ProPetro Holding Corp.
ProPetro Holding Corp. Fundamental Analysis
ProPetro Holding Corp. (PUMP) shows weak financial fundamentals with a PE ratio of 1384.62, profit margin of 0.06%, and ROE of 0.10%. The company generates $1.5B in annual revenue with weak year-over-year growth of -11.42%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 12.8/100 based on profitability, valuation, growth, and balance sheet metrics. The F grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze PUMP's fundamental strength across five key dimensions:
Efficiency Score
WeakPUMP struggles to generate sufficient returns from assets.
Valuation Score
WeakPUMP trades at a premium to fair value.
Growth Score
WeakPUMP faces weak or negative growth trends.
Financial Health Score
ExcellentPUMP maintains a strong and stable balance sheet.
Profitability Score
WeakPUMP struggles to sustain strong margins.
Key Financial Metrics
Is PUMP Expensive or Cheap?
P/E Ratio
PUMP trades at 1384.62 times earnings. This suggests a premium valuation.
PEG Ratio
When adjusting for growth, PUMP's PEG of 13.20 indicates potential overvaluation.
Price to Book
The market values ProPetro Holding Corp. at 1.37 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 6.26 times EBITDA. This is generally considered low.
How Well Does PUMP Make Money?
Net Profit Margin
For every $100 in sales, ProPetro Holding Corp. keeps $0.06 as profit after all expenses.
Operating Margin
Core operations generate 0.40 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $0.10 in profit for every $100 of shareholder equity.
ROA
ProPetro Holding Corp. generates $0.06 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
ProPetro Holding Corp. produces operating cash flow of $268.66M, showing steady but balanced cash generation.
Free Cash Flow
ProPetro Holding Corp. produces free cash flow of $50.60M, offering steady but limited capital for shareholder returns and expansion.
FCF Per Share
Each share generates $0.42 in free cash annually.
FCF Yield
PUMP converts 3.22% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
1384.62
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
13.20
vs 25 benchmark
P/B Ratio
Price to book value ratio
1.37
vs 25 benchmark
P/S Ratio
Price to sales ratio
1.05
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.30
vs 25 benchmark
Current Ratio
Current assets to current liabilities
1.29
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.001
vs 25 benchmark
ROA
Return on assets percentage
0.001
vs 25 benchmark
ROCE
Return on capital employed
0.005
vs 25 benchmark
How PUMP Stacks Against Its Sector Peers
| Metric | PUMP Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 1384.62 | 20.10 | Worse (Expensive) |
| ROE | 0.10% | 1093.00% | Weak |
| Net Margin | 0.06% | -30344.00% (disorted) | Weak |
| Debt/Equity | 0.30 | -0.69 (disorted) | Distorted |
| Current Ratio | 1.29 | 4.79 | Neutral |
| ROA | 0.06% | -1.00% (disorted) | Weak |
PUMP outperforms its industry in 0 out of 6 key metrics, but lagging in P/E Ratio.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews ProPetro Holding Corp.'s 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
-32.09%
Industry Style: Cyclical, Value, Commodity
DecliningEPS CAGR
-181.61%
Industry Style: Cyclical, Value, Commodity
DecliningFCF CAGR
-46.53%
Industry Style: Cyclical, Value, Commodity
Declining