High Arctic Overseas Holdings Corp. (HOH) AI Stock Analysis

• Market Cap: C$13.94M
• Dividend Yield: N/A
• Average Volume (3M): 2.88K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.65
• Revenue Growth: N/A
• EPS Growth: N/A
• Country: CA
• Employees: N/A
• Sector: Energy
• Sector Strength: 52
• Industry: Oil & Gas Drilling
• EPS (TTM): -0.15
• Shares Outstanding: 12,448,166
• 10 Day Avg. Volume: 2,160
• 30 Day Avg. Volume: 2,879
• PEG Ratio: -0.03
• Price to Book (P/B): 0.41
• Price to Sales (P/S): 0.53
• P/FCF Ratio: 1.34
• 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: N/A
• Price Target Upside: N/A
• Rating Consensus: Hold
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 63 Neutral
• Price Target: C$1.00 ▼(-10.71% Downside)

High Arctic Overseas Holdings Corp. shows strong financial performance with a robust balance sheet and effective cash flow management, which are the most significant factors contributing to the score. However, the technical analysis indicates a potential bearish trend, and the lack of valuation metrics adds uncertainty. These factors collectively result in a moderate overall stock score.

Positive Factors

Balance Sheet Health

A strong balance sheet with minimal leverage enhances financial stability, providing flexibility for strategic investments and resilience in downturns.

Cash Flow Generation

Strong cash flow growth supports liquidity and reinvestment potential, enabling the company to fund operations and growth initiatives without external financing.

Profitability Improvement

Improved profitability indicates effective cost management and operational efficiency, enhancing long-term value creation and competitive positioning.

Negative Factors

Revenue Decline

A decline in revenue can hinder future growth and cash flow, potentially limiting the company's ability to invest in new opportunities and maintain market share.

Market Uncertainty

Lack of clear valuation metrics can create uncertainty for investors, potentially affecting investment decisions and the company's ability to attract capital.

Seasonal Demand Fluctuations

Reliance on seasonal demand can lead to earnings volatility, impacting financial planning and stability, especially if not managed effectively.

High Arctic Overseas Holdings Corp. Business Overview & Revenue Model

Company Description

High Arctic Overseas Holdings Corp. engages in the provision of drilling and ancillary services through its subsidiaries. The company was founded on April 1, 2024 and is headquartered in Calgary, Canada.

How the Company Makes Money

High Arctic Overseas Holdings Corp. generates revenue through multiple streams, including the provision of drilling services, rental of specialized equipment, and maintenance services for oil and gas operations. The company's core revenue model is based on contracts with clients in the energy sector, which may include fixed-price contracts or day-rate contracts for drilling rigs and other equipment. In addition, HOH may engage in joint ventures or partnerships with other energy companies to expand its service offerings and geographic reach, further enhancing its revenue potential. Seasonal demand fluctuations and the overall health of the energy market also play a critical role in the company's earnings.

High Arctic Overseas Holdings Corp. Financial Statement Overview

Summary

High Arctic Overseas Holdings Corp. demonstrates a strong financial turnaround with improved profitability and robust balance sheet metrics. The company has effectively managed its cash flows, ensuring liquidity and financial stability. While the reduction in revenue is a concern, the overall financial health remains strong, positioning the company well for future growth opportunities.

Income Statement

High Arctic Overseas Holdings Corp. has shown a significant improvement in profitability with a gross profit margin of 21.8% and a net profit margin of 11.9% for 2024. The company has managed to turn around its net income from a loss in 2023 to a positive figure in 2024, indicating strong operational recovery. However, the revenue has decreased from the previous year, which could be a concern if the trend continues.

Balance Sheet

The balance sheet is robust with a very low debt-to-equity ratio of 0.01, indicating minimal leverage. The equity ratio stands at a healthy 87.7%, showcasing strong financial stability. The return on equity is 9.2%, reflecting efficient use of equity to generate profits. Overall, the company maintains a strong financial position with substantial equity backing.

Cash Flow

The cash flow statement reflects a strong operating cash flow to net income ratio of 3.54, indicating efficient cash generation relative to net income. Free cash flow has grown by 20.8% from the previous year, supporting the company's liquidity and potential for reinvestment. However, the decrease in revenue could impact future cash flows if not addressed.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	9.28M	24.07M	43.38M	29.93M	11.75M
Gross Profit	-568.00K	5.25M	8.19M	-2.10M	-4.61M
EBITDA	2.02M	7.78M	-3.99M	3.63M	2.38M
Net Income	-1.27M	2.86M	-8.62M	-4.96M	-5.02M
Balance Sheet
Total Assets	31.14M	35.29M	43.37M	50.57M	68.46M
Cash, Cash Equivalents and Short-Term Investments	12.95M	14.93M	10.96M	3.85M	1.89M
Total Debt	136.00K	448.00K	973.00K	463.00K	161.00K
Total Liabilities	3.11M	4.33M	10.26M	8.84M	11.02M
Stockholders Equity	28.04M	30.95M	33.11M	41.73M	57.45M
Cash Flow
Free Cash Flow	-1.51M	9.46M	7.83M	2.23M	-3.77M
Operating Cash Flow	-1.22M	10.11M	8.91M	2.63M	-1.90M
Investing Cash Flow	-256.00K	-652.00K	-1.08M	324.00K	-1.82M
Financing Cash Flow	-431.00K	-5.49M	-714.00K	-993.00K	-4.97M

High Arctic Overseas Holdings Corp. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1.12
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:HOH, the sentiment is Positive. The current price of 1.12 is above the 20-day moving average (MA) of 1.10, above the 50-day MA of 1.08, and above the 200-day MA of 1.07, indicating a bullish trend. The MACD of <0.01 indicates Negative momentum. The RSI at 57.79 is Neutral, neither overbought nor oversold. The STOCH value of 47.62 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TSE:HOH.

High Arctic Overseas Holdings Corp. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
AKT.A	73 Outperform	C$77.66M	3.54	12.87%	―	24.94%	956.65%
ACX	72 Outperform	C$165.15M	6.29	11.51%	―	-16.20%	-38.85%
Sector *	65 Neutral	$15.17B	7.61	4.09%	5.20%	3.87%	-62.32%
HOH	63 Neutral	C$13.94M	―	―	―	―	―
WRG	54 Neutral	C$70.73M	-10.32	-2.38%	―	-0.38%	6.98%
SDI	52 Neutral	C$21.99M	-275.00	-0.03%	―	-15.25%	-101.10%