Gibson Energy (GEI) AI Stock Analysis

• Market Cap: C$4.15B
• Dividend Yield: 6.72%
• Average Volume (3M): 618.09K
• Price to Earnings (P/E): 27.5
• Beta (1Y): 0.87
• Revenue Growth: -12.18%
• EPS Growth: -29.17%
• Country: CA
• Employees: 460
• Sector: Energy
• Sector Strength: 52
• Industry: Oil & Gas Midstream
• EPS (TTM): 0.28
• Shares Outstanding: 163,800,000
• 10 Day Avg. Volume: 622,415
• 30 Day Avg. Volume: 618,093
• PEG Ratio: -0.76
• Price to Book (P/B): 4.09
• Price to Sales (P/S): 0.34
• P/FCF Ratio: 13.99
• 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$27.81
• Price Target Upside: 9.86% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 8
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 68 Neutral
• Price Target: C$28.00 ▲(10.63% Upside)

Gibson Energy's overall stock score reflects a balance of strengths and challenges. The most significant factor is the strong operational performance and strategic growth highlighted in the earnings call. Technical indicators also show a positive trend. However, financial performance is mixed with concerns about revenue decline and high leverage, and the valuation suggests potential overvaluation despite a high dividend yield.

Positive Factors

Operational Efficiency

Stable cash flows from infrastructure operations indicate strong operational efficiency, supporting long-term profitability and resilience.

Safety and Cost Savings

Strong safety culture and cost savings enhance operational reliability and financial health, contributing to sustainable growth.

Strategic Growth

Strategic investments and partnerships position Gibson Energy for sustainable growth and stable cash flows, enhancing market position.

Negative Factors

Revenue Decline

Declining revenue poses challenges to maintaining sales growth, potentially impacting long-term financial stability and market competitiveness.

High Leverage

High leverage can strain financial flexibility, increasing risk and potentially limiting the company's ability to invest in future growth.

Free Cash Flow Decline

Reduced cash generation ability may hinder investment capacity and affect the company's ability to weather economic fluctuations.

Gibson Energy Business Overview & Revenue Model

Company Description

Gibson Energy Inc., a liquids infrastructure company, engages in the gathering, storage, optimization, processing, and marketing of liquids and refined products in North America. It operates through two segments, Infrastructure and Marketing. The Infrastructure segment operates a network of infrastructure assets that include oil terminals, rail loading and unloading facilities, gathering pipelines, and a crude oil processing facility. The Marketing segment purchases, sells, stores, and optimizes hydrocarbon products, including crude oil, natural gas liquids, road asphalt, roofing flux, frac oils, light and heavy straight run distillates, vacuum gas oil, and an oil-based mud product. The company was formerly known as Gibson Energy Holdings ULC and changed its name to Gibson Energy Inc. in April 2011. Gibson Energy Inc. was founded in 1950 and is headquartered in Calgary, Canada.

How the Company Makes Money

Gibson Energy generates revenue through multiple streams including its logistics and storage operations, which account for a significant portion of its earnings. The company operates a network of pipelines and storage facilities that facilitate the transportation and storage of crude oil, enabling it to charge fees for these services. Additionally, the marketing segment of Gibson Energy allows it to buy and sell crude oil, providing another revenue stream through the margins earned on these transactions. Strategic partnerships with producers and refineries, along with long-term contracts for storage and transportation services, further bolster its revenue. The company's ability to adapt to market conditions and leverage its infrastructure capabilities is crucial for sustaining its financial performance.

Gibson Energy Financial Statement Overview

Summary

Gibson Energy shows strong cash flow management and stable profitability margins, despite a decline in revenue growth. However, the high debt-to-equity ratio indicates potential financial risk due to leverage. The company should focus on improving revenue growth and reducing leverage to enhance financial health and stability.

Income Statement

Gibson Energy's income statement shows a mixed performance. The TTM (Trailing-Twelve-Months) data indicates a decline in revenue growth rate by 4.21%, which is concerning. However, the company maintains stable profitability margins with a gross profit margin of 3.79% and a net profit margin of 1.48%. The EBIT and EBITDA margins are also stable at 3.26% and 4.98%, respectively, indicating operational efficiency. Despite the revenue decline, the company has managed to sustain its profitability, which is a positive sign.

Balance Sheet

The balance sheet reflects a high debt-to-equity ratio of 3.23, suggesting significant leverage, which could pose a risk if not managed properly. The return on equity (ROE) is 17.17%, indicating decent profitability relative to shareholder equity. However, the equity ratio is low, which may imply a higher reliance on debt financing. The company needs to focus on improving its equity base to enhance financial stability.

