Mammoth Energy Services, Inc. (NASDAQ: TUSK)

Sector: Industrials Industry: Conglomerates CIK: 0001679268
Market Cap 107.61 Mn
P/B 0.43
P/E -5.44
P/S 0.73
ROIC (Qtr) -25.05
Div Yield % 0.00
Rev 1y % (Qtr) -13.20
Total Debt (Qtr) 4.72 Mn
Debt/Equity (Qtr) 0.02
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About

Mammoth Energy Services, Inc. (TUSK) is a prominent player in the energy services industry, specializing in enabling the exploration and development of North American onshore unconventional oil and natural gas reserves. The company operates in two primary segments: well completion services and infrastructure services. The well completion services segment offers hydraulic fracturing, sand hauling, and water transfer services to exploration and production companies. Mammoth Energy Services has honed its expertise in multistage fracturing of horizontal...

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Investment thesis

Bull case

  • Strong operating cash flow of 132.33M provides robust 28.03x coverage of total debt 4.72M, indicating excellent debt servicing capability and financial flexibility.
  • Healthy cash reserves of 127.63M provide 47.39x coverage of short-term debt 2.69M, demonstrating strong liquidity position and minimal refinancing risk.
  • Operating cash flow of 132.33M provides strong 210.05x coverage of stock compensation 630000, indicating sustainable incentive practices.
  • Strong tangible asset base of 336.75M provides 71.33x coverage of total debt 4.72M, indicating robust asset backing and low credit risk.
  • Operating cash flow of 132.33M provides exceptional 39.75x coverage of interest expenses 3.33M, showing strong debt service capability.

Bear case

  • High receivables of 41.89M relative to inventory of 4.27M (9.81 ratio) suggests aggressive credit terms or collection difficulties, potentially masking revenue quality issues.
  • Operating earnings of (12.99M) show weak coverage of depreciation charges of 13.50M, with a -0.96 ratio indicating high capital intensity and potential reinvestment needs.
  • Free cash flow of 88.66M represents just -1.71x of debt issuance (51.81M), suggesting concerning reliance on leverage rather than internal cash generation for growth.
  • Tax assets of 0 provide limited offset against tax liabilities of 49.17M, which is 0x, indicating potential future cash flow pressure from tax obligations.
  • R&D investment of 0 represents just 0x of SG&A expenses of 26.90M, indicating potential underinvestment in innovation relative to administrative overhead.

Segments Breakdown of Revenue (2024)

Related and Nonrelated Parties Breakdown of Revenue (2024)

Peer comparison

Companies in the Conglomerates
S.No. Ticker Company Market Cap P/E P/S Total Debt (Qtr)
1 HON Honeywell International Inc 155.07 Bn 32.79 4.14 34.58 Bn
2 MMM 3M Co 100.16 Bn 20.62 3.16 12.60 Bn
3 VMI Valmont Industries Inc 11.52 Bn 79.14 5.93 0.86 Bn
4 SEB Seaboard Corp /De/ 4.74 Bn 9.55 0.49 1.82 Bn
5 MDU Mdu Resources Group Inc 3.80 Bn 15.84 0.97 2.35 Bn
6 OTTR Otter Tail Corp 3.60 Bn 20.35 3.01 1.04 Bn
7 BBU Brookfield Business Partners L.P. 2.64 Bn -19.71 0.10 43.31 Bn
8 TTI Tetra Technologies Inc 1.44 Bn 11.77 2.33 0.21 Bn

Industry comparisons

Current Valuation Value Ind Avg Percentile
EV to Assets EV to Assets -0.13 1.07
EV to Cash from Ops. EV/CFO -0.34 26.27
EV to Debt EV to Debt -9.41 3.17
EV to EBIT EV/EBIT 3.42 28.37
EV to EBITDA EV/EBITDA 1.09 2.98
EV to Free Cash Flow [EV/FCF] EV/FCF -0.50 24.12
EV to Market Cap EV to Market Cap -0.41 2.07
EV to Revenue EV/Rev -0.30 3.10
Price to Book Value [P/B] P/B 0.43 0.16
Price to Earnings [P/E] P/E -5.44 -51.36
Dividend Metrics Value Ind Avg Percentile
Dividend Coverage Ratio Div Coverage (Qtr) 0.00 2.51
Dividend Payout Ratio % Div Payout % (Qtr) 0.00 16.94
Dividend per Basic Share Div per Share (Qtr) 0.00 1.03
FCF Dividend Payout Ratio % FCF Div Payout % (Qtr) 0.00 -1.97
Interest Coverage Int. cover (Qtr) -3.90 4.08
Growth Metrics Value Ind Avg Percentile
Capex Growth (1y) % Capex 1y % (Qtr) -2,646.41 -245.15
Cash and Equivalents Growth (1y) % Cash & Equiv 1y % (Qtr) 1,970.20 116.15
Dividend Growth (1y) % Div 1y % (Qtr) 0.00 -1.11
EBIAT Growth (1y) % EBIAT 1y % (Qtr) 91.32 233.90
EBITDA Growth (1y) % EBITDA 1y % (Qtr) 60.60 6.29
EBIT Growth (1y) % EBIT 1y % (Qtr) 93.17 58.90
EBT Growth (1y) % EBT 1y % (Qtr) 92.12 -70.32
EPS Growth (1y) % EPS 1y % (Qtr) 90.07 179.10
FCF Growth (1y) % FCF 1y % (Qtr) 86.85 22.76
Gross Profit Growth (1y) % Gross Profit 1y % (Qtr) 14.41 19.56
Liquidity Ratios Value Ind Avg Percentile
Asset Utilization Ratio Asset Util Ratio (Qtr) 0.44 0.64
Cash Payout Ratio Cash Payout (Qtr) 0.00 -0.01
Cash Ratio Cash Ratio (Qtr) 1.59 0.34
Current Ratio Curr Ratio (Qtr) 2.48 1.70
Debt to Equity Ratio Debt/Equity (Qtr) 0.02 -5.62
Interest Cover Ratio Int Coverage (Qtr) -3.90 4.08
Times Interest Earned Times Interest Earned (Qtr) -3.90 4.08
Profitability Value Ind Avg Percentile
EBITDA Margin % EBITDA Margin % (Qtr) 0.30 -14.03
EBIT Margin % EBIT Margin % (Qtr) -8.85 -16.67
EBT Margin % EBT Margin % (Qtr) -11.11 -20.17
Gross Margin % Gross Margin % (Qtr) 11.60 21.90
Net Profit Margin % Net Margin % (Qtr) -13.50 -21.67