Intrinsic value of Gulfport Energy - GPOR

Previous Close

$13.36

  Intrinsic Value

$2.89

stock screener

  Rating & Target

str. sell

-78%

Previous close

$13.36

 
Intrinsic value

$2.89

 
Up/down potential

-78%

 
Rating

str. sell

We calculate the intrinsic value of GPOR stock by summing up the current values of future distributable cash flows generated by the company and dividing the sum by the number of outstanding shares. As such, the intrinsic value calculation depends entirely on projections. The more accurate your projections of the company's performance are - the more reliable is the intrinsic value calculation result. Please make sure to check the stock valuation input data below and adjust it if necessary. The quality of the output (intrinsic valuation result) is only as good as the quality of the input. See also DISCLAIMERS.

STOCK VALUATION INPUT DATA

Initial revenue growth rate, %
Terminal revenue growth rate, %
Revenue decline factor
Initial discount rate, %
Discount rate multiplier
Shares outstanding, mln

 

FINANCIAL STATEMENTS FORECAST and PRESENT VALUE CALCULATION

Fiscal year
2016(a)
   2017
   2018
   2019
   2020
   2021
   2022
   2023
   2024
   2025
   2026
   2027
   2028
   2029
   2030
   2031
   2032
   2033
   2034
   2035
   2036
   2037
   2038
   2039
   2040
   2041
   2042
   2043
   2044
   2045
   2046

INCOME STATEMENT

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Revenue growth rate, %
  -45.56
  37.10
  33.89
  31.00
  28.40
  26.06
  23.95
  22.06
  20.35
  18.82
  17.44
  16.19
  15.07
  14.07
  13.16
  12.34
  11.61
  10.95
  10.35
  9.82
  9.34
  8.90
  8.51
  8.16
  7.85
  7.56
  7.30
  7.07
  6.87
  6.68
  6.51
Revenue, $m
  386
  529
  709
  928
  1,192
  1,502
  1,862
  2,273
  2,736
  3,251
  3,817
  4,436
  5,104
  5,822
  6,588
  7,401
  8,261
  9,165
  10,114
  11,107
  12,144
  13,225
  14,351
  15,522
  16,740
  18,005
  19,321
  20,687
  22,108
  23,585
  25,121
Variable operating expenses, $m
 
  1,254
  1,679
  2,200
  2,825
  3,561
  4,414
  5,387
  6,484
  7,704
  9,047
  10,512
  12,097
  13,798
  15,614
  17,542
  19,578
  21,721
  23,970
  26,324
  28,781
  31,344
  34,012
  36,787
  39,673
  42,673
  45,790
  49,029
  52,396
  55,896
  59,536
Fixed operating expenses, $m
 
