Baytex Energy (BTE) AI Stock Analysis

• Market Cap: $3.27B
• Dividend Yield: 2.75%
• Average Volume (3M): 6.80M
• Price to Earnings (P/E): 15.2
• Beta (1Y): 1.84
• Revenue Growth: -8.89%
• EPS Growth: N/A
• Country: CA
• Employees: 370
• Sector: Energy
• Sector Strength: 52
• Industry: Oil & Gas Exploration & Production
• EPS (TTM): 0.04
• Shares Outstanding: 768,300,000
• 10 Day Avg. Volume: 9,311,189
• 30 Day Avg. Volume: 6,803,538
• PEG Ratio: -0.07
• Price to Book (P/B): 0.71
• Price to Sales (P/S): 0.71
• P/FCF Ratio: 5.01
• Enterprise Value/Market Cap: 1.39
• Enterprise Value/Revenue: 1.21
• Enterprise Value/Gross Profit: 4.27
• Enterprise Value/Ebitda: 2.24
• 1Y Price Target: $4.88
• Price Target Upside: 14.91% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 8
• EPS Forecast (FY): 0.33
• Revenue Forecast (FY): $3.21B

• Rating: 71 Outperform
• Price Target: C$4.50 ▲(5.88% Upside)

Baytex Energy's overall stock score reflects a stable financial foundation with strong operational efficiency and moderate leverage. The earnings call provided a positive outlook with record production and robust free cash flow, despite some operational challenges. Technical indicators suggest strong momentum, although caution is advised due to overbought conditions. The valuation is fair, with a reasonable P/E ratio and dividend yield.

Positive Factors

Asset Sale

Selling the Eagle Ford assets for $2.305B strengthens Baytex's balance sheet, enhances financial flexibility, and allows focus on high-return Canadian assets.

Operational Efficiency

Enhanced operational efficiency through cost improvements supports long-term profitability and competitive positioning in the oil and gas sector.

Record Production

Record production levels indicate strong operational capabilities and potential for sustained revenue growth in core areas.

Negative Factors

Revenue Decline

Declining revenue growth can impact long-term profitability, necessitating strategic adjustments to sustain financial health.

Free Cash Flow Challenges

Negative free cash flow growth limits the company's ability to invest in future opportunities and manage debt effectively.

Commodity Price Impact

Lower commodity prices reduce cash flow expectations, affecting financial flexibility and investment capacity in the near term.

Baytex Energy Business Overview & Revenue Model

Company Description

Baytex Energy Corp., an oil and gas company, acquires, develops, and produces oil and natural gas in the Western Canadian Sedimentary Basin and in the Texas, the United States. The company offers light oil and condensate, heavy oil, natural gas liquids, and natural gas. Its principal oil and natural gas properties comprise the Eagle Ford property in Texas, Viking and Lloydminster properties in Alberta and Saskatchewan, Peace River and Duvernay properties in Alberta. The company's properties also include conventional oil and natural gas assets in Western Canada. As of December 31, 2021, it had proved developed producing reserves of 129 million barrels of oil equivalent (mmboe); proved reserves of 278 mmboe; and proved plus probable reserves of 451 mmboe. Baytex Energy Corp. was founded in 1993 and is headquartered in Calgary, Canada.

How the Company Makes Money

Baytex Energy generates revenue primarily through the exploration, production, and sale of crude oil and natural gas. The company sells its products to various markets, including refiners and distributors, which provides a diversified revenue stream. Key revenue streams include the sale of crude oil, natural gas liquids, and natural gas. Additionally, Baytex benefits from partnerships and joint ventures that enhance its operational capacity and market reach. Fluctuations in global oil and gas prices significantly impact the company's earnings, making its revenue sensitive to market conditions. The company also employs hedging strategies to mitigate risks associated with price volatility.

