ICD stock: buy or sell?

ICD stock price: $0.83 1.22% At close on October 18th, 2019

Updated on:
October 18th, 2019

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Independence Contract Drilling gained a nice 1.22% and closed at $0.83. On Monday ICD boosted an extraordinary 12.90%. On Wednesday ICD plunged a hair-raising -9.52%.

Independence Contract Drilling, Inc. provides land-based contract drilling services for oil and natural gas producers in the United States.

Should I buy ICD stock?

Trading stocks requires experience and discipline, and your buying and selling decisions must come following a methodology. Following a trading plan helps to make decisions easier, quicker and with less hesitations. At Stocks2.com, we like to use very simple but trusted and powerful trend following trading strategies. Simple things usually work the best.

None of our preferred buy setups matches with Independence Contract Drilling stock situation right now, therefore this is not a suitable entry point.

Buy setupElegible
New all-time highNo
New 52 week highNo
Price crossing up 200d MANo
100d MA crossing up 200d MANo
This is not a selling recommendation at all, just it's not the best moment to buy if you follow any of these trading strategies.

Is Independence Contract Drilling stock a buy?

Everyday, hundreds of stock ratings are posted by financial analysts to indicate a particular stock's attractiveness. At Stocks2.com, we gathered 4 ratings published for ICD stock in the last month.

Is ICD a good stock to buy?
DateAnalyst / BrokerPrevious ratingCurrent rating
2019-9-25Royal Bank of CanadaOutperformSector Perform
2019-8-2B. Rileyn/aBuy
2019-7-12Morgan Stanleyn/aEqual Weight
2019-1-16Capital One FinancialOverweightEqual Weight

ICD stock analysis

Daily outlook

Shares of Independence Contract Drilling ended on October/18 at $0.83 and gained a nice 1.22%.

Independence Contract Drilling closed on October 18th at $0.83 and gained a nice 1.22%.

ICD stock chart (daily)

Weekly outlook

After sliding a spooky -34.57% in a week last week, Independence Contract Drilling closed this week at $0.83 and soared a good 2.47%. Early September ICD boosted a dazzling 32.93% in just one week.

Since late October 2018, when ICD stock price broke down the 40-weeks moving avarage line, it slid $-3.55 per share (-81.05%). Trading stocks that are below the 40-weeks (that is, 200-days) moving average line is not recommended by many experts, as it indicates that the stock has not enough institutional support.

ICD stock chart (weekly)

ICD stock price history

ICD IPO was on August 8th, 2014 at $11.00 per share1. Since then, ICD stock declined a -92.50%, with a yearly average of -18.50%.

1: Adjusted price after possible price splits or reverse-splits.

ICD stock historical price chart

ICD stock reached 52-week highs at $4.56, and all-time highs 2014-09-02 with a price of 12.29.

ICD stock price target is $3.70

Nobody can reliably foresee how stock prices may evolve in the future. However, banks and other financial institutions analysts, with the help of lots of data and algorithms do their best to predict the stock prices movement. We do not recommend to follow these stock price predictions without a critical thinking from your side, as their accuracy is usually low. For the last 30 days we found 3 price targets for ICD stock:
ICD stock price predictions
DateAnalyst / BrokerActionPrevious targetCurrent targetDiff
2019-9-25Royal Bank of CanadaDowngrades$4.00$2.00-50%
2019-8-2B. RileyLowers Target$5.75$5.00-13%
2019-7-12Morgan StanleyLowers Target$5.50$4.00-27.3%
(in average)$5.10$3.70-27.0%
Moving in a range from $5.00 and $2.00, the price target for Independence Contract Drilling stock is $3.70. In average, analysts' outlook on ICD price forecast is negative, downgrading the forecast by a -27.00% from previous estimations.

