Helix Energy Solutions Group, Inc.
Helix Energy Solutions Group, Inc. Fundamental Analysis
Helix Energy Solutions Group, Inc. (HLX) shows weak financial fundamentals with a PE ratio of 31.10, profit margin of 3.25%, and ROE of 2.75%. The company generates $1.3B in annual revenue with moderate year-over-year growth of 5.34%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 37.4/100 based on profitability, valuation, growth, and balance sheet metrics. The F grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze HLX's fundamental strength across five key dimensions:
Efficiency Score
WeakHLX struggles to generate sufficient returns from assets.
Valuation Score
ModerateHLX shows balanced valuation metrics.
Growth Score
ModerateHLX shows steady but slowing expansion.
Financial Health Score
ExcellentHLX maintains a strong and stable balance sheet.
Profitability Score
ModerateHLX maintains healthy but balanced margins.
Key Financial Metrics
Is HLX Expensive or Cheap?
P/E Ratio
HLX trades at 31.10 times earnings. This suggests a premium valuation.
PEG Ratio
When adjusting for growth, HLX's PEG of -2.49 indicates potential undervaluation.
Price to Book
The market values Helix Energy Solutions Group, Inc. at 0.84 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 4.79 times EBITDA. This is generally considered low.
How Well Does HLX Make Money?
Net Profit Margin
For every $100 in sales, Helix Energy Solutions Group, Inc. keeps $3.25 as profit after all expenses.
Operating Margin
Core operations generate 6.38 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $2.75 in profit for every $100 of shareholder equity.
ROA
Helix Energy Solutions Group, Inc. generates $1.62 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Helix Energy Solutions Group, Inc. generates limited operating cash flow of $101.68M, signaling weaker underlying cash strength.
Free Cash Flow
Helix Energy Solutions Group, Inc. produces free cash flow of $78.49M, offering steady but limited capital for shareholder returns and expansion.
FCF Per Share
Each share generates $0.53 in free cash annually.
FCF Yield
HLX converts 5.87% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
31.10
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
-2.49
vs 25 benchmark
P/B Ratio
Price to book value ratio
0.84
vs 25 benchmark
P/S Ratio
Price to sales ratio
1.01
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.40
vs 25 benchmark
Current Ratio
Current assets to current liabilities
2.54
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.03
vs 25 benchmark
ROA
Return on assets percentage
0.02
vs 25 benchmark
ROCE
Return on capital employed
0.04
vs 25 benchmark
How HLX Stacks Against Its Sector Peers
| Metric | HLX Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 31.10 | 20.10 | Worse (Expensive) |
| ROE | 2.75% | 1093.00% | Weak |
| Net Margin | 3.25% | -30344.00% (disorted) | Weak |
| Debt/Equity | 0.40 | -0.69 (disorted) | Distorted |
| Current Ratio | 2.54 | 4.79 | Strong Liquidity |
| ROA | 1.62% | -1.00% (disorted) | Weak |
HLX outperforms its industry in 1 out of 6 key metrics, but lagging in P/E Ratio.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Helix Energy Solutions Group, Inc.'s 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
75.39%
Industry Style: Cyclical, Value, Commodity
High GrowthEPS CAGR
-6.75%
Industry Style: Cyclical, Value, Commodity
DecliningFCF CAGR
6.43%
Industry Style: Cyclical, Value, Commodity
Growing