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Logan Energy Corp (TSE:LGN)
:LGN
Canadian Market

Logan Energy Corp (LGN) AI Stock Analysis

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Logan Energy Corp

(LGN)

Rating:64Neutral
Price Target:
C$0.50
▼(-21.88%Downside)
Logan Energy Corp's overall score reflects significant corporate progress and a strong recovery in financial performance. Technical indicators remain stable, offering no strong momentum. However, the high P/E ratio suggests caution due to potential overvaluation. Positive corporate events contribute notably to the strength of the stock.
Positive Factors
Investor Alignment
With insiders owning ~20% and a growth target >50%/year via M&A, there is considerable alignment for growth-oriented investors.
Production Performance
The company's first Duvernay well significantly exceeded LGN type curve expectations, averaging 1,306 bbls/d of oil and 1.2 mmcf/d of natural gas.
Strategic Transactions
The recent transaction shows management's commitment to maintain a strong balance sheet while taking advantage of various cost acquisition highlights.
Negative Factors
Capital Allocation
LGN highlighted a slight beat on production, the replacement of 79% of PDP reserves, and an update to 2025 capex as a result of postponing capital from last quarter.
Cost Efficiency
PDP FD&A cost at $27.11/boe (recycle ratio ~0.7x).
Financial Performance
The PDP value created in 2024 was ~$106mn versus capital spending (net of A&D) of ~$212mn, meaning for every dollar spent, there was a loss of $0.50.

Logan Energy Corp (LGN) vs. iShares MSCI Canada ETF (EWC)

Logan Energy Corp Business Overview & Revenue Model

Company DescriptionLogan Energy Corp (LGN) is a leading company in the energy sector, focused on the exploration, production, and distribution of natural gas and crude oil. Headquartered in Houston, Texas, Logan Energy operates across various regions in North America and has a growing presence in international markets. The company is committed to providing reliable energy solutions while emphasizing sustainable and environmentally responsible practices.
How the Company Makes MoneyLogan Energy Corp generates revenue primarily through the sale of natural gas and crude oil. The company engages in upstream activities, including the exploration and production of these resources, which are then sold to a diverse range of customers, including industrial, commercial, and residential sectors. Additionally, Logan Energy benefits from midstream operations, such as the transportation and storage of energy products, which provide stable cash flows. The company's earnings are further bolstered by strategic partnerships with other energy firms and investments in technology to enhance extraction efficiency and reduce operational costs.

Logan Energy Corp Financial Statement Overview

Summary
Logan Energy Corp is on a growth path, with substantial revenue recovery and improving equity metrics. However, profitability and cash flow sustainability remain concerns, particularly due to high capital expenses. The company needs to address operational efficiency and cash management to enhance financial health.
Income Statement
63
Positive
Logan Energy Corp shows a positive gross profit margin for 2024, recovering from negative margins in 2023. However, the revenue growth rate from 2023 to 2024 reflects a significant increase, indicating a strong recovery trajectory. Despite this, the net profit margin remains low. EBITDA margin shows improvement, but EBIT is still at zero, highlighting challenges in operational profitability.
Balance Sheet
75
Positive
The company maintains a robust equity ratio, supported by significant stockholders' equity relative to total assets. The debt-to-equity ratio is low, suggesting conservative leverage. Return on equity has improved, indicating better utilization of shareholder funds. Overall, the balance sheet reflects financial stability with minimal debt risks.
Cash Flow
55
Neutral
Operating cash flow covers net income well, suggesting efficient cash generation. However, the free cash flow is negative due to high capital expenditures, posing a liquidity challenge. Despite positive operating cash flow trends, the substantial free cash flow deficit indicates potential cash management issues.
Breakdown
Dec 2024Dec 2023Dec 2022
Income StatementTotal Revenue
113.87M72.72M127.86M
Gross Profit
62.70M-5.65M88.50M
EBIT
4.14M-33.18M39.08M
EBITDA
50.91M-4.07M61.42M
Net Income Common Stockholders
4.55M-33.80M39.40M
Balance SheetCash, Cash Equivalents and Short-Term Investments
324.00K53.97M-251.00K
Total Assets
365.45M234.64M131.90M
Total Debt
1.30M150.00K251.00K
Net Debt
979.00K-53.82M502.00K
Total Liabilities
90.09M60.52M36.11M
Stockholders Equity
275.36M174.12M95.80M
Cash FlowFree Cash Flow
-161.41M-61.85M59.47M
Operating Cash Flow
50.43M23.95M67.11M
Investing Cash Flow
-196.20M-68.23M-22.11M
Financing Cash Flow
92.10M98.25M-45.00M