  381
  391
  401
  411
  421
  431
  442
  453
  465
  476
  488
  500
  513
  526
  539
  552
  566
  580
  595
  610
  625
  640
  656
  673
  690
  707
  725
  743
  761
  780
Total operating expenses, $m
  1,278
  1,635
  2,070
  2,601
  3,236
  3,982
  4,845
  5,829
  6,937
  8,169
  9,523
  11,000
  12,597
  14,311
  16,140
  18,081
  20,130
  22,287
  24,550
  26,919
  29,391
  31,969
  34,652
  37,443
  40,346
  43,363
  46,497
  49,754
  53,139
  56,657
  60,316
Operating income, $m
  -892
  -1,106
  -1,362
  -1,672
  -2,043
  -2,479
  -2,983
  -3,556
  -4,201
  -4,918
  -5,706
  -6,565
  -7,493
  -8,489
  -9,552
  -10,679
  -11,869
  -13,122
  -14,436
  -15,811
  -17,247
  -18,743
  -20,301
  -21,922
  -23,606
  -25,357
  -27,176
  -29,066
  -31,031
  -33,072
  -35,195
EBITDA, $m
  -646
  -768
  -909
  -1,079
  -1,282
  -1,520
  -1,793
  -2,105
  -2,454
  -2,842
  -3,268
  -3,732
  -4,233
  -4,770
  -5,344
  -5,951
  -6,593
  -7,268
  -7,976
  -8,717
  -9,490
  -10,296
  -11,135
  -12,008
  -12,914
  -13,857
  -14,836
  -15,853
  -16,910
  -18,008
  -19,151
Interest expense (income), $m
  69
  86
  127
  178
  241
  316
  405
  507
  624
  756
  903
  1,065
  1,241
  1,432
  1,637
  1,855
  2,087
  2,332
  2,590
  2,861
  3,144
  3,440
  3,748
  4,070
  4,404
  4,751
  5,112
  5,487
  5,877
  6,282
  6,704
Earnings before tax, $m
  -983
  -1,192
  -1,488
  -1,850
  -2,284
  -2,795
  -3,387
  -4,064
  -4,826
  -5,674
  -6,609
  -7,630
  -8,734
  -9,921
  -11,188
  -12,534
  -13,957
  -15,455
  -17,027
  -18,672
  -20,391
  -22,183
  -24,050
  -25,991
  -28,010
  -30,108
  -32,288
  -34,554
  -36,908
  -39,355
  -41,899
Tax expense, $m
  -3
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
Net income, $m
  -980
  -1,192
  -1,488
  -1,850
  -2,284
  -2,795
  -3,387
  -4,064
  -4,826
  -5,674
  -6,609
  -7,630
  -8,734
  -9,921
  -11,188
  -12,534
  -13,957
  -15,455
  -17,027
  -18,672
  -20,391
  -22,183
  -24,050
  -25,991
  -28,010
  -30,108
  -32,288
  -34,554
  -36,908
  -39,355
  -41,899

