Logan Energy Corp (LGN) AI Stock Analysis

• Market Cap: C$329.41M
• Dividend Yield: N/A
• Average Volume (3M): 447.63K
• Price to Earnings (P/E): 44.0
• Beta (1Y): 0.92
• Revenue Growth: 42.32%
• EPS Growth: N/A
• Country: CA
• Employees: 36
• Sector: Energy
• Sector Strength: 54
• Industry: Oil & Gas Exploration & Production
• EPS (TTM): 0.00
• Shares Outstanding: 577,917,850
• 10 Day Avg. Volume: 633,266
• 30 Day Avg. Volume: 447,631
• PEG Ratio: 0.00
• Price to Book (P/B): 2.60
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 4.19
• 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$1.25
• Price Target Upside: 115.52% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 3

• Rating: 60 Neutral
• Price Target: C$0.50 ▼(-13.79%Downside)

The overall score is primarily influenced by the company's strong corporate events, which provide operational and financial enhancements. However, concerns about valuation and moderate technical indicators offset these gains, suggesting a cautious approach.

Positive Factors

Cost Management

The company highlighted strong netbacks and a reduction in costs by focusing on oil/liquids weighted assets, effectively offsetting lower gas prices.

Growth Strategy

Insiders owning 21% and a goal of growing production over 50% annually via mergers and acquisitions indicates strong alignment for growth-oriented investors.

Production Performance

The company's first Duvernay well significantly exceeded expectations, averaging 1,306 bbls/d of oil and 1.2 mmcf/d of natural gas.

Negative Factors

Capital Efficiency

PDP FD&A cost was high at $27.11 per boe, reflecting a suboptimal recycle ratio of approximately 0.7x.

Debt Management

Despite a recent transaction, the company expects minimal change to its adjusted funds flow and a decreased year-end debt level, indicating financial strain.

Financial Performance

The PDP value created was significantly lower than capital spending, resulting in a loss of $0.50 for every dollar spent.

Logan Energy Corp Business Overview & Revenue Model

Company Description

Logan Energy Corp (LGN) is a prominent player in the energy sector, specializing in the exploration, development, and production of oil and natural gas. The company operates across various regions, leveraging advanced technology and expertise to optimize resource extraction and energy production. Its core services include upstream operations, which focus on the initial phases of energy production, as well as midstream and downstream activities related to processing, storage, and distribution of energy products.

How the Company Makes Money

Logan Energy Corp generates revenue primarily through the sale of crude oil and natural gas extracted from its exploration and production activities. Key revenue streams include the direct sale of these commodities to refineries and energy distributors. The company also benefits from long-term contracts and partnerships with major industrial players and governmental agencies, which provide stable and predictable income. Additionally, Logan Energy may engage in hedging activities to manage market volatility and secure favorable pricing for its energy products. The company’s strategic investments in technology and infrastructure further enhance its operational efficiency and profitability.

Logan Energy Corp Financial Statement Overview

Summary

Logan Energy Corp is showing a strong recovery trajectory with significant revenue growth and improved equity metrics. However, challenges in operational profitability and cash flow sustainability due to high capital expenditures remain concerns.

Income Statement

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

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

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 2024	Dec 2023	Dec 2022
Income Statement
Total Revenue	113.87M	72.72M	127.86M
Gross Profit	62.70M	-5.65M	88.50M
EBITDA	50.91M	-4.07M	61.42M
Net Income	4.55M	-33.80M	39.40M
Balance Sheet
Total Assets	365.45M	234.64M	131.90M
Cash, Cash Equivalents and Short-Term Investments	324.00K	53.97M	-251.00K
Total Debt	1.30M	150.00K	251.00K
Total Liabilities	90.09M	60.52M	36.11M
Stockholders Equity	275.36M	174.12M	95.80M
Cash Flow
Free Cash Flow	-161.41M	-61.85M	59.47M
Operating Cash Flow	50.43M	23.95M	67.11M
Investing Cash Flow	-196.20M	-68.23M	-22.11M
Financing Cash Flow	92.10M	98.25M	-45.00M

Logan Energy Corp Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.58
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:LGN, the sentiment is Negative. The current price of 0.58 is below the 20-day moving average (MA) of 0.63, below the 50-day MA of 0.62, and below the 200-day MA of 0.69, indicating a bearish trend. The MACD of >-0.01 indicates Positive momentum. The RSI at 39.07 is Neutral, neither overbought nor oversold. The STOCH value of 13.33 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for TSE:LGN.

Logan Energy Corp Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
SOIL	81 Outperform	$419.09M	2.66	22.02%	―	37.66%	782.26%
FEC	72 Outperform	C$520.97M	30.18	0.67%	3.61%	-0.37%	-92.83%
TNZ	69 Neutral	C$563.24M	187.11	-13.52%	―	-3.50%	-153.25%
LGN	60 Neutral	C$329.41M	44.03	2.74%	―	42.32%	―
CEI	54 Neutral	C$446.36M	―	-6.69%	―	41.39%	-61.36%
Sector *	52 Neutral	C$2.91B	-1.09	-3.26%	6.12%	5.32%	-43.41%
OBE	50 Neutral	$545.39M	5.64	-12.88%	―	11.92%	-304.98%

Logan Energy Corp Corporate Events

Logan Energy Completes Pouce Coupe Facility and Sells Interest to Topaz Energy

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.

Logan Energy Corp Reports Strong Q1 2025 Results and Expands Credit Facilities

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.