Civeo Corp (CVEO) stock analysis

P/E against its history

Not enough price and earnings history to compare.

P/E against the industry

Needs positive earnings and enough profitable companies in the industry.

EV/EBITDA above its 5-year median

Civeo's EV/EBITDA of 6.3 is above its 5-year median of 4.9.

P/B above the industry

Civeo's price-to-book of 2.60 is above the Hotels, Rooming Houses, Camps, and Other Lodging Places median of 2.60.

Trading below fair value

The share price of $36.33 is below our fair value estimate of $43.32.

Margin of safety under 20%

The price is 16.1% below fair value, less than the 20% cushion we look for.

Revenue growing under 10% a year

Revenue grew -2.9% a year over the last three fiscal years, short of the 10% we look for.

EPS growth over 3 years

Needs positive EPS three years ago and today.

Earnings acceleration

Needs positive net income now, a year ago and five years ago.

Growing faster than the industry

Revenue grew 12.6% over the last twelve months; the Hotels, Rooming Houses, Camps, and Other Lodging Places median is 5.1%.

Guidance lowered

Civeo lowered its Year Ending December 31, 2026 EBITDA Range outlook on Jul 30, 2026.

Gross margin improving

Gross margin was 23.3% over the last twelve months, against 22.7% a year earlier.

Return on equity under 15%

Return on equity was -4.7% over the last twelve months and averaged -0.9% over five years; we look for 15% on both.

Return on capital under 10%

Return on invested capital was 3.1%, below the 10% that usually covers the cost of capital.

Return on equity below the industry

Civeo's return on equity of -4.7% is below the Hotels, Rooming Houses, Camps, and Other Lodging Places median of 15.3%.

Earnings over 5 years

Needs positive net income five years ago and in the latest year.

Net margin below its 5-year average

Net margin was -1.1% over the last twelve months, against a 5-year average of -0.1%.

Net margin below the industry

Civeo's net margin of -1.1% is below the Hotels, Rooming Houses, Camps, and Other Lodging Places median of 5.2%.

High debt

Debt is 148% of shareholders' equity, above the 40% we consider low.

Debt rising against equity

Debt to equity rose from 66.3% five years ago to 148%.

Debt covered by cash flow

Operating cash flow over the last twelve months equals 22.3% of total debt.

Interest not well covered

Operating income covers interest expense 1.3 times; we look for at least 5.

Short-term assets cover short-term debts

Current assets are 1.71 times current liabilities.

Elevated bankruptcy risk

The Altman Z-score is -0.71; above 3 is the safe zone and below 1.8 the distress zone.

No dividend

Civeo has not paid a dividend in the last twelve months.

Yield against Treasuries

No dividend.

Yield against the market

No dividend.

Dividend stability

No dividend.

Earnings cover

No dividend.

Cash-flow cover

No dividend.