NG Energy International (GASX) AI Stock Analysis

• Market Cap: C$232.00M
• Dividend Yield: N/A
• Average Volume (3M): 146.71K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.71
• Revenue Growth: 275.77%
• EPS Growth: -148.72%
• Country: CA
• Employees: 27
• Sector: Energy
• Sector Strength: 51
• Industry: Oil & Gas Exploration & Production
• EPS (TTM): -0.41
• Shares Outstanding: 257,774,350
• 10 Day Avg. Volume: 113,685
• 30 Day Avg. Volume: 146,710
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): 4.86
• Price to Cash Flow (P/CF): 6.60
• P/FCF Ratio: 6.10
• Enterprise Value/Market Cap: 1.26
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: 114.32
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0

NG Energy International's stock shows strong technical momentum and benefits from a strategic corporate event, but is hindered by financial performance challenges and poor valuation metrics. The company's growth potential is promising, but high leverage and lack of profitability are significant risks that need to be addressed for a more positive outlook.

NG Energy International Business Overview & Revenue Model

Company Description

NG Energy International Corp., an oil and gas company, engages in the acquisition, exploration, development, and exploitation of oil and natural gas assets in Colombia. It holds working interests in the SN-9 block, which covers an area of approximately 311,353 acres; the Maria Conchita block, covering an area of approximately 32,518 acres; and the Tiburon Block that covers an area of approximately 245,850 acres. The company was formerly known as NGX Energy International Corp. and changed its name to NG Energy International Corp. in November 2020. NG Energy International Corp. is headquartered in Vancouver, Canada.

How the Company Makes Money

NG Energy International makes money through the exploration and production of natural gas, which it sells to utilities, industrial customers, and other energy companies. The company's revenue streams include the sale of natural gas extracted from its reserves, as well as potential income from partnerships and joint ventures with other energy firms to expand its operational capabilities. Key factors contributing to its earnings include successful drilling operations, favorable market conditions for natural gas prices, and strategic agreements with local and international partners to ensure efficient resource extraction and distribution.

NG Energy International Financial Statement Overview

Summary

NG Energy International shows promising revenue growth but struggles with profitability and cash flow management. High leverage presents potential risks, though improvements in equity and operating cash flow are positive signals. Continued focus on operational efficiency and cost control is crucial for future stability and growth.

Income Statement

The company has shown significant revenue growth, particularly in the TTM period, with a remarkable increase from $1,766,325 in 2022 to $34,140,460 in TTM. However, the company is not yet profitable, with a negative net income of $50,823,223 in TTM, indicating substantial operational challenges. The negative EBIT and EBITDA margins also highlight inefficiencies in operations.

Balance Sheet

The balance sheet shows a reasonable equity ratio of 39.64% in TTM, indicating a relatively balanced capital structure. However, the high debt-to-equity ratio of 1.03 suggests significant leverage, which could pose financial risks. The company’s stockholders' equity has improved, suggesting some financial stability.

Cash Flow

The operating cash flow has improved to $15,028,399 in TTM, suggesting better cash management. However, free cash flow remains negative, indicating that capital expenditures are not yet yielding positive returns. The operating cash flow to net income ratio is not favorable, reflecting ongoing operational difficulties.

Breakdown
Dec 2023	Dec 2022	Dec 2021	Dec 2020	Dec 2019
Income Statement		Total Revenue
10.07M	1.77M	0.00	0.00	1.50M
	Gross Profit
2.56M	430.47K	-6.77K	-17.25K	316.58K
	EBIT
-1.69M	-5.92M	-5.30M	-3.86M	1.16M
	EBITDA
-231.11K	-4.90M	-5.28M	-3.84M	1.67M
	Net Income Common Stockholders
-16.68M	-9.97M	-7.32M	-24.23M	-7.66M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
1.29M	6.96M	5.85M	1.21M	1.42M
	Total Assets
106.86M	83.15M	23.15M	14.47M	10.89M
	Total Debt
82.18M	55.43M	2.99M	4.01M	3.30M
	Net Debt
80.89M	48.47M	-2.86M	2.80M	1.87M
	Total Liabilities
96.77M	67.64M	6.41M	7.81M	6.87M
	Stockholders Equity
10.09M	15.51M	16.73M	6.66M	4.02M
Cash Flow		Free Cash Flow
-22.47M	-34.23M	-10.73M	-7.08M	-3.92M
	Operating Cash Flow
-3.55M	-3.59M	-5.24M	-2.57M	-2.51M
	Investing Cash Flow
-23.79M	-28.31M	-5.93M	-4.04M	-1.10M
	Financing Cash Flow
21.39M	33.56M	15.92M	6.36M	3.43M

NG Energy International Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 0.90
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:GASX, the sentiment is Neutral. The current price of 0.9 is above the 20-day moving average (MA) of 0.88, below the 50-day MA of 0.91, and below the 200-day MA of 0.99, indicating a neutral trend. The MACD of -0.01 indicates Negative momentum. The RSI at 52.11 is Neutral, neither overbought nor oversold. The STOCH value of 71.75 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for TSE:GASX.

NG Energy International Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
KEY	80 Outperform	C$9.77B	20.07	17.35%	4.83%	2.89%	14.76%
GASX	61 Neutral	C$232.00M	―	-161.10%	―	275.77%	-148.72%
Sector *	55 Neutral	$7.10B	3.56	-6.61%	5.99%	-0.03%	-51.71%

NG Energy International Corporate Events

NG Energy Sells 40% Stake in Sinu-9 to Maurel & Prom for $150 Million

NG Energy International Corp. has entered into a letter of intent to sell a 40% working interest in the Sinu-9 Block, a major Colombian onshore natural gas field, to Maurel & Prom for US$150 million. This transaction is expected to de-risk the development of Sinu-9 by partnering with a well-capitalized, experienced company, accelerating natural gas delivery and supporting Colombia’s energy transition strategy.

NG Energy Secures Shareholder Approval at Annual Meeting

NG Energy International Corp. announced that all resolutions were approved at its recent annual general and special shareholder meeting. Key decisions included electing six directors, appointing PricewaterhouseCoopers LLP as the auditor, and approving changes to compensation plans. These approvals are expected to reinforce the company’s governance structure and support its strategic objectives.

NG Energy Reports Strong Revenue Growth and Pipeline Progress

NG Energy International Corp. has reported a significant increase in its financial performance, with a 270% rise in quarterly revenue compared to last year. The company has also made operational advancements, including the completion of a key pipeline project to enhance natural gas supply in Colombia.