tiprankstipranks
Trending News
More News >
Cardinal Energy J (TSE:CJ)
TSX:CJ
Advertisement

Cardinal Energy (CJ) AI Stock Analysis

Compare
485 Followers

Top Page

TSE:CJ

Cardinal Energy

(TSX:CJ)

Select Model
Select Model
Select Model
Outperform 80 (OpenAI - 4o)
Rating:80Outperform
Price Target:
C$8.00
▼(-0.25% Downside)
Cardinal Energy's strong financial performance and attractive valuation are the primary drivers of its high score. The company's consistent dividend payouts and strategic project advancements further enhance its investment appeal. Technical indicators support a positive outlook, although profitability improvements could bolster the score further.
Positive Factors
Strong Cash Flow Generation
Cardinal Energy's robust cash flow generation indicates operational efficiency and financial health, supporting sustainable growth and investment capacity.
Stable Financial Position
A strong balance sheet with low leverage enhances Cardinal's financial stability, providing resilience against market fluctuations and capacity for strategic investments.
Strategic Project Advancements
Advancement of strategic projects like the SAGD enhances production capabilities and long-term growth potential, aligning with Cardinal's sustainable development goals.
Negative Factors
Decline in Revenue Growth
A decline in revenue growth could signal challenges in market expansion or product demand, potentially impacting future profitability and market position.
Rising Net Debt
Increasing net debt may strain Cardinal's financial flexibility and cash flows, potentially limiting its ability to invest in growth opportunities or weather economic downturns.
Profitability Challenges
Lower net profit margins indicate potential inefficiencies or cost pressures, which could hinder Cardinal's ability to maximize shareholder returns and compete effectively.

Cardinal Energy (CJ) vs. iShares MSCI Canada ETF (EWC)

Cardinal Energy Business Overview & Revenue Model

Company DescriptionCardinal Energy Ltd. engages in the acquisition, exploration, and production of low decline light, medium, and heavy quality oil, and natural gas in Western Canada. It has operations in the provinces of Alberta and Saskatchewan. As of February 24, 2022, the company had total proved plus probable oil and gas reserves are 110,391 thousand barrels of oil equivalent. Cardinal Energy Ltd. was incorporated in 2010 and is headquartered in Calgary, Canada.
How the Company Makes MoneyCardinal Energy generates revenue primarily through the exploration and production of crude oil and natural gas. The company's core revenue streams consist of the sale of crude oil, natural gas liquids, and natural gas. Cardinal leverages its extensive asset base and operational efficiency to optimize production levels and reduce costs, thereby enhancing profitability. The company also benefits from various partnerships and joint ventures that provide access to additional resources and markets. Additionally, fluctuations in commodity prices significantly impact its revenue, thus Cardinal employs hedging strategies to mitigate price volatility risks and stabilize cash flows.

Cardinal Energy Financial Statement Overview

Summary
Cardinal Energy exhibits strong revenue growth and effective cost management, with a robust balance sheet and efficient cash flow generation. However, there is room for improvement in profitability metrics.
Income Statement
78
Positive
Cardinal Energy has shown robust revenue growth with a 27% increase from the previous year. The gross profit margin remains strong at approximately 64.2%, indicating efficient cost management. However, the net profit margin stands at 17.7%, suggesting room for improvement in profitability. The absence of EBIT in 2024 affects the comprehensive margin analysis.
Balance Sheet
82
Very Positive
The company maintains a healthy equity ratio of 70.8%, showcasing financial stability. The debt-to-equity ratio is low at 0.10, reflecting conservative leverage. Return on equity is modest at 11.8%, indicating steady profitability relative to shareholder's equity.
Cash Flow
80
Positive
Cardinal Energy has achieved a 14.6% growth in free cash flow, supported by a strong operating cash flow to net income ratio of 2.28, signifying efficient cash generation. Despite this, free cash flow to net income ratio at 1.33 suggests potential for optimizing capital expenditures.
BreakdownTTMDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue578.20M611.12M481.12M741.84M448.75M226.46M
Gross Profit311.01M392.29M265.00M489.37M286.82M126.13M
EBITDA225.95M252.94M253.64M410.56M385.95M-171.31M
Net Income87.87M108.35M103.60M302.69M284.42M-363.16M
Balance Sheet
Total Assets1.38B1.30B1.19B1.16B1.08B749.13M
Cash, Cash Equivalents and Short-Term Investments0.004.88M4.09M3.73M3.51M2.88M
Total Debt198.95M90.31M50.10M35.77M157.59M239.13M
Total Liabilities479.01M378.72M267.16M229.64M356.60M376.29M
Stockholders Equity903.00M918.26M920.69M925.37M719.23M372.85M
Cash Flow
Free Cash Flow162.20M144.26M125.83M216.61M68.72M12.02M
Operating Cash Flow244.55M247.54M230.26M337.26M125.12M43.52M
Investing Cash Flow-243.03M-163.97M-114.64M-116.18M-46.57M-50.75M
Financing Cash Flow-1.52M-83.57M-115.63M-221.08M-78.55M7.22M

