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Precision Drilling

DB:PRE
Snowflake Description

Fair value with questionable track record.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
PRE
DB
CA$137M
Market Cap
  1. Home
  2. DE
  3. Energy
Company description

Precision Drilling Corporation, an oilfield services company, provides oil and natural gas drilling and related services and products. The last earnings update was 28 days ago. More info.


Add to Portfolio Compare Print
  • Precision Drilling has significant price volatility in the past 3 months.
PRE Share Price and Events
7 Day Returns
36.3%
DB:PRE
8.1%
Europe Energy Services
-0.6%
DE Market
1 Year Returns
-86.4%
DB:PRE
-57.2%
Europe Energy Services
-20.9%
DE Market
PRE Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Precision Drilling (PRE) 36.3% -67.7% -76.8% -86.4% -93.1% -95.3%
Europe Energy Services 8.1% -27.8% -50.1% -57.2% -65.6% -87.6%
DE Market -0.6% -16.6% -26% -20.9% -25.8% -31.8%
1 Year Return vs Industry and Market
  • PRE underperformed the Energy Services industry which returned -57.2% over the past year.
  • PRE underperformed the Market in Germany which returned -20.9% over the past year.
Price Volatility
PRE
Industry
5yr Volatility vs Market

PRE Value

 Is Precision Drilling undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of Precision Drilling to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for Precision Drilling.

DB:PRE Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 14 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 10.5%
Perpetual Growth Rate 10-Year DE Government Bond Rate -0.4%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for DB:PRE
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year DE Govt Bond Rate -0.4%
Equity Risk Premium S&P Global 5.4%
Energy Services Unlevered Beta Simply Wall St/ S&P Global 0.91
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.912 (1 + (1- 26.5%) (1090.04%))
5.834
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
2
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= -0.39% + (2 * 5.44%)
10.49%

Discounted Cash Flow Calculation for DB:PRE using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for Precision Drilling is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.

Note: Free cash flow to equity valuations ignore the company's cash or debt.

DB:PRE DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (CAD, Millions) Source Present Value
Discounted (@ 10.49%)
2020 181.38 Analyst x11 164.16
2021 164.06 Analyst x10 134.39
2022 134.30 Analyst x1 99.57
2023 129.70 Est @ -3.42% 87.03
2024 126.44 Est @ -2.51% 76.79
2025 124.07 Est @ -1.88% 68.19
2026 122.30 Est @ -1.43% 60.84
2027 120.93 Est @ -1.12% 54.44
2028 119.84 Est @ -0.9% 48.83
2029 118.95 Est @ -0.75% 43.87
Present value of next 10 years cash flows CA$838.00
DB:PRE DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2029 × (1 + g) ÷ (Discount Rate – g)
= CA$118.95 × (1 + -0.39%) ÷ (10.49% – -0.39%)
CA$1,089.00
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= CA$1,089.00 ÷ (1 + 10.49%)10
CA$401.60
DB:PRE Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= CA$838.00 + CA$401.60
CA$1,239.60
Equity Value per Share
(CAD)
= Total value / Shares Outstanding
= CA$1,239.60 / 274.23
CA$4.52
DB:PRE Discount to Share Price
Calculation Result
Non-primary Listing Adjustment Factor 1 share in DB:PRE represents 0.616x of TSX:PD
(This could be a different class, a depositary receipt, a different currency, or all of these things.)
0.616x
Value per Share
(Listing Adjusted, EUR)
= Value per Share (CAD) x Listing Adjustment Factor
= CA$ 4.52 x 0.616
€2.78
Value per share (EUR) From above. €2.78
Current discount Discount to share price of €0.31
= -1 x (€0.31 - €2.78) / €2.78
88.9%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

