JX Energy Ltd. (3395) AI Stock Analysis

• Market Cap: HK$204.90M
• Dividend Yield: N/A
• Average Volume (3M): 3.14M
• Price to Earnings (P/E): ―
• Beta (1Y): -0.87
• Revenue Growth: -41.07%
• EPS Growth: 22.63%
• Country: HK
• Employees: 3
• Sector: Energy
• Sector Strength: 58
• Industry: Oil & Gas Exploration & Production
• EPS (TTM): -0.06
• Shares Outstanding: 585,435,360
• 10 Day Avg. Volume: 7,205,900
• 30 Day Avg. Volume: 3,143,666
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• 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: HK$0.50
• Price Target Upside: 42.86% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 1

• Rating: 44 Neutral
• Price Target: HK$0.50 ▲(42.86% Upside)

JX Energy Ltd.'s overall stock score is primarily impacted by its poor financial performance, characterized by significant profitability and cash flow challenges. Technical analysis suggests some short-term stability, but medium-term indicators are weak. The negative P/E ratio and lack of dividend yield further contribute to a low valuation score.

JX Energy Ltd. Business Overview & Revenue Model

Company Description

JX Energy Ltd., an exploration and development company, engages in the exploration and development of natural gas and crude oil in Alberta, Canada. The company owns interests in the Alberta Foothills liquids-rich natural gas properties; and the Peace River light oil properties in Dawson area. As of December 31, 2021, it had approximately 50,000 net acres of land in the Western Canadian Sedimentary Basin; 5,092 thousand barrels of oil equivalent (Mboe) of net proved reserves; and 6,937 Mboe of net proved plus probable reserves. The company was formerly known as Persta Resources Inc. and changed its name to JX Energy Ltd. in June 2022. JX Energy Ltd. was incorporated in 2005 and is headquartered in Calgary, Canada.

How the Company Makes Money

JX Energy Ltd. makes money through the sale of the oil and gas it extracts. The company's revenue model is based on the production and sale of these commodities to various markets, including domestic and international buyers. Key revenue streams include the direct sale of crude oil and natural gas to refineries and distribution companies, as well as potential partnerships with other energy companies for joint exploration and production ventures. Prices for oil and gas, set by global markets, significantly impact the company's earnings. Additionally, JX Energy may engage in hedging strategies to manage the risks associated with fluctuating commodity prices.

JX Energy Ltd. Financial Statement Overview

Summary

JX Energy Ltd. is facing severe financial challenges. The income statement shows declining revenues and persistent losses, the balance sheet reveals a highly leveraged position with negative equity, and cash flow statements indicate severe cash constraints. These factors highlight significant financial distress.

Income Statement

JX Energy Ltd. is experiencing significant financial challenges. The company's revenue has declined sharply, and it has sustained negative gross and net profit margins. For the TTM, the gross profit margin is negative due to substantial costs exceeding revenue, and the net profit margin is also negative. Revenue has decreased significantly compared to previous years, indicating a concerning downward trend. The negative EBIT and EBITDA margins further highlight operational inefficiencies and ongoing financial distress.

Balance Sheet

The balance sheet reveals a weak financial position, with negative stockholders' equity indicating more liabilities than assets. The debt-to-equity ratio is not meaningful due to negative equity, but the high level of total debt suggests high leverage, posing significant financial risks. Return on equity is negative, reflecting ongoing losses. The negative equity ratio highlights a concerning lack of financial stability and reliance on debt.

Cash Flow

Cash flow analysis shows negative free cash flow growth, with the company continuing to spend more on capital expenditures than it generates from operations. The operating cash flow to net income ratio is negative, indicating operational cash is insufficient to cover net losses. The free cash flow to net income ratio is also negative, reinforcing the lack of cash flow coverage for ongoing losses. Despite some financing activities, cash flow remains a significant concern.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	6.41M	4.97M	13.54M	26.95M	21.47M	13.28M
Gross Profit	-10.40M	-10.09M	-6.83M	16.20M	13.23M	6.95M
EBITDA	-11.53M	-10.85M	-13.25M	5.85M	4.95M	-12.24M
Net Income	-21.88M	-20.27M	-21.15M	-4.34M	-4.87M	-35.75M
Balance Sheet
Total Assets	21.92M	25.89M	35.51M	52.40M	52.98M	44.67M
Cash, Cash Equivalents and Short-Term Investments	501.05K	211.49K	363.31K	333.23K	587.93K	1.07M
Total Debt	19.18M	16.27M	16.07M	19.87M	27.80M	28.31M
Total Liabilities	51.47M	47.35M	41.01M	43.72M	47.97M	39.51M
Stockholders Equity	-29.55M	-21.46M	-5.50M	8.68M	5.01M	5.16M
Cash Flow
Free Cash Flow	-1.22M	-3.30M	323.72K	1.58M	-2.63M	-4.78M
Operating Cash Flow	-349.66K	-2.74M	4.10M	13.28M	2.26M	-4.61M
Investing Cash Flow	-874.00K	1.33M	-3.65M	-11.69M	-4.89M	392.77K
Financing Cash Flow	1.16M	1.26M	-416.51K	-1.84M	2.15M	4.23M

