CR.TO  Crew Energy Inc

Exchange

TSX

Sector

Energy

Industry

Market Cap.

802.61M

Vuru Grade

18.00/100

Current Price

$5.54
-0.29 (-4.97%)

Company Metrics

  • P/E 834
  • P/S 5.82
  • P/B 1.00
  • EPS -0.23
  • Cash ROIC -12.57%
  • Cash Ratio 0.03
  • Dividend 0 / N/A %
  • Avg. Vol. 999,564.00
  • Shares 144.88M
  • Market Cap. 802.61M

Company Description

Crew Energy Inc., together with its wholly owned subsidiary, Crew Resources Inc., engages in acquiring, exploring for, developing, and producing crude oil and natural gas in western Canada. As of December 31, 2009, its core operating areas included the Princess area comprising of 245,632 net acres of land; the Killam area consisting of 38,533 net acres of land; the Pine Creek area covering 22,682 ... more


Download 10 Years of Financial Statements:
Income Statement   Balance Sheet   Cash Flow

News

Crew Energy Inc. Announces Proposed Offering of Senior Unsecured Notes and the ...
Marketwired (press release) - Feb 21, 2017
Crew Energy Inc. (TSX:CR) of Calgary, Alberta ("Crew" or the "Company") today announced that it intends to offer for sale (the "Offering") senior unsecured notes due 2024 (the "2024 Notes").
BRIEF-Crew Energy says intends to offer for sale senior unsecured notes due 2024
Reuters - Feb 21, 2017
Feb 21 Crew Energy Inc: * Crew Energy Inc. announces proposed offering of senior unsecured notes and the conditional redemption of all outstanding 8.375% senior unsecured notes due 2020.
The Crew Energy Inc. (CR) Given New C$9.00 Price Target at the Desjardins
DailyQuint - 19 hours ago
Crew Energy Inc. (TSE:CR) had its price target hoisted by Desjardins from C$7.75 to C$9.00 in a research report sent to investors on Wednesday morning.
Crew Energy Inc. Suffield: Alberta Shuts Down Oil Well To Protect Nest Of ...
Huffington Post Canada - Sep 19, 2013
SUFFIELD, Alta. - The Alberta government has swooped down on an oil company to protect a nest of threatened hawks. The province says it has ordered Calgary-based Crew Energy Inc. (TSX:CR) to stop operating an oil well near Suffield in southern Alberta.
The Crew Energy Inc. (CR) Price Target Cut to C$9.00
DailyQuint - Feb 19, 2017
Crew Energy Inc. (TSE:CR) had its price target decreased by investment analysts at TD Securities from C$9.50 to C$9.00 in a report issued on Friday.
Crew Energy: A Bet On The Gas Price And The Montney Siltstone Reservoir
Seeking Alpha - May 10, 2016
Crew Energy was able to receive a decent price for its gas, as it contracted its gas sales at several selling points. The company was free cash flow negative on an adjusted basis, so the higher gas price - predicted for this fall and winter - will be ...
Crew Energy Inc (CR) Given Outperform Rating at Scotiabank
The Cerbat Gem - Feb 10, 2017
Crew Energy logo Crew Energy Inc (TSE:CR)'s stock had its “outperform” rating reaffirmed by Scotiabank in a report issued on Friday.
Crew Energy Inc (CR) Given a C$10.75 Price Target by Raymond James Financial ... - Sports Perspectives
Crew Energy Inc. gets capital budget increase, more wells to be drilled
Energeticcity.ca - Nov 4, 2016
As a result, Crew's Board of Directors has approved an increase in our 2016 capital budget to approximately $100 million, which will significantly increase the number of wells drilled during 2016 to 22 from seven, thereby adding to the inventory of ...
Crew Energy Inc (CR) Receives Outperform Rating from Scotiabank
Sports Perspectives - Feb 13, 2017
Scotiabank reaffirmed their outperform rating on shares of Crew Energy Inc (TSE:CR) in a report released on Friday morning.
The Desjardins Raises Crew Energy Inc. (CR) Price Target to C$9.00
DailyQuint - Feb 18, 2017
Crew Energy Inc. (TSE:CR) had its price target boosted by Desjardins from C$7.75 to C$9.00 in a report published on Wednesday.
Growth Rate Assumed by Market

We did a reverse valuation to calculate the growth rate the market is assuming for CR.TO to be considered fairly valued at its current market price. It's useful to compare this to the growth rate we're assuming for the Growth Price.

