OBSIDIAN ENERGY LTD (OBE.CA) Stock Fundamental Analysis
Canada - Toronto Stock Exchange - TSX:OBE - CA6744822033 - Common Stock
8.46 CAD
+0.16 (+1.93%)
We assign a fundamental rating of 3 out of 10 to OBE. OBE was compared to 201 industry peers in the Oil, Gas & Consumable Fuels industry. There are concerns on the financial health of OBE while its profitability can be described as average. OBE is valued expensive and it does not seem to be growing.
1. Profitability
1.1 Basic Checks
OBE had negative earnings in the past year.
In the past year OBE had a positive cash flow from operations.
The reported net income has been mixed in the past 5 years: OBE reported negative net income in multiple years.
Each year in the past 5 years OBE had a positive operating cash flow.
1.2 Ratios
OBE's Return On Assets of -13.16% is on the low side compared to the rest of the industry. OBE is outperformed by 63.18% of its industry peers.
OBE's Return On Equity of -16.91% is on the low side compared to the rest of the industry. OBE is outperformed by 60.20% of its industry peers.
OBE's Return On Invested Capital of 6.35% is amongst the best of the industry. OBE outperforms 80.10% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for OBE is above the industry average of 6.51%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -13.16% | ||
| ROE | -16.91% | ||
| ROIC | 6.35% |
ROA(3y)10.66%
ROA(5y)-3.82%
ROE(3y)14.48%
ROE(5y)-28.26%
ROIC(3y)8.82%
ROIC(5y)8.37%
1.3 Margins
OBE has a better Operating Margin (21.48%) than 76.12% of its industry peers.
OBE's Operating Margin has declined in the last couple of years.
OBE's Gross Margin of 68.85% is amongst the best of the industry. OBE outperforms 83.08% of its industry peers.
OBE's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 21.48% | ||
| PM (TTM) | N/A | ||
| GM | 68.85% |
OM growth 3Y-12.26%
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-0.26%
GM growth 5Y2.34%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), OBE is destroying value.
OBE has less shares outstanding than it did 1 year ago.
The number of shares outstanding for OBE has been increased compared to 5 years ago.
The debt/assets ratio for OBE is higher compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of 0.86, we must say that OBE is in the distress zone and has some risk of bankruptcy.
With a decent Altman-Z score value of 0.86, OBE is doing good in the industry, outperforming 60.20% of the companies in the same industry.
A Debt/Equity ratio of 0.11 indicates that OBE is not too dependend on debt financing.
OBE has a Debt to Equity ratio of 0.11. This is in the better half of the industry: OBE outperforms 68.66% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.11 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 0.86 |
ROIC/WACC0.71
WACC8.89%
2.3 Liquidity
A Current Ratio of 0.52 indicates that OBE may have some problems paying its short term obligations.
With a Current ratio value of 0.52, OBE is not doing good in the industry: 72.14% of the companies in the same industry are doing better.
A Quick Ratio of 0.52 indicates that OBE may have some problems paying its short term obligations.
The Quick ratio of OBE (0.52) is worse than 66.17% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.52 | ||
| Quick Ratio | 0.52 |
3. Growth
3.1 Past
OBE shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -310.93%.
The Revenue has decreased by -8.93% in the past year.
The Revenue has been growing by 13.38% on average over the past years. This is quite good.
EPS 1Y (TTM)-310.93%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-43.4%
Revenue 1Y (TTM)-8.93%
Revenue growth 3Y17.6%
Revenue growth 5Y13.38%
Sales Q2Q%-41.35%
3.2 Future
Based on estimates for the next years, OBE will show a very strong growth in Earnings Per Share. The EPS will grow by 31.34% on average per year.
The Revenue is expected to decrease by -13.77% on average over the next years. This is quite bad
EPS Next Y126.21%
EPS Next 2Y42.07%
EPS Next 3Y31.34%
EPS Next 5YN/A
Revenue Next Year-23%
Revenue Next 2Y-16.77%
Revenue Next 3Y-13.77%
Revenue Next 5YN/A
3.3 Evolution
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
OBE reported negative earnings for the last year, which makes the Price/Earnings Ratio negative.
With a Price/Forward Earnings ratio of 167.52, OBE can be considered very expensive at the moment.
OBE's Price/Forward Earnings ratio is in line with the industry average.
