ADVANTAGE ENERGY LTD (AAV.CA) Stock Fundamental Analysis
TSX:AAV - Toronto Stock Exchange - CA00791P1071 - Common Stock - Currency: CAD
AAV gets a fundamental rating of 3 out of 10. The analysis compared the fundamentals against 207 industry peers in the Oil, Gas & Consumable Fuels industry. There are concerns on the financial health of AAV while its profitability can be described as average. AAV has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
AAV had negative earnings in the past year.
In the past year AAV had a positive cash flow from operations.
Of the past 5 years AAV 4 years were profitable.
In the past 5 years AAV always reported a positive cash flow from operatings.
1.2 Ratios
AAV has a Return On Assets of -1.03%. This is comparable to the rest of the industry: AAV outperforms 49.28% of its industry peers.
AAV has a Return On Equity (-1.90%) which is comparable to the rest of the industry.
The Return On Invested Capital of AAV (1.57%) is comparable to the rest of the industry.
Measured over the past 3 years, the Average Return On Invested Capital for AAV is in line with the industry average of 7.39%.
The 3 year average ROIC (7.48%) for AAV is well above the current ROIC(1.57%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -1.03% | ||
| ROE | -1.9% | ||
| ROIC | 1.57% |
ROA(3y)6.81%
ROA(5y)4.51%
ROE(3y)9.84%
ROE(5y)6.09%
ROIC(3y)7.48%
ROIC(5y)6.12%
1.3 Margins
AAV's Profit Margin has declined in the last couple of years.
AAV has a Operating Margin (11.37%) which is comparable to the rest of the industry.
In the last couple of years the Operating Margin of AAV has declined.
AAV's Gross Margin of 75.60% is amongst the best of the industry. AAV outperforms 92.27% of its industry peers.
In the last couple of years the Gross Margin of AAV has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 11.37% | ||
| PM (TTM) | N/A | ||
| GM | 75.6% |
OM growth 3Y-49.16%
OM growth 5Y-4.25%
PM growth 3Y-63.34%
PM growth 5YN/A
GM growth 3Y-6.26%
GM growth 5Y-2.88%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so AAV is destroying value.
AAV has more shares outstanding than it did 1 year ago.
The number of shares outstanding for AAV has been reduced compared to 5 years ago.
The debt/assets ratio for AAV is higher compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of 0.76, we must say that AAV is in the distress zone and has some risk of bankruptcy.
Looking at the Altman-Z score, with a value of 0.76, AAV is in line with its industry, outperforming 54.11% of the companies in the same industry.
A Debt/Equity ratio of 0.50 indicates that AAV is not too dependend on debt financing.
AAV has a Debt to Equity ratio of 0.50. This is comparable to the rest of the industry: AAV outperforms 48.31% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.5 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 0.76 |
ROIC/WACC0.19
WACC8.18%
2.3 Liquidity
A Current Ratio of 0.51 indicates that AAV may have some problems paying its short term obligations.
AAV has a worse Current ratio (0.51) than 73.43% of its industry peers.
AAV has a Quick Ratio of 0.51. This is a bad value and indicates that AAV is not financially healthy enough and could expect problems in meeting its short term obligations.
AAV's Quick ratio of 0.51 is on the low side compared to the rest of the industry. AAV is outperformed by 72.46% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.51 | ||
| Quick Ratio | 0.51 |
3. Growth
3.1 Past
The earnings per share for AAV have decreased strongly by -130.00% in the last year.
The earnings per share for AAV have been decreasing by -60.25% on average. This is quite bad
Looking at the last year, AAV shows a quite strong growth in Revenue. The Revenue has grown by 12.70% in the last year.
Measured over the past years, AAV shows a quite strong growth in Revenue. The Revenue has been growing by 15.00% on average per year.
EPS 1Y (TTM)-130%
EPS 3Y-60.25%
EPS 5YN/A
EPS Q2Q%-221.43%
Revenue 1Y (TTM)12.7%
Revenue growth 3Y2.32%
Revenue growth 5Y15%
Sales Q2Q%63.2%
3.2 Future
Based on estimates for the next years, AAV will show a very strong growth in Earnings Per Share. The EPS will grow by 121.81% on average per year.
Based on estimates for the next years, AAV will show a small growth in Revenue. The Revenue will grow by 6.28% on average per year.
EPS Next Y671.74%
EPS Next 2Y235.64%
EPS Next 3Y147.44%
EPS Next 5Y121.81%
Revenue Next Year62.68%
Revenue Next 2Y34.08%
Revenue Next 3Y20.33%
Revenue Next 5Y6.28%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings Ratio is negative for AAV. In the last year negative earnings were reported.
With a Price/Forward Earnings ratio of 7.77, the valuation of AAV can be described as very cheap.
