Dawson Geophysical Company (DWSN) AI Stock Analysis

• Market Cap: $40.28M
• Dividend Yield: N/A
• Average Volume (3M): 6.54K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.44
• Revenue Growth: -40.77%
• EPS Growth: -14.13%
• Country: US
• Employees: 233
• Sector: Energy
• Sector Strength: 45
• Industry: Oil & Gas Equipment & Services
• EPS (TTM): 0.03
• Shares Outstanding: 30,984,161
• 10 Day Avg. Volume: 5,643
• 30 Day Avg. Volume: 6,536
• PEG Ratio: 0.04
• Price to Book (P/B): 2.13
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -21.39
• Enterprise Value/Market Cap: 1.07
• Enterprise Value/Revenue: 0.15
• Enterprise Value/Gross Profit: -0.82
• Enterprise Value/Ebitda: 10.28
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0

• Rating: 49 Neutral
• Price Target: $1.50 ▲( 15.38% Upside)

The stock's score is heavily impacted by significant financial performance issues, including a complete lack of revenue and persistent losses, which are critical risks for the company's viability. Technical analysis provides some stability but is not enough to mitigate financial concerns, and valuation metrics indicate unattractiveness.

Dawson Geophysical Company Business Overview & Revenue Model

Company Description

Dawson Geophysical Company provides onshore seismic data acquisition and processing services in the United States and Canada. The company acquires and processes 2-D, 3-D, and multi-component seismic data for its clients, including oil and gas companies, and independent oil and gas operators, as well as providers of multi-client data libraries. Its seismic crews supply seismic data primarily to companies engaged in the exploration and development of oil and natural gas on land and in land-to-water transition areas. The company also serves the potash mining industry. Dawson Geophysical Company was founded in 1952 and is headquartered in Midland, Texas. Dawson Geophysical Company is a subsidiary of Wilks Brothers, LLC.

How the Company Makes Money

Dawson Geophysical Company generates revenue through the provision of seismic data acquisition and processing services primarily to oil and gas exploration and production companies. The company earns money by deploying its specialized seismic crews and equipment to conduct surveys that help clients locate and assess hydrocarbon reserves. Key revenue streams include contracts for 2D, 3D, and multi-component seismic data acquisition projects, as well as data processing and interpretation services. Dawson Geophysical may also enter into partnerships or joint ventures with other firms to enhance its service offerings and expand its market reach. The company's revenue is closely tied to the capital expenditure budgets of its clients in the oil and gas sector, which can be influenced by factors like energy prices and exploration activity levels.

Dawson Geophysical Company Financial Statement Overview

Summary

Dawson Geophysical Company faces severe financial challenges, with a complete revenue loss and persistent negative net income and cash flows. Despite a manageable debt-to-equity ratio, the overall financial health is precarious due to declining assets and equity.

Income Statement

Dawson Geophysical Company has faced a significant decline in revenue from $145.8 million in 2019 to $0 in 2024, indicating severe operational challenges. Consistent negative net income and EBIT margins highlight ongoing profitability issues, with EBIT and net profit margins being negative each year. The lack of revenue in the latest period represents a critical concern for the company's operational sustainability.

Balance Sheet

The company maintains a relatively strong equity position with a positive equity ratio. The debt-to-equity ratio is manageable, showing that leverage is not excessive. However, the declining total assets and equity over the years suggest a potential erosion of the balance sheet strength, necessitating strategic reassessment.

Cash Flow

Recent cash flow challenges are evident, with negative operating and free cash flows for the latest period, indicating issues with cash generation. The free cash flow growth rate has been negative, reflecting difficulties in maintaining liquidity and funding operations without additional financing.

Breakdown
TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
42.57M	74.15M	96.85M	37.48M	24.70M	86.10M
	Gross Profit
-52.19M	5.40M	8.80M	27.68M	11.83M	68.93M
	EBIT
-9.26M	-4.55M	-13.33M	-24.01M	-29.23M	-13.99M
	EBITDA
-3.72M	1.45M	-3.66M	-5.68M	-16.27M	3.92M
	Net Income Common Stockholders
-8.97M	-4.12M	-12.15M	-20.45M	-29.09M	-13.20M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
2.67M	1.39M	11.04M	14.18M	25.64M	41.54M
	Total Assets
33.28M	30.87M	57.52M	60.54M	74.04M	103.38M
	Total Debt
6.62M	5.78M	6.23M	4.93M	5.21M	6.15M
	Net Debt
3.96M	4.39M	-4.54M	-8.98M	-20.16M	-34.81M
	Total Liabilities
3.18M	13.59M	26.09M	19.43M	11.56M	12.40M
	Stockholders Equity
18.29M	17.28M	31.43M	41.11M	62.48M	90.97M
Cash Flow		Free Cash Flow
-1.82M	-2.20M	-2.91M	-9.86M	-16.55M	16.79M
	Operating Cash Flow
-1.98M	-1.87M	814.00K	-8.96M	-16.05M	19.64M
	Investing Cash Flow
-28.00K	-735.00K	-4.50M	-669.00K	264.00K	-512.00K
	Financing Cash Flow
-11.61M	-11.56M	-4.20M	-2.15M	95.00K	-4.53M

Dawson Geophysical Company Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1.30
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For DWSN, the sentiment is Positive. The current price of 1.3 is above the 20-day moving average (MA) of 1.27, above the 50-day MA of 1.26, and below the 200-day MA of 1.45, indicating a neutral trend. The MACD of 0.01 indicates Negative momentum. The RSI at 52.95 is Neutral, neither overbought nor oversold. The STOCH value of 63.49 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for DWSN.

Dawson Geophysical Company Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
NCSM	80 Outperform	$78.64M	9.62	8.71%	―	18.03%	-39.52%
RCON	59 Neutral	$64.93M	―	-10.48%	―	-2.48%	83.11%
Sector *	57 Neutral	$7.06B	3.04	-3.49%	5.80%	0.53%	-50.39%
GEOS	50 Neutral	$75.56M	―	-11.88%	―	-14.52%	-204.65%
DWSN	49 Neutral	$40.28M	―	-39.40%	―	-40.77%	-14.13%
NINE	42 Neutral	$22.06M	―	73.91%	―	-4.38%	-3.77%
KLXE	42 Neutral	$33.00M	―	-375.26%	―	-16.38%	-359.80%