tiprankstipranks
Trending News
More News >
Birchcliff Energy (TSE:BIR)
TSX:BIR
Advertisement

Birchcliff Energy (BIR) AI Stock Analysis

Compare
598 Followers

Top Page

TSE:BIR

Birchcliff Energy

(TSX:BIR)

Select Model
Select Model
Select Model
Neutral 60 (OpenAI - 4o)
Rating:60Neutral
Price Target:
C$6.50
▲(1.09% Upside)
Birchcliff Energy's overall stock score reflects a balanced view of its financial performance, technical indicators, and valuation. The company's strong balance sheet and improved profitability are offset by operational challenges and cash flow concerns. Technical analysis shows mixed signals, while the valuation suggests moderate pricing. The absence of earnings call and corporate events data limits additional insights.
Positive Factors
Improved Profitability
The significant improvement in net profit margin indicates enhanced profitability, suggesting better cost management and operational efficiency, which can support long-term financial health.
Strong Balance Sheet
A strong balance sheet with low leverage enhances financial stability and flexibility, allowing the company to invest in growth opportunities and weather economic downturns.
Efficient Cash Generation
Efficient cash generation relative to net income suggests robust operational performance, providing the company with the necessary liquidity to fund operations and invest in future growth.
Negative Factors
Negative Free Cash Flow
Negative free cash flow indicates challenges in sustaining cash flow, which could impact the company's ability to invest in growth and service debt, posing a risk to long-term financial health.
Rising Debt Levels
Rising debt levels, if not managed carefully, can strain financial resources and limit strategic flexibility, potentially impacting the company's ability to capitalize on growth opportunities.
Negative EBIT Margins
Negative EBIT margins indicate operational inefficiencies, which could hinder profitability and competitiveness, necessitating strategic adjustments to improve cost management and operational execution.

Birchcliff Energy (BIR) vs. iShares MSCI Canada ETF (EWC)

Birchcliff Energy Business Overview & Revenue Model

Company DescriptionBirchcliff Energy Ltd. is a Canadian oil and natural gas exploration and production company headquartered in Calgary, Alberta. The company primarily operates in the Peace River Arch region of Alberta, focusing on the development of its extensive resource base in the Montney and Doig formations. Birchcliff is engaged in the exploration, production, and marketing of crude oil, natural gas liquids, and natural gas, aiming to deliver sustainable growth and value for its shareholders through responsible resource development.
How the Company Makes MoneyBirchcliff Energy generates revenue primarily through the sale of crude oil, natural gas, and natural gas liquids. The company’s revenue model is largely driven by the production volumes of these commodities, which are sold to various market participants including utilities, industrial customers, and other energy companies. Key revenue streams include the sale of natural gas, which typically constitutes the largest portion of their income, followed by crude oil and natural gas liquids. Birchcliff also engages in hedging strategies to manage price volatility, which can provide additional financial stability. Significant partnerships with midstream companies for transportation and processing services further enhance their earnings potential, ensuring efficient delivery to market and optimal pricing for their products.