JX Energy Ltd. Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 0.35
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:3395, the sentiment is Neutral. The current price of 0.35 is below the 20-day moving average (MA) of 0.37, below the 50-day MA of 0.41, and above the 200-day MA of 0.22, indicating a neutral trend. The MACD of -0.02 indicates Negative momentum. The RSI at 45.53 is Neutral, neither overbought nor oversold. The STOCH value of 58.59 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for HK:3395.

JX Energy Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	65 Neutral	$15.01B	7.39	3.39%	5.33%	4.10%	-61.80%
3395	44 Neutral	HK$204.90M	―		―	-41.07%	22.63%
SMTLF	―	$227.28M	―	-35.49%	―	―	―
NC2B	―	€106.62B	6.87	17.60%	―	―	―
19MA	―		―		―	―	―
2728	―	HK$155.93M	17.33	-25.25%	―	―	―
0353	68 Neutral	HK$340.38M	1.33	22.57%	―	-37.38%	337.64%

JX Energy Ltd. Corporate Events

JX Energy Ltd. Releases Unaudited Interim Financial Results

JX Energy Ltd. has announced its unaudited financial results for the three and six months ending June 30, 2025. The results were reviewed by the Board and its Audit and Risk Committee, though not audited by an independent auditor. This announcement follows the rules of the Hong Kong Stock Exchange, where the company is listed. The release of these interim results provides stakeholders with insights into the company’s financial performance during the specified period, although the lack of an auditor review may affect the perceived reliability of the financial data.

JX Energy Ltd. Announces New Share Issue Under General Mandate

JX Energy Ltd., a company incorporated in Alberta, has announced a proposed issue of new shares under a general mandate. The company has entered into a Subscription Agreement to issue 7,775,884 shares at a price of HK$0.436 each, representing a 1.33% increase in its issued share capital. The subscription price reflects a 3.81% premium over the closing price on the agreement date. The gross proceeds are expected to be approximately C$594,139, with net proceeds intended for specific applications as outlined by the company. The completion of this subscription is subject to certain conditions, and the company plans to seek listing approval for these shares on the Stock Exchange.

JX Energy Ltd. Schedules Board Meeting to Approve Interim Results

JX Energy Ltd. has announced a board meeting scheduled for August 13, 2025, in Calgary, Canada, to approve the interim results for the first half of 2025 and consider the recommendation for an interim dividend. This meeting is significant as it will determine the company’s financial performance and potential shareholder returns, impacting its market position and stakeholder interests.

JX Energy Ltd. Advances Natural Gas Power Project

JX Energy Ltd. has announced the initiation of the engineering, procurement, and construction phase for its 9.6MW natural gas power plant project in Alberta. This move is strategic to maintain project momentum despite pending regulatory permits. The estimated cost for this phase is approximately C$5.84 million, with funding expected through equity financing, subject to further approvals. This project aims to address the rising electricity demand in Alberta, potentially enhancing the company’s market position.

JX Energy Ltd. Announces Successful Resolutions at Shareholder Meeting

JX Energy Ltd. announced the successful passing of all resolutions at its annual general and special meeting of shareholders held on June 30, 2025. The resolutions included the election and re-election of five directors and the re-appointment of Moore CPA Limited as auditors, reflecting stability and continuity in the company’s governance structure.

JX Energy Ltd. Announces 2025 Annual General Meeting

JX Energy Ltd. has announced its upcoming annual general and special meeting of shareholders, scheduled for June 30, 2025, in Calgary, Alberta. The meeting will address several key matters, including the presentation of audited financial statements for the year ended December 31, 2024, the election of directors, the appointment of auditors, and the consideration of resolutions related to share issuance and repurchase mandates. These decisions are significant for the company’s governance and strategic direction, potentially impacting its market operations and shareholder interests.