BALANCE SHEET

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Cash and short-term investments, $m
  1,276
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
Total assets, $m
  4,223
  4,040
  5,409
  7,086
  9,098
  11,469
  14,216
  17,352
  20,884
  24,814
  29,141
  33,859
  38,963
  44,444
  50,292
  56,500
  63,059
  69,963
  77,206
  84,787
  92,702
  100,955
  109,549
  118,490
  127,785
  137,446
  147,486
  157,919
  168,763
  180,036
  191,760
Adjusted assets (=assets-cash), $m
  2,947
  4,040
  5,409
  7,086
  9,098
  11,469
  14,216
  17,352
  20,884
  24,814
  29,141
  33,859
  38,963
  44,444
  50,292
  56,500
  63,059
  69,963
  77,206
  84,787
  92,702
  100,955
  109,549
  118,490
  127,785
  137,446
  147,486
  157,919
  168,763
  180,036
  191,760
Revenue / Adjusted assets
  0.131
  0.131
  0.131
  0.131
  0.131
  0.131
  0.131
  0.131
  0.131
  0.131
  0.131
  0.131
  0.131
  0.131
  0.131
  0.131
  0.131
  0.131
  0.131
  0.131
  0.131
  0.131
  0.131
  0.131
  0.131
  0.131
  0.131
  0.131
  0.131
  0.131
  0.131
Average production assets, $m
  2,490
  3,414
  4,571
  5,988
  7,689
  9,692
  12,014
  14,664
  17,649
  20,970
  24,626
  28,614
  32,927
  37,558
  42,501
  47,747
  53,290
  59,124
  65,246
  71,652
  78,341
  85,316
  92,578
  100,133
  107,989
  116,153
  124,638
  133,454
  142,618
  152,145
  162,053
Working capital, $m
  1,219
  -78
  -105
  -137
  -176
  -222
  -276
  -336
  -405
  -481
  -565
  -656
  -755
  -862
  -975
  -1,095
  -1,223
  -1,356
  -1,497
  -1,644
  -1,797
  -1,957
  -2,124
  -2,297
  -2,477
  -2,665
  -2,859
  -3,062
  -3,272
  -3,491
  -3,718
Total debt, $m
  1,594
  2,351
  3,298
  4,458
  5,851
  7,492
  9,393
  11,563
  14,007
  16,726
  19,720
  22,986
  26,517
  30,310
  34,357
  38,653
  43,192
  47,969
  52,982
  58,227
  63,705
  69,416
  75,363
  81,550
  87,982
  94,668
  101,615
  108,835
  116,339
  124,140
  132,253
Total liabilities, $m
  2,039
  2,796
  3,743
  4,903
  6,296
  7,937
  9,838
  12,008
  14,452
  17,171
  20,165
  23,431
  26,962
  30,755
  34,802
  39,098
  43,637
  48,414
  53,427
  58,672
  64,150
  69,861
  75,808
  81,995
  88,427
  95,113
  102,060
  109,280
  116,784
  124,585
  132,698
Total equity, $m
  2,184
  1,244
  1,666
  2,182
  2,802
  3,532
  4,379
  5,345
  6,432
  7,643
  8,975
  10,429
  12,001
  13,689
  15,490
  17,402
  19,422
  21,549
  23,780
  26,114
  28,552
  31,094
  33,741
  36,495
  39,358
  42,333
  45,426
  48,639
  51,979
  55,451
  59,062
Total liabilities and equity, $m
  4,223
  4,040
  5,409
  7,085
  9,098
  11,469
  14,217
  17,353
  20,884
  24,814
  29,140
  33,860
  38,963
  44,444
  50,292
  56,500
  63,059
  69,963
  77,207
  84,786
  92,702
  100,955
  109,549
  118,490
  127,785
  137,446
  147,486
  157,919
  168,763
  180,036
  191,760
Debt-to-equity ratio
  0.730
  1.890
  1.980
  2.040
  2.090
  2.120
  2.150
  2.160
  2.180
  2.190
  2.200
  2.200
  2.210
  2.210
  2.220
  2.220
  2.220
  2.230
  2.230
  2.230
  2.230
  2.230
  2.230
  2.230
  2.240
  2.240
  2.240
  2.240
  2.240
  2.240
  2.240
Adjusted equity ratio
  0.308
  0.308
  0.308
  0.308
  0.308
  0.308
  0.308
  0.308
  0.308
  0.308
  0.308
  0.308
  0.308
  0.308
  0.308
  0.308
  0.308
  0.308
  0.308
  0.308
  0.308
  0.308
  0.308
  0.308
  0.308
  0.308
  0.308
  0.308
  0.308
  0.308
  0.308

