Bengal Energy (BNG) AI Stock Analysis

• Market Cap: C$12.13M
• Dividend Yield: N/A
• Average Volume (3M): 64.33K
• Price to Earnings (P/E): ―
• Beta (1Y): -1.98
• Revenue Growth: -32.11%
• EPS Growth: 66.67%
• Country: CA
• Employees: 5
• Sector: Energy
• Sector Strength: 52
• Industry: Oil & Gas Exploration & Production
• EPS (TTM): >-0.01
• Shares Outstanding: 485,304,230
• 10 Day Avg. Volume: 55,217
• 30 Day Avg. Volume: 64,335
• PEG Ratio: <0.01
• Price to Book (P/B): 0.35
• Price to Sales (P/S): 1.50
• P/FCF Ratio: -12.99
• 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
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 52 Neutral
• Price Target: C$0.03 ▲(150.00% Upside)
• Action: Reiterated Date: 02/20/26
• Date: Action: Reiterated 02/20/26

The score is held back primarily by weak financial performance (declining revenue, ongoing losses, and negative operating/free cash flow), partially offset by a relatively conservative balance sheet and moderately positive technical momentum (price above longer-term averages with positive MACD). Valuation remains unattractive/limited given negative earnings and no dividend yield data.

Positive Factors

Low financial leverage

Very low debt reduces solvency and refinancing risk for an E&P operator, preserving financial flexibility across commodity cycles. That balance-sheet conservatism supports the ability to fund maintenance capex or absorb temporary cash shortfalls without immediate asset sales or distress financing.

High gross margins

Sustainably high gross margins imply attractive unit economics on produced hydrocarbons, giving the company a meaningful buffer against commodity price swings. If operating costs and volumes stabilize, those margins can help restore operating profitability over a multi-quarter horizon.

Established producing onshore assets

Having a defined producing footprint in the Cooper Basin provides an existing production base, local infrastructure and operational know-how. That reduces exploration execution risk versus greenfield peers and enables incremental returns from optimization or targeted development of known permits.

Negative Factors

Declining revenue and recurring losses

Falling revenue combined with persistent negative EBIT and net losses undermines the firm's ability to internally fund operations and growth. Over several quarters this trend increases reliance on external capital, hurts reinvestment capacity, and weakens long‑term viability if unaddressed.

Negative operating and free cash flow

Negative OCF and FCF indicate the business is currently cash‑consuming, elevating refinancing and liquidity risk. For an exploration and production company, sustained negative cash flow limits the ability to drill, maintain wells, or infrastructure, and may force asset disposals or equity issuance.

Earnings volatility and cost pressure

Material year-to-year swings in profits and operating costs that outstrip gross profit create uncertainty over sustainable margins and project returns. This volatility raises the firm's cost of capital, complicates planning, and reduces investor confidence in multi‑period cash generation.

Bengal Energy Business Overview & Revenue Model

Company Description

Bengal Energy Ltd. engages in the exploration, development, and production of oil and gas reserves in Australia. It principally holds interests in the PL 303 Cuisinier, ATP 934 Barrolka, ATP 732 Tookoonooka, and four petroleum licenses situated within an area of the Cooper Basin. The company was formerly known as Avery Resources Inc. and changed its name to Bengal Energy Ltd. in July 2008. Bengal Energy Ltd. was incorporated in 1999 and is headquartered in Calgary, Canada.

How the Company Makes Money

Bengal Energy makes money through the exploration, development, and production of oil and natural gas. Revenue is primarily generated by selling produced oil and gas at market prices. The company holds interests in various exploration and production licenses, allowing it to extract hydrocarbons and sell them to wholesalers, refiners, and other customers in the energy market. Key revenue streams include the sale of crude oil, natural gas, and condensates. Significant factors contributing to Bengal Energy's earnings include fluctuations in global oil and gas prices, production volumes, and operational efficiency. The company may also engage in strategic partnerships and joint ventures to enhance its exploration and production capabilities, although specific partnerships are not detailed here.

Bengal Energy Financial Statement Overview

Summary

Financial performance is weak overall: revenue is down ~12.7% TTM, EBIT and net income are negative, and operating/free cash flow are negative. A low debt-to-equity (~0.07) supports solvency, but recurring losses and cash burn materially raise risk until profitability and cash generation improve.