Baytex Energy Financial Statement Overview

Summary

Baytex Energy demonstrates a stable financial foundation with strong operational efficiency and moderate leverage. However, the company faces challenges in revenue growth and free cash flow generation. While profitability margins are healthy, focusing on revenue growth and enhancing free cash flow will be crucial for sustaining long-term financial health.

Income Statement

Baytex Energy's income statement shows a mixed performance. The TTM (Trailing-Twelve-Months) gross profit margin of 37.90% is strong, indicating effective cost management. However, the net profit margin of 9.80% and a negative revenue growth rate of -16.20% suggest challenges in maintaining profitability and growth. The EBIT and EBITDA margins are healthy at 18.42% and 53.88%, respectively, reflecting operational efficiency. Despite these strengths, the declining revenue growth rate is a concern.

Balance Sheet

The balance sheet reflects a stable financial position with a debt-to-equity ratio of 0.52, indicating moderate leverage. The return on equity (ROE) of 8.95% shows decent profitability relative to shareholders' equity. The equity ratio of 54.10% suggests a solid capital structure. While the company has managed its debt well, the ROE could be improved to enhance shareholder value.

Cash Flow

Cash flow analysis reveals some challenges. The free cash flow growth rate is negative at -24.10%, indicating a decline in cash available after capital expenditures. The operating cash flow to net income ratio of 2.99 suggests strong cash generation relative to net income. However, the free cash flow to net income ratio of 0.29 indicates limited cash flow relative to profits. Improving free cash flow growth is essential for future investments and debt reduction.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	3.75B	4.21B	2.71B	2.89B	1.87B	975.48M
Gross Profit	1.06B	1.03B	750.68M	1.08B	603.51M	-82.80M
EBITDA	2.02B	2.00B	691.14M	1.58B	2.27B	-1.99B
Net Income	367.88M	236.60M	-233.36M	855.61M	1.61B	-2.44B
Balance Sheet
Total Assets	7.55B	7.76B	7.46B	5.10B	4.83B	3.41B
Cash, Cash Equivalents and Short-Term Investments	7.16M	16.61M	55.81M	5.46M	0.00	0.00
Total Debt	2.13B	2.28B	2.44B	937.17M	1.39B	1.79B
Total Liabilities	3.47B	3.59B	3.64B	2.07B	2.62B	2.83B
Stockholders Equity	4.08B	4.17B	3.83B	3.03B	2.21B	578.21M
Cash Flow
Free Cash Flow	519.66M	593.85M	239.61M	648.83M	396.62M	70.48M
Operating Cash Flow	1.80B	1.91B	1.30B	1.17B	712.38M	353.10M
Investing Cash Flow	-1.26B	-1.28B	-1.51B	-488.99M	-310.76M	-314.47M
Financing Cash Flow	-577.82M	-668.17M	266.25M	-678.42M	-401.62M	-44.20M

Baytex Energy Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 4.25
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:BTE, the sentiment is Positive. The current price of 4.25 is above the 20-day moving average (MA) of 3.54, above the 50-day MA of 3.42, and above the 200-day MA of 2.91, indicating a bullish trend. The MACD of 0.26 indicates Negative momentum. The RSI at 71.10 is Negative, neither overbought nor oversold. The STOCH value of 85.61 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TSE:BTE.

Baytex Energy Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
HWX	74 Outperform	$1.97B	11.32	23.55%	5.81%	6.44%	-6.74%
BTE	71 Outperform	$3.27B	15.22	5.16%	2.75%	-8.89%	―
FRU	69 Neutral	$2.28B	18.19	13.00%	7.11%	2.52%	-8.32%
Sector *	65 Neutral	$15.17B	7.61	4.09%	5.20%	3.87%	-62.32%
AAV	64 Neutral	$2.00B	32.98	3.69%	―	27.84%	28.87%
BIR	60 Neutral	$1.83B	23.68	3.16%	2.62%	-9.76%	374.65%
VET	57 Neutral	$1.59B	-8.61	2.34%	3.98%	-2.32%	70.14%

Baytex Energy Corporate Events

Baytex Energy Divests U.S. Assets to Focus on Canadian Growth

Baytex Energy announced the sale of its U.S. Eagle Ford assets for $3.25 billion, aiming to strengthen its financial position and focus on its Canadian core portfolio. This transaction is expected to enhance shareholder returns, support disciplined growth, and position Baytex as a leading Canadian energy producer with a robust inventory of drilling locations and a targeted annual production growth rate of 3-5%.