Future Free Cash Flow Growth Rate

This is the annual growth rate we've applied to calculate CR.TO's Free Cash Flow for the next 10 years. To calculate it, we looked at several time periods of the last 10 years. Feel free to adjust it, but we limit the initial growth rate to 20% and slow it down over the years. Otherwise, long-term sustainability issues come into play.

Discount Rate

The discount rate is the annual rate of return an investor requires to take the risk of investing in a single stock. To account for that risk, this should be above 8-10%, as this is the avg. annual rate of return for the S&P500 over the past 100 years.

$5.54 Current Price

$-1.85 Growth Price (DCF)

Why is this negative?


Show Free Cash Flow numbers

$7.17 Book Price

Undervalued by 29.48%


Very Poor Cash Return on Invested Capital over the past 5 years

CR.TO has failed to generate positive returns on its investments in buildings, projects and equipment. This could be due to poor management, lack of an economic moat or the capital intensive nature of the business.

CR.TO has lost $12.57 of cash for every $100 invested.
Figures in CAD. Fiscal year ends in December
20112012201320142015
Free Cash Flow -222.45M -67.38M -113.95M -276.44M -173.33M
divided by
Invested Capital 1.65B 1.73B 1.74B 1.13B 1.20B
Cash ROIC -13.48% -3.89% -6.56% -24.51% -14.39%

Very Poor Return on Equity over the past 5 years

CR.TO has shown an inability to deliver results for shareholders. This could be due to poor management, CR.TO operating in a highly competitive industry, or having a weak business in general.

CR.TO has generated a $13.52 loss for every $100 of Shareholders' Equity.
Figures in CAD. Fiscal year ends in December
20112012201320142015
Net Income -130.16M 21.54M -79.31M -349.71M -55.36M
divided by
Stockholders' Equity 1.13B 1.18B 1.11B 790.37M 845.70M
Return on Equity -11.52% 1.82% -7.12% -44.25% -6.55%

Poor Business Performance over the past 10 years

CR.TO's inability to produce positive free cash flow for the majority of the past 10 years is concerning. It should be a red flag, since this company does not have a track record of delivering results for shareholders. This could be due to poor management or the nature of its business.

CR.TO has been losing money for the majority of the past 10 years.
Figures in CAD. Fiscal year ends in December
2006200720082009201020112012201320142015
Free Cash Flow -82.60M -27.69M -138.74M -45.91M -152.15M -222.45M -67.38M -113.95M -276.44M -173.33M

Good Balance Sheet

CR.TO's Total Assets double Total Liabilities. Its financial position is adequate. Remember to check Shareholders' Equity to see if it's stable or growing. It's one of the best measures of whether a company is creating value for shareholders.
Figures in CAD. Fiscal year ends in December
2006200720082009201020112012201320142015
Cash - - - - 982,000.00 - - - 2.05M 1.16M
Current Assets 22.06M 28.93M 44.07M 38.12M 61.02M 79.12M 46.41M 49.88M 78.47M 34.42M
Total Assets 375.28M 602.54M 1.05B 963.25M 998.07M 1.84B 1.83B 1.84B 1.23B 1.24B
Current Liabilities 80.93M 44.97M 75.94M 86.38M 101.09M 192.74M 102.10M 105.32M 95.34M 38.22M
Total Liabilities 130.97M 238.81M 452.24M 358.97M 381.39M 712.54M 650.24M 729.57M 434.70M 398.59M
Stockholder' Equity 244.31M 363.73M 593.27M 604.28M 616.68M 1.13B 1.18B 1.11B 790.37M 845.70M
Current Ratio 0.27 0.64 0.58 0.44 0.60 0.41 0.45 0.47 0.82 0.90
TL-to-TA 0.35 0.40 0.43 0.37 0.38 0.39 0.35 0.40 0.35 0.32