CASH FLOW

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Net income, $m
  -980
  -1,192
  -1,488
  -1,850
  -2,284
  -2,795
  -3,387
  -4,064
  -4,826
  -5,674
  -6,609
  -7,630
  -8,734
  -9,921
  -11,188
  -12,534
  -13,957
  -15,455
  -17,027
  -18,672
  -20,391
  -22,183
  -24,050
  -25,991
  -28,010
  -30,108
  -32,288
  -34,554
  -36,908
  -39,355
  -41,899
Depreciation, amort., depletion, $m
  246
  338
  453
  593
  761
  960
  1,189
  1,452
  1,747
  2,076
  2,438
  2,833
  3,260
  3,719
  4,208
  4,727
  5,276
  5,854
  6,460
  7,094
  7,757
  8,447
  9,166
  9,914
  10,692
  11,500
  12,340
  13,213
  14,121
  15,064
  16,045
Funds from operations, $m
  309
  -854
  -1,036
  -1,257
  -1,523
  -1,836
  -2,198
  -2,612
  -3,078
  -3,598
  -4,171
  -4,797
  -5,474
  -6,202
  -6,980
  -7,807
  -8,680
  -9,601
  -10,567
  -11,578
  -12,635
  -13,736
  -14,884
  -16,077
  -17,318
  -18,608
  -19,948
  -21,340
  -22,787
  -24,291
  -25,854
Change in working capital, $m
  -29
  -21
  -27
  -33
  -39
  -46
  -53
  -61
  -68
  -76
  -84
  -91
  -99
  -106
  -113
  -120
  -127
  -134
  -140
  -147
  -153
  -160
  -167
  -173
  -180
  -187
  -195
  -202
  -210
  -219
  -227
Cash from operations, $m
  338
  -833
  -1,009
  -1,225
  -1,484
  -1,790
  -2,145
  -2,551
  -3,010
  -3,522
  -4,087
  -4,705
  -5,375
  -6,096
  -6,867
  -7,686
  -8,553
  -9,467
  -10,426
  -11,431
  -12,481
  -13,576
  -14,717
  -15,904
  -17,138
  -18,421
  -19,753
  -21,138
  -22,577
  -24,072
  -25,627
Maintenance CAPEX, $m
  0
  -247
  -338
  -453
  -593
  -761
  -960
  -1,189
  -1,452
  -1,747
  -2,076
  -2,438
  -2,833
  -3,260
  -3,719
  -4,208
  -4,727
  -5,276
  -5,854
  -6,460
  -7,094
  -7,757
  -8,447
  -9,166
  -9,914
  -10,692
  -11,500
  -12,340
  -13,213
  -14,121
  -15,064
New CAPEX, $m
  -758
  -924
  -1,157
  -1,417
  -1,701
  -2,004
  -2,322
  -2,650
  -2,985
  -3,321
  -3,656
  -3,988
  -4,313
  -4,632
  -4,942
  -5,246
  -5,543
  -5,834
  -6,121
  -6,406
  -6,690
  -6,974
  -7,262
  -7,555
  -7,855
  -8,164
  -8,484
  -8,817
  -9,164
  -9,527
  -9,908
Cash from investing activities, $m
  -906
  -1,171
  -1,495
  -1,870
  -2,294
  -2,765
  -3,282
  -3,839
  -4,437
  -5,068
  -5,732
  -6,426
  -7,146
  -7,892
  -8,661
  -9,454
  -10,270
  -11,110
  -11,975
  -12,866
  -13,784
  -14,731
  -15,709
  -16,721
  -17,769
  -18,856
  -19,984
  -21,157
  -22,377
  -23,648
  -24,972
Free cash flow, $m
  -568
  -2,004
  -2,504
  -3,095
  -3,777
  -4,554
  -5,426
  -6,391
  -7,446
  -8,590
  -9,820
  -11,131
  -12,521
  -13,988
  -15,528
  -17,140
  -18,824
  -20,577
  -22,402
  -24,297
  -26,265
  -28,307
  -30,426
  -32,625
  -34,908
  -37,277
  -39,738
  -42,295
  -44,954
  -47,720
  -50,598
Issuance/(repayment) of debt, $m
  645
  757
  947
  1,160
  1,393
  1,641
  1,901
  2,170
  2,444
  2,720
  2,994
  3,265
  3,532
  3,793
  4,047
  4,296
  4,539
  4,777
  5,013
  5,245
  5,478
  5,711
  5,947
  6,187
  6,432
  6,686
  6,947
  7,220
  7,504
  7,801
  8,113
Issuance/(repurchase) of shares, $m
  1,111
  1,529
  1,910
  2,367
  2,904
  3,525
  4,234
  5,030
  5,914
  6,885
  7,942
  9,083
  10,306
  11,609
  12,990
  14,446
  15,977
  17,581
  19,258
  21,007
  22,829
  24,725
  26,697
  28,745
  30,873
  33,084
  35,380
  37,767
  40,247
  42,827
  45,510
Cash from financing (excl. dividends), $m  
  1,731
  2,286
  2,857
  3,527
  4,297
  5,166
  6,135
  7,200
  8,358
  9,605
  10,936
  12,348
  13,838
  15,402
  17,037
  18,742
  20,516
  22,358
  24,271
  26,252
  28,307
  30,436
  32,644
  34,932
  37,305
  39,770
  42,327
  44,987
  47,751
  50,628
  53,623
Total cash flow (excl. dividends), $m
  1,163
  282
  353
  433
  519
  612
  709
  809
  911
  1,014
  1,116
  1,217
  1,317
  1,414
  1,509
  1,601
  1,692
  1,781
  1,869
  1,956
  2,042
  2,129
  2,217
  2,306
  2,398
  2,492
  2,590
  2,692
  2,797
  2,908
  3,025
Retained Cash Flow (-), $m
  -145
  -1,529
  -1,910
  -2,367
  -2,904
  -3,525
  -4,234
  -5,030
  -5,914
  -6,885
  -7,942
  -9,083
  -10,306
  -11,609
  -12,990
  -14,446
  -15,977
  -17,581
  -19,258
  -21,007
  -22,829
  -24,725
  -26,697
  -28,745
  -30,873
  -33,084
  -35,380
  -37,767
  -40,247
  -42,827
  -45,510
Prev. year cash balance distribution, $m
 
