Gran Tierra Energy Inc (GTE)
:GTE
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Gran Tierra Energy (GTE) AI Stock Analysis

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GTE

Gran Tierra Energy

(NYSE MKT:GTE)

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Neutral 45 (OpenAI - 4o)
Rating:45Neutral
Price Target:
$4.00
▲(6.38% Upside)
Gran Tierra Energy's overall stock score is primarily impacted by its weak financial performance and valuation metrics. The company faces significant challenges with declining revenues, profitability issues, and a negative P/E ratio. Technical analysis indicates a bearish trend, further weighing on the score. While the earnings call highlighted positive production growth and financial flexibility, these factors are not enough to offset the broader financial concerns.
Positive Factors
Production Growth
The significant increase in production due to strategic acquisitions and exploration success indicates strong operational execution and potential for future revenue growth.
Financial Flexibility
Securing new financial facilities enhances liquidity and provides the company with the flexibility to manage operations and invest in growth opportunities.
Successful Waterflood Operations
The success of waterflood operations demonstrates effective resource management and can lead to sustained production increases, supporting long-term profitability.
Negative Factors
Declining Revenue
A significant drop in revenue growth indicates challenges in maintaining sales levels, which can impact profitability and limit the company's ability to invest in future growth.
Negative Free Cash Flow Growth
Declining free cash flow suggests difficulties in generating cash from operations, which can constrain the company's ability to fund new projects or reduce debt.
High Net Debt Position
A high net debt level poses a risk to financial stability, potentially limiting strategic flexibility and increasing vulnerability to market fluctuations.

Gran Tierra Energy (GTE) vs. SPDR S&P 500 ETF (SPY)

Gran Tierra Energy Business Overview & Revenue Model

Company DescriptionGran Tierra Energy Inc. (GTE) is an independent oil and gas exploration and production company headquartered in Calgary, Canada. The company primarily focuses on oil production in South America, particularly in Colombia and Ecuador. Gran Tierra specializes in the acquisition, exploration, and development of oil reserves, leveraging advanced technology and strategic partnerships to enhance its production capabilities. The core services include the exploration of new oil fields, the development of existing oil fields, and the optimization of production processes to maximize efficiency and profitability.
How the Company Makes MoneyGran Tierra Energy generates revenue primarily through the sale of crude oil and natural gas. The company operates in regions with proven oil reserves and employs a strategy of exploring and developing these resources to increase production levels. Key revenue streams include direct sales of oil and gas to refineries and distribution companies, as well as potential export opportunities. The company also benefits from strategic partnerships and contracts with local governments and other oil companies, which can enhance access to resources and reduce operational costs. Additionally, fluctuations in global oil prices significantly impact revenue, as higher prices typically lead to increased earnings from production.

Gran Tierra Energy Earnings Call Summary

Earnings Call Date:Oct 30, 2025
(Q3-2025)
|
% Change Since: |
Next Earnings Date:Feb 24, 2026
Earnings Call Sentiment Positive
The earnings call presented a generally positive outlook with significant production growth and financial flexibility improvements, despite facing temporary external production challenges and maintaining a high net debt level.
Q3-2025 Updates
Positive Updates
Strong Production Increase
Gran Tierra averaged 42,685 BOE per day in Q3 2025, up roughly 30% from a year ago, driven by the Canadian acquisition and exploration success in Ecuador.
Record Production in Ecuador
Achieved record production of greater than 5,000 barrels per day in August and over 6,000 barrels per day in early October in Ecuador, with successful drilling operations like the Conejo A-1 exploration well.
Successful Waterflood Operations
The Cohembi waterflood project more than doubled production, increasing from 2,800 barrels to 6,700 barrels a day, with total field production recently reaching over 9,000 barrels per day.
Financial Flexibility and Cash Flow
Closed a new prepayment facility backed by Ecuadorian crude production for $150 million, with potential for an additional $50 million, and generated $48 million of operating cash flow, up 39% from Q2.
Negative Updates
Production Deferrals Due to External Events
Production was temporarily impacted by a landslide in Ecuador and trunk line repairs, leading to deferred barrels and forecasting the lower end of production guidance.
Net Debt Position
Ended the quarter with a net debt position of approximately $755 million, indicating ongoing financial leverage concerns.
Company Guidance
During the Gran Tierra Energy conference call for the third quarter of 2025, the company provided detailed guidance on their financial and operational strategies. Gran Tierra reported an average production of 42,685 BOE per day for the quarter, marking a 30% increase from the previous year, largely due to their Canadian acquisition and successful exploration in Ecuador. Current production stands at 45,200 barrels per day, with an anticipated exit rate between 47,000 and 50,000 BOE per day. Financially, the company ended the quarter with $48 million in operating cash flow, up 39% from the previous quarter, and a net debt position of approximately $755 million. They secured a new $150 million prepayment facility backed by Ecuadorian crude production, with potential for an additional $50 million, and increased their Canadian facility to $75 million. Capital investment for the quarter was $57 million, focusing on high-return projects. Looking ahead, Gran Tierra plans to shift focus towards free cash flow generation and deleveraging, with a decrease in capital expenditures expected in their 2026 budget to be released in December.

