Oceaneering International Inc

OII

Oil & Gas Field Services, NEC

Mkt Cap

$2.408B

PE

22.20

Debt

$478.2M

Cash

$354.7M

EV

$2.532B

FCF

$75.22M

Market Cap

$2.408B

P/E Ratio

22.20

Debt

$478.2M

Cash

$354.7M

EV

$2.532B

FCF

$75.22M

Charts data: {"Earnings":[{"time":"2014-12-30","value":428329000},{"time":"2015-12-30","value":231011000},{"time":"2016-12-30","value":24586000},{"time":"2017-12-30","value":166398000},{"time":"2018-12-30","value":-212327000},{"time":"2019-12-30","value":-348444000},{"time":"2020-12-30","value":-496751000},{"time":"2021-12-30","value":-49307000},{"time":"2022-12-30","value":25941000},{"time":"2023-12-30","value":97403000}],"Sales":[{"time":"2014-12-30","value":3659624000},{"time":"2015-12-30","value":3062754000},{"time":"2016-12-30","value":2271603000},{"time":"2017-12-30","value":1921507000},{"time":"2018-12-30","value":1909482000},{"time":"2019-12-30","value":2048124000},{"time":"2020-12-30","value":1827889000},{"time":"2021-12-30","value":1869275000},{"time":"2022-12-30","value":2066084000},{"time":"2023-12-30","value":2424706000}],"Net Margins":[{"time":"2014-12-30","value":0.11704180538765731},{"time":"2015-12-30","value":0.0754259075328936},{"time":"2016-12-30","value":0.010823194017616635},{"time":"2017-12-30","value":0.08659765486152275},{"time":"2018-12-30","value":-0.11119612544135006},{"time":"2019-12-30","value":-0.17012837113377902},{"time":"2020-12-30","value":-0.2717621255995304},{"time":"2021-12-30","value":-0.02637760629120916},{"time":"2022-12-30","value":0.012555636653688813},{"time":"2023-12-30","value":0.04017105578985659}],"Assets":[{"time":"2014-12-30","value":3511701000},{"time":"2015-12-30","value":3429536000},{"time":"2016-12-30","value":3130315000},{"time":"2017-12-30","value":3023950000},{"time":"2018-12-30","value":2824998000},{"time":"2019-12-30","value":2740663000},{"time":"2020-12-30","value":2045842000},{"time":"2021-12-30","value":1962859000},{"time":"2022-12-30","value":2031683000},{"time":"2023-12-30","value":2239006000}],"Stockholders Equity":[{"time":"2014-12-30","value":1657620000},{"time":"2015-12-30","value":1578734000},{"time":"2016-12-30","value":1516643000},{"time":"2017-12-30","value":1664518000},{"time":"2018-12-30","value":1415298000},{"time":"2019-12-30","value":1075409000},{"time":"2020-12-30","value":558157000},{"time":"2021-12-30","value":511024000},{"time":"2022-12-30","value":525804000},{"time":"2023-12-30","value":634083000}],"ROE":[{"time":"2014-12-30","value":0.2583999951738034},{"time":"2015-12-30","value":0.14632674028683743},{"time":"2016-12-30","value":0.016210802410323327},{"time":"2017-12-30","value":0.0999676783309042},{"time":"2018-12-30","value":-0.15002282204878406},{"time":"2019-12-30","value":-0.32401067872781425},{"time":"2020-12-30","value":-0.8899843592394254},{"time":"2021-12-30","value":-0.09648666207457966},{"time":"2022-12-30","value":0.04933587420407604},{"time":"2023-12-30","value":0.15361238197523036}],"ROA":[{"time":"2014-12-30","value":0.17892468635570055},{"time":"2015-12-30","value":0.1089972521064074},{"time":"2016-12-30","value":0.022606031661350376},{"time":"2017-12-30","value":0.0035238677888192594},{"time":"2018-12-30","value":-0.0514980895561696},{"time":"2019-12-30","value":-0.10607396823323408},{"time":"2020-12-30","value":-0.21804176471105785},{"time":"2021-12-30","value":0.020276036128932338},{"time":"2022-12-30","value":0.054567075670761626},{"time":"2023-12-30","value":0.08098593750976996}]}

Oceaneering International, Inc. provides engineered services and products, and robotic solutions to the offshore energy, defense, aerospace, manufacturing, and entertainment industries worldwide. The company's Subsea Robotics segment provides remotely operated vehicles (ROVs) for drill support and vessel-based services, including subsea hardware installation, construction, pipeline inspection, survey and facilities inspection, maintenance, and repair. This segment also offers ROV tooling, and survey services, such as hydrographic survey and positioning services, as well as autonomous underwater vehicles for geoscience. Its Manufactured Products segment provides distribution and connection systems, including production control umbilicals and field development hardware, pipeline connection, and repair systems to the energy industry; and autonomous mobile robots technology and entertainment systems to various industries. The company's Offshore Projects Group segment offers subsea installation and intervention, including riserless light well intervention services and inspection, and maintenance and repair services; installation and workover control systems, and ROV workover control systems; diving services; project management and engineering; and drill pipe riser services and systems, and wellhead load relief solutions. Its Integrity Management & Digital Solutions segment provides asset integrity management; software and analytical solutions for the bulk cargo maritime industry; and software, digital, and connectivity solutions for the energy industry. The company's Aerospace and Defense Technologies segment offers government services and products, including engineering and related manufacturing in defense and space exploration activities to U.S. government agencies and their prime contractors. Oceaneering International, Inc. was founded in 1964 and is headquartered in Houston, Texas.