OBE is valuated expensively when we compare the Price/Forward Earnings ratio to 23.35, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 167.52 |
4.2 Price Multiples
OBE's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. OBE is cheaper than 97.01% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 2.09 |
4.3 Compensation for Growth
OBE's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
A more expensive valuation may be justified as OBE's earnings are expected to grow with 31.34% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y42.07%
EPS Next 3Y31.34%
5. Dividend
5.1 Amount
No dividends for OBE!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
TSX:OBE (12/30/2025, 7:00:00 PM)
8.46
+0.16 (+1.93%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)
Earnings (Next)
Inst Owners24.63%
Inst Owner ChangeN/A
Ins Owners4.16%
Ins Owner ChangeN/A
Market Cap567.84M
Revenue(TTM)642.40M
Net Income(TTM)-237.30M
Analysts74.29
Price Target10.07 (19.03%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DP0%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)N/A
Avg EPS beat(2)N/A
Min EPS beat(2)N/A
Max EPS beat(2)N/A
EPS beat(4)N/A
Avg EPS beat(4)N/A
Min EPS beat(4)N/A
Max EPS beat(4)N/A
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)N/A
Avg Revenue beat(2)N/A
Min Revenue beat(2)N/A
Max Revenue beat(2)N/A
Revenue beat(4)N/A
Avg Revenue beat(4)N/A
Min Revenue beat(4)N/A
Max Revenue beat(4)N/A
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
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)0%
PT rev (3m)1.28%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)0%
EPS NY rev (3m)109.64%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0%
Revenue NY rev (3m)-2.55%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 167.52 | ||
| P/S | 0.88 | ||
| P/FCF | N/A | ||
| P/OCF | 1.82 | ||
| P/B | 0.4 | ||
| P/tB | 0.4 | ||
| EV/EBITDA | 2.09 |
EPS(TTM)-2.74
EYN/A
EPS(NY)0.05
Fwd EY0.6%
FCF(TTM)-0.07
FCFYN/A
OCF(TTM)4.65
OCFY55%
SpS9.57
BVpS20.9
TBVpS20.9
PEG (NY)N/A
PEG (5Y)N/A
Graham NumberN/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -13.16% | ||
| ROE | -16.91% | ||
| ROCE | 8.45% | ||
| ROIC | 6.35% | ||
| ROICexc | 6.36% | ||
| ROICexgc | 6.36% | ||
| OM | 21.48% | ||
| PM (TTM) | N/A | ||
| GM | 68.85% | ||
| FCFM | N/A |
ROA(3y)10.66%
ROA(5y)-3.82%
ROE(3y)14.48%
ROE(5y)-28.26%
ROIC(3y)8.82%
ROIC(5y)8.37%
ROICexc(3y)8.83%
ROICexc(5y)8.4%
ROICexgc(3y)8.83%
ROICexgc(5y)8.4%
ROCE(3y)11.73%
ROCE(5y)11.13%
ROICexgc growth 3Y-18.98%
ROICexgc growth 5YN/A
ROICexc growth 3Y-18.98%
ROICexc growth 5YN/A
OM growth 3Y-12.26%
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-0.26%
GM growth 5Y2.34%
F-Score6
Asset Turnover0.36
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.11 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 0.44 | ||
| Cap/Depr | 158.64% | ||
| Cap/Sales | 49.32% | ||
| Interest Coverage | 5.13 | ||
| Cash Conversion | 92.48% | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.52 | ||
| Quick Ratio | 0.52 | ||
| Altman-Z | 0.86 |
F-Score6
WACC8.89%
ROIC/WACC0.71
Cap/Depr(3y)N/A
Cap/Depr(5y)N/A
Cap/Sales(3y)47.68%
Cap/Sales(5y)38.88%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-310.93%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-43.4%
EPS Next Y126.21%
EPS Next 2Y42.07%
EPS Next 3Y31.34%
EPS Next 5YN/A
Revenue 1Y (TTM)-8.93%
Revenue growth 3Y17.6%
Revenue growth 5Y13.38%
Sales Q2Q%-41.35%
Revenue Next Year-23%
Revenue Next 2Y-16.77%
Revenue Next 3Y-13.77%
Revenue Next 5YN/A
EBIT growth 1Y-21.1%
EBIT growth 3Y3.18%
EBIT growth 5YN/A
EBIT Next Year13.22%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-106.31%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-13.61%
OCF growth 3Y22.12%
OCF growth 5Y36.28%
OBSIDIAN ENERGY LTD / OBE.CA FAQ
Can you provide the ChartMill fundamental rating for OBSIDIAN ENERGY LTD?
ChartMill assigns a fundamental rating of 3 / 10 to OBE.CA.
What is the valuation status of OBSIDIAN ENERGY LTD (OBE.CA) stock?
ChartMill assigns a valuation rating of 2 / 10 to OBSIDIAN ENERGY LTD (OBE.CA). This can be considered as Overvalued.
Can you provide the profitability details for OBSIDIAN ENERGY LTD?
OBSIDIAN ENERGY LTD (OBE.CA) has a profitability rating of 4 / 10.
What is the financial health of OBSIDIAN ENERGY LTD (OBE.CA) stock?
The financial health rating of OBSIDIAN ENERGY LTD (OBE.CA) is 2 / 10.
Can you provide the expected EPS growth for OBE stock?
The Earnings per Share (EPS) of OBSIDIAN ENERGY LTD (OBE.CA) is expected to grow by 126.21% in the next year.