Current Discount
Amount off the current price Precision Drilling is available for.
Intrinsic value
>50%
Share price is €0.31 vs Future cash flow value of €2.78
Current Discount Checks
For Precision Drilling to be considered undervalued it must be available for at least 20% below the current price. Less than 40% is even better.
  • Precision Drilling's share price is below the future cash flow value, and at a moderate discount (> 20%).
  • Precision Drilling's share price is below the future cash flow value, and at a substantial discount (> 40%).
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for Precision Drilling's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Precision Drilling's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
DB:PRE PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2019-12-31) in CAD CA$0.02
TSX:PD Share Price ** TSX (2020-04-06) in CAD CA$0.5
Europe Energy Services Industry PE Ratio Median Figure of 31 Publicly-Listed Energy Services Companies 8.85x
Germany Market PE Ratio Median Figure of 401 Publicly-Listed Companies 16.45x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of Precision Drilling.

DB:PRE PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= TSX:PD Share Price ÷ EPS (both in CAD)

= 0.5 ÷ 0.02

21.97x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Precision Drilling is overvalued based on earnings compared to the Europe Energy Services industry average.
  • Precision Drilling is overvalued based on earnings compared to the Germany market.
Price based on expected Growth
Does Precision Drilling's expected growth come at a high price?
Raw Data
DB:PRE PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 21.97x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 14 Analysts
-56.8%per year
Europe Energy Services Industry PEG Ratio Median Figure of 20 Publicly-Listed Energy Services Companies 0.51x
Germany Market PEG Ratio Median Figure of 256 Publicly-Listed Companies 1.16x

*Line of best fit is calculated by linear regression .

DB:PRE PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 21.97x ÷ -56.8%

-0.39x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Precision Drilling earnings are not expected to grow next year, we can't assess if its growth is good value.
Price based on value of assets
What value do investors place on Precision Drilling's assets?
Raw Data
DB:PRE PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2019-12-31) in CAD CA$5.51
TSX:PD Share Price * TSX (2020-04-06) in CAD CA$0.5
Europe Energy Services Industry PB Ratio Median Figure of 70 Publicly-Listed Energy Services Companies 0.4x
Germany Market PB Ratio Median Figure of 572 Publicly-Listed Companies 1.44x
DB:PRE PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= TSX:PD Share Price ÷ Book Value per Share (both in CAD)

= 0.5 ÷ 5.51

0.09x

* Primary Listing of Precision Drilling.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Precision Drilling is good value based on assets compared to the Europe Energy Services industry average.
X
Value checks
We assess Precision Drilling's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Energy Services industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Energy Services industry average (and greater than 0)? (1 check)
  5. Precision Drilling has a total score of 3/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

PRE Future Performance

 How is Precision Drilling expected to perform in the next 1 to 3 years based on estimates from 14 analysts?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
-56.8%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Precision Drilling expected to grow at an attractive rate?
  • Precision Drilling's earnings are expected to decrease over the next 1-3 years, this is below the low risk savings rate of -0.4%.
Growth vs Market Checks
  • Precision Drilling's earnings are expected to decrease over the next 1-3 years, this is below the Germany market average.
  • Precision Drilling's revenues are expected to decrease over the next 1-3 years, this is below the Germany market average.
Annual Growth Rates Comparison
Raw Data
DB:PRE Future Growth Rates Data Sources
Data Point Source Value (per year)
DB:PRE Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 14 Analysts -56.8%
DB:PRE Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 14 Analysts -14.8%
Europe Energy Services Industry Earnings Growth Rate Market Cap Weighted Average 21.1%
Europe Energy Services Industry Revenue Growth Rate Market Cap Weighted Average -0.4%
Germany Market Earnings Growth Rate Market Cap Weighted Average 14.1%
Germany Market Revenue Growth Rate Market Cap Weighted Average 4%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
DB:PRE Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 14 Analyst Estimates (S&P Global) See Below
All numbers in CAD Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
DB:PRE Future Estimates Data
Date (Data in CAD Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2022-12-31 1,184 233 -37 2
2021-12-31 1,115 197 -109 13
2020-12-31 1,117 216 -110 14
2020-04-06
DB:PRE Past Financials Data
Date (Data in CAD Millions) Revenue Cash Flow Net Income *
2019-12-31 1,541 288 7
2019-09-30 1,596 307 -191
2019-06-30 1,603 272 -218
2019-03-31 1,574 296 -251
2018-12-31 1,541 293 -294
2018-09-30 1,461 223 -143
2018-06-30 1,393 248 -139
2018-03-31 1,354 121 -127
2017-12-31 1,321 117 -132
2017-09-30 1,277 65 -116
2017-06-30 1,176 26 -137
2017-03-31 1,070 44 -158