Financials and fundamental analysis

Earnings date and Earnings per Share

After presenting its last earnings report on March, Independence Contract Drilling . As soon as we get its actual EPS from the earnings report, we will update this review.
ICD earnings date and EPS evolution
QuarterReporting dateEstimated EPSActual EPSSurprise
2017-Q1-n/an/an/a
2017-Q2-n/an/an/a
2017-Q32017-10-31-0.14-0.13n/a
2017-Q42018-02-26-0.11-0.12n/a
2018-Q12018-04-26-0.12-0.11n/a
2018-Q22018-08-02-0.09-0.08n/a
2018-Q32018-11-06-0.05-0.05n/a
2018-Q42019-03-01-0.020.01n/a
2019-Q1-n/an/an/a
2019-Q2-n/an/an/a

Annual financial results

In 2018, Independence Contract Drilling annual sales climbed an amazing 58.44% to $142.61 million USD from $90.01 marked in 2017. When comparing 2018 vs 2017, similarly, profit margin (that is, the net income divided by revenues) rocketed a 12.98% to -14.02%.

ICD annual Sales and Income evolution
YearSalesYoYIncome/(margin)YoY
2013$43 M-$-2.00 M-4.7%-
2014$70 M64.40%$-28.17 M-40.0%1,308.40%
2015$88 M25.69%$-7.88 M-8.9%-72.02%
2016$70 M-20.76%$-22.18 M-31.7%181.45%
2017$90 M28.47%$-24.30 M-27.0%9.56%
2018$143 M58.44%$-19.99 M-14.0%-17.72%

Quarterly financial results

Independence Contract Drilling reported $62.79 M in revenues for 2018-Q4, a 120.78% up compared to previous quarter. Reported quarter earnings marked $-8.60 M with a profit margin of -13.69%. Profit margin stayed steady a 0.15% compared to previous quarter when profit margin was -13.84%. When comparing revenues to same quarter last year, Independence Contract Drilling sales marked an astounding growth and boosted a 150.74%. Looking back to recent quarterly results, Independence Contract Drilling posted 7 negative quarters in a row.
ICD quarterly Sales and Income evolution
QuarterSales1QoQ2Income1/(margin)QoQ2
2017-Q1$20 M-$-6.27 M-31.0%-
2017-Q2$21 M5.19%$-6.30 M-29.6%0.48%
2017-Q3$23 M10.12%$-5.98 M-25.5%-5.08%
2017-Q4$25 M6.81%$-5.75 M-22.9%-3.93%
2018-Q1$26 M2.34%$-4.15 M-16.2%-27.83%
2018-Q2$26 M0.50%$-3.31 M-12.9%-20.09%
2018-Q3$28 M10.43%$-3.94 M-13.8%18.83%
2018-Q4$63 M120.78%$-8.60 M-13.7%118.36%

Independence Contract Drilling ownership

When you are planning to invest in shares of a company, it's worth to overview its ownership structure.

Management staff in all public traded companies that hold equity is required to report every transaction to the SEC. For Independence Contract Drilling, 8.26% of all outstanding shares are owned by its staff.

Bearish positions for ICD stock account 0.00%, no big difference from last month.

The following table compares ownership indicators for other stocks related to Independence Contract Drilling:

ICDNBRPDS
Market cap$63.9 M$599.7 M$311.4 M
Total shares77.0 M363.5 M293.8 M
Float shares49.2 M339.2 M291.4 M
  - Institutional holdings (%)81.6%88.4%0.0%
  - Insider holdings (%)8.3%7.0%0.0%
Shares in short selling0.0%0.0%0.0%

ICD summary

Friday, October 18th, 2019
Open$0.82
Close$0.83
Day range$0.81 - $0.89
Previous close$0.82
Session gain1.22%
Average true range$0.11
50d mov avg$1.18
100d mov avg$1.35
200d mov avg$2.21
Daily pattern
Weekly pattern lt03c

Independence Contract Drilling performance

To better understand Independence Contract Drilling performance you must compare its gains with other related stocks in same sector or industry. In the following table, we compare Independence Contract Drilling performance to Nabors Industries and Precision Drilling:
Stock3m6m12m
ICDIndependence Cont...-38.06%-70.98%-81.05%
NBRNabors Industries-26.34%-56.23%-71.45%
PDSPrecision Drillin...-37.65%-62.94%-63.07%

Independence Contract Drilling competitors

Creating a list of competitors for Independence Contract Drilling it's a hard job. We selected 2 public companies that are related to and can be considered as competitors of Independence Contract Drilling: