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Battalion Oil (BATL)
:BATL
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Battalion Oil (BATL) AI Stock Analysis

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BATL

Battalion Oil

(BATL)

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Neutral 54 (OpenAI - 5.2)
Rating:54Neutral
Price Target:
$1.50
▲(14.50% Upside)
Action:Reiterated
Date:08/17/26
Overall score is held back primarily by weak and volatile profitability (current net loss and negative ROE) and bearish technicals (below major moving averages with negative MACD). Offsetting factors include improved leverage/financing flexibility and stronger recent cash flow, plus positive corporate actions that strengthen the balance sheet and operational capacity.
Positive Factors
Improving Cash Generation
Strong recent operating and free cash flow improves funding capacity for drilling, debt service and development. Although historical cash generation was uneven, the latest period indicates better capital discipline and greater internal financial flexibility.
Negative Factors
Weak and Volatile Profitability
Current losses and negative returns indicate that the asset base is not consistently converting revenue into shareholder value. Earnings have also varied between profits and losses across recent years, limiting confidence in sustainable profitability.
Read all positive and negative factors
Positive Factors
Negative Factors
Improving Cash Generation
Strong recent operating and free cash flow improves funding capacity for drilling, debt service and development. Although historical cash generation was uneven, the latest period indicates better capital discipline and greater internal financial flexibility.
Read all positive factors

Battalion Oil (BATL) vs. SPDR S&P 500 ETF (SPY)

Battalion Oil Business Overview & Revenue Model

Company Description
Battalion Oil Corporation functions as an autonomous energy enterprise, primarily focused on the acquisition, exploration, extraction, and enhancement of crude oil and natural gas deposits located on land throughout the United States. As of the cl...
How the Company Makes Money
Battalion Oil primarily makes money by producing hydrocarbons from its operated oil and gas wells and selling those volumes into the market. Its core revenue streams are (1) crude oil sales, which are generally the largest contributor to revenue, ...

Battalion Oil Financial Statement Overview

Summary
Financial profile is mixed. Income statement is weak (score 44) with negative operating profit and a large net loss (net margin ~-24.5%) despite solid gross margin (~49%) and modest revenue growth (+3.4%). Balance sheet is improved/moderate (score 58) with debt-to-equity ~0.78 versus higher leverage historically, but ROE is materially negative (~-29.9%). Cash flow is the bright spot (score 63) with positive operating cash flow (~$27.0M) and strongly positive/free cash flow (~$75.2M, +89%), though historical cash flow has been uneven.
Income Statement
44
Neutral
Balance Sheet
58
Neutral
Cash Flow
63
Positive
BreakdownTTMDec 2025Mar 2025Dec 2023Dec 2022Dec 2021
Income Statement
Total Revenue162.85M164.96M193.89M220.76M359.06M285.20M
Gross Profit80.60M17.82M79.24M100.18M233.89M180.28M
EBITDA22.92M92.86M36.00M86.89M94.05M25.11M
Net Income-39.91M11.88M-31.88M-3.05M18.54M-28.32M
Balance Sheet
Total Assets432.58M460.68M431.05M485.34M485.36M390.27M
Cash, Cash Equivalents and Short-Term Investments83.10M27.96M19.71M57.53M32.73M48.75M
Total Debt158.94M189.82M165.87M197.88M218.09M182.37M
Total Liabilities229.45M267.23M249.39M310.78M400.73M326.56M
Stockholders Equity203.14M193.45M181.66M174.56M84.63M63.70M
Cash Flow
Free Cash Flow66.28M-35.48M-29.34M-28.85M-47.82M15.64M
Operating Cash Flow25.97M39.09M35.35M17.59M78.80M68.57M
Investing Cash Flow30.75M-74.95M-65.44M-51.84M-126.13M-51.91M
Financing Cash Flow-13.04M44.11M-7.73M59.06M31.79M27.41M

Battalion Oil Technical Analysis

Technical Analysis Sentiment
Negative
Last Price1.31
Price Trends
50DMA
1.42
Negative
100DMA
2.10
Negative
200DMA
3.35
Negative
Market Momentum
MACD
-0.05
Negative
RSI
43.60
Neutral
STOCH
35.42
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For BATL, the sentiment is Negative. The current price of 1.31 is below the 20-day moving average (MA) of 1.38, below the 50-day MA of 1.42, and below the 200-day MA of 3.35, indicating a bearish trend. The MACD of -0.05 indicates Negative momentum. The RSI at 43.60 is Neutral, neither overbought nor oversold. The STOCH value of 35.42 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for BATL.

Battalion Oil Peers Comparison

Overall Rating
UnderperformOutperform
Sector (65)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
77
Outperform
$19.83M12.536.76%1.09%-9.59%-5.69%
65
Neutral
$15.17B7.614.09%5.20%3.87%-62.32%
54
Neutral
$76.76M-0.29-29.92%-12.20%-140.47%
52
Neutral
$24.23M-2.1611.55%
47
Neutral
$14.03M-1.95-82.32%-25.24%25.19%
* Energy Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
BATL
Battalion Oil
1.31
0.13
11.02%
BRN
Barnwell
0.96
-0.24
-19.75%
MXC
Mexco Energy
9.58
1.57
19.63%
VOC
VOC Energy
3.37
1.12
49.64%
EONR
EON Resources
0.47
0.11
32.02%
TPET
Trio Petroleum Corp.
0.21
-0.91
-81.53%

Battalion Oil Corporate Events

Business Operations and StrategyFinancial DisclosuresPrivate Placements and Financing
Battalion Oil strengthens balance sheet and midstream capacity
Positive
Aug 12, 2026
In the second quarter of 2026, Battalion Oil Corporation reported average production of 12,407 Boe/d, with operating revenue rising to $48.1 million from $42.8 million a year earlier on stronger realized prices despite slightly lower volumes. Leas...
Business Operations and StrategyStock BuybackRegulatory Filings and Compliance
Battalion Oil Simplifies Capital Structure via Preferred Repurchase
Positive
Aug 7, 2026
On August 7, 2026, Battalion Oil Corporation entered into a Preferred Stock Repurchase and Conversion Agreement with Gen IV Investment Opportunities, LLC to repurchase specified Series A, Series A-1, and related preferred shares for $19 million an...
Business Operations and StrategyPrivate Placements and Financing
Battalion Oil Refinances Credit Facility to Boost Flexibility
Positive
Jul 1, 2026
On July 1, 2026, Battalion Oil Corporation closed a refinancing of its senior secured credit facility through a Third Amended and Restated Senior Secured Credit Agreement that lowers borrowing costs, extends the loan maturity to December 31, 2029 ...
Executive/Board ChangesShareholder Meetings
Battalion Oil Stockholders Approve Directors and Auditor Appointments
Positive
Jun 16, 2026
On June 11, 2026, Battalion Oil Corporation held its 2026 Annual Meeting of Stockholders, where investors voted to elect four directors to serve until the next annual meeting or until their successors are chosen. All four nominees, Jonathan D. Bar...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Aug 17, 2026