Bonterra Energy (BNE) AI Stock Analysis

• Market Cap: $132.13M
• Dividend Yield: N/A
• Average Volume (3M): 21.80K
• Price to Earnings (P/E): 12.9
• Beta (1Y): 1.53
• Revenue Growth: -12.01%
• EPS Growth: -77.35%
• Country: CA
• Employees: 41
• Sector: Energy
• Sector Strength: 85
• Industry: Oil & Gas Exploration & Production
• EPS (TTM): 0.27
• Shares Outstanding: 37,324,880
• 10 Day Avg. Volume: 24,146
• 30 Day Avg. Volume: 21,805
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): 0.55
• Price to Cash Flow (P/CF): -1.30
• P/FCF Ratio: 0.00
• 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: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0

Bonterra Energy's overall score of 60 reflects a balanced view of its financial performance, technical analysis, and corporate events. The company shows strong operational efficiency and strategic growth through recent acquisitions and reserve increases. However, challenges in profitability and cash flow need addressing. Technical indicators suggest a cautious approach, but the reasonable valuation and improved financial structure provide a stable foundation for potential growth.

Bonterra Energy Business Overview & Revenue Model

Company Description

Bonterra Energy Corp., a conventional oil and gas company, engages in the development and production of oil and natural gas in the Western Canadian Sedimentary Basin. Its principal properties include Pembina and Willesden Green Cardium fields located in central Alberta. The company also has non-core properties located in the Provinces of Saskatchewan and British Columbia. Bonterra Energy Corp. is headquartered in Calgary, Canada.

How the Company Makes Money

Bonterra Energy generates revenue primarily through the sale of oil and natural gas extracted from its reserves. The company sells its oil and gas production to a variety of customers, including refineries and natural gas marketers, who then process and distribute these hydrocarbons for consumer and industrial use. Bonterra's revenue streams are significantly influenced by commodity prices, production volumes, and operational efficiencies. The company may also engage in hedging strategies to mitigate the financial impact of commodity price fluctuations. Additionally, Bonterra actively invests in the exploration and development of its existing assets to enhance production capacity and extend the life of its reserves, thereby sustaining its revenue generation potential over the long term.

Bonterra Energy Financial Statement Overview

Summary

Bonterra Energy demonstrates resilience in revenue growth and operational efficiency with a strong EBITDA margin. However, challenges in profitability, as evidenced by a negative EBIT margin and declining net income, along with weakened cash flow generation, highlight areas needing improvement. The balance sheet shows stability with reduced debt levels, although return on equity has declined.

Income Statement

Bonterra Energy has shown a positive revenue growth of 2.51% in the most recent year. However, the gross profit margin has decreased from the previous year, currently standing at 19.03%. The company also faces challenges with profitability, as indicated by a significant drop in net income and a negative EBIT margin. EBITDA margin remains strong at 47.80%, demonstrating good operational efficiency.

Balance Sheet

The balance sheet reflects a stable financial position with an improved equity ratio of 55.45%, indicating a strong capital structure. The company has managed to reduce its debt levels, resulting in a lower debt-to-equity ratio of 0.29. Return on equity has significantly dropped, reflecting weaker profitability performance compared to previous years.

Cash Flow

Free cash flow has shown a decline, with a negative growth rate indicating potential liquidity issues. The operating cash flow to net income ratio is strong at 11.27, highlighting effective cash conversion. However, the free cash flow to net income ratio is negative, which raises concerns about the company's ability to fund operations and growth without external financing.

Breakdown
Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
279.96M	273.11M	384.20M	251.62M	121.64M
	Gross Profit
53.30M	95.80M	145.79M	78.41M	-3.93M
	EBIT
0.00	78.90M	133.94M	71.51M	-14.53M
	EBITDA
133.83M	174.52M	217.17M	336.66M	-286.86M
	Net Income Common Stockholders
10.20M	44.94M	79.02M	179.30M	-306.89M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
0.00	1.63M	2.03M	188.00K	62.00K
	Total Assets
975.04M	967.87M	919.68M	945.72M	731.86M
	Total Debt
156.83M	139.43M	157.45M	257.57M	300.39M
	Net Debt
156.83M	139.43M	159.47M	257.76M	300.45M
	Total Liabilities
434.40M	439.61M	439.84M	553.70M	535.23M
	Stockholders Equity
540.64M	528.26M	479.84M	392.02M	196.63M
Cash Flow		Free Cash Flow
-8.52M	14.14M	106.35M	30.44M	-10.70M
	Operating Cash Flow
114.95M	140.62M	183.55M	96.10M	32.07M
	Investing Cash Flow
-127.39M	-118.25M	-85.51M	-67.75M	-38.26M
	Financing Cash Flow
12.44M	-22.38M	-98.04M	-28.36M	6.19M

Bonterra Energy Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 3.54
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:BNE, the sentiment is Negative. The current price of 3.54 is below the 20-day moving average (MA) of 3.54, below the 50-day MA of 3.62, and below the 200-day MA of 3.94, indicating a bearish trend. The MACD of -0.02 indicates Negative momentum. The RSI at 45.72 is Neutral, neither overbought nor oversold. The STOCH value of 42.50 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for TSE:BNE.

Bonterra Energy Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
BNE	60 Neutral	$132.13M	12.94	1.93%	―	-12.01%	-77.35%
Sector *	58 Neutral	$9.08B	5.25	-7.99%	7.51%	0.47%	-64.07%

Bonterra Energy Corporate Events

Bonterra Energy Reports Record Production and Strategic Asset Growth in 2024

Bonterra Energy Corp. announced record annual production for 2024, highlighting a significant reshaping of its light oil asset portfolio. The company reported a substantial increase in net earnings and cash flow from operations, reflecting its improved financial position and operational efficiency. The acquisition of the Charlie Lake Assets contributed to the company’s asset growth, enhancing its production capabilities and market positioning. These developments underscore Bonterra’s strategic focus on strengthening its balance sheet and expanding its asset base, which is likely to have positive implications for its stakeholders.

Bonterra Energy Reports Significant Reserve Growth in 2024

Bonterra Energy Corp. recently released its 2024 independent reserve report, which highlights significant growth in its oil and gas reserves, attributed to successful capital programs and efficient operations. Despite lower commodity prices, Bonterra’s focus on disciplined capital allocation has resulted in increased reserves across all categories, improved recycle ratios, and a strong net present value for future net revenue, reinforcing its stable market position.

Bonterra Energy Secures $135 Million Note Offering to Bolster Growth

Bonterra Energy announced the successful completion of a $135 million Senior Secured Second Lien Note offering, which will mature in 2030. This strategic financial move allows Bonterra to repay its existing junior debt and strengthen its capital structure, enhancing its ability to pursue development and acquisition strategies. The offering, which was well-received by institutional investors, positions the company for future growth by providing enhanced liquidity and access to capital.

Bonterra Energy Secures $135 Million to Strengthen Financial Position

Bonterra Energy Corp. has announced a private offering of $135 million in Senior Secured Second Lien Notes due 2030, with the proceeds aimed at simplifying its capital structure by repaying existing debts and enhancing liquidity. This strategic financial move positions Bonterra to further develop its assets in the Cardium, Charlie Lake, and Montney regions, and pursue acquisition strategies, strengthening its operational and market positioning.