Baytex Energy (BTE) AI Stock Analysis

• Market Cap: $3.47B
• Dividend Yield: 2.04%
• Average Volume (3M): 6.47M
• Price to Earnings (P/E): 16.2
• Beta (1Y): 1.83
• 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: 4,711,828
• 30 Day Avg. Volume: 6,471,653
• 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: 1.31
• Enterprise Value/Revenue: 1.18
• Enterprise Value/Gross Profit: 4.37
• Enterprise Value/Ebitda: 2.50
• 1Y Price Target: $4.87
• Price Target Upside: 7.89% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 8
• EPS Forecast (FY): 0.34
• Revenue Forecast (FY): $3.21B

• Rating: 75 Outperform
• Price Target: C$5.00 ▲(10.86% Upside)

Baytex Energy's strong technical momentum and solid financial performance are the primary drivers of the score. While the company faces challenges with debt levels and commodity price impacts, its operational efficiency and liquidity provide a stable outlook.

Positive Factors

Operational Efficiency

A 12% improvement in drilling and completion costs in the Eagle Ford operations enhances operational efficiency, reducing costs and improving margins over the long term.

Production Growth

Achieving a new quarterly production record in Pembina Duvernay demonstrates Baytex's ability to increase output, supporting future revenue growth and market position.

Financial Liquidity

With over $1.3 billion in undrawn credit capacity and no debt maturing until 2030, Baytex maintains strong financial liquidity, ensuring flexibility for future investments and operations.

Negative Factors

Free Cash Flow Decline

The reduction in free cash flow forecast due to lower commodity prices indicates potential cash flow challenges, impacting the company's ability to fund operations and growth.

Revenue Volatility

Revenue volatility can affect financial stability and predictability, making it challenging to plan long-term investments and growth strategies.

Debt Levels

Rising debt levels can strain financial resources and limit flexibility, potentially impacting Baytex's ability to invest in growth opportunities and manage economic downturns.

Baytex Energy Business Overview & Revenue Model

Company Description

Baytex Energy Corp. is a Canadian oil and gas company that focuses on the acquisition, development, and production of crude oil and natural gas. Operating primarily in the Western Canadian Sedimentary Basin and the Eagle Ford shale in the United States, Baytex leverages advanced drilling techniques and technologies to enhance production efficiency. The company is committed to sustainable practices and aims to create value for its shareholders through the responsible development of its resources.

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 shows strong profitability and operational efficiency with a rebound in revenue and solid profit margins. However, increased debt levels and negative free cash flow growth present potential risks.

Income Statement

Baytex Energy's income statement shows a strong recovery with a positive revenue growth rate of 2.05% TTM, indicating a rebound from previous declines. The gross profit margin of 37.90% and net profit margin of 9.80% TTM reflect solid profitability, although the net profit margin has decreased from previous highs. The EBIT and EBITDA margins are healthy at 18.42% and 53.88% TTM, respectively, showcasing operational efficiency. However, the decline in revenue from 2024 to 2025 suggests potential volatility.

Balance Sheet

The balance sheet of Baytex Energy is stable with a debt-to-equity ratio of 0.52 TTM, indicating manageable leverage. The return on equity is modest at 8.95% TTM, showing decent profitability relative to equity. The equity ratio stands at 55.12% TTM, reflecting a strong equity base. However, the increase in total debt over the years poses a risk if not managed carefully.

Cash Flow

Baytex Energy's cash flow statement reveals a decline in free cash flow growth by -19.23% TTM, which is a concern. The operating cash flow to net income ratio is robust at 2.99 TTM, indicating strong cash generation relative to net income. The free cash flow to net income ratio of 0.29 TTM suggests that a significant portion of earnings is converted into free cash flow. Despite strong cash flow ratios, the negative growth in free cash flow warrants attention.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	3.83B	4.21B	2.71B	2.89B	1.87B	975.48M
Gross Profit	1.03B	1.03B	750.68M	1.08B	603.51M	-82.80M
EBITDA	1.81B	2.00B	691.14M	1.58B	2.27B	-1.99B
Net Income	214.63M	236.60M	-233.36M	855.61M	1.61B	-2.44B
Balance Sheet
Total Assets	7.60B	7.76B	7.46B	5.10B	4.83B	3.41B
Cash, Cash Equivalents and Short-Term Investments	10.42M	16.61M	55.81M	5.46M	0.00	0.00
Total Debt	2.01B	2.28B	2.44B	937.17M	1.39B	1.79B
Total Liabilities	3.41B	3.59B	3.64B	2.07B	2.62B	2.83B
Stockholders Equity	4.19B	4.17B	3.83B	3.03B	2.21B	578.21M
Cash Flow
Free Cash Flow	419.75M	593.85M	239.61M	648.83M	396.62M	70.48M
Operating Cash Flow	1.73B	1.91B	1.30B	1.17B	712.38M	353.10M
Investing Cash Flow	-1.24B	-1.28B	-1.51B	-488.99M	-310.76M	-314.47M
Financing Cash Flow	-498.96M	-668.17M	266.25M	-678.42M	-401.62M	-44.20M

Baytex Energy Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 4.51
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

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 4.51 is above the 20-day moving average (MA) of 4.37, above the 50-day MA of 3.74, and above the 200-day MA of 2.98, indicating a bullish trend. The MACD of 0.24 indicates Positive momentum. The RSI at 67.17 is Neutral, neither overbought nor oversold. The STOCH value of 60.34 is Neutral, 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
ATH	78 Outperform	$3.43B	7.75	27.19%	―	3.04%	115.77%
BTE	75 Outperform	$3.47B	16.15	5.16%	2.04%	-8.89%	―
NVA	74 Outperform	$3.63B	11.55	13.57%	―	-6.14%	14.09%
TVE	73 Outperform	$3.97B	―	-4.70%	1.92%	-1.36%	-149.45%
POU	71 Outperform	$3.73B	2.69	41.81%	3.03%	-32.36%	282.99%
IPCO	70 Outperform	C$2.64B	37.97	3.59%	―	-9.12%	-70.87%
Sector *	65 Neutral	$15.17B	7.61	4.09%	5.20%	3.87%	-62.32%

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.