SEPLAT Petroleum Development (SEPL) AI Stock Analysis

• Market Cap: £1.55B
• Dividend Yield: 5.78%
• Average Volume (3M): 188.71K
• Price to Earnings (P/E): 9.6
• Beta (1Y): 0.31
• Revenue Growth: 159.13%
• EPS Growth: 143.76%
• Country: UK
• Employees: 1,446
• Sector: Energy
• Sector Strength: 52
• Industry: Oil & Gas Exploration & Production
• EPS (TTM): 0.09
• Shares Outstanding: 599,944,600
• 10 Day Avg. Volume: 185,805
• 30 Day Avg. Volume: 188,707
• PEG Ratio: 0.11
• Price to Book (P/B): 0.79
• Price to Sales (P/S): 1.29
• P/FCF Ratio: 14.13
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: £482.50
• Price Target Upside: 90.71% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 73 Outperform
• Price Target: 279.00p ▲(10.28% Upside)

SEPLAT Petroleum Development's strong financial performance and attractive valuation are the primary drivers of its overall score. The company's strategic corporate events further enhance its outlook. However, technical indicators suggest caution due to bearish momentum.

Positive Factors

Revenue Growth

The robust revenue growth trajectory indicates SEPLAT's successful market expansion and product demand, enhancing its competitive position.

Cash Flow Management

Strong cash flow growth reflects SEPLAT's enhanced cash generation capabilities, providing financial flexibility for future investments.

Balance Sheet Stability

Moderate leverage suggests financial stability, allowing SEPLAT to manage debt effectively while supporting growth initiatives.

Negative Factors

Net Profit Margin Decline

A declining net profit margin indicates challenges in cost management or pricing power, potentially impacting long-term profitability.

Return on Equity

A decrease in ROE suggests reduced efficiency in generating profits from shareholders' equity, which may affect investor confidence.

Profitability Challenges

Challenges in profitability metrics highlight the need for strategic initiatives to enhance operational efficiency and shareholder returns.

SEPLAT Petroleum Development Business Overview & Revenue Model

Company Description

Seplat Energy Plc engages in the oil and gas exploration and production, and gas processing activities in Nigeria. It generates hydrocarbon through seven oil and gas blocks in the Niger Delta region. The company also engages in the renewable energy generation activities. The company was formerly known as Seplat Petroleum Development Company Plc and changed its name to Seplat Energy Plc in May 2021. Seplat Energy Plc was incorporated in 2009 and is headquartered in Lagos, Nigeria.

How the Company Makes Money

SEPLAT generates revenue primarily through the exploration and production of crude oil and natural gas. The company sells its produced hydrocarbons to various domestic and international customers, including major oil companies and refiners. Key revenue streams include the sale of crude oil, natural gas sales, and associated products. SEPLAT also benefits from joint ventures and partnerships with international oil companies, enhancing its operational capabilities and market reach. Additionally, the company is involved in gas processing and monetization, contributing to its income through the supply of natural gas to power plants and industrial customers. Fluctuations in global oil prices, regulatory frameworks, and market demand significantly influence SEPLAT's earnings.

SEPLAT Petroleum Development Financial Statement Overview

Summary

SEPLAT Petroleum Development exhibits strong financial performance with robust revenue growth and effective cash flow management. The company maintains a stable balance sheet with moderate leverage, but there is room for improvement in net profitability and return on equity.

Income Statement

SEPLAT Petroleum Development has shown strong revenue growth with a 39.95% increase in TTM, indicating a robust expansion trajectory. The gross profit margin of 35.50% and EBIT margin of 25.74% reflect solid operational efficiency, although the net profit margin of 5.68% suggests room for improvement in profitability. Historical data shows fluctuating margins, with a notable decline in net profit margin from 13.74% in 2024 to 5.68% in TTM.

Balance Sheet

The company's debt-to-equity ratio of 0.65 in TTM indicates moderate leverage, which is a positive sign of financial stability compared to the higher ratio of 0.79 in 2024. Return on equity (ROE) is at 7.71%, showing a slight decrease from 8.39% in 2024, suggesting a need for improved profitability. The equity ratio remains stable, indicating a balanced capital structure.