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Precision Drilling's earnings are expected to decrease over the next 1-3 years, this is not considered high growth.
  • Precision Drilling's revenue is expected to decrease over the next 1-3 years, this is not considered high growth.
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
DB:PRE Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 14 Analyst Estimates (S&P Global) See Below

All data from Precision Drilling Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

DB:PRE Future Estimates Data
Date (Data in CAD Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2022-12-31 -0.14 -0.14 -0.14 1.00
2021-12-31 -0.39 -0.01 -0.78 10.00
2020-12-31 -0.40 -0.12 -0.63 10.00
2020-04-06
DB:PRE Past Financials Data
Date (Data in CAD Millions) EPS *
2019-12-31 0.02
2019-09-30 -0.65
2019-06-30 -0.74
2019-03-31 -0.86
2018-12-31 -1.00
2018-09-30 -0.49
2018-06-30 -0.47
2018-03-31 -0.43
2017-12-31 -0.45
2017-09-30 -0.39
2017-06-30 -0.47
2017-03-31 -0.54

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • Unable to establish if Precision Drilling will efficiently use shareholders’ funds in the future (Return on Equity greater than 20%) as it is not expected to be profitable.
X
Future performance checks
We assess Precision Drilling's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the Europe market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the Europe market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
Precision Drilling has a total score of 0/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

PRE Past Performance

  How has Precision Drilling performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare Precision Drilling's growth in the last year to its industry (Energy Services).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • Precision Drilling's year on year earnings growth rate has been positive over the past 5 years.
  • Precision Drilling has become profitable in the last year making the earnings growth rate difficult to compare to the 5-year average.
  • Precision Drilling has become profitable in the last year making it difficult to compare the Europe Energy Services industry average.
Earnings and Revenue History
Precision Drilling's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from Precision Drilling Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

DB:PRE Past Revenue, Cash Flow and Net Income Data
Date (Data in CAD Millions) Revenue Net Income * G+A Expenses R&D Expenses
2019-12-31 1,541.32 6.62 104.01
2019-09-30 1,596.03 -190.65 100.49
2019-06-30 1,602.93 -217.76 109.29
2019-03-31 1,574.23 -251.18 114.45
2018-12-31 1,541.19 -294.27 111.83
2018-09-30 1,461.37 -142.95 112.78
2018-06-30 1,393.41 -138.59 105.24
2018-03-31 1,353.56 -127.50 93.75
2017-12-31 1,321.22 -132.04 90.07
2017-09-30 1,276.69 -115.65 98.69
2017-06-30 1,175.85 -136.74 97.54
2017-03-31 1,070.18 -158.29 105.79
2016-12-31 1,003.23 -155.56 107.69
2016-09-30 1,045.53 -395.89 106.09
2016-06-30 1,195.95 -435.21 108.62
2016-03-31 1,345.23 -407.35 112.31
2015-12-31 1,555.62 -363.44 126.42
2015-09-30 1,829.20 -206.53 122.79
2015-06-30 2,049.70 -67.02 136.58
2015-03-31 2,190.41 -44.37 145.82
2014-12-31 2,350.54 33.15 144.34
2014-09-30 2,298.92 215.12 152.19
2014-06-30 2,202.78 191.75 152.94
2014-03-31 2,106.51 199.39 143.63
2013-12-31 2,029.98 191.15 142.51
2013-09-30 1,997.02 6.89 138.94
2013-06-30 1,993.33 16.80 134.06

