Superior Energy provides specialized oilfield services and equipment to oil and gas companies through four segments: Drilling Products and Services; Onshore Completion and Workover Services; Production Services; and Technical Solutions. The company was founded in 1991 and is based in Houston, Texas.
SPN Price Forecast Based on DCF Valuation
DCF Fair Value Target:
Below please find a table outlining a discounted cash flow forecast for SPN, in which we model out valuation assuming a variety of terminal growth rates. To summarize, we found that Superior Energy Services Inc ranked in the 78th percentile in terms of potential gain offered. Moreover, under all the scenarios we modelled, the output consistently forecasted positive returns. The most interesting components of our discounted cash flow analysis for Superior Energy Services Inc ended up being:
The company's balance sheet shows it gets 1% of its capital from equity, and 99% of its capital from debt. Notably, its equity weight is greater than just 1.68% of US equities in the Energy sector yielding a positive free cash flow.
Its compound free cash flow growth rate, as measured over the past 5.8 years, is -0.2% -- higher than only 9.39% of stocks in our DCF forecasting set.
Superior Energy Services Inc's interest coverage rate -- a measure of gross earnings relative to interest payments -- comes in at -2.09. This coverage rate is greater than that of merely 14.7% of stocks we're observing for the purpose of forecasting via discounted cash flows.
Terminal Growth Rate in Free Cash Flow
Return Relative to Current Share Price
Want more companies with a valuation profile/forecast similar to that of Superior Energy Services Inc? See MMLP, DCP, SU, NINE, and ENLC.
Moody's Investors Service ("Moody's") downgraded SESI, L.L.C.'s (SESI or Superior Energy) Corporate Family Rating (CFR) to Caa3 from B3, Probability of Default Rating (PDR) to Caa3-PD from B3-PD, senior unsecured notes to Caa3 from Caa1, and Speculative Grade Liquidity Rating (SGL) to SGL-3 from SGL-2. SESI's rating outlook was revised to negative. This concludes Moody's review of SESI's ratings that was initiated on December 20, 2019.
NEW YORK, NY / ACCESSWIRE / May 21, 2020 / Superior Energy Services, Inc. (NYSE:SPN) will be discussing their earnings results in their 2020 First Quarter Earnings call to be held on May 21, 2020 at 9:00 ...
Superior Energy Services, Inc. (NYSE: SPN) (the "Company") today announced it has received written notice ("Notice") from the New York Stock Exchange (the "NYSE") that the Company is not in compliance with the NYSE continued listing standard set forth in Rule 802.01B of the NYSE Listed Company Manual, which requires the average global market capitalization over a consecutive 30 trading-day period to be greater than or equal to $50,000,000, unless at the same time the stockholders' equity is equal to or greater than $50,000,000.