Income Statement

TTM (Trailing-Twelve-Months) revenue declined about 12.7% and profitability is weak: EBIT and net income are negative, with net losses roughly matching revenue in size. Gross margin remains healthy (high-50% range in TTM), but operating costs overwhelm gross profit. Results also look volatile across years (profits in 2021/2023, then sizable losses in 2024/2025), which reduces confidence in earnings stability.

Balance Sheet

The balance sheet is relatively conservative: total debt is low versus equity (TTM debt-to-equity around 0.07), suggesting limited financial leverage and lower solvency risk. However, ongoing losses are pressuring returns on equity (negative in TTM and 2025 annual), indicating the capital base is not currently generating adequate shareholder returns.

Cash Flow

Cash generation is currently weak: TTM operating cash flow and free cash flow are both negative, implying the business is not self-funding operations and investment needs. While free cash flow decline has improved versus the prior period (positive growth rate off a negative base), the company still shows a pattern of negative free cash flow across multiple years, increasing funding/refinancing risk if losses persist.

Breakdown	TTM	Mar 2024	Mar 2023	Mar 2022	Mar 2021	Mar 2020
Income Statement
Total Revenue	3.76M	5.12M	8.15M	7.65M	5.23M	8.10M
Gross Profit	1.47M	1.29M	6.48M	6.12M	3.59M	6.39M
EBITDA	-3.41M	-3.03M	1.96M	745.00K	6.17M	-219.00K
Net Income	-4.34M	-4.18M	703.00K	-374.00K	3.93M	-2.90M
Balance Sheet
Total Assets	30.06M	30.64M	49.70M	48.58M	44.25M	39.57M
Cash, Cash Equivalents and Short-Term Investments	395.00K	708.00K	795.00K	5.41M	4.53M	998.00K
Total Debt	1.70M	1.70M	32.00K	68.00K	99.00K	17.90M
Total Liabilities	6.88M	6.60M	8.16M	6.66M	5.52M	22.63M
Stockholders Equity	23.18M	24.04M	41.53M	41.92M	38.73M	16.94M
Cash Flow
Free Cash Flow	-656.00K	-448.00K	-3.38M	-2.26M	-892.00K	-886.00K
Operating Cash Flow	-598.00K	-392.00K	2.11M	835.00K	301.00K	1.13M
Investing Cash Flow	1.85M	265.00K	-6.71M	-4.06M	-680.00K	-2.76M
Financing Cash Flow	-1.57M	139.00K	-40.00K	4.12M	3.83M	-160.00K

Bengal Energy Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.01
• 50DMA: Positive
• 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:BNG, the sentiment is Positive. The current price of 0.01 is below the 20-day moving average (MA) of 0.02, below the 50-day MA of 0.02, and below the 200-day MA of 0.02, indicating a neutral trend. The MACD of <0.01 indicates Positive momentum. The RSI at 57.52 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 Positive sentiment for TSE:BNG.

Bengal Energy Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
VUX	66 Neutral	C$13.23M	180.90	12.78%	―	16.71%	―
Sector *	65 Neutral	$15.17B	7.61	4.09%	5.20%	3.87%	-62.32%
BNG	52 Neutral	C$12.13M	-4.39	-16.45%	―	-32.11%	66.67%
BDR	45 Neutral	C$9.05M	-0.40	-575.47%	―	―	-920.00%
PUL	45 Neutral	C$9.35M	-19.63	-20.40%	―	-23.57%	-388.89%
CEC	41 Neutral	C$7.90M	-3.53	-43.43%	―	―	-1150.00%

Bengal Energy Corporate Events

Bengal Energy Q3 Results Highlight Revenue Drop and Capital Market Constraints

Bengal Energy reported third-quarter fiscal 2026 crude oil sales of $1.0 million, down 29% year over year, as average production slipped 7% to 115 barrels per day and realized prices fell about 15%. Funds used in operations were $0.1 million and the net loss held at $0.4 million, with reduced revenue partially offset by lower operating and general and administrative expenses.

Operationally, the company brought four worked-over Cuisinier wells back onstream, though output has yet to recover to pre-workover levels and Bengal is seeking clarity from the operator on production performance and allocation. Management noted that weak oil prices and effectively closed junior equity markets have stalled farm-out, acquisition and divestiture initiatives, underscoring the constraints on its growth and capital-raising options.

The most recent analyst rating on (TSE:BNG) stock is a Hold with a C$0.02 price target. To see the full list of analyst forecasts on Bengal Energy stock, see the TSE:BNG Stock Forecast page.