-0.06 | -4.35%
IVANHOE ENERGY INC's gross profit margin for the third quarter of its fiscal year 2012 has increased when compared to the same period a year ago. Sales and net income have dropped, although the growth in revenues underperformed the average competitor within the industry, the net income growth did not. IVANHOE ENERGY INC has weak liquidity. Currently, the Quick Ratio is 0.52 which shows a lack of ability to cover short-term cash needs. The company's liquidity has decreased from the same period last year.
During the same period, stockholders' equity ("net worth") has decreased by 16.45% from the same quarter last year. Overall, the key liquidity measurements indicate that the company is in a position in which financial difficulties could develop in the future.
| Income Statement | Q3 FY12 | Q3 FY11 |
|---|---|---|
| Net Sales ($mil) | 8.8 | 10.77 |
| EBITDA ($mil) | -28.71 | -9.1 |
| EBIT ($mil) | -30.84 | -11.23 |
| Net Income ($mil) | -34.55 | -4.16 |
| Balance Sheet | Q3 FY12 | Q3 FY11 |
|---|---|---|
| Cash & Equiv. ($mil) | 37.38 | 58.17 |
| Total Assets ($mil) | 432.56 | 428.45 |
| Total Debt ($mil) | 123.39 | 60.15 |
| Equity ($mil) | 266.65 | 319.17 |
| Profitability | Q3 FY12 | Q3 FY11 |
|---|---|---|
| Gross Profit Margin | 51.9 | 49.03 |
| EBITDA Margin | -326.36 | -84.52 |
| Operating Margin | -350.62 | -104.31 |
| Sales Turnover | 0.09 | 0.08 |
| Return on Assets | -12.89 | -6.66 |
| Return on Equity | -20.92 | -8.94 |
| Debt | Q3 FY12 | Q3 FY11 |
|---|---|---|
| Current Ratio | 1.2 | 2.8 |
| Debt/Capital | 0.32 | 0.16 |
| Interest Expense | 1.5 | 0.0 |
| Interest Coverage | -20.54 | 0.0 |
| Share Data | Q3 FY12 | Q3 FY11 |
|---|---|---|
| Shares outstanding (mil) | 344.14 | 344.14 |
| Div / share | 0.0 | 0.0 |
| EPS | -0.1 | -0.01 |
| Book value / share | 0.77 | 0.93 |
| Institutional Own % | n/a | n/a |
| Avg Daily Volume | 608652.0 | 1112517.0 |
SELL. This stock?s P/E ratio is negative, making its value useless in the assessment of premium or discount valuation, only displaying that the company has negative earnings per share. For additional comparison, its price-to-book ratio of 0.80 indicates a significant discount versus the S&P 500 average of 2.32 and a significant discount versus the industry average of 3.35. The price-to-sales ratio is well above both the S&P 500 average and the industry average, indicating a premium. The valuation analysis reveals that, IVANHOE ENERGY INC seems to be trading at a premium to investment alternatives within the industry.
| Price/Earnings |
|
Price/Cash Flow |
| |||||||||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| IVAN NM | Peers 25.58 | IVAN NM | Peers 7.61 | |||||||||||||||||||||
|
Neutral. The absence of a valid P/E ratio happens when a stock can not be valued on the basis of a negative stream of earnings. IVAN's P/E is negative making this valuation measure meaningless. |
Neutral. The P/CF ratio, a stock’s price divided by the company's cash flow from operations, is useful for comparing companies with different capital requirements or financing structures. IVAN's P/CF is negative making the measure meaningless. |
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| Price/Projected Earnings |
|
Price to Earnings/Growth |
|
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| IVAN NA | Peers 13.33 | IVAN NA | Peers 3.01 | |||||||||||||||||||||
|
Neutral. A lower price-to-projected earnings ratio than its peers can signify a less expensive stock or lower future growth potential. Ratio not available. |
Neutral. The PEG ratio is the stock’s P/E divided by the consensus estimate of long-term earnings growth. Faster growth can justify higher price multiples. Ratio not available. |
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| Price/Book |
|
Earnings Growth |
|
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| IVAN 0.80 | Peers 3.35 | IVAN -87.50 | Peers -23.43 | |||||||||||||||||||||
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Discount. A lower price-to-book ratio makes a stock more attractive to investors seeking stocks with lower market values per dollar of equity on the balance sheet. IVAN is trading at a significant discount to its peers. |
Lower. Elevated earnings growth rates can lead to capital appreciation and justify higher price-to-earnings ratios. However, IVAN is expected to significantly trail its peers on the basis of its earnings growth rate. |
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| Price/Sales |
|
Sales Growth |
|
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| IVAN 5.72 | Peers 2.09 | IVAN 7.78 | Peers 5.81 | |||||||||||||||||||||
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Premium. In the absence of P/E and P/B multiples, the price-to-sales ratio can display the value investors are placing on each dollar of sales. IVAN is trading at a significant premium to its industry. |
Higher. A sales growth rate that exceeds the industry implies that a company is gaining market share. IVAN has a sales growth rate that significantly exceeds its peers. |
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