Gran Tierra Energy Financial Statement Overview

Summary
Gran Tierra Energy faces considerable financial challenges across its financial statements. The income statement shows declining revenues and profitability, while the balance sheet reflects improved leverage but poor returns on equity. Cash flow analysis highlights declining free cash flow and cash generation issues. The company needs to address these challenges to improve its financial health and stability.
Income Statement
45
Neutral
Gran Tierra Energy's income statement reveals significant challenges. The TTM (Trailing-Twelve-Months) data shows a sharp decline in revenue growth rate at -34.1%, indicating a substantial drop in sales. The gross profit margin has decreased to 13.4% from a high of 74.7% in 2022, reflecting increased costs or reduced pricing power. The net profit margin is negative at -14.1%, highlighting ongoing profitability issues. Despite a positive EBITDA margin of 48.9%, the overall profitability remains weak.
Balance Sheet
50
Neutral
The balance sheet shows a mixed picture. The debt-to-equity ratio has improved to 2.11 from a high of 3.01 in 2020, indicating better leverage management. However, the return on equity is negative at -28.8% in the TTM, reflecting poor returns for shareholders. The equity ratio stands at 22.1%, suggesting moderate financial stability but room for improvement.
Cash Flow
40
Negative
Cash flow analysis indicates significant challenges. The free cash flow growth rate is negative at -35.7% in the TTM, showing a decline in cash generation. The operating cash flow to net income ratio is high at 73.4, suggesting strong cash flow relative to earnings, but the free cash flow to net income ratio is negative, indicating cash flow issues relative to profitability.
BreakdownTTMDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue619.56M621.85M636.96M711.39M473.72M237.84M
Gross Profit74.87M170.44M219.96M358.53M190.20M-48.83M
EBITDA289.07M355.69M377.55M474.53M217.39M-634.99M
Net Income-86.18M3.22M-6.29M139.03M42.48M-777.97M
Balance Sheet
Total Assets1.66B1.65B1.33B1.34B1.19B1.20B
Cash, Cash Equivalents and Short-Term Investments49.09M104.52M63.29M128.01M26.50M62.44M
Total Debt773.63M762.21M567.24M594.39M657.69M778.07M
Total Liabilities1.29B1.24B929.89M918.04M887.03M944.69M
Stockholders Equity365.96M413.57M396.39M417.57M302.08M257.03M
Cash Flow
Free Cash Flow-38.10M5.08M9.11M191.11M94.95M-15.21M
Operating Cash Flow22.72M239.32M227.99M427.71M244.83M81.07M
Investing Cash Flow-182.35M-352.50M-226.58M-210.33M-105.32M-144.92M
Financing Cash Flow-10.64M156.87M-69.60M-113.32M-124.81M70.45M

Gran Tierra Energy Technical Analysis

Technical Analysis Sentiment
Positive
Last Price3.76
Price Trends
50DMA
4.12
Positive
100DMA
4.24
Positive
200DMA
4.58
Negative
Market Momentum
MACD
0.05
Negative
RSI
60.26
Neutral
STOCH
92.31
Negative
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GTE, the sentiment is Positive. The current price of 3.76 is below the 20-day moving average (MA) of 3.93, below the 50-day MA of 4.12, and below the 200-day MA of 4.58, indicating a neutral trend. The MACD of 0.05 indicates Negative momentum. The RSI at 60.26 is Neutral, neither overbought nor oversold. The STOCH value of 92.31 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for GTE.