Cash Flow

SEPLAT's cash flow performance is strong, with a significant free cash flow growth of 105.25% in TTM, reflecting enhanced cash generation capabilities. The operating cash flow to net income ratio of 0.59 and free cash flow to net income ratio of 0.71 demonstrate effective cash conversion, although there is potential for further improvement in aligning cash flows with net income.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	2.44B	1.12B	1.06B	951.79M	733.19M	530.47M
Gross Profit	867.24M	479.90M	532.00M	464.74M	285.19M	124.58M
EBITDA	1.31B	523.19M	427.75M	410.71M	404.30M	107.95M
Net Income	138.73M	153.35M	83.13M	104.71M	141.78M	-85.32M
Balance Sheet
Total Assets	6.12B	6.40B	3.40B	3.54B	3.89B	3.45B
Cash, Cash Equivalents and Short-Term Investments	419.36M	469.86M	450.11M	404.34M	324.49M	225.14M
Total Debt	1.17B	1.44B	757.07M	774.23M	770.18M	704.39M
Total Liabilities	4.31B	4.55B	1.60B	1.78B	2.19B	1.79B
Stockholders Equity	1.79B	1.83B	1.77B	1.78B	1.77B	1.70B
Cash Flow
Free Cash Flow	637.03M	101.86M	261.14M	323.56M	199.96M	158.79M
Operating Cash Flow	892.35M	310.00M	445.07M	498.89M	369.84M	308.72M
Investing Cash Flow	-668.79M	-658.94M	-162.40M	-280.95M	-165.35M	-203.52M
Financing Cash Flow	168.73M	409.59M	-196.66M	-137.03M	-100.76M	-217.44M

SEPLAT Petroleum Development Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 253.00
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:SEPL, the sentiment is Negative. The current price of 253 is below the 20-day moving average (MA) of 253.60, below the 50-day MA of 271.79, and above the 200-day MA of 230.08, indicating a neutral trend. The MACD of -4.29 indicates Negative momentum. The RSI at 44.17 is Neutral, neither overbought nor oversold. The STOCH value of 63.85 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for GB:SEPL.

SEPLAT Petroleum Development Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
SEPL	73 Outperform	£1.55B	9.61	12.03%	5.78%	159.13%	143.76%
ENOG	73 Outperform	£1.63B	10.03	17.24%	10.96%	-2.66%	0.11%
Sector *	65 Neutral	$15.17B	7.61	4.09%	5.20%	3.87%	-62.32%
ITH	65 Neutral	£2.66B	-30.28	-4.67%	14.28%	63.10%	-161.03%
DEC	63 Neutral	£857.84M	-5.10	-22.53%	8.38%	56.20%	-185.69%
HBR	63 Neutral	£3.41B	-9.09	-11.32%	8.44%	123.03%	-330.89%
SQZ	60 Neutral	£641.42M	-24.91	-4.31%	9.85%	-32.89%	-239.58%

SEPLAT Petroleum Development Corporate Events

Seplat Energy Completes Key Offshore Project, Boosting NGL Production

Seplat Energy Plc has successfully completed the replacement of the Inlet Gas Exchanger module on its East Area Project platform offshore Nigeria. This project, completed on budget, significantly boosts the facility’s NGL sales volumes, which have more than doubled since the EAP complex restarted. The new module is crucial for efficient NGL processing, enhancing Seplat’s production capacity and supporting domestic energy access. The project underscores Seplat’s commitment to growth and value delivery for Nigeria and its stakeholders.

Seplat Energy Announces Q3 2025 Dividend Exchange Rate

Seplat Energy PLC announced the currency exchange rate for its Q3 2025 interim dividend, applicable to shareholders receiving payments in Naira. The exchange rate is set at US$1 = ₦1,443.08, based on the Central Bank of Nigeria NFEM rate as of November 12, 2025. This announcement is crucial for stakeholders as it impacts the dividend payments and reflects the company’s financial operations in the context of fluctuating currency rates.

Seplat Energy Declares Interim and Special Dividends for 2025

Seplat Energy Plc announced an interim dividend of US5 cents and a special dividend of US2.5 cents per ordinary share to be paid to shareholders registered by November 13, 2025. The dividends, payable in Naira and US Dollars, reflect the company’s commitment to rewarding its shareholders and may influence its market positioning positively.

Seplat Energy Reports Strong Production and Financial Growth in 2025

Seplat Energy Plc announced its unaudited results for the nine months ending September 30, 2025, highlighting significant production growth and financial performance. The company reported a 185% increase in production compared to the previous year, with an average of 135,636 boepd. Financially, Seplat generated over $1 billion in after-tax cash flow, reducing net debt by 43% and improving leverage ratios. The company declared a dividend of 7.5 US cents per share, reflecting strong cash generation. Operationally, Seplat made progress in reducing carbon emissions and ending routine flaring onshore, while also facing challenges such as a fire incident at the Yoho production platform.

Seplat Energy Unveils Ambitious Growth Plans and New Dividend Policy

Seplat Energy Plc announced ambitious targets at its Capital Markets Day, including a 50% increase in production volume by 2030 and a significant rise in cash flow from operations. The company plans to invest heavily in new wells and gas projects while reducing operating costs. A new dividend policy aims to return 40-50% of free cash flow to investors, with a minimum annual distribution of $120 million. The updated Competent Person’s Report shows substantial increases in reserves and resources, strengthening Seplat’s position in the energy sector. Discussions are ongoing with the Nigerian National Petroleum Company Limited regarding a potential sell-down in their joint venture.