  1,276
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
Cash flow adjustment, $m
 
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
Cash available for distribution, $m
 
  29
  -1,557
  -1,934
  -2,385
  -2,914
  -3,525
  -4,220
  -5,002
  -5,871
  -6,826
  -7,866
  -8,990
  -10,195
  -11,481
  -12,845
  -14,285
  -15,800
  -17,389
  -19,052
  -20,787
  -22,596
  -24,480
  -26,439
  -28,475
  -30,591
  -32,790
  -35,075
  -37,450
  -39,919
  -42,485
Discount rate, %
 
  4.30
  4.52
  4.74
  4.98
  5.23
  5.49
  5.76
  6.05
  6.35
  6.67
  7.00
  7.35
  7.72
  8.11
  8.51
  8.94
  9.39
  9.86
  10.35
  10.87
  11.41
  11.98
  12.58
  13.21
  13.87
  14.56
  15.29
  16.05
  16.86
  17.70
PV of cash for distribution, $m
 
  28
  -1,425
  -1,683
  -1,964
  -2,259
  -2,558
  -2,851
  -3,127
  -3,373
  -3,578
  -3,735
  -3,836
  -3,876
  -3,854
  -3,771
  -3,630
  -3,438
  -3,202
  -2,933
  -2,641
  -2,337
  -2,031
  -1,733
  -1,450
  -1,190
  -957
  -753
  -579
  -436
  -320
Current shareholders' claim on cash, %
  100
  40.7
  17.5
  7.8
  3.6
  1.7
  0.9
  0.4
  0.2
  0.1
  0.1
  0.0
  0.0
  0.0
  0.0
  0.0
  0.0
  0.0
  0.0
  0.0
  0.0
  0.0
  0.0
  0.0
  0.0
  0.0
  0.0
  0.0
  0.0
  0.0
  0.0

Gulfport Energy Corporation is an oil and natural gas exploration and production company. The Company focuses on the exploitation and acquisition of natural gas, natural gas liquids and crude oil in the United States. The Company's properties are located in the Utica Shale in Eastern Ohio and along the Louisiana Gulf Coast in the West Cote Blanche Bay (WCBB) and Hackberry fields. The Company also has an interest in producing properties in Northwestern Colorado in the Niobrara Formation and in Western North Dakota in the Bakken Formation. The Company also holds an acreage position in the Alberta oil sands in Canada through its interest in Grizzly Oil Sands ULC and an interest in an entity that operates in the Phu Horm gas field in Thailand. The Company also owns interests in various fields, which includes Deer Island, Fay South, Crest, Squaw Cheek, Green River Basin and Watonga Chickasha Trend.

