Perdana Petroleum lags Malaysia energy sector on earnings quality
KUALA LUMPUR, May 28 — Perdana Petroleum scores the lowest on earnings quality among nine companies in Malaysia’s energy sector, tracked by at least three analysts, data from Thomson Reuters StarMine shows.
The oil and gas services provider has a low Earnings Quality (EQ) of 6, suggesting poor earnings sustainability. Its free cashflow as a per centage of sales lags the industry average by 43.5 per cent.
The company has below-average SmartHoldings score of 29 and an Analyst Revision Model (ARM) score of 63.
Its net margin lags the industry average by over 48 per cent.
Of eight analysts tracking the stock, three rate it a strong buy, one ranks it a hold and four recommend a sell or strong sell.
The stock is down over 34 per cent year-to-date, while the broader index is up 1.33 per cent for the same period.
A low score on StarMine’s Earnings Quality model indicates poor earnings sustainability over the next 12 months based on a company’s past operating performance.
The StarMine SmartHoldings model is a global stock selection model that ranks stocks based on the expected future increase, or decrease in institutional ownership.
StarMine’s Analyst Revision Model ranks stocks based on analysts’ revision of earnings and revenue estimates and changes in their ratings and usually gives additional weight to analysts who have been more accurate in the past. — Reuters