Sector

10-Q
9/30/23
10-Q
6/30/23
10-Q
3/31/23
10-K
12/31/22
10-Q
9/30/22
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6/30/22
10-Q
3/31/22
10-K
12/31/21
10-Q
9/30/21
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6/30/21
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3/31/21
10-K
12/31/20
10-Q
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10-Q
3/31/20
10-K
12/31/19
10-Q
9/30/19
10-Q
6/30/19
10-Q
3/31/19
10-K
12/31/18
10-Q
9/30/18
10-Q
6/30/18
10-Q
3/31/18
10-K
12/31/17

DCF

Discounted Cash Flow Valuation of Oceaneering International Inc

Calculate

Growth Years

Growth

Start

End

Discount

Start

End

Multiple

g\r	+10%	+11%	+12%	+13%	+14%
0%	10	9	8	8	7
+1%	11	10	9	8	8
+2%	13	11	10	9	8
+3%	14	13	11	10	9
+4%	17	14	12	11	10

Years	0	1	2	3	4	5	6	7	8	9	10	TV
FCF	$75.22M	$62.53M	$51.98M	$43.21M	$35.92M	$29.86M	$24.82M	$20.63M	$17.15M	$14.26M	$11.85M	$118.5M
DCF		$54.37M	$39.3M	$28.41M	$20.54M	$14.85M	$10.73M	$7.757M	$5.607M	$4.053M	$2.93M	$29.3M
Value	$217.8M

Chart P/E ratio

In the chart Earnings are multiplied by this value.

Earnings Growth -11%

Earnings Stability -47%

Competitiveness and MOAT

High margins render the company resilient under dire circumstances, hence able to drive competitors out or acquire them. ROE and ROA measure the average flow generated by each invested dollar. Their marginal value is a forecast of future growth, and it is considered by Buffett and Munger the most important single indicator.

The Net Margin is too low to guarantee profitability in case of higher costs or higher interest rates. Furthermore lower margins cause higher earnings’ volatility.

Over time the ROA has been increasing indicating a higher marginal ROA with respect to the calculated one, giving a good sign for continued growth.

Years	12-2015	12-2016	12-2017	12-2018	12-2019	12-2020	12-2021	12-2022	12-2023	TTM
Net Margin	7.5%	1.1%	8.7%	-11%	-17%	-27%	-2.6%	1.3%	4%	4.4%
ROA	11%	2.3%	0.35%	-5.1%	-11%	-22%	2%	5.5%	8.1%	8.6%
ROE	15%	1.6%	10%	-15%	-32%	-89%	-9.6%	4.9%	15%	17%

What is the average Net Margin?

The average Net Margin over the past 5 years is -8.78%.

What is the trend of Net Margin?

The trend of Net Margin over the past 5 years is +4.43%.

What is the average Return on Assets (ROA)?

The average ROA over the past 5 years is -3.66%.

What is the trend of Return on Assets (ROA)?

The trend of ROA over the past 5 years is +3.95%.

What is the average Return on Equity (ROE)?

The average ROE over the past 5 years is -20.96%.

What is the trend of Return on Equity (ROE)?

The trend of ROE over the past 5 years is +9.8%.

Safety & Stabiliy

Being debt the number one cause of investment losses and company death, the ratio Debt/FCF is of utmost importance to guarantee safety. On the other hand the Graham’s stability measures the drawdown of earnings, hence indicating the reliability of the flow generated by the company.

The company has high debt with respect to the cashflow it generates.

The Graham’s stability indicate a relevant drawdown, consider checking when it has occured and why.

Years	12-2015	12-2016	12-2017	12-2018	12-2019	12-2020	12-2021	12-2022	12-2023	TTM
Debt FCF	2.21	3.48	18.51	-10.79	80.58	10.60	4.01	17.59	4.37	6.36
Debt Equity	0.50	0.52	0.48	0.56	0.74	1.44	1.37	1.33	0.75	0.76
MIN
Graham Stability	-	-	73%	-150%	-	-	-	-	-	-150%

What is the Debt/FCF?

The Debt/FCF trailing twelve month is 6.36.

What is the trend of Debt/FCF?

The trend of Debt/FCF over the past 5 years is -3.42.

What is the Graham’s Stability?

Graham’s Stability measure stands at -1.51.

Growth

Growth can be dangerous when forecasting, simply projecting the current growth is in general wrong. A company passes through multiple phases, from being young and unprofitable, to the first periods of profitability and high growth, until it arrives at a period of regime with limited growth. Identifying in which phase the company is in may help forecasting.

Earnings growth has been increasing in past years.

Years	12-2016	12-2018	12-2020	12-2022	Trend
Revenue	0.94%	4.9%	9.9%	17%	4.5%
Net Income	22%	-	-	280%	33%
Stockholders Equity	-12%	-15%	4.3%	21%	0.87%
FCF	-10%	-	13%	170%	26%

What is the 5 year Revenue CAGR?

The Revenue CAGR over the past 5 years is +4.89%.

What is the trend of Revenue growth?

The trend of Revenue growth rate over the past 5 years is +4.48%.

What is the 5 year Earnings CAGR?

The Earnings CAGR over the past 5 years is -.

What is the trend of Earnings growth?

The trend of Earnings growth rate over the past 5 years is +33.46%.

What is the 5 year Equity CAGR?

The Equity CAGR over the past 5 years is -14.84%.

What is the trend of Equity growth?

The trend of Equity growth rate over the past 5 years is +0.87%.

What is the 5 year FCF CAGR?

The FCF CAGR over the past 5 years is -.

What is the trend of FCF growth?

The trend of FCF growth rate over the past 5 years is +25.9%.