Enterprise (E) AI Stock Analysis

• Market Cap: C$96.96M
• Dividend Yield: N/A
• Average Volume (3M): 202.38K
• Price to Earnings (P/E): 36.8
• Beta (1Y): 1.33
• Revenue Growth: -7.13%
• EPS Growth: -60.41%
• Country: CA
• Employees: 90
• Sector: Energy
• Sector Strength: 52
• Industry: Oil & Gas Equipment & Services
• EPS (TTM): 0.01
• Shares Outstanding: 77,566,940
• 10 Day Avg. Volume: 208,000
• 30 Day Avg. Volume: 202,383
• PEG Ratio: -0.66
• Price to Book (P/B): 1.41
• Price to Sales (P/S): 3.36
• P/FCF Ratio: -24.38
• 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: C$2.38
• Price Target Upside: 65.28% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 67 Neutral
• Price Target: C$1.50 ▲(4.17% Upside)

Enterprise's overall stock score is driven by positive corporate events and technical indicators, despite valuation concerns and financial performance challenges. The strategic acquisition and refinancing improve growth outlook, while technical momentum supports the stock. However, high P/E ratio and cash flow issues limit the score.

Positive Factors

Profitability Margins

Enterprise's strong EBIT and net profit margins indicate operational efficiency and the ability to maintain profitability despite revenue challenges.

Balance Sheet Health

A low debt-to-equity ratio suggests financial stability and low leverage, providing Enterprise with flexibility to manage its capital structure effectively.

Cash Generation Ability

A strong operating cash flow relative to net income indicates effective cash generation, supporting ongoing operations and potential investments.

Negative Factors

Revenue Growth Decline

Declining revenue growth poses a risk to Enterprise's future expansion and market competitiveness, necessitating strategic adjustments to reverse the trend.

Cash Flow Challenges

Negative free cash flow growth indicates cash flow constraints, which could impact Enterprise's ability to invest in growth opportunities and manage liabilities.

Decreasing Gross Profit Margin

A declining gross profit margin suggests cost management pressures, which could erode profitability if not addressed through operational improvements.

Enterprise Business Overview & Revenue Model

Company Description

Enterprise Group, Inc., through its subsidiaries, operates as an equipment rental and construction services company operating in the energy and construction industries. The company primarily focuses on the specialty equipment rental business. It provides flameless heaters to the construction, oil and gas development, and plant shut-down activities in Western Canada. The company also offers oilfield infrastructure site and rental services covering modular/combo equipment, including fuel, generator, light stand, sewage treatment, medic security, and truck trailer combos. In addition, it provides infrastructure site services and rentals for a variety of oil and gas customers servicing the Fort St. John area. The company was formerly known as Enterprise Oilfield Group, Inc. and changed its name to Enterprise Group, Inc. in July 2012. Enterprise Group, Inc. was incorporated in 2004 and is headquartered in St. Albert, Canada.

How the Company Makes Money

Enterprise Holdings generates revenue primarily through its car rental services, which include daily and weekly rentals, as well as long-term leases. The company has a diverse fleet of vehicles, catering to different customer needs, from economy to luxury cars. Additional revenue streams include insurance replacement rentals, where the company rents vehicles to customers while their cars are being repaired. Enterprise also earns income from its fleet management services, providing businesses with comprehensive vehicle solutions. Strategic partnerships with insurance companies and businesses that require rental cars for their clients further enhance its revenue. Additionally, the expansion into car sharing and ride-hailing services contributes to its earnings, tapping into the growing demand for flexible transportation solutions.

Enterprise Financial Statement Overview

Summary

Enterprise demonstrates a mixed financial performance. The income statement shows strong profitability margins, but declining revenue growth is a concern. The balance sheet is robust with low leverage and a strong equity base, though return on equity is moderate. Cash flow challenges, particularly negative free cash flow growth, pose a risk to financial stability. The company should focus on improving revenue growth and addressing cash flow constraints to enhance its financial health.

