Athabasca Oil (ATH) AI Stock Analysis

• Market Cap: C$3.34B
• Dividend Yield: N/A
• Average Volume (3M): 2.61M
• Price to Earnings (P/E): 7.6
• Beta (1Y): 1.48
• Revenue Growth: 3.04%
• EPS Growth: 115.77%
• Country: CA
• Employees: 181
• Sector: Energy
• Sector Strength: 52
• Industry: Oil & Gas Exploration & Production
• EPS (TTM): 0.14
• Shares Outstanding: 486,100,000
• 10 Day Avg. Volume: 2,265,416
• 30 Day Avg. Volume: 2,608,945
• PEG Ratio: >-0.01
• Price to Book (P/B): 1.67
• Price to Sales (P/S): 2.02
• P/FCF Ratio: 10.09
• 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: C$7.30
• Price Target Upside: 7.35% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 5
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 78 Outperform
• Price Target: C$9.00 ▲(32.35% Upside)

Athabasca Oil's strong financial recovery and robust technical indicators are the primary drivers of its high score. The company's solid financial position and strategic investments in growth projects further enhance its outlook. However, challenges in sustaining revenue and free cash flow growth, along with the lack of a dividend yield, slightly temper the overall score.

Positive Factors

Profitability

Athabasca Oil's strong net profit margin and cost management reflect its ability to maintain profitability, ensuring long-term financial health.

Balance Sheet Health

A low debt-to-equity ratio indicates prudent financial management, providing the company with flexibility to invest in growth opportunities.

Cash Generation

Growth in free cash flow highlights Athabasca Oil's ability to generate cash, supporting operations and potential future investments.

Negative Factors

Revenue Growth Decline

A decline in revenue growth suggests challenges in maintaining sales momentum, which could impact future profitability and market position.

Market Conditions

Dependence on volatile oil prices and infrastructure constraints can affect revenue stability, posing risks to consistent financial performance.

Revenue Concentration

Heavy reliance on oil and gas sales exposes Athabasca Oil to sector-specific risks, potentially impacting revenue diversification and stability.

Athabasca Oil Business Overview & Revenue Model

Company Description

Athabasca Oil Corporation (ATH) is a Canadian oil and gas company focused on the development of oil sands and conventional oil resources in Alberta, Canada. The company operates primarily in two segments: the Thermal Oil segment, which involves the extraction of heavy oil from oil sands using steam-assisted gravity drainage (SAGD) technology, and the Light Oil segment, which focuses on conventional oil and natural gas production. Athabasca Oil is committed to sustainable practices and operational excellence while aiming to maximize shareholder value through its diverse portfolio of energy assets.

How the Company Makes Money

Athabasca Oil generates revenue primarily through the sale of crude oil and natural gas. The company earns income from its Thermal Oil operations by extracting heavy crude oil from oil sands and selling it at market prices, which can be influenced by global oil prices and local infrastructure constraints. Additionally, the Light Oil segment contributes revenue by producing and selling conventional oil and natural gas. Key revenue streams include direct sales to refineries and other market participants. The company may also engage in joint ventures and partnerships to enhance its operational capabilities and expand its market reach, which can further support its earnings.

Athabasca Oil Financial Statement Overview

Summary

Athabasca Oil demonstrates a strong financial recovery with impressive profitability and efficient operations. The balance sheet is robust, with low leverage and strong equity returns. However, recent revenue and free cash flow growth challenges highlight areas for improvement in sustaining growth momentum.

Income Statement

Athabasca Oil's income statement shows a strong recovery from previous years, with a notable improvement in net profit margin to 32.25% in TTM. Despite a slight revenue decline recently, the company maintains robust EBIT and EBITDA margins, indicating efficient operations. However, the negative revenue growth rate in TTM suggests potential challenges in sustaining revenue momentum.

Balance Sheet

The balance sheet reflects a solid financial position with a low debt-to-equity ratio of 0.11, indicating prudent leverage management. The return on equity is strong at 27.06%, showcasing effective use of equity to generate profits. The equity ratio remains healthy, underscoring financial stability.

Cash Flow

Cash flow analysis reveals a decline in free cash flow growth in TTM, but the company maintains a strong operating cash flow to net income ratio of 2.65. This suggests good cash generation relative to net income, although the decrease in free cash flow growth rate indicates potential cash flow challenges.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.40B	1.44B	1.20B	1.50B	1.02B	464.65M
Gross Profit	655.71M	751.90M	414.79M	731.03M	564.58M	159.88M
EBITDA	755.33M	781.05M	110.46M	370.67M	649.06M	-457.96M
Net Income	462.85M	467.74M	-51.22M	572.27M	457.61M	-720.71M
Balance Sheet
Total Assets	2.53B	2.47B	2.05B	2.23B	1.74B	1.43B
Cash, Cash Equivalents and Short-Term Investments	334.55M	344.84M	343.31M	197.53M	223.06M	165.20M
Total Debt	198.08M	199.73M	185.54M	206.13M	384.30M	559.50M
Total Liabilities	634.41M	610.88M	465.18M	519.86M	716.17M	858.96M
Stockholders Equity	1.78B	1.75B	1.58B	1.71B	1.03B	567.02M
Cash Flow
Free Cash Flow	311.53M	289.50M	165.69M	168.17M	102.11M	-134.55M
Operating Cash Flow	540.88M	557.54M	305.53M	315.62M	194.25M	-22.91M
Investing Cash Flow	-294.38M	-251.34M	20.56M	-146.00M	22.70M	-60.99M
Financing Cash Flow	-252.85M	-328.68M	-170.73M	-204.95M	-159.20M	-2.58M

Athabasca Oil Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 6.80
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:ATH, the sentiment is Neutral. The current price of 6.8 is below the 20-day moving average (MA) of 7.49, below the 50-day MA of 7.15, and above the 200-day MA of 5.96, indicating a neutral trend. The MACD of -0.09 indicates Positive momentum. The RSI at 33.77 is Neutral, neither overbought nor oversold. The STOCH value of 4.78 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for TSE:ATH.

Athabasca Oil Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ATH	78 Outperform	C$3.34B	7.59	27.19%	―	3.04%	115.77%
BTE	75 Outperform	C$3.33B	15.54	5.16%	2.15%	-8.89%	―
NVA	74 Outperform	C$3.47B	10.81	13.57%	―	-6.14%	14.09%
TVE	73 Outperform	C$3.72B	-38.52	-4.70%	2.07%	-1.36%	-149.45%
Sector *	65 Neutral	$15.17B	7.61	4.09%	5.20%	3.87%	-62.32%
POU	65 Neutral	C$3.44B	2.52	41.81%	2.92%	-32.36%	282.99%
IPCO	60 Neutral	C$2.72B	57.98	3.59%	―	-9.12%	-70.87%

Athabasca Oil Corporate Events

Athabasca Oil Reports Strong Q3 2025 Results and Continued Growth

Athabasca Oil Corporation reported strong third quarter results for 2025, highlighting consistent operational performance and a solid financial position. The company achieved a 2% year-over-year production growth, with significant cash flow and shareholder returns through share buybacks. Athabasca continues to invest in its Leismer growth project and anticipates further development at its Corner and Hangingstone operations. The company maintains a net cash position and is well-positioned for future growth, with production expected to reach the upper end of its guidance.