AAV's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. AAV is cheaper than 67.63% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 21.74. AAV is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 7.77 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, AAV is valued a bit cheaper than the industry average as 62.80% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 8.87 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
AAV's earnings are expected to grow with 147.44% in the coming years. This may justify a more expensive valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y235.64%
EPS Next 3Y147.44%
5. Dividend
5.1 Amount
AAV does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
TSX:AAV (7/7/2025, 7:00:00 PM)
11.38
-0.06 (-0.52%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)
Earnings (Next)
Inst Owners35.63%
Inst Owner ChangeN/A
Ins Owners2.82%
Ins Owner ChangeN/A
Market Cap1.90B
Analysts76
Price Target13.52 (18.8%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DP0%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-102.84%
Min EPS beat(2)-173.18%
Max EPS beat(2)-32.49%
EPS beat(4)0
Avg EPS beat(4)-466.52%
Min EPS beat(4)-1486.14%
Max EPS beat(4)-32.49%
EPS beat(8)2
Avg EPS beat(8)-235.24%
EPS beat(12)4
Avg EPS beat(12)-149.47%
EPS beat(16)6
Avg EPS beat(16)-47.69%
Revenue beat(2)1
Avg Revenue beat(2)-5.79%
Min Revenue beat(2)-13.63%
Max Revenue beat(2)2.04%
Revenue beat(4)1
Avg Revenue beat(4)-9.08%
Min Revenue beat(4)-19.71%
Max Revenue beat(4)2.04%
Revenue beat(8)1
Avg Revenue beat(8)-8.47%
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)-3.8%
PT rev (3m)-5.02%
EPS NQ rev (1m)-33.33%
EPS NQ rev (3m)-22.22%
EPS NY rev (1m)0%
EPS NY rev (3m)14.18%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0.21%
Revenue NY rev (1m)0%
Revenue NY rev (3m)5.83%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 7.77 | ||
| P/S | 3.33 | ||
| P/FCF | N/A | ||
| P/OCF | 6.92 | ||
| P/B | 1.19 | ||
| P/tB | 1.19 | ||
| EV/EBITDA | 8.87 |
EPS(TTM)-0.18
EYN/A
EPS(NY)1.46
Fwd EY12.87%
FCF(TTM)-0.39
FCFYN/A
OCF(TTM)1.64
OCFY14.45%
SpS3.42
BVpS9.6
TBVpS9.57
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -1.03% | ||
| ROE | -1.9% | ||
| ROCE | 2.46% | ||
| ROIC | 1.57% | ||
| ROICexc | 1.6% | ||
| ROICexgc | 1.6% | ||
| OM | 11.37% | ||
| PM (TTM) | N/A | ||
| GM | 75.6% | ||
| FCFM | N/A |
ROA(3y)6.81%
ROA(5y)4.51%
ROE(3y)9.84%
ROE(5y)6.09%
ROIC(3y)7.48%
ROIC(5y)6.12%
ROICexc(3y)7.63%
ROICexc(5y)6.23%
ROICexgc(3y)7.64%
ROICexgc(5y)6.24%
ROCE(3y)11.15%
ROCE(5y)9.11%
ROICexcg growth 3Y-54.34%
ROICexcg growth 5Y0.3%
ROICexc growth 3Y-54.35%
ROICexc growth 5Y0.27%
OM growth 3Y-49.16%
OM growth 5Y-4.25%
PM growth 3Y-63.34%
PM growth 5YN/A
GM growth 3Y-6.26%
GM growth 5Y-2.88%
F-Score2
Asset Turnover0.19
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.5 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 2.82 | ||
| Cap/Depr | 155.95% | ||
| Cap/Sales | 59.63% | ||
| Interest Coverage | 1.34 | ||
| Cash Conversion | 97% | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.51 | ||
| Quick Ratio | 0.51 | ||
| Altman-Z | 0.76 |
F-Score2
WACC8.18%
ROIC/WACC0.19
Cap/Depr(3y)174.13%
Cap/Depr(5y)158.9%
Cap/Sales(3y)48.2%
Cap/Sales(5y)48.37%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-130%
EPS 3Y-60.25%
EPS 5YN/A
EPS Q2Q%-221.43%
EPS Next Y671.74%
EPS Next 2Y235.64%
EPS Next 3Y147.44%
EPS Next 5Y121.81%
Revenue 1Y (TTM)12.7%
Revenue growth 3Y2.32%
Revenue growth 5Y15%
Sales Q2Q%63.2%
Revenue Next Year62.68%
Revenue Next 2Y34.08%
Revenue Next 3Y20.33%
Revenue Next 5Y6.28%
EBIT growth 1Y-46.34%
EBIT growth 3Y-47.98%
EBIT growth 5Y10.11%
EBIT Next Year1571.64%
EBIT Next 3Y183.5%
EBIT Next 5Y128.43%
FCF growth 1Y-130.24%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-44.89%
OCF growth 3Y-0.85%
OCF growth 5Y6.86%