FINANCIAL RATIOS  of  Gulfport Energy (GPOR)

Valuation Ratios
P/E Ratio -2.2
Price to Sales 5.5
Price to Book 1
Price to Tangible Book
Price to Cash Flow 6.3
Price to Free Cash Flow -5.1
Growth Rates
Sales Growth Rate -45.6%
Sales - 3 Yr. Growth Rate %
EPS Growth Rate %
EPS - 3 Yr. Growth Rate %
Capital Spending Gr. Rate -52.4%
Cap. Spend. - 3 Yr. Gr. Rate -1.3%
Financial Strength
Quick Ratio NaN
Current Ratio 0.5
LT Debt to Equity 73%
Total Debt to Equity 73%
Interest Coverage -13
Management Effectiveness
Return On Assets -24.1%
Ret/ On Assets - 3 Yr. Avg. -16.5%
Return On Total Capital -29%
Ret/ On T. Cap. - 3 Yr. Avg. -20.2%
Return On Equity -46.4%
Return On Equity - 3 Yr. Avg. -30.5%
Asset Turnover 0.1
Profitability Ratios
Gross Margin 78.8%
Gross Margin - 3 Yr. Avg. 85.2%
EBITDA Margin -173.1%
EBITDA Margin - 3 Yr. Avg. -74.1%
Operating Margin -231.1%
Oper. Margin - 3 Yr. Avg. -129.9%
Pre-Tax Margin -254.7%
Pre-Tax Margin - 3 Yr. Avg. -134.6%
Net Profit Margin -253.9%
Net Profit Margin - 3 Yr. Avg. -130%
Effective Tax Rate 0.3%
Eff/ Tax Rate - 3 Yr. Avg. 18.7%
Payout Ratio 0%

GPOR stock valuation input parameters

Revenue. Company's revenue (or sales) is always the starting point of any cash flow forecast. In the GPOR stock intrinsic value calculation we used $386 million for the last fiscal year's total revenue generated by Gulfport Energy. The default revenue input number comes from 2016 income statement of Gulfport Energy. You may change it if you feel that it should be adjusted for some unusual circumstances that are not expected to be repeated in the future or if you already know (from interim financial statements, for example) that this year's revenue is going to be quite different.

Revenue growth rate. Forecasted future revenue growth rate is the most important input parameter for the intrinsic value calculation. Unlike other input parameters that are reasonably expected to be in line with their historic averages or their historic trends, the revenue growth rate by and large is a wild card: nobody really knows what the company's revenue will be in the future. Of course, the level of unpredictability is different for different industries (utility companies being the most predictable and, thus, less risky).
    We use three input parameters to forecast the revenue growth rate in our GPOR stock valuation model: a) initial revenue growth rate of 37.1% whose default value is the revenue growth rate in the most recent quarter compared to the quarterly revenue a year ago; b) terminal revenue growth rate of 5% whose default value is chosen to be close to the average nominal (i.e. not adjusted for inflation) GDP growth rate; and c) revenue decline factor of 0.9, which stipulates that revenue growth rate in each forecasted year will be equal to the difference of the revenue growth rate in the preceding year and the terminal revenue growth rate multiplied by this revenue decline factor (with the passage of time the revenue growth rate will be approaching the terminal revenue growth rate, but not quite reaching it - though the difference could be infinitesimally small).
    At the revenue decline factor of 1, the future revenue growth rate is forecasted to be constant and equal to the initial revenue growth rate. The smaller the revenue decline factor, the faster the revenue growth rate will approach the terminal revenue growth.

Discount rate. The discount rate is used for determining the present value of future cash flows: future cash flows are "discounted" as at normal conditions (that translate into positive expected return on investment) one dollar today is worth more than the same dollar in the future. Unlike all other valuation models, we use variable discount rate, i.e. it increases for each consecutive year. This is done to account for higher risk of cash flows coming in further in the future.
    The initial discount rate of 4.3%, whose default value for GPOR is calculated based on our internal credit rating of Gulfport Energy, is applied to the cash flow expected to be received a year from now (well, actually, to be precise, in the financial year following the base year - the last year for which we have financial statements). For each consecutive year the discount rate is multiplied by the discount rate multiplier of 1.05, e.i. each year it increases by 5%. Feel free to change this number to correspond to your level of risk assessment of Gulfport Energy.
    By the way, it is easy to set the discount rate to be constant (this would make comparison with other valuation models easier): just set the discount rate multiplier equal to 1 and chose the magnitude of the initial discount rate to your liking.

