Savannah Petroleum (SAVE) AI Stock Analysis

• Market Cap: £145.26M
• Dividend Yield: N/A
• Average Volume (3M): 0.00
• Price to Earnings (P/E): 1.1
• Beta (1Y): 0.31
• Revenue Growth: 7.74%
• EPS Growth: N/A
• Country: UK
• Employees: 278
• Sector: Energy
• Sector Strength: 52
• Industry: Oil & Gas Exploration & Production
• EPS (TTM): 0.05
• Shares Outstanding: 2,120,654,300
• 10 Day Avg. Volume: 0
• 30 Day Avg. Volume: 0
• PEG Ratio: <0.01
• Price to Book (P/B): 0.01
• Price to Sales (P/S): 0.02
• P/FCF Ratio: 0.05
• 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: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 64 Neutral
• Price Target: 6.50p ▲(0.00% Upside)

Savannah Petroleum's strong financial performance with high profitability is offset by high leverage and concerning cash flow trends. Technical indicators suggest a bearish trend, while the low P/E ratio indicates potential undervaluation. The absence of earnings call and corporate events data limits further insights.

Positive Factors

Revenue Growth

Consistent revenue growth indicates expanding operations and market presence, supporting long-term business sustainability and profitability.

Profitability

High profitability margins reflect efficient cost management and operational performance, enhancing the company's competitive position in the industry.

Operational Efficiency

Exceptional EBIT and EBITDA margins indicate strong operational efficiency, allowing the company to maximize profitability and reinvest in growth opportunities.

Negative Factors

High Leverage

High leverage can increase financial risk, potentially limiting the company's ability to invest in new projects and impacting long-term financial stability.

Cash Flow Challenges

Declining free cash flow growth may hinder the company's ability to finance operations and growth initiatives, affecting its financial flexibility and resilience.

Fluctuating Net Profit Margins

Fluctuating net profit margins can indicate instability in earnings, potentially affecting investor confidence and the company's ability to sustain long-term profitability.

Savannah Petroleum Business Overview & Revenue Model

Company Description

Savannah Petroleum (SAVE) is an independent oil and gas company focused on the development and production of oil and gas resources in West Africa, particularly in Nigeria and Niger. The company is primarily engaged in the exploration, appraisal, and production of hydrocarbon resources, leveraging its expertise to identify and develop oil fields in the region. Savannah Petroleum aims to optimize its asset base through efficient operations and strategic partnerships, ensuring sustainable growth within the energy sector.

How the Company Makes Money

Savannah Petroleum generates revenue primarily through the exploration, development, and production of oil and gas resources. The company's key revenue streams include sales of crude oil and natural gas from its operational fields, along with potential future revenues from gas processing and transportation. The company has established significant partnerships with local and international oil and gas companies, which enhance its operational capabilities and market access. Moreover, Savannah Petroleum's business model is supported by cost-effective drilling and production techniques, allowing it to maximize profitability in a competitive market. The company's strategic focus on high-potential assets and efficient resource management further contributes to its revenue generation.

Savannah Petroleum Financial Statement Overview

Summary

Savannah Petroleum shows strong revenue growth and profitability with high margins, indicating efficient operations. However, high leverage and fluctuating net profit margins pose risks. The cash flow situation is concerning due to significant declines in free cash flow growth, impacting financial flexibility.

Income Statement

Savannah Petroleum has shown consistent revenue growth over the years, with a 5.01% increase in the most recent year. The company maintains strong profitability with a high gross profit margin of 66.95% and a net profit margin of 13.65%. The EBIT and EBITDA margins are exceptionally high at 88.06% and 103.79%, respectively, indicating efficient cost management and operational performance. However, the net profit margin has fluctuated significantly over the years, which could pose a risk.

Balance Sheet

The company's balance sheet shows a high debt-to-equity ratio of 2.34, indicating significant leverage, which is common in the oil and gas industry but poses financial risk. The return on equity is moderate at 10.77%, reflecting decent profitability relative to shareholder equity. The equity ratio is not provided, but the high leverage suggests a lower equity ratio, which could impact financial stability.

Cash Flow

Savannah Petroleum's cash flow statement reveals challenges in free cash flow growth, with a significant decline of -119902.84%. The operating cash flow to net income ratio is low at 0.26, indicating potential issues in converting income into cash. However, the free cash flow to net income ratio is relatively healthy at 80.17%, suggesting that the company is still generating cash relative to its net income.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	227.03M	224.18M	212.50M	185.80M	169.00M
Gross Profit	152.01M	146.36M	140.44M	120.79M	96.55M
EBITDA	235.63M	58.25M	55.18M	101.91M	118.97M
Net Income	31.00M	14.86M	-61.33M	768.00K	-6.68M
Balance Sheet
Total Assets	1.57B	1.52B	1.76B	1.35B	1.21B
Cash, Cash Equivalents and Short-Term Investments	32.59M	53.66M	114.47M	49.88M	78.61M
Total Debt	673.52M	585.46M	650.87M	531.03M	522.72M
Total Liabilities	1.26B	1.25B	1.52B	1.04B	980.27M
Stockholders Equity	287.95M	254.50M	233.42M	292.90M	229.67M
Cash Flow
Free Cash Flow	93.58M	20.27M	52.13M	95.60M	104.02M
Operating Cash Flow	116.73M	33.22M	75.69M	128.12M	115.57M
Investing Cash Flow	20.02M	109.32M	22.65M	-123.24M	-11.32M
Financing Cash Flow	-113.15M	-116.80M	-22.99M	-25.16M	-76.72M

Savannah Petroleum Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 6.50
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:SAVE, the sentiment is Positive. The current price of 6.5 is above the 20-day moving average (MA) of 5.60, above the 50-day MA of 6.36, and below the 200-day MA of 7.18, indicating a neutral trend. The MACD of >-0.01 indicates Negative momentum. The RSI at 67.14 is Neutral, neither overbought nor oversold. The STOCH value of 75.37 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for GB:SAVE.

Savannah Petroleum Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
AET	76 Outperform	£88.20M	3.18	42.05%	―	50.35%	48.07%
Sector *	65 Neutral	$15.17B	7.61	4.09%	5.20%	3.87%	-62.32%
SAVE	64 Neutral	£145.26M	1.07	34.81%	―	7.74%	―
JSE	54 Neutral	£128.51M	8.45	56.01%	―	4.56%	―
CNE	52 Neutral	£135.11M	-8.48	-6.29%	―	-32.66%	72.67%
KIST	44 Neutral	£153.30M	―	-92.03%	―	-16.87%	21.18%