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • Precision Drilling has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
  • Precision Drilling used its assets less efficiently than the Europe Energy Services industry average last year based on Return on Assets.
  • Precision Drilling has become profitable over the past 3 years. This is considered to be a significant improvement in its use of capital (Return on Capital Employed).
X
Past performance checks
We assess Precision Drilling's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Energy Services industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
Precision Drilling has a total score of 2/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

PRE Health

 How is Precision Drilling's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up Precision Drilling's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Precision Drilling is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • Precision Drilling's long term commitments exceed its cash and other short term assets.
Balance sheet
This treemap shows a more detailed breakdown of Precision Drilling's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • High level of physical assets or inventory.
  • Debt is not covered by short term assets, assets are 0.3x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from Precision Drilling Company Filings, last reported 3 months ago.

DB:PRE Past Debt and Equity Data
Date (Data in CAD Millions) Total Equity Total Debt Cash & Short Term Investments
2019-12-31 1,527.43 1,427.18 74.70
2019-09-30 1,555.45 1,513.83 93.76
2019-06-30 1,555.91 1,514.96 80.58
2019-03-31 1,579.17 1,651.35 101.03
2018-12-31 1,557.75 1,706.25 96.63
2018-09-30 1,729.91 1,698.65 109.76
2018-06-30 1,766.07 1,735.84 94.67
2018-03-31 1,802.41 1,776.76 81.87
2017-12-31 1,810.34 1,730.44 65.08
2017-09-30 1,857.38 1,777.67 131.74
2017-06-30 1,893.98 1,844.77 95.06
2017-03-31 1,937.21 1,892.74 120.58
2016-12-31 1,962.12 1,906.93 115.71
2016-09-30 1,975.70 2,005.32 352.19
2016-06-30 2,019.56 2,049.29 455.68
2016-03-31 2,074.10 2,042.85 476.36
2015-12-31 2,121.21 2,180.51 444.76
2015-09-30 2,379.37 2,114.90 438.87
2015-06-30 2,436.34 1,980.58 433.69
2015-03-31 2,493.68 2,009.97 449.18
2014-12-31 2,441.37 1,852.19 491.48
2014-09-30 2,544.08 1,794.32 558.09
2014-06-30 2,468.72 1,716.31 576.49
2014-03-31 2,513.93 1,350.99 106.17
2013-12-31 2,399.34 1,323.27 80.61
2013-09-30 2,276.70 1,270.98 81.82
2013-06-30 2,270.51 1,279.17 127.39
  • Precision Drilling's level of debt (93.4%) compared to net worth is high (greater than 40%).
  • The level of debt compared to net worth has increased over the past 5 years (75.9% vs 93.4% today).
  • Debt is well covered by operating cash flow (20.2%, greater than 20% of total debt).
  • Interest payments on debt are not well covered by earnings (EBIT is 0.4x annual interest expense, ideally 3x coverage).
X
Financial health checks
We assess Precision Drilling's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. Precision Drilling has a total score of 2/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

PRE Dividends

 What is Precision Drilling's current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
0%
Current annual income from Precision Drilling dividends. Estimated to be 0% next year.
If you bought €2,000 of Precision Drilling shares you are expected to receive €0 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Unable to evaluate Precision Drilling's dividend yield against the bottom 25% of dividend payers as the company has not reported any payouts.
  • Unable to evaluate Precision Drilling's dividend against the top 25% market benchmark as the company has not reported any payouts.
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
DB:PRE Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 14 Analyst Estimates (S&P Global) See Below
Europe Energy Services Industry Average Dividend Yield Market Cap Weighted Average of 14 Stocks 6.8%
Germany Market Average Dividend Yield Market Cap Weighted Average of 315 Stocks 3.9%
Germany Minimum Threshold Dividend Yield 10th Percentile 0.9%
Germany Bottom 25% Dividend Yield 25th Percentile 1.7%
Germany Top 25% Dividend Yield 75th Percentile 4.9%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

