PEQ
CyclicalsValuation Breakdown
Cyclical companies (chemicals, oil & gas, basic resources) have earnings that swing dramatically with commodity prices and economic cycles. Valuing them on a single year's earnings is misleading: they look cheap at peaks and expensive at troughs. This model uses 7-year median EBITDA ("mid-cycle" earnings) and a 7-year median EV/EBITDA multiple to estimate what the firm is worth at a normal point in the cycle.
Valuation Track Record
Retroactive intrinsic value vs actual close price — PEQ
Earnings Quality
Fiscal year 2024
Financial Forensics
Beneish M-Score · 2024
The Beneish M-Score of -2.058 indicates a low likelihood of earnings manipulation, as it is below the threshold of -1.78. However, the high DSRI of 1.5754 and low receivables quality score of 0.0/100 raise concerns about revenue recognition practices and potential overstatement of sales.
- DSRI of 1.5754 suggests significant increases in receivables relative to revenue, indicating potential revenue recognition issues.
- The receivables quality score of 0.0/100 raises concerns about the collectability of reported revenues.
- Earnings Quality Score of 62.5/100 indicates a reasonable level of earnings quality, with strong accruals at 97.8/100 and margin quality at 100.0/100.
The top shareholder, a state-owned enterprise (SOE), holds 50.5% of the shares, which may lead to potential conflicts of interest and influence over financial reporting practices.
Investors should closely monitor revenue recognition practices and consider conducting further due diligence on the company's receivables management before making investment decisions.
Generated by AI based on quantitative data. Not financial advice.
Quantitative Scores
Key Ratios
Company Overview
// OWNERSHIP_NETWORK
> mapping common ownership for PEQ — hover nodes for intel, click to navigate