Cash Flow

Gibson Energy's cash flow statement shows a strong free cash flow growth rate of 33.89% in the TTM period, which is a positive indicator of cash generation capability. The operating cash flow to net income ratio is 0.69, and the free cash flow to net income ratio is 0.68, reflecting efficient cash conversion from earnings. The company demonstrates strong cash flow management, which supports its ability to meet financial obligations and invest in growth opportunities.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	10.74B	11.78B	11.01B	11.04B	7.21B	4.94B
Gross Profit	404.05M	423.64M	483.33M	394.44M	298.33M	306.14M
EBITDA	503.14M	496.05M	494.33M	449.44M	381.24M	378.56M
Net Income	150.78M	152.17M	214.21M	223.25M	145.05M	121.31M
Balance Sheet
Total Assets	4.71B	4.97B	4.95B	3.19B	3.43B	3.07B
Cash, Cash Equivalents and Short-Term Investments	58.46M	57.07M	143.76M	83.60M	62.69M	53.68M
Total Debt	2.73B	2.65B	2.77B	1.72B	1.74B	1.55B
Total Liabilities	3.84B	4.00B	4.03B	2.62B	2.79B	2.39B
Stockholders Equity	868.47M	972.07M	912.47M	573.02M	644.13M	679.65M
Cash Flow
Free Cash Flow	158.50M	284.31M	376.89M	398.68M	44.38M	181.92M
Operating Cash Flow	358.81M	459.56M	507.31M	539.06M	162.06M	397.02M
Investing Cash Flow	-201.75M	-142.28M	-1.60B	-134.40M	-127.06M	-303.95M
Financing Cash Flow	-152.95M	-405.10M	1.14B	-386.26M	-28.20M	-86.86M

Gibson Energy Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 25.31
• 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:GEI, the sentiment is Neutral. The current price of 25.31 is below the 20-day moving average (MA) of 25.54, above the 50-day MA of 24.54, and above the 200-day MA of 23.57, indicating a neutral trend. The MACD of 0.20 indicates Positive momentum. The RSI at 50.93 is Neutral, neither overbought nor oversold. The STOCH value of 25.45 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for TSE:GEI.

Gibson Energy Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
NVA	74 Outperform	C$3.42B	10.88	13.57%	―	-6.14%	14.09%
PPL	70 Outperform	C$29.58B	18.15	10.22%	5.54%	2.81%	-14.92%
TPZ	69 Neutral	C$4.12B	73.12	4.75%	5.04%	6.52%	-13.92%
GEI	68 Neutral	C$4.15B	27.48	16.47%	6.72%	-12.18%	-29.17%
Sector *	65 Neutral	$15.17B	7.61	4.09%	5.20%	3.87%	-62.32%
KEY	64 Neutral	C$9.92B	23.01	15.28%	4.90%	-4.09%	-3.57%
TWM	43 Neutral	C$103.23M	-1.21	-33.62%	―	-23.30%	76.16%

Gibson Energy Corporate Events

Gibson Energy Secures Long-Term Contracts and Sanctions New Infrastructure Project

Gibson Energy has announced significant contract extensions at its Edmonton Terminal, including a 20-year take-or-pay agreement for refined products services and a 10-year extension for terminal storage, highlighting the terminal’s critical role in the global energy landscape. Additionally, Gibson has sanctioned a new infrastructure project in Texas, the Wink-to-Gateway integration, as part of its 2026 growth capital guidance of $150 million, which aims to enhance infrastructure capabilities and support customer demand, reinforcing its strategic growth and financial discipline.

Gibson Energy to Host Investor Day in December 2025

Gibson Energy announced it will host an Investor Day on December 2, 2025, in Toronto, Ontario, with a live webcast available for participants. During the event, the senior executive team will update on the company’s strategy, operations, recent developments, and long-term plans, potentially impacting its market positioning and stakeholder interests.

Gibson Energy Declares Quarterly Dividend

Gibson Energy announced a quarterly dividend of $0.43 per common share, payable on January 16, 2026, to shareholders of record as of December 30, 2025. This decision reflects the company’s ongoing commitment to providing shareholder value and may impact its financial performance and attractiveness to investors.

Gibson Energy Schedules Q3 2025 Earnings Release and Conference Call

Gibson Energy announced it will release its 2025 third quarter financial results on November 3, 2025, after market close. A conference call and webcast to discuss these results will follow on November 4, 2025. This announcement is part of Gibson’s ongoing efforts to keep stakeholders informed about its financial performance and operational progress.