DB:PRE Future Dividends Estimate Data
Date (Data in CA$) Dividend per Share (annual) Avg. No. Analysts
2022-12-31 0.00 2.00
2021-12-31 0.00 5.00
2020-12-31 0.00 5.00
2020-04-06
DB:PRE Past Annualized Dividends Data
Date (Data in CA$) Dividend per share (annual) Avg. Yield (%)
2017-10-30 0.000 0.000
2017-10-27 0.000 0.000
2017-07-31 0.000 0.000
2017-04-25 0.000 0.000
2017-04-24 0.000 0.000
2017-03-10 0.000 0.000
2017-02-09 0.000 0.000
2016-10-24 0.000 0.000
2016-10-21 0.000 0.000
2016-07-22 0.000 0.000
2016-07-21 0.000 0.000
2016-02-16 0.000 0.000
2016-02-11 0.000 0.000
2015-07-23 0.280 5.290
2015-04-27 0.280 3.430
2014-10-27 0.280 3.733
2014-07-24 0.240 1.977
2014-04-28 0.240 1.665
2014-02-13 0.240 1.901
2013-10-24 0.240 2.392
2013-07-25 0.200 1.882
2013-04-25 0.200 2.245
2013-02-14 0.200 2.321
2012-12-10 0.200 2.328
2010-04-22 0.000 0.000
2010-03-30 0.000 0.000
2010-02-12 0.000 0.000
2009-10-22 0.000 0.000
2009-07-22 0.000 0.000
2009-04-23 0.000 0.000
2009-04-22 0.000 0.000

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Unable to perform a dividend volatility check as Precision Drilling has not reported any payouts.
  • Unable to verify if Precision Drilling's dividend has been increasing as the company has not reported any payouts.
Current Payout to shareholders
What portion of Precision Drilling's earnings are paid to the shareholders as a dividend.
  • Unable to calculate sustainability of dividends as Precision Drilling has not reported any payouts.
Future Payout to shareholders
  • No need to calculate the sustainability of Precision Drilling's dividends in 3 years as they are not expected to pay a notable one for Germany.
X
Income/ dividend checks
We assess Precision Drilling's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 0.9%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can Precision Drilling afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Precision Drilling has a total score of 0/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

PRE Management

 What is the CEO of Precision Drilling's salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Kevin Neveu
COMPENSATION CA$6,671,049
AGE 58
TENURE AS CEO 13.3 years
CEO Bio

Mr. Kevin A. Neveu B.Sc, P.Eng, has been the Chief Executive Officer and President of Precision Drilling Corporation, the Administrator of Precision Drilling Trust since January, 2007. Mr. Neveu served as the President of Rig Technology at National Oilwell Varco Inc., from March 2005 to August 13, 2007. He served as Group President of Rig Solutions Western Hemisphere of National oilwell Inc., from May 2003 to August 13, 2007 and served as President of National Oilwell Inc.'s Downhole Tools Group from June 2000 to August 13, 2007. He served as Vice President and Managing Director of Downhole Tools from 1999 to 2000 served as a Vice President of National Oilwell Inc.'s Canadian drilling equipment and downhole tool operations from 1997 to 1999. He has extensive experience in the oil and gas industry. Beginning in 1982, he held senior management positions with National Oilwell Varco and its predecessor companies in London, Moscow, Houston, Edmonton and Calgary. He has been an Executive Director of Precision Drilling Corporation, the Administrator of Precision Drilling Trust since August 14, 2007. He was Independent Director of Finning International Inc. from December 2013 to May 2018. He serves on the advisory board of the Heart and Stroke Foundation of Alberta and the International Association of Drilling Contractors. He serves as Advisor for the University of Calgary’s School of Public Policy. He served as an Independent Director of Bonanza Creek Energy Inc. from March, 2011 to April 2017. He served as a Director of RigNet Inc. from 2002 to May 9, 2014. He is a Professional Engineer as designated by the Association of Professional Engineers, Geologists and Geophysicists of Alberta. He has also completed the Harvard Advanced Management Program. Areas of expertise, engineering, oil and gas exploration and production oilfield services, manufacturing & executive leadership. He received a BSc Degree in Mechanical Engineering from the University of Alberta and attended the Advanced Management Program at the Harvard Business School in 2002.