Variable cost ratio is the ratio of variable costs (i.e. costs that fluctuate with fluctuation of the volume of production) to the revenue expressed as a percentage. In the calculation of intrinsic value of GPOR stock the variable cost ratio is equal to 237%.

Fixed operating expenses is just that - expenses that are not dependant on the volume of production. They are set to $372 million in the base year in the intrinsic value calculation for GPOR stock. These expenses increase with the level of inflation in subsequent years.

Interest rate on debt is the average all-in rate of interest paid by the company on its debt. It is set at 5.4% for Gulfport Energy.

Corporate tax rate of 27% is the nominal tax rate for Gulfport Energy. In reality, companies find ways to pay much less taxes than that or not to pay them at all.

Cash flow adjustment could be used for any adjustment the investor deems necessary. Most commonly we use this field to account for stock options-related effects in excess of what is reported on the company's income statement. The cash flow adjustment is expressed as a percentage of the revenue, and in the current valuation of the GPOR stock is equal to 0%.

Production assets are the company's assets used for manufacturing products or provision of services. In the valuation model input table they are expressed as a percentage of revenue and for GPOR are equal to 645.1%.

Life of production assets of 10.1 years is the average useful life of capital assets used in Gulfport Energy operations. It is used to calculate yearly capital expenditures needed to keep these assets in good order - we call it the maintenance CAPEX.

Working capital is the difference between the company's current assets and liabilities. In the model we use the ratio of working capital to revenue, which for GPOR is equal to -14.8%. A negative number means that the company is apt at using financial resources of its suppliers and customers; a large positive number, on the other hand, means that it either provides in-kind financing to others or is not good at managing its inventories.

Book value of equity - $2184 million for Gulfport Energy - is used in calculation of the "floor" for intrinsic valuation based on the discounted cash flow (DCF) method. Even if the prospects are very bad for a company, its assets could always be sold now for their current fair market value.

Shares outstanding of 188.871 million for Gulfport Energy is needed to calculate the intrinsic value of one share.

Market capitalization is used here only for reference purposes and as a quick check that the share price and the number of shares outstanding numbers are correct - something especially to be cognizant about at stock splits. So, the market capitalization of Gulfport Energy at the current share price and the inputted number of shares is $2.5 billion.

RELATED COMPANIES Price Int.Val. Rating
COG Cabot Oil&Gas 28.88 1.39  str.sell
AR Antero Resourc 19.87 4.81  str.sell
HES Hess Corp. 54.54 10.93  str.sell
RRC Range Resource 17.58 3.66  str.sell
MRO Marathon Oil 18.82 5.09  str.sell
ECR Eclipse Resour 2.55 0.52  str.sell