Low or No Reinvestment of Profits over the past 10 years

CR.TO has either been retaining a small amount of their earnings or has done so inconsistently. A lack of consistency could be due to CR.TO operating at a loss or them having such a strong economic moat they feel comfortable spending profits on growth. Be wary of future prospects and if applicable, inspect the moat's sustainability.
Figures in CAD. Fiscal year ends in December
2006200720082009201020112012201320142015
Retained Earnings 45.93M 55.04M 1.72M -36.09M -53.26M -167.79M -146.25M -225.56M -575.27M -630.63M
Retained Earnings Growth - 19.83% -96.87% -2,197.27% -47.55% -215.07% 12.84% -54.23% -155.04% -9.62%

Loss Making Entity over the past 10 years

CR.TO has been unable to maintain profitability. It's Costs of Sales have outstripped Revenue consistently. This is a huge red flag, unless the company has been investing heavily for the future. However, even that is dubious since accurately predicting the future of a company like that is extremely difficult.

$19.58 of every $100 of Revenue have been a loss, on average over the past 10 years.
Figures in CAD. Fiscal year ends in December
2006200720082009201020112012201320142015
Net Income 10.78M 9.11M -53.32M -37.82M -17.16M -130.16M 21.54M -79.31M -349.71M -55.36M
divided by
Revenue 92.81M 140.47M 235.86M 162.17M 212.05M 379.92M 455.50M 407.02M 455.57M 162.27M
Net Profit Margin 11.61% 6.49% -22.61% -23.32% -8.09% -34.26% 4.73% -19.49% -76.76% -34.11%

Strong Pricing Power over the past 10 years

CR.TO has maintained substantial gross margins, suggesting that they have been able to set prices without consideration of the cost of goods sold. This potentially leaves flexibility in inflationary environments to raise prices on consumers and maintain profitability.

$55.09 of every $100 worth of sales have been Gross Profit, on average over the past 10 years.
Figures in CAD. Fiscal year ends in December
2006200720082009201020112012201320142015
Gross Profit 60.03M 90.35M 139.45M 93.60M 106.69M 182.96M 232.43M 197.42M 264.51M 79.54M
divided by
Revenue 92.81M 140.47M 235.86M 162.17M 212.05M 379.92M 455.50M 407.02M 455.57M 162.27M
Gross Margin 64.68% 64.32% 59.13% 57.72% 50.31% 48.16% 51.03% 48.50% 58.06% 49.01%

High Capital Intensity over the past 10 years

CR.TO spends large amounts of capital buying new equipment or investing in new facilities to stay competitive. Over the long term, those costs may have to be fuelled by debt. Look at the growth of Shareholders' Equity to see if this strategy is having a positive or negative impact.

1,241.55% of Profits are being spent on Capital Expenditures, like Property, Plant, & Equipment, required to run the business.
Figures in CAD. Fiscal year ends in December
2006200720082009201020112012201320142015
Capital Expenditure 140.06M 102.09M 262.09M 128.57M 249.32M 375.87M 280.97M 275.90M 445.64M 248.03M
divided by
Net Income 10.78M 9.11M -53.32M -37.82M -17.16M -130.16M 21.54M -79.31M -349.71M -55.36M
Capital Expenditure Ratio 1,299.69% 1,120.66% -491.55% -339.99% -1,452.81% -288.77% 1,304.28% -347.87% -127.43% -448.06%

No Dividend History over the past 10 years

CR.TO has never distributed dividends or has recently suspended their dividend distribution.
Figures in CAD. Fiscal year ends in December
2006200720082009201020112012201320142015
Dividend Paid - - - - - - - - - -
divided by
Shares Outstanding 35.92M 47.95M 61.58M 81.00M 79.75M 102.03M 120.82M 121.63M 122.40M 137.95M
Dividend Paid Per Share - - - - - - - - - -
Price at Year End 12.30 7.28 5.30 14.61 19.15 11.25 6.38 6.38 5.77 3.97
Dividend Yield - - - - - - - - - -

History of Stock Buybacks over the past 10 years

CR.TO has some history of delivering increased value for shareholders in the form of stock buybacks. These have helped improve financial metrics and increase each shareholders' relative ownership stake in the company, due to fewer shares outstanding and holding the same number of shares.
Figures in CAD. Fiscal year ends in December
2006200720082009201020112012201320142015
Shares Outstanding 35.92M 47.95M 61.58M 81.00M 79.75M 102.03M 120.82M 121.63M 122.40M 137.95M
Stock Bought Back - -25.08% -22.14% -23.98% 1.57% -21.84% -15.55% -0.67% -0.63% -11.27%
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