CEO Compensation
  • Kevin's compensation has increased in line with Precision Drilling recently becoming profitable.
  • Kevin's remuneration is higher than average for companies of similar size in Germany.
Management Team Tenure

Average tenure and age of the Precision Drilling management team in years:

3.9
Average Tenure
58
Average Age
  • The tenure for the Precision Drilling management team is about average.
Management Team

Kevin Neveu

TITLE
President
COMPENSATION
CA$7M
AGE
58
TENURE
13.3 yrs

Carey Ford

TITLE
Senior VP & CFO
COMPENSATION
CA$2M
TENURE
4 yrs

Shuja Goraya

TITLE
Chief Technology Officer
COMPENSATION
CA$2M
TENURE
1.8 yrs

Veronica Foley

TITLE
Senior VP
COMPENSATION
CA$2M
TENURE
3.9 yrs

Gene Stahl

TITLE
Chief Marketing Officer
COMPENSATION
CA$2M
AGE
45
TENURE
0.8 yrs

John Goertzen

TITLE
Executive Vice-President and Chief Operating Officer
AGE
60

Darren Ruhr

TITLE
Chief Administrative Officer
COMPENSATION
CA$962K
TENURE
1.8 yrs

Dustin Honing

TITLE
Manager of Investor Relations

Rolly Marks

TITLE
Senior Vice President of International Drilling Operations

Grant Hunter

TITLE
Senior Vice President of North American Drilling Operation
COMPENSATION
CA$1M
TENURE
13.3 yrs
Board of Directors Tenure

Average tenure and age of the Precision Drilling board of directors in years:

8.6
Average Tenure
63
Average Age
  • The tenure for the Precision Drilling board of directors is about average.
Board of Directors

Steve Krablin

TITLE
Independent Chairman of the Board
COMPENSATION
CA$382K
AGE
67
TENURE
2.9 yrs