Logan Energy Corp Technical Analysis

Technical Analysis Sentiment
Positive
Last Price0.64
Price Trends
50DMA
0.61
Positive
100DMA
0.64
Positive
200DMA
0.70
Negative
Market Momentum
MACD
<0.01
Negative
RSI
68.63
Neutral
STOCH
94.44
Negative
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:LGN, the sentiment is Positive. The current price of 0.64 is above the 20-day moving average (MA) of 0.62, above the 50-day MA of 0.61, and below the 200-day MA of 0.70, indicating a neutral trend. The MACD of <0.01 indicates Negative momentum. The RSI at 68.63 is Neutral, neither overbought nor oversold. The STOCH value of 94.44 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TSE:LGN.

Logan Energy Corp Peers Comparison

Overall Rating
UnderperformOutperform
Sector (57)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
81
Outperform
C$391.88M2.5022.02%37.66%782.26%
TSFEC
72
Outperform
$479.23M27.770.67%3.89%-0.37%-92.83%
TSTNZ
67
Neutral
C$505.24M187.11-13.52%-3.50%-153.25%
TSLGN
64
Neutral
C$369.87M47.762.74%42.32%
57
Neutral
$7.22B3.15-4.49%5.63%0.82%-49.15%
TSCEI
55
Neutral
C$446.36M-6.69%41.39%-61.36%
TSOBE
50
Neutral
C$499.02M5.64-12.88%11.92%-304.98%
* Energy Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
TSE:LGN
Logan Energy Corp
0.68
-0.16
-19.05%
TSE:OBE
Obsidian Energy
7.55
-2.63
-25.83%
TSE:FEC
Frontera Energy
6.41
-1.80
-21.88%
TSE:SOIL
Saturn Oil & Gas
2.00
-0.70
-25.93%
TSE:TNZ
Tenaz Energy Corp
18.54
15.01
425.21%
TSE:CEI
Coelacanth Energy, Inc.
0.84
0.09
12.00%

Logan Energy Corp Corporate Events

Product-Related AnnouncementsM&A TransactionsBusiness Operations and Strategy
Logan Energy Completes Pouce Coupe Facility and Sells Interest to Topaz Energy
Positive
May 30, 2025

Logan Energy Corp has completed the construction and commissioning of its Pouce Coupe Facility, which includes a gas plant, compressor station, and oil battery, along with associated pipelines. The company also finalized the sale of a 35% non-operated working interest in the facility to Topaz Energy Corp for $26 million, using the proceeds to reduce bank debt. This commissioning marks a significant milestone for Logan, enabling a substantial increase in production from its Pouce Coupe property, with expectations to more than double output by the second half of 2025, thus strengthening its position in the industry.

The most recent analyst rating on (TSE:LGN) stock is a Buy with a C$1.85 price target. To see the full list of analyst forecasts on Logan Energy Corp stock, see the TSE:LGN Stock Forecast page.

Private Placements and FinancingBusiness Operations and StrategyFinancial Disclosures
Logan Energy Corp Reports Strong Q1 2025 Results and Expands Credit Facilities
Positive
May 15, 2025

Logan Energy Corp announced its first quarter 2025 results, highlighting a 42% increase in production compared to the previous year and a 62% rise in adjusted funds flow. The company has increased its credit capacity to $150 million and reported strong initial well performance, particularly with the completion of its first Duvernay oil well. Logan also advanced the construction of the Pouce 4-19 Facility, which is expected to enhance its operational capabilities. These developments are likely to strengthen Logan’s market position and provide potential benefits to stakeholders through improved financial metrics and expanded operational capacity.

The most recent analyst rating on (TSE:LGN) stock is a Buy with a C$1.85 price target. To see the full list of analyst forecasts on Logan Energy Corp stock, see the TSE:LGN Stock Forecast page.

Business Operations and StrategyFinancial Disclosures
Logan Energy Corp Achieves Significant Growth in 2024 Financial Results
Positive
Mar 19, 2025

Logan Energy Corp reported significant growth in its 2024 financial results, with a 51% increase in production and an 80% rise in adjusted funds flow compared to the previous year. The company successfully executed its growth strategy, doubling crude oil production and increasing its liquids weighting, despite lower natural gas prices. Logan’s strategic investments in infrastructure, including a new gas plant and expansions in key areas, are expected to support continued growth and operational efficiency in 2025.

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.