Birchcliff Energy Financial Statement Overview

Summary
Birchcliff Energy shows a mixed financial performance with positive revenue growth and improved net profit margin. However, negative EBIT margins and cash flow challenges indicate operational difficulties. The balance sheet is strong with low leverage, but increasing debt levels pose potential risks.
Income Statement
65
Positive
Birchcliff Energy's income statement shows a mixed performance. The company has achieved a positive revenue growth rate of 2.25% in the TTM period, indicating a recovery from previous declines. However, the EBIT margin is negative, reflecting operational challenges. The net profit margin has improved significantly to 20.33% in the TTM, showcasing enhanced profitability. Despite these improvements, the volatility in margins suggests potential risks in maintaining consistent profitability.
Balance Sheet
72
Positive
The balance sheet of Birchcliff Energy is relatively strong, with a debt-to-equity ratio of 0.28, indicating a conservative leverage position. The return on equity has improved to 6.19% in the TTM, reflecting better utilization of equity. The equity ratio remains stable, suggesting a solid financial foundation. However, the increase in total debt over the years could pose future risks if not managed carefully.
Cash Flow
58
Neutral
Cash flow analysis reveals some concerns for Birchcliff Energy. The free cash flow growth rate is negative, indicating challenges in generating free cash flow. The operating cash flow to net income ratio is strong at 2.04, suggesting efficient cash generation relative to net income. However, the negative free cash flow to net income ratio highlights potential issues in sustaining free cash flow, which could impact future investments and debt servicing.
BreakdownTTMDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue648.22M601.44M699.93M1.20B877.34M523.99M
Gross Profit366.68M309.52M406.52M922.45M616.53M289.93M
EBITDA393.84M358.45M268.88M1.09B648.14M166.53M
Net Income76.59M56.10M9.78M656.83M314.68M-57.82M
Balance Sheet
Total Assets3.47B3.56B3.25B3.24B3.19B3.21B
Cash, Cash Equivalents and Short-Term Investments31.00K50.00K55.00K74.00K63.00K60.00K
Total Debt643.80M686.93M384.71M145.57M554.57M788.33M
Total Liabilities1.23B1.36B1.03B826.41M1.27B1.58B
Stockholders Equity2.24B2.20B2.23B2.41B1.92B1.63B
Cash Flow
Free Cash Flow28.70M-82.69M12.53M556.73M282.89M-101.49M
Operating Cash Flow345.60M200.31M320.53M925.27M515.37M188.18M
Investing Cash Flow-320.36M-293.36M-338.86M-338.54M-247.38M-278.66M
Financing Cash Flow-25.32M93.05M18.32M-586.73M-267.98M90.47M

Birchcliff Energy Technical Analysis

Technical Analysis Sentiment
Positive
Last Price6.43
Price Trends
50DMA
6.05
Positive
100DMA
6.50
Negative
200DMA
6.20
Positive
Market Momentum
MACD
0.05
Negative
RSI
65.75
Neutral
STOCH
95.91
Negative
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:BIR, the sentiment is Positive. The current price of 6.43 is above the 20-day moving average (MA) of 5.94, above the 50-day MA of 6.05, and above the 200-day MA of 6.20, indicating a bullish trend. The MACD of 0.05 indicates Negative momentum. The RSI at 65.75 is Neutral, neither overbought nor oversold. The STOCH value of 95.91 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TSE:BIR.

Birchcliff 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
74
Outperform
$3.15B2.1544.56%4.02%-18.29%317.52%
69
Neutral
$1.65B8.9225.93%5.96%8.47%-1.60%
67
Neutral
$2.44B6.769.05%2.82%-7.76%
65
Neutral
$15.17B7.614.09%5.20%3.87%-62.32%
60
Neutral
$1.61B20.853.27%2.95%-15.60%85.49%
57
Neutral
$1.85B34.913.28%24.90%-33.81%
54
Neutral
$1.56B4.40%5.03%-1.60%76.21%
* Energy Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
TSE:BIR
Birchcliff Energy
6.43
1.32
25.81%
TSE:AAV
Advantage Energy
11.33
2.21
24.23%
TSE:BTE
Baytex Energy
3.19
-0.67
-17.27%
TSE:VET
Vermilion Energy
10.29
-2.42
-19.06%
TSE:POU
Paramount Resources
22.37
8.95
66.64%
TSE:HWX
Headwater Exploration
7.22
0.99
15.97%

Birchcliff Energy Corporate Events

Birchcliff Energy Reports Strong Q2 2025 Performance
Aug 19, 2025

Birchcliff Energy Ltd. is a Calgary-based company operating in the oil and gas sector, primarily focusing on the exploration and production of natural gas and related liquids in the Montney and Doig resource plays.

Business Operations and StrategyDividendsFinancial Disclosures
Birchcliff Energy Reports Strong Q2 2025 Results and Declares Dividend
Positive
Aug 13, 2025

Birchcliff Energy Ltd. reported strong financial and operational results for Q2 2025, with significant production from new wells targeting condensate-rich natural gas. The company achieved a 1% increase in average production compared to the previous year and saw substantial growth in cash flow and adjusted funds flow. Birchcliff’s strategic focus on market diversification and capital efficiency has strengthened its financial position, allowing it to declare a quarterly dividend and plan for debt reduction by the end of the year.

The most recent analyst rating on (TSE:BIR) stock is a Buy with a C$7.00 price target. To see the full list of analyst forecasts on Birchcliff Energy stock, see the TSE:BIR Stock Forecast page.

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: Oct 21, 2025