Kevin Neveu

TITLE
President
COMPENSATION
CA$7M
AGE
58
TENURE
12.7 yrs

Allen Hagerman

TITLE
Independent Director
COMPENSATION
CA$272K
AGE
68
TENURE
13.3 yrs

Bill Donovan

TITLE
Independent Director
COMPENSATION
CA$272K
AGE
67
TENURE
11.3 yrs

Kevin Meyers

TITLE
Independent Director
COMPENSATION
CA$288K
AGE
65
TENURE
8.6 yrs

Brian Gibson

TITLE
Independent Director
COMPENSATION
CA$253K
AGE
63
TENURE
8.9 yrs

Sue MacKenzie

TITLE
Independent Director
COMPENSATION
CA$255K
AGE
59
TENURE
2.6 yrs

Michael Culbert

TITLE
Independent Director
COMPENSATION
CA$253K
AGE
62
TENURE
2.3 yrs

David Williams

TITLE
Independent Director
COMPENSATION
CA$76K
AGE
61
TENURE
1.6 yrs
Who owns this company?
Recent Insider Trading
  • More shares have been bought than sold by Precision Drilling individual insiders in the past 3 months.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price (€) Value (€)
16. Mar 20 Buy Roland Marks Individual 13. Mar 20 13. Mar 20 12,000 €0.41 €4,885
16. Mar 20 Buy Gene Stahl Individual 16. Mar 20 16. Mar 20 10,000 €0.35 €3,495
13. Mar 20 Buy Kevin Neveu Individual 12. Mar 20 12. Mar 20 15,000 €0.38 €5,681
13. Mar 20 Buy Allen Hagerman Individual 12. Mar 20 12. Mar 20 50,000 €0.38 €18,937
13. Mar 20 Buy Kevin Meyers Individual 11. Mar 20 11. Mar 20 5,000 €0.43 €2,140
12. Mar 20 Buy Kevin Neveu Individual 11. Mar 20 11. Mar 20 25,000 €0.45 €11,224
12. Mar 20 Buy Brian Gibson Individual 12. Mar 20 12. Mar 20 100,000 €0.38 €38,331
11. Mar 20 Buy Kevin Neveu Individual 10. Mar 20 10. Mar 20 50,000 €0.55 €27,376
24. Feb 20 Buy David Williams Individual 20. Feb 20 20. Feb 20 15,000 €1.35 €20,223
29. Oct 19 Buy Kevin Neveu Individual 25. Oct 19 25. Oct 19 10,000 €0.99 €9,874
27. Aug 19 Buy Carey Ford Individual 26. Aug 19 26. Aug 19 20,000 €0.94 €18,716
26. Aug 19 Buy Veronica Foley Individual 23. Aug 19 23. Aug 19 12,500 €0.98 €12,231
26. Aug 19 Buy Kevin Neveu Individual 26. Aug 19 26. Aug 19 35,000 €0.97 €33,907
30. May 19 Buy Carey Ford Individual 28. May 19 29. May 19 16,220 €1.67 €27,025
30. May 19 Buy Kevin Neveu Individual 30. May 19 30. May 19 30,000 €1.66 €49,845
X
Management checks
We assess Precision Drilling's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. Precision Drilling has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

PRE News

Simply Wall St News

PRE Company Info

Description

Precision Drilling Corporation, an oilfield services company, provides oil and natural gas drilling and related services and products. The company operates in two segments, Contract Drilling Services, and Completion and Production Services. The Contract Drilling Services segment offers onshore well drilling services to exploration and production companies in the oil and natural gas industry. This segment provides land drilling, directional drilling, and turnkey drilling services; and procures and distributes oilfield supplies, as well as manufactures and refurbishes drilling and service rig equipment. As of December 31, 2019, this segment operated 226 land drilling rigs, including 109 in Canada; 104 in the United States; 6 in Kuwai; 4 in Saudi Arabia; 2 in the Kurdistan region of Iraq; and 1 in the country of Georgia. The Completion and Production Services segment provides service rigs for well completion, workover, abandonment, maintenance, and re-entry preparation services; wellsite accommodations; and oilfield surface equipment rentals, as well as pressure control services to oil and natural gas exploration and production companies. As of December 31, 2019, this segment operated 123 well completion and workover service rigs, including 114 in Canada; 9 in the United States; approximately 1,700 oilfield rental items, including surface storage, small-flow wastewater treatment, and power generation and solids control equipment; and 132 wellsite accommodation units in Canada. It also had 42 drilling camps in Canada. Precision Drilling Corporation was incorporated in 1951 and is headquartered in Calgary, Canada.

Details
Name: Precision Drilling Corporation
PRE
Exchange: DB
Founded: 1951
CA$89,625,938
274,229,977
Website: http://www.precisiondrilling.com
Address: Precision Drilling Corporation
525–8th Avenue SW,
Suite 800,
Calgary,
Alberta, T2P 1G1,
Canada
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
TSX PD Common Shares The Toronto Stock Exchange CA CAD 22. Sep 1988
NYSE PDS Common Shares New York Stock Exchange US USD 22. Sep 1988
DB PRE Common Shares Deutsche Boerse AG DE EUR 22. Sep 1988
Number of employees
Current staff
Staff numbers
4,496
Precision Drilling employees.
Industry
Oil and Gas Drilling
Energy
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2020/04/06 23:29
End of day share price update: 2020/04/06 00:00
Last estimates confirmation: 2020/04/04
Last earnings filing: 2020/03/09
Last earnings reported: 2019/12/31
Last annual earnings reported: 2019/12/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.