Income Statement

Enterprise's income statement shows a mixed performance. The TTM data indicates a decline in revenue growth rate by -3.74%, which is concerning. However, the company maintains a healthy EBIT margin of 21.32% and a net profit margin of 10.81%, indicating operational efficiency. The gross profit margin has decreased from previous years, suggesting pressure on cost management. Overall, while profitability remains solid, the negative revenue growth is a risk factor.

Balance Sheet

The balance sheet reflects a stable financial position with a low debt-to-equity ratio of 0.12 in the TTM period, indicating low leverage. The return on equity is modest at 5.16%, suggesting moderate profitability relative to shareholder equity. The equity ratio stands at 70.09%, highlighting a strong equity base. While the company has reduced its debt significantly, the return on equity could be improved.

Cash Flow

Cash flow analysis reveals challenges, with a negative free cash flow growth rate of -37.58% in the TTM period. The operating cash flow to net income ratio is strong at 2.37, indicating good cash generation relative to net income. However, the free cash flow to net income ratio is negative, reflecting cash flow constraints. The company needs to address its free cash flow issues to ensure long-term sustainability.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	31.43M	34.65M	33.50M	26.89M	18.73M	15.52M
Gross Profit	12.17M	15.56M	10.50M	10.88M	6.63M	5.19M
EBITDA	9.86M	12.71M	12.92M	8.27M	4.67M	2.39M
Net Income	2.52M	4.54M	6.17M	2.28M	-2.38M	-4.44M
Balance Sheet
Total Assets	121.35M	118.34M	72.81M	55.37M	51.15M	52.25M
Cash, Cash Equivalents and Short-Term Investments	6.36M	30.67M	3.79M	1.06M	876.54K	783.62K
Total Debt	22.62M	27.22M	25.70M	15.51M	14.80M	13.69M
Total Liabilities	36.30M	36.03M	32.01M	20.59M	18.93M	17.24M
Stockholders Equity	85.05M	82.31M	40.80M	34.79M	32.22M	35.01M
Cash Flow
Free Cash Flow	-4.61M	-4.78M	-1.58M	341.82K	-344.63K	2.57M
Operating Cash Flow	11.62M	12.13M	13.53M	5.91M	3.50M	3.98M
Investing Cash Flow	-35.32M	-15.90M	-14.29M	-4.35M	-2.47M	-1.25M
Financing Cash Flow	19.66M	30.65M	3.48M	-1.37M	-937.41K	-2.92M

Enterprise Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1.44
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:E, the sentiment is Positive. The current price of 1.44 is above the 20-day moving average (MA) of 1.29, above the 50-day MA of 1.32, and below the 200-day MA of 1.52, indicating a neutral trend. The MACD of 0.02 indicates Negative momentum. The RSI at 67.26 is Neutral, neither overbought nor oversold. The STOCH value of 92.35 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TSE:E.

Enterprise Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
SHLE	74 Outperform	C$162.67M	4.13	11.94%	―	-0.39%	-86.01%
CFW	73 Outperform	C$269.69M	27.35	3.20%	―	-8.13%	-28.00%
E	67 Neutral	C$96.96M	36.76	5.09%	―	-7.13%	-60.41%
Sector *	65 Neutral	$15.17B	7.61	4.09%	5.20%	3.87%	-62.32%
HWO	59 Neutral	$10.54M	0.40	-0.80%	―	-75.46%	-100.66%
STEP	59 Neutral	C$399.37M	-19.59	-1.94%	―	-9.19%	-119.27%
SFD	45 Neutral	C$43.70M	-6.64	-51.99%	―	418.77%	56.71%

Enterprise Corporate Events

Enterprise Group Reports Strong Q3 2025 Results and Strategic Acquisition

Enterprise Group, Inc. reported a significant increase in revenue and gross margin for the third quarter of 2025, driven by heightened activity levels following a slower second quarter. The company’s strategic acquisition of Flex Leasing Power and Service ULC, now renamed Evolution Power Solutions, Inc., has bolstered its position as a leader in providing natural gas to electric power solutions in Canada. Additionally, Enterprise has refinanced its lending facility with the Bank of Montreal, reducing borrowing costs and securing funds for future acquisitions and capital expenditures.