Gran Tierra Energy Peers Comparison

Overall Rating
UnderperformOutperform
Sector (65)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
72
Outperform
$213.95M5.718.91%-13.44%-33.52%
68
Neutral
$104.60M17.875.92%5.10%46.76%11.48%
65
Neutral
$15.17B7.614.09%5.20%3.87%-62.32%
60
Neutral
$209.30M-1.91%-15.44%-113.21%
53
Neutral
$152.90M134.04-0.08%10.46%-2.23%-102.29%
46
Neutral
$117.84M-30.24%-10.49%17.74%
45
Neutral
$136.59M-1.57-21.91%-1.58%-271.90%
* Energy Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
GTE
Gran Tierra Energy
4.45
-1.67
-27.29%
EPM
Evolution Petroleum
4.39
-0.84
-16.06%
REI
Ring Energy
1.01
-0.51
-33.55%
EPSN
Epsilon Energy
4.90
-0.64
-11.55%
EP
Empire Petroleum
3.15
-3.11
-49.68%
IMPP
Imperial Petroleum
6.14
2.66
76.44%

Gran Tierra Energy Corporate Events

Other
Gran Tierra Energy Executives Acquire Shares, Signaling Confidence
Positive
Nov 4, 2025

Gran Tierra Energy Inc. announced transactions involving the acquisition of common shares by its directors and key managerial personnel through the company’s Employee Share Savings Plan. The transactions, conducted on November 3, 2025, at the Toronto Stock Exchange, involved a total volume of 3,894 shares at a price of USD 3.39 per share. This move signifies confidence in the company’s future prospects by its leadership team, potentially impacting investor sentiment positively.

Gran Tierra Energy Reports Positive Q3 2025 Earnings
Nov 4, 2025

Gran Tierra Energy Inc. recently held its earnings call, presenting a generally positive outlook. The company highlighted significant production growth and improvements in financial flexibility, despite facing temporary external production challenges and maintaining a high net debt level.

Business Operations and StrategyStock Buyback
Gran Tierra Energy Announces Share Repurchase Plan to Enhance Shareholder Value
Positive
Nov 3, 2025

Gran Tierra Energy Inc. announced that the Toronto Stock Exchange has approved its plan to initiate a normal course issuer bid, allowing the company to repurchase up to 10% of its public float shares over the next year. This move is part of a strategy to enhance shareholder value by purchasing shares when they are undervalued, reflecting the company’s confidence in its operations and financial position. The company has also entered into an Automatic Share Purchase Plan to facilitate these purchases during blackout periods, further demonstrating its commitment to optimizing shareholder returns.

M&A TransactionsRegulatory Filings and Compliance
Gran Tierra Confirms Compliance Post-i3 Energy Acquisition
Neutral
Oct 31, 2025

Gran Tierra Energy Inc. has confirmed compliance with its post-offer intentions following the acquisition of i3 Energy plc. The acquisition, completed on October 31, 2024, was executed through a Court-sanctioned scheme of arrangement, and Gran Tierra has adhered to the commitments made during the offer process, as required by the City Code on Takeovers and Mergers.

Business Operations and StrategyFinancial DisclosuresPrivate Placements and Financing
Gran Tierra Energy Reports Q3 2025 Results and Exploration Success
Positive
Oct 30, 2025

Gran Tierra Energy Inc. reported its third-quarter 2025 results, highlighting exploration successes in Ecuador and strong production performance in Colombia. The company secured a $200 million prepayment facility and extended its Canadian credit facility, underscoring the strength of its portfolio. Despite temporary production impacts due to external events, Gran Tierra remains focused on optimizing production efficiency and cash flow, with plans to release its 2026 budget focusing on free cash flow generation.

