shares are owned by third-party entities. These third-party entities are typically referred to as corporate investors that secure positions in a given instrument to benefit from reduced trade commissions. Note, that even with substantial debt, if the true value of the company is larger than the current market value, you may still be able to generate positive returns on investment in this company at some point.Precision Drilling Profitability Analysis
The company reported the last year's revenue of 1.9 B. Total Income to common stockholders was 111.19 M with profit before taxes, overhead, and interest of 604.42 M.About Precision Drilling Valuation
The stock valuation mechanism determines Precision Drilling's current worth on a daily basis. In general, an absolute valuation approach attempts to find the value of Precision Drilling based exclusively on its fundamental and basic technical indicators. As compared to an absolute model, our relative valuation model uses a comparative analysis of Precision Drilling. We calculate exposure to Precision Drilling's market risk, different technical and fundamental indicators, and relevant financial multiples and ratios and then compare them to those of Precision Drilling's related companies.| Last Reported | Projected for Next Year | ||
| Gross Profit | 1.8 B | 1.9 B | |
| Pretax Profit Margin | 0.09 | 0.08 | |
| Operating Profit Margin | 0.11 | 0.13 | |
| Net Profit Margin | 0.07 | 0.10 | |
| Gross Profit Margin | 0.96 | 1.01 |
Precision Drilling Growth Indicators
Investing in growth stocks can be very risky. If the company such as Precision Drilling does not do well, investors take a loss on the stock when it is time to sell. Also, because growth stocks typically do not pay dividends, the only opportunity an investor has to make money on their investment is when they eventually sell their shares.
| Common Stock Shares Outstanding | 14.2 M | |
| Quarterly Earnings Growth Y O Y | -0.255 | |
| Forward Price Earnings | 15.528 |
Precision Drilling Current Valuation Indicators
Precision Drilling's valuation analysis is a process of estimating the intrinsic value of all assets and outstanding equities. There are different methodologies and models we use to develop the final Precision Drilling's valuation. The techniques such as discounted cash flow and fundamental indicators such as book value per share or market capitalization are well known and widely used across most financial advisers and money managers.
Valuations are an essential part of business, for companies themselves, but also for investors. For companies, such as Precision Drilling, valuations can help measure their progress and success and can help them track their performance in the market compared to others. In addition, investors can use Precision Drilling's valuations to help determine the worth of potential investments. They can do this by using data and information made public by a company. Regardless of who the valuation is for, it essentially describes Precision Drilling's worth.Additional Tools for Precision Stock Analysis
When running Precision Drilling's price analysis, check to measure Precision Drilling's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Precision Drilling is operating at the current time. Most of Precision Drilling's value examination focuses on studying past and present price action to predict the probability of Precision Drilling's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Precision Drilling's price. Additionally, you may evaluate how the addition of Precision Drilling to your portfolios can decrease your overall portfolio volatility.