COMPANY NEWS

▶ Wall Street and US Natural Gas Futures Could Diverge   [Jan-08-18 08:12AM  Market Realist]
▶ Is Natural Gas Rising Less Than Natural GasWeighted Stocks?   [Dec-28-17 10:55AM  Market Realist]
▶ Is Gulfport Energys Normalized Free Cash Flow Trending Up?   [Dec-22-17 10:32AM  Market Realist]
▶ These 5 Energy Stocks Could Be Huge Winners in 2018   [Dec-20-17 07:34PM  Motley Fool]
▶ EIA Upgrades US Natural Gas Production for 2018   [Dec-15-17 11:00AM  Market Realist]
▶ Natural Gas Bears Will Not Be Deterred   [Dec-14-17 05:35PM  Barrons.com]
▶ Is US Natural Gas Production Helping Natural Gas Bears?   [Dec-08-17 10:06AM  Market Realist]
▶ Which Gas-Weighted Stocks Could Be in Trouble If Oil Falls?   [Dec-05-17 11:33AM  Market Realist]
▶ US Crude Oil Production: Will Crude Oil Futures Collapse?   [Nov-30-17 10:55AM  Market Realist]
▶ Which Gas-Weighted Stocks Are Outperforming Natural Gas?   [Nov-21-17 09:44AM  Market Realist]
▶ US Crude Oil Inventories: Bearish Driver for Crude Oil   [Nov-16-17 08:52AM  Market Realist]
▶ Hedge Funds: Bullish or Bearish on Natural Gas?   [Nov-13-17 07:32AM  Market Realist]
▶ How Oil Prices Could Spoil the Rise in Natural Gas   [Nov-09-17 10:45AM  Market Realist]
▶ Natural Gass Surge in November 2017   [10:32AM  Market Realist]
▶ US Natural Gas Consumption Could Surpass Production   [Nov-06-17 08:45AM  Market Realist]
▶ Are Natural Gas Prices Underperforming Crude Oil?   [Nov-02-17 03:52PM  Market Realist]
▶ Gulfport Energy misses Street 3Q forecasts   [Nov-01-17 05:28PM  Associated Press]
▶ Natural Gas Below $3: Does It Matter to GasWeighted Stocks?   [Oct-31-17 02:15PM  Market Realist]
▶ How Oil Prices Matter to Natural Gas   [Oct-26-17 12:36PM  Market Realist]
▶ The Oil Rig Effect on Natural Gas Prices   [11:02AM  Market Realist]
▶ Natural Gas Is near $3: Gas-Weighted Stocks Could Benefit   [Oct-24-17 03:06PM  Market Realist]
▶ Is Natural Gas Diverging from Rise in Oil?   [Oct-12-17 12:36PM  Market Realist]
▶ Is Oil Steering Natural GasWeighted Stocks?   [Oct-11-17 07:41AM  Market Realist]
▶ How Natural Gas Follows Crude Oil Prices   [02:36PM  Market Realist]
▶ Is Weather Affecting Natural Gas Prices?   [Oct-04-17 02:37PM  Market Realist]
▶ Are US Natural Gas Inventories Rebalancing?   [Sep-29-17 02:36PM  Market Realist]
▶ Natural GasWeighted Stocks Ignore Gass Weakness   [Sep-26-17 03:06PM  Market Realist]
▶ Will US Natural Gas Consumption Rise in 2018?   [Sep-22-17 01:06PM  Market Realist]
▶ Natural Gas above $3: Which Gas-Weighted Stocks Could Gain?   [Sep-20-17 08:07AM  Market Realist]
▶ Gulfport Energy Corporation Provides SCOOP Well Result   [Sep-19-17 07:00AM  GlobeNewswire]
▶ Gas-Weighted Stocks That Could Avoid Natural Gass Weakness   [Sep-12-17 03:41PM  Market Realist]
▶ Chesapeake Energys Valuation Compared to┬áIts Peers   [Sep-11-17 03:06PM  Market Realist]
▶ Rigs Consolidate, Natural Gas Could Benefit   [Sep-07-17 01:27PM  Market Realist]
▶ Is Crude Oil Dragging on Natural GasWeighted Stocks?   [Sep-05-17 05:35PM  Market Realist]
▶ What Wall Street Analysts Are Saying about Gulfport Energy   [Sep-04-17 07:36AM  Market Realist]
▶ US Natural Gas Consumption Reached a 25-Month Low   [Sep-01-17 03:06PM  Market Realist]
Financial statements of GPOR
Valuation of Stocks

The paper VALUATION OF STOCKS: The Quest for Intrinsic Value provides a detailed description of our valuation model and discloses the calculation algorithm.

FREE DOWNLOAD
Follow us on:   twitter   twitter   twitter   twitter

ASSET ALLOCATION

About X-FIN       Site news       Privacy policy       Terms of use       FAQ

Copyright © X-FIN.com 2005-2018. All rigths reserved.