Cardinal Energy Technical Analysis

Technical Analysis Sentiment
Positive
Last Price8.02
Price Trends
50DMA
7.30
Positive
100DMA
6.83
Positive
200DMA
6.37
Positive
Market Momentum
MACD
0.21
Negative
RSI
76.94
Negative
STOCH
82.53
Negative
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:CJ, the sentiment is Positive. The current price of 8.02 is above the 20-day moving average (MA) of 7.58, above the 50-day MA of 7.30, and above the 200-day MA of 6.37, indicating a bullish trend. The MACD of 0.21 indicates Negative momentum. The RSI at 76.94 is Negative, neither overbought nor oversold. The STOCH value of 82.53 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TSE:CJ.

Cardinal 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
80
Outperform
C$1.29B14.559.64%9.26%-9.20%-25.28%
76
Outperform
C$1.88B10.856.67%7.93%-20.60%-56.33%
62
Neutral
C$1.42B19.016.61%6.97%9.34%
61
Neutral
C$1.03B7.8721.85%526.56%
57
Neutral
C$1.83B-9.89-6.87%4.20%-1.60%76.21%
45
Neutral
C$1.29B-2.705.45%-523.86%
65
Neutral
$15.17B7.614.09%5.20%3.87%-62.32%
* Energy Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
TSE:CJ
Cardinal Energy
8.02
2.23
38.51%
VET
Vermilion Energy
8.56
-0.89
-9.42%
AOIFF
Africa Oil
1.38
0.20
16.95%
KELTF
Kelt Exploration
5.13
0.53
11.52%
PARXF
Parex Resources
13.99
6.04
75.97%
TSE:KEC
Kiwetinohk Energy Corp.
23.51
9.53
68.17%

Cardinal Energy Corporate Events

Business Operations and StrategyDividends
Cardinal Energy Announces Dividend and Advances Reford Thermal Project
Positive
Sep 8, 2025

Cardinal Energy Ltd. announced the payment of a $0.06 per share dividend for September, to be distributed in October. Additionally, the company has begun steam injection at its Reford Thermal Project in Saskatchewan, marking the completion of the construction phase. This project is expected to significantly boost Cardinal’s production capacity, with a target of 6,000 barrels per day by early 2026. The company anticipates a 30% increase in production in the first quarter of 2026 and is preparing to sanction additional projects as market conditions permit.

The most recent analyst rating on (TSE:CJ) stock is a Buy with a C$8.00 price target. To see the full list of analyst forecasts on Cardinal Energy stock, see the TSE:CJ Stock Forecast page.

Dividends
Cardinal Energy Declares August Dividend
Positive
Aug 11, 2025

Cardinal Energy Ltd. has announced a monthly dividend of $0.06 per common share for August, payable on September 15, 2025, to shareholders of record on August 29, 2025. This dividend, declared by the Board of Directors, is designated as an ‘eligible dividend’ for Canadian income tax purposes, reflecting the company’s commitment to providing shareholder value and its stable financial position.

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

Business Operations and StrategyDividendsFinancial Disclosures
Cardinal Energy Reports Increased Production and Progress on SAGD Project
Positive
Jul 30, 2025

Cardinal Energy Ltd. reported a 3% increase in production for the second quarter of 2025, achieving 21,184 boe/d despite limited drilling activities. The company directed $49.4 million in adjusted funds flow towards its Reford SAGD project and dividends. Cardinal’s net operating expenses decreased by 5%, while net debt rose to $227.1 million. The Reford project is on track for completion, with first steam expected in the third quarter, and the company maintained its dividend payout strategy, returning $28.9 million to shareholders.

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

Business Operations and StrategyDividends
Cardinal Energy Declares July Dividend, Reinforces Market Position
Positive
Jul 14, 2025

Cardinal Energy Ltd. has announced a monthly dividend of $0.06 per common share for July, payable on August 15, 2025, to shareholders of record on July 31, 2025. This move reflects Cardinal’s commitment to providing shareholder value and may strengthen its market position by showcasing financial stability and operational focus on sustainable oil production.

The most recent analyst rating on (TSE:CJ) stock is a Hold with a C$7.00 price target. To see the full list of analyst forecasts on Cardinal Energy stock, see the TSE:CJ 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: Aug 12, 2025