tiprankstipranks
Trending News
More News >
Hemisphere Energy Corp (TSE:HME)
:HME
Advertisement

Hemisphere Energy (HME) AI Stock Analysis

Compare
84 Followers

Top Page

TSE:HME

Hemisphere Energy

(HME)

Rating:79Outperform
Price Target:
C$2.00
▲(1.52% Upside)
Hemisphere Energy's strong financial performance and attractive valuation are the primary drivers of its high score. The company's robust profitability, low leverage, and undervaluation make it appealing. Technical indicators suggest a positive trend, though potential overbought conditions warrant caution.

Hemisphere Energy (HME) vs. iShares MSCI Canada ETF (EWC)

Hemisphere Energy Business Overview & Revenue Model

Company DescriptionHemisphere Energy Corporation (HME) is a Canadian oil and gas company focused on the exploration, development, and production of conventional oil assets in Western Canada. The company operates in the energy sector, with core activities centered around extracting and producing hydrocarbons to meet regional energy demands. Hemisphere Energy is committed to maximizing the value of its assets through efficient operations and strategic investments in its core operating areas.
How the Company Makes MoneyHemisphere Energy makes money through the exploration, development, and production of oil and natural gas. The company's primary revenue streams include the sale of crude oil and natural gas extracted from its assets in Western Canada. Revenue is generated by selling these hydrocarbons to refineries and other buyers at market prices. Hemisphere Energy's earnings are influenced by factors such as commodity prices, production volumes, and operational efficiencies. Additionally, the company may engage in strategic partnerships or joint ventures to enhance its production capabilities and expand its asset base, contributing to its overall revenue.

Hemisphere Energy Financial Statement Overview

Summary
Hemisphere Energy exhibits strong financial health with robust profitability and effective capital management. The company maintains a low debt-to-equity ratio and impressive return on equity. However, challenges in maintaining cash flow growth need attention.
Income Statement
85
Very Positive
Hemisphere Energy demonstrates strong profitability with a high net profit margin of 35.25% TTM and consistent revenue growth. The gross profit margin remains robust, indicating effective cost management. However, the slight decline in gross profit margin from previous years suggests potential cost pressures.
Balance Sheet
78
Positive
The company maintains a low debt-to-equity ratio of 0.045 TTM, reflecting prudent financial leverage. Return on equity is impressive at 47.09%, showcasing effective use of equity capital. The equity ratio indicates a solid equity base, though the slight increase in debt warrants monitoring.
Cash Flow
72
Positive
Operating cash flow is strong, with a high coverage ratio of 3.15 TTM. However, the negative free cash flow growth rate of -4.03% TTM suggests challenges in maintaining cash flow levels. The free cash flow to net income ratio remains healthy, indicating efficient cash conversion.
BreakdownTTMDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue101.77M99.94M67.70M96.70M43.14M18.66M
Gross Profit50.16M49.86M42.51M50.39M22.56M6.26M
EBITDA54.15M54.72M42.21M38.63M13.42M7.87M
Net Income31.93M33.10M24.20M21.32M4.17M-3.46M
Balance Sheet
Total Assets118.84M111.33M90.74M78.02M67.12M52.48M
Cash, Cash Equivalents and Short-Term Investments23.15M12.55M7.19M152.00K-2.15M435.35K
Total Debt3.42M3.79M3.40M3.94M18.09M25.31M
Total Liabilities39.67M36.95M29.51M25.02M41.31M36.17M
Stockholders Equity79.16M74.38M61.22M53.00M25.81M16.31M
Cash Flow
Free Cash Flow44.89M35.16M27.37M27.97M7.44M8.59M
Operating Cash Flow57.10M46.55M44.24M45.09M18.37M9.39M
Investing Cash Flow-17.43M-20.27M-19.46M-18.85M-8.28M-1.87M
Financing Cash Flow-25.58M-20.92M-17.75M-26.09M-10.52M-8.26M

Hemisphere Energy Technical Analysis

Technical Analysis Sentiment
Positive
Last Price1.97
Price Trends
50DMA
1.89
Positive
100DMA
1.79
Positive
200DMA
1.75
Positive
Market Momentum
MACD
0.02
Negative
RSI
64.64
Neutral
STOCH
33.33
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:HME, the sentiment is Positive. The current price of 1.97 is above the 20-day moving average (MA) of 1.93, above the 50-day MA of 1.89, and above the 200-day MA of 1.75, indicating a bullish trend. The MACD of 0.02 indicates Negative momentum. The RSI at 64.64 is Neutral, neither overbought nor oversold. The STOCH value of 33.33 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TSE:HME.