Business Operations and StrategyPrivate Placements and Financing
Gran Tierra Energy Enters Major Oil Sale Agreement
Neutral
Oct 29, 2025

On October 24, 2025, Gran Tierra Energy Colombia GmbH, a subsidiary of Gran Tierra Energy Inc., entered into a crude oil sale and purchase agreement with Trafigura PTE Ltd., including a prepayment addendum. This agreement allows for an initial advance of up to $150 million and an additional advance of up to $50 million, with funds to be used for repaying borrowings, repurchasing senior notes, and funding capital expenditures in Ecuador. The agreement also includes financial covenants and an amendment to the existing Credit Agreement, reducing the borrowing base and requiring prepayment of outstanding loans.

The most recent analyst rating on (GTE) stock is a Hold with a $10.00 price target. To see the full list of analyst forecasts on Gran Tierra Energy stock, see the GTE Stock Forecast page.

Business Operations and StrategyPrivate Placements and Financing
Gran Tierra Energy Secures $200 Million Prepayment Agreement to Strengthen Financial Flexibility
Positive
Oct 24, 2025

Gran Tierra Energy Inc. has announced a new $200 million prepayment and marketing agreement through its subsidiary Gran Tierra Energy Colombia GmbH. This agreement, known as the Oriente Crude Oil Agreements, involves a crude oil sale and purchase arrangement with an initial advance of up to $150 million and a potential additional advance of $50 million. These funds will be used to bolster the company’s balance sheet and enhance financial flexibility. Additionally, Gran Tierra has amended its Colombian credit facility to accommodate this new agreement, reducing the borrowing base from $75 million to $60 million and adjusting financial covenants. This strategic move is expected to enhance Gran Tierra’s financial stability and reflects strong partner confidence in its operations, positioning the company as a leading operator in Ecuador and a reputable international producer.

Financial Disclosures
Gran Tierra Energy to Announce Q3 2025 Financial Results
Neutral
Oct 23, 2025

Gran Tierra Energy Inc. has announced the release date for its 2025 third quarter financial and operating results, which will be available post-market on October 30, 2025. The company will host a conference call to discuss these results on October 31, 2025. This announcement is significant as it provides stakeholders with insights into the company’s financial health and operational performance, potentially impacting investor decisions and market positioning.

Business Operations and Strategy
Gran Tierra Energy Executives Acquire Shares to Align Interests
Positive
Oct 21, 2025

Gran Tierra Energy Inc. announced transactions involving the acquisition of common shares by its directors and senior management through the company’s Employee Share Savings Plan. This move, executed on October 16, 2025, at the Toronto Stock Exchange, involved a total volume of 2,490 shares at a price of USD 4.34 each. The transactions reflect the company’s commitment to aligning management interests with shareholder value, potentially strengthening stakeholder confidence in the company’s strategic direction.

Regulatory Filings and Compliance
Gran Tierra Energy Director Exercises Share Options
Neutral
Oct 9, 2025

Gran Tierra Energy Inc. announced that Brooke Wade, a Director and Person Discharging Managerial Responsibilities, exercised share options under the company’s Employee Stock Purchase Plan, resulting in the acquisition and retention of common stock. This transaction, conducted outside a trading venue, reflects the company’s adherence to the UK Market Abuse Regulation and may indicate confidence in the company’s future performance.

Business Operations and StrategyRegulatory Filings and Compliance
Gran Tierra Energy Settles Share Options in Cash
Neutral
Oct 9, 2025

Gran Tierra Energy Inc. has announced a cash settlement for vested share options under its Employee Stock Purchase Plan, involving directors Evan Hazell, David Smith, and Ronald Royal. This decision, made at the company’s discretion, avoids the issuance or transfer of common stock, aligning with the UK Market Abuse Regulation.

Business Operations and Strategy
Gran Tierra Energy Executives Acquire Shares, Signaling Confidence
Positive
Oct 6, 2025

Gran Tierra Energy Inc. announced transactions involving the acquisition of common shares by its directors and persons discharging managerial responsibility through the company’s Employee Share Savings Plan. The transactions, conducted on October 1, 2025, at the Toronto Stock Exchange, involved a total volume of 2,508 shares at a price of USD 4.35 per share. This move reflects the company’s ongoing efforts to align management interests with shareholder value and indicates confidence in the company’s future prospects.