The most recent analyst rating on (TSE:BTE) stock is a Buy with a C$4.00 price target. To see the full list of analyst forecasts on Baytex Energy stock, see the TSE:BTE Stock Forecast page.

Baytex Energy Reports Record Q3 2025 Results with Strong Production and Cash Flow

Baytex Energy Corp. reported strong third-quarter 2025 results, showcasing record production in the Pembina Duvernay and significant free cash flow generation. The company increased its production by 1% compared to the previous year and achieved a 53% rise in Pembina Duvernay production from the second quarter of 2025. Baytex also made strategic land acquisitions and property swaps to consolidate its position for future development. The company remains focused on reducing debt and anticipates generating approximately $300 million in free cash flow for the year, with plans to allocate this towards debt repayment.

The most recent analyst rating on (TSE:BTE) stock is a Hold with a C$3.00 price target. To see the full list of analyst forecasts on Baytex Energy stock, see the TSE:BTE Stock Forecast page.

Baytex Energy Corp. Reports Strong Q3 Earnings Call

Baytex Energy Corp. recently held an earnings call that conveyed a generally positive sentiment, underscoring strong operational performance and financial resilience. Despite facing challenges from lower commodity prices, the company reported record production levels in the Pembina Duvernay and robust free cash flow, maintaining a strong financial position with significant liquidity.

Baytex Energy Declares Quarterly Dividend for January 2026

Baytex Energy Corp. has announced a quarterly cash dividend of CDN$0.0225 per share, payable on January 2, 2026, to shareholders of record as of December 15, 2025. This move reflects the company’s ongoing commitment to returning value to its shareholders and may enhance its attractiveness to investors, especially given the dividend’s designation as an ‘eligible dividend’ for Canadian tax purposes and a ‘qualified dividend’ for U.S. tax purposes.

The most recent analyst rating on (TSE:BTE) stock is a Hold with a C$3.50 price target. To see the full list of analyst forecasts on Baytex Energy stock, see the TSE:BTE Stock Forecast page.

Baytex Energy Reports Record Pembina Duvernay Production and Strong Cash Flow in Q3 2025

Baytex Energy Corp. reported strong third-quarter 2025 results, highlighted by record production in the Pembina Duvernay and robust free cash flow generation. The company achieved a 53% increase in Pembina Duvernay production and a 5% rise in heavy oil production compared to the previous quarter. Baytex also made strategic land acquisitions and property swaps to consolidate its position in the Pembina Duvernay, reinforcing its focus on disciplined capital allocation and debt reduction. The company anticipates generating approximately $300 million in free cash flow for the year, with plans to allocate this towards debt repayment.

The most recent analyst rating on (TSE:BTE) stock is a Hold with a C$3.50 price target. To see the full list of analyst forecasts on Baytex Energy stock, see the TSE:BTE Stock Forecast page.

Baytex Energy to Announce Q3 2025 Results with Conference Call

Baytex Energy Corp. announced that it will release its third quarter 2025 financial and operating results on October 30, 2025, followed by a conference call and webcast on October 31, 2025, to discuss the results. This announcement is significant for stakeholders as it provides insights into the company’s performance and strategic direction, potentially impacting its market positioning and investor relations.

The most recent analyst rating on (TSE:BTE) stock is a Buy with a C$4.50 price target. To see the full list of analyst forecasts on Baytex Energy stock, see the TSE:BTE Stock Forecast page.