Riverstone Holdings (AP4) AI Stock Analysis

• Market Cap: S$1.02B
• Dividend Yield: 4.81%
• Average Volume (3M): 6.17M
• Price to Earnings (P/E): 12.6
• Beta (1Y): 0.21
• Revenue Growth: 19.23%
• EPS Growth: 13.36%
• Country: SG
• Employees: 3,000
• Sector: Energy
• Sector Strength: 67
• Industry: Medical - Instruments & Supplies
• EPS (TTM): 0.01
• Shares Outstanding: 1,484,904,000
• 10 Day Avg. Volume: 4,582,430
• 30 Day Avg. Volume: 6,166,306
• PEG Ratio: -0.12
• Price to Book (P/B): 1.62
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 10.60
• 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: S$1.10
• Price Target Upside: 61.76% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1

• Rating: 66 Neutral
• Price Target: S$1.00 ▲(47.06%Upside)

Riverstone Holdings is financially robust with strong revenue growth and a solid balance sheet. However, technical indicators suggest the stock is currently under pressure, trading below key moving averages. The reasonable valuation, coupled with a high dividend yield, offers potential for income investors. Despite some operational efficiency concerns, the company's financial health supports a moderately positive outlook.

Riverstone Holdings Business Overview & Revenue Model

Company Description

Riverstone Holdings (AP4) is a private investment firm focused on the energy sector, with particular emphasis on the midstream, exploration and production, oilfield services, renewable energy, and power sectors. The company leverages its extensive industry expertise and capital resources to support the growth and development of its portfolio companies across various stages of their lifecycle.

How the Company Makes Money

Riverstone Holdings makes money primarily through its private equity investment activities. The firm raises capital from institutional investors and high-net-worth individuals to create funds that are then used to invest in energy-related companies. Revenue is generated from management fees charged on these funds, as well as a share of the profits, known as carried interest, when investments are successfully exited. Key revenue streams include returns on investments in portfolio companies, fees for managing these investments, and performance-based incentives. The firm's financial performance is supported by its strategic partnerships and industry connections, which enhance its ability to identify and capitalize on lucrative investment opportunities.

Riverstone Holdings Financial Statement Overview

Summary

Riverstone Holdings demonstrates strong financial health across income, balance sheet, and cash flow statements. Revenue growth and profit margins are commendable, though operational efficiency could be improved. The balance sheet is particularly strong with low debt levels, ensuring financial stability. Positive cash flow metrics reinforce the company's capability to generate cash, despite minor fluctuations in free cash flow.

Income Statement

Riverstone Holdings has shown solid revenue growth, with TTM revenue at $1.08 billion compared to $914.78 million in the previous year-end. The gross profit margin is stable at 34.82%, and the net profit margin is a strong 25.21% for TTM. However, there is a slight decline in EBIT and EBITDA margins, indicating potential pressure on operational efficiency.

Balance Sheet

The company maintains a robust equity ratio of 90.33% TTM, reflecting strong financial stability. The debt-to-equity ratio is minimal at 0.0002, indicating low leverage and reduced financial risk. The ROE is impressive at 16.59%, highlighting efficient use of equity. Overall, the balance sheet is very healthy, showcasing financial resilience.

Cash Flow

Operating cash flow is substantial, with $316.26 million TTM, and free cash flow remains healthy at $225.04 million. The operating cash flow to net income ratio stands at 1.17, indicating good cash conversion. However, the free cash flow to net income ratio dropped slightly to 0.83, suggesting some variability in capital expenditures management.

Breakdown
TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
1.08B	1.07B	914.78M	1.26B	3.08B	1.83B
	Gross Profit
374.77M	390.09M	295.51M	450.32M	1.91B	897.61M
	EBIT
340.30M	358.73M	279.38M	417.03M	1.86B	841.71M
	EBITDA
400.75M	423.63M	339.81M	457.11M	1.88B	896.45M
	Net Income Common Stockholders
271.18M	286.93M	220.38M	314.40M	1.42B	647.25M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
759.64M	696.89M	863.18M	1.04B	1.57B	648.94M
	Total Assets
1.81B	1.78B	1.83B	2.02B	2.70B	1.69B
	Total Debt
371.00K	494.00K	1.02M	0.00	1.58M	8.06M
	Net Debt
-759.27M	-714.57M	-862.16M	-1.04B	-584.71M	-344.18M
	Total Liabilities
175.43M	202.29M	143.62M	166.84M	367.15M	329.67M
	Stockholders Equity
1.63B	1.58B	1.68B	1.85B	2.33B	1.36B
Cash Flow		Free Cash Flow
225.04M	227.16M	197.36M	282.63M	1.41B	601.73M
	Operating Cash Flow
316.26M	306.99M	249.07M	416.04M	1.57B	702.71M
	Investing Cash Flow
-91.00M	-79.61M	-51.46M	-133.15M	-155.91M	-99.13M
	Financing Cash Flow
-363.47M	-363.62M	-415.53M	-801.95M	-451.19M	-79.52M

Riverstone Holdings Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.68
• 50DMA: Negative
• 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 SG:AP4, the sentiment is Negative. The current price of 0.68 is below the 20-day moving average (MA) of 0.69, below the 50-day MA of 0.78, and below the 200-day MA of 0.88, indicating a bearish trend. The MACD of -0.03 indicates Negative momentum. The RSI at 37.54 is Neutral, neither overbought nor oversold. The STOCH value of 73.33 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for SG:AP4.

Riverstone Holdings Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
BTP	79 Outperform	S$112.60M	6.19	8.01%	3.60%	0.66%	117.48%
AP4	66 Neutral	S$1.02B	12.62	16.16%	4.81%	19.23%	13.36%
Sector *	58 Neutral	$7.57B	3.50	-4.45%	10.15%	0.79%	-49.51%
8K7	50 Neutral	S$69.24M	―	-1.20%	―	45.55%	90.48%

Riverstone Holdings Corporate Events

Riverstone Holdings Limited Conducts Annual General Meeting

Riverstone Holdings Limited, a company incorporated in Singapore, held its Annual General Meeting (AGM) at the Raffles City Convention Centre. The meeting was chaired by Mr. Wong Teek Son, the Executive Chairman and CEO, and attended by the company’s directors, CFO, and company secretary, along with shareholders. During the AGM, all resolutions were voted on by poll, in compliance with the Singapore Exchange’s Listing Manual requirements.

The most recent analyst rating on (SG:AP4) stock is a Buy with a S$1.25 price target. To see the full list of analyst forecasts on Riverstone Holdings stock, see the SG:AP4 Stock Forecast page.