Executive/Board Changes
Gran Tierra Energy Appoints New Independent Director
Positive
Oct 3, 2025

Gran Tierra Energy Inc. announced the appointment of Brad Virbitsky as an independent director to its Board of Directors, effective September 30, 2025. Mr. Virbitsky, a portfolio manager and partner at Equinox Partners LLC, brings extensive experience in global energy markets and corporate governance. His appointment is expected to enhance Gran Tierra’s strategic direction and long-term shareholder value.

The most recent analyst rating on (GTE) stock is a Hold with a $4.00 price target. To see the full list of analyst forecasts on Gran Tierra Energy stock, see the GTE Stock Forecast page.

Executive/Board ChangesRegulatory Filings and Compliance
Gran Tierra Energy Announces Director’s Share Disposition
Neutral
Oct 2, 2025

Gran Tierra Energy Inc. announced a transaction involving the disposition of common shares by a director, David Smith, as part of regulatory compliance with the EU Market Abuse Regulation. This transaction, involving 7,750 shares at a price of USD 4.58, reflects internal financial activities that may impact the company’s stock dynamics and stakeholder perceptions.

Executive/Board Changes
Gran Tierra Energy Appoints New Independent Director
Positive
Oct 1, 2025

Gran Tierra Energy Inc. has appointed Brad Virbitsky as an independent director to its Board of Directors. Mr. Virbitsky brings extensive experience in global energy markets, investment strategy, and corporate governance, having worked with management teams and boards in the natural resources and emerging markets sectors. His expertise is expected to contribute significantly to Gran Tierra’s strategic advancement and long-term shareholder value.

Other
Gran Tierra Energy Announces Share Acquisitions by Management
Positive
Sep 18, 2025

Gran Tierra Energy Inc. announced transactions involving the acquisition of common shares by its directors and persons discharging managerial responsibilities. These transactions, conducted through the company’s Employee Share Savings Plan, were carried out on September 16, 2025, at the Toronto Stock Exchange, with a total volume of 2,777 shares acquired at a price of USD 3.98 per share. This move reflects the company’s commitment to aligning the interests of its management with those of its shareholders.

Business Operations and Strategy
Gran Tierra Energy Directors Acquire Shares to Align Interests
Positive
Sep 3, 2025

Gran Tierra Energy Inc. announced transactions involving the acquisition of common shares by its directors and managerial staff through the company’s Employee Share Savings Plan. This move, conducted on the Toronto Stock Exchange, reflects the company’s commitment to aligning management interests with shareholder value, potentially impacting its market perception and stakeholder confidence.

Business Operations and StrategyRegulatory Filings and Compliance
Gran Tierra Energy Executives Acquire Shares, Signaling Confidence
Positive
Aug 20, 2025

Gran Tierra Energy Inc. announced transactions involving the acquisition of common shares by its directors and persons discharging managerial responsibilities through the Company’s Employee Share Savings Plan. The transactions, conducted at a price of USD 3.91 per share, took place on August 18, 2025, at the Toronto Stock Exchange, reflecting a total volume of 2,815 shares. This move indicates confidence in the company’s future prospects and aligns with regulatory compliance under the EU Market Abuse Regulation.

Business Operations and Strategy
Gran Tierra Energy Executives Acquire Shares to Align Interests
Positive
Aug 8, 2025

Gran Tierra Energy Inc. announced transactions involving the acquisition of common shares by its directors and persons discharging managerial responsibilities. These transactions, conducted through the company’s Employee Share Savings Plan, involved purchasing shares at a price of USD 4.53 per share on the Toronto Stock Exchange, reflecting a strategic move to align management interests with shareholder value.

Business Operations and StrategyM&A Transactions
Gran Tierra Energy Expands in Ecuador with Strategic Asset Acquisition
Positive
Aug 5, 2025

Gran Tierra Energy has announced the acquisition of strategic assets in Ecuador’s Oriente Basin, expanding its footprint in the region. The company is purchasing interests in the Perico and Espejo Blocks from GeoPark Ecuador S.A. and Frontera Energy Colombia Corp for $15.55 million, with an additional contingent consideration based on production milestones. This acquisition aligns with Gran Tierra’s strategy to enhance its exploration success and operational synergies in Ecuador, leveraging its technical expertise and established presence in the region. The move is expected to bolster the company’s development potential and strengthen its role as a key partner in Ecuador’s energy sector.

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: Nov 05, 2025