Hemisphere 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
79
Outperform
C$187.48M6.0142.32%9.64%6.65%9.78%
72
Outperform
C$204.55M3.0521.98%88.34%106.47%
65
Neutral
$15.01B7.393.19%5.33%4.10%-61.80%
61
Neutral
C$193.82M22.122.78%8.11%-16.34%-67.99%
49
Neutral
C$185.19M-12.28%
$123.24M11.33-1.46%11.14%
$88.01M-32.89%1.07%
* Energy Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
TSE:HME
Hemisphere Energy
1.97
0.46
30.46%
TSE:RECO
Reconnaissance Energy Africa
0.61
-0.30
-32.97%
TSE:PRQ
Petrus Resources
1.48
0.26
21.31%
ORXGF
Orca Exploration Group
2.57
0.57
28.50%
TETHF
Tethys Petroleum
0.65
0.17
35.42%
TSE:RBY
Rubellite Energy Inc
2.19
-0.02
-0.90%

Hemisphere Energy Corporate Events

DividendsBusiness Operations and StrategyFinancial Disclosures
Hemisphere Energy Reports Strong Q2 2025 Results and Declares Dividends
Positive
Aug 14, 2025

Hemisphere Energy announced its financial and operational results for the second quarter of 2025, highlighting a quarterly production of 3,826 barrels of oil equivalent per day, predominantly heavy oil. The company generated $24.4 million in revenue and achieved a net income of $7.1 million. Hemisphere declared a quarterly dividend and distributed both base and special dividends to shareholders, totaling $5.3 million. Additionally, the company executed a capital expenditure program and renewed its credit facility, indicating a stable financial position and commitment to future growth. These results reflect Hemisphere’s strong operational performance and strategic financial management, positioning it well within the energy industry.

DividendsFinancial Disclosures
Hemisphere Energy Announces Special Dividend Amid Strong Financial Performance
Positive
Jul 15, 2025

Hemisphere Energy Corporation has announced a special dividend of $0.03 per common share, reflecting its strong financial position and performance outlook. The dividend, payable on August 15, 2025, is part of the company’s commitment to delivering shareholder value, supported by its high-margin EOR assets and robust financial health. This marks the second special dividend in 2025, contributing to a total capital return of $12.2 million to shareholders, funded entirely by free cash flow.

The most recent analyst rating on (TSE:HME) stock is a Buy with a C$2.35 price target. To see the full list of analyst forecasts on Hemisphere Energy stock, see the TSE:HME Stock Forecast page.

Stock Buyback
Hemisphere Energy Renews Share Buyback Program
Positive
Jul 8, 2025

Hemisphere Energy Corporation has announced the renewal of its Normal Course Issuer Bid (NCIB), allowing the company to purchase up to 10% of its public float, or 7,934,731 common shares, for cancellation. This move is aimed at increasing shareholder value by buying back shares when market prices do not reflect the company’s intrinsic value, thereby benefiting remaining shareholders.

The most recent analyst rating on (TSE:HME) stock is a Buy with a C$2.35 price target. To see the full list of analyst forecasts on Hemisphere Energy stock, see the TSE:HME Stock Forecast page.

Shareholder MeetingsBusiness Operations and Strategy
Hemisphere Energy Reports Shareholder Meeting Results
Positive
Jun 2, 2025

Hemisphere Energy Corporation announced the results of its Annual General and Special Meeting of Shareholders, where 43.07% of total shares were voted. Shareholders approved all items on the agenda, including setting the number of directors at six, electing board members, reappointing KPMG LLP as auditors, and approving both the Amended and Restated Stock Option Plan and the Bonus Award Incentive Plan. The meeting’s outcomes are expected to support the company’s strategic initiatives and enhance shareholder value.

The most recent analyst rating on (TSE:HME) stock is a Buy with a C$2.35 price target. To see the full list of analyst forecasts on Hemisphere Energy stock, see the TSE:HME Stock Forecast page.

Stock BuybackDividendsBusiness Operations and StrategyFinancial Disclosures
Hemisphere Energy Reports Record Q1 Production and Declares Dividend
Positive
May 22, 2025

Hemisphere Energy Corporation reported a record quarterly production of 3,833 boe/d, predominantly heavy oil, marking a 21% increase from the previous year. The company generated $27.3 million in revenue, a 30% increase from Q1 2024, and declared a quarterly dividend of $0.025 per share. Hemisphere also renewed its credit facility, indicating a strong financial position with positive working capital of $14.1 million. The company’s strategic moves, including share repurchases and dividend payments, highlight its commitment to returning value to shareholders and maintaining a robust operational framework.

The most recent analyst rating on (TSE:HME) stock is a Buy with a C$2.35 price target. To see the full list of analyst forecasts on Hemisphere Energy stock, see the TSE:HME 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 20, 2025