Arrow Exploration Corp (AXL) AI Stock Analysis

• Market Cap: C$80.04M
• Dividend Yield: N/A
• Average Volume (3M): 118.75K
• Price to Earnings (P/E): 4.4
• Beta (1Y): 0.56
• Revenue Growth: 67.84%
• EPS Growth: 2233.33%
• Country: CA
• Employees: 35
• Sector: Energy
• Sector Strength: 47
• Industry: Oil & Gas Exploration & Production
• EPS (TTM): 0.06
• Shares Outstanding: 285,864,350
• 10 Day Avg. Volume: 64,475
• 30 Day Avg. Volume: 118,745
• PEG Ratio: 0.00199
• Price to Book (P/B): N/A
• Price to Sales (P/S): 0.00
• Price to Cash Flow (P/CF): 0.00
• P/FCF Ratio: 0.00
• Enterprise Value/Market Cap: 1.45
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: 3.58
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: C$0.51
• Price Target Upside: 82.14% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1

Arrow Exploration Corp's overall score is bolstered by its strong financial performance, including impressive revenue and profit growth, and efficient cash flow management. Despite the positive financials, technical analysis indicates bearish momentum, which suggests caution. The stock appears undervalued based on its P/E ratio, providing a potential buying opportunity for value investors. The absence of earnings call insights or notable corporate events means these areas did not influence the score.

Arrow Exploration Corp Business Overview & Revenue Model

Company Description

Arrow Exploration Corp (AXL) is a publicly traded oil and gas exploration and production company. The company focuses on identifying, acquiring, and developing oil and natural gas properties, primarily in Colombia and Canada. With an emphasis on onshore operations, Arrow Exploration leverages its technical expertise and strategic partnerships to optimize resource extraction and deliver energy solutions.

How the Company Makes Money

Arrow Exploration Corp makes money through the exploration, development, and production of oil and natural gas. The company's revenue model is centered around the sale of crude oil and natural gas extracted from its properties. Key revenue streams include the production of hydrocarbons from operated and non-operated assets, as well as potential joint ventures and partnerships that enhance field development and operational efficiency. The company's earnings are influenced by market prices for oil and gas, production volumes, and operational costs. Strategic partnerships and technological advancements also play a significant role in maximizing resource recovery and profitability.

Arrow Exploration Corp Financial Statement Overview

Summary

Arrow Exploration Corp is experiencing robust revenue growth and strong operational efficiency, yet profitability and free cash flow generation remain areas for improvement. The company's low leverage provides financial stability, but enhancing net income and free cash flow will be crucial for sustained growth and shareholder value.

Income Statement

Arrow Exploration Corp has demonstrated substantial revenue growth, with a TTM revenue increase of 43.7% compared to the previous year. The gross profit margin is strong at 69.7%, but the net profit margin is low at 0.8%, indicating profitability issues despite high revenue. The EBITDA margin of 38.8% reflects healthy operational efficiency, though net income needs improvement.

Balance Sheet

The balance sheet shows a solid equity base with an equity ratio of 72.1%. The debt-to-equity ratio is low at 0.004, suggesting minimal leverage risk. Return on Equity (ROE) is low at 1.1%, indicating limited shareholder returns despite financial stability.

Cash Flow

Operating cash flow has improved significantly, but free cash flow remains negative due to high capital expenditures. The operating cash flow to net income ratio is strong at 52.9, indicating good cash generation relative to net income, yet challenges persist in achieving positive free cash flow.

Breakdown
Dec 2023	Dec 2022	Dec 2021	Dec 2020	Dec 2019
Income Statement		Total Revenue
50.60M	28.14M	7.16M	5.59M	28.22M
	Gross Profit
32.48M	19.44M	4.89M	3.27M	16.98M
	EBIT
0.00	6.44M	-997.54K	-7.80M	-5.18M
	EBITDA
15.36M	14.43M	625.39K	-5.75M	3.12M
	Net Income Common Stockholders
-1.11M	346.52K	5.69M	-32.23M	-5.98M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
12.33M	13.06M	10.88M	11.47M	1.09M
	Total Assets
62.28M	53.19M	41.20M	33.53M	72.75M
	Total Debt
320.59K	1.96M	3.41M	5.87M	5.97M
	Net Debt
-11.81M	-11.10M	-7.47M	-5.60M	4.89M
	Total Liabilities
20.77M	27.29M	17.24M	20.74M	27.59M
	Stockholders Equity
41.51M	25.90M	23.96M	12.79M	45.16M
Cash Flow		Free Cash Flow
-10.61M	4.37M	-6.22M	-3.19M	-4.94M
	Operating Cash Flow
16.48M	12.04M	-4.51M	-2.30M	3.86M
	Investing Cash Flow
-22.58M	-8.38M	-4.05M	12.78M	-4.64M
	Financing Cash Flow
5.39M	-1.44M	8.10M	-29.05K	-71.47K

Arrow Exploration Corp Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.28
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:AXL, the sentiment is Negative. The current price of 0.28 is below the 20-day moving average (MA) of 0.30, below the 50-day MA of 0.32, and below the 200-day MA of 0.43, indicating a bearish trend. The MACD of -0.01 indicates Positive momentum. The RSI at 35.67 is Neutral, neither overbought nor oversold. The STOCH value of >-0.01 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for TSE:AXL.

Arrow Exploration Corp Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
POU	74 Outperform	C$2.27B	6.87	9.38%	28.03%	3.08%	-30.22%
MEG	71 Outperform	$5.16B	10.62	11.22%	1.52%	-8.92%	-5.46%
AXL	66 Neutral	C$80.04M	4.44	27.48%	―	67.84%	2233.33%
VET	63 Neutral	$1.32B	―	-1.59%	5.80%	-1.72%	79.87%
BIR	57 Neutral	$1.56B	27.48	2.51%	5.75%	-26.02%	464.95%
Sector *	56 Neutral	$6.99B	3.72	-4.39%	5.96%	-0.24%	-48.44%