Maxim Power (MXG) AI Stock Analysis

• Market Cap: C$292.75M
• Dividend Yield: N/A
• Average Volume (3M): 11.24K
• Price to Earnings (P/E): 17.4
• Beta (1Y): 1.18
• Revenue Growth: -28.65%
• EPS Growth: -73.50%
• Country: CA
• Employees: 46
• Sector: Utilities
• Sector Strength: 65
• Industry: Independent Power Producers
• EPS (TTM): 0.17
• Shares Outstanding: 63,640,470
• 10 Day Avg. Volume: 13,009
• 30 Day Avg. Volume: 11,237
• PEG Ratio: -0.80
• Price to Book (P/B): 0.99
• Price to Sales (P/S): 3.09
• P/FCF Ratio: 4.07
• 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: 64 Neutral
• Price Target: C$5.00 ▲(12.36% Upside)

Maxim Power's overall stock score is driven by its strong financial performance, marked by significant revenue growth and improved profitability. The technical analysis supports a stable outlook with positive momentum. The valuation is fair, though the lack of a dividend yield may be a consideration for some investors. The absence of earnings call and corporate events data did not impact the score.

Maxim Power Business Overview & Revenue Model

Company Description

Maxim Power Corp (MXG) is a Canadian power generation company primarily engaged in the development, ownership, and operation of power generation facilities. The company operates in the energy sector, focusing on natural gas and renewable energy sources. Maxim Power's core products include electricity generated from its power plants, which serve both the wholesale and retail markets in Canada and the United States.

How the Company Makes Money

Maxim Power generates revenue primarily through the sale of electricity produced by its power generation facilities. The company operates in various markets, including wholesale power markets, where it sells electricity to utilities and large industrial customers. Additionally, Maxim Power may benefit from long-term power purchase agreements (PPAs) that provide stable revenue streams. The company also explores opportunities in renewable energy, allowing it to diversify its revenue sources. Strategic partnerships with other energy companies and participation in energy trading markets can further enhance its earnings potential.

Maxim Power Financial Statement Overview

Summary

Maxim Power's financial health has significantly improved, with strong revenue growth, improved profitability margins, and a solid balance sheet with low leverage. The company has effectively managed its cash flows, turning past deficits into positive free cash flow. While past performance showed volatility, recent financial results indicate a trajectory toward stability and growth.

Income Statement

Maxim Power demonstrates a strong recovery and improvement in profitability, with a notable increase in total revenue from $38.5M in 2023 to $101.5M in 2024. The net profit margin improved as net income turned positive, reaching $21.9M in 2024 from a $28.3M profit in 2023, despite a previous year of losses. The gross profit margin is robust, and EBIT and EBITDA margins have significantly improved, indicating better operational efficiency.

Balance Sheet

The company has a strong equity position with stockholders' equity of $316M against total liabilities of $43M in 2024, resulting in a low debt-to-equity ratio. The equity ratio is favorable, showcasing financial stability and low leverage risk. Return on equity has been improving, reflecting efficient use of equity capital. Overall, the balance sheet is solid, with high levels of cash and short-term investments.

Cash Flow

Maxim Power's operating cash flow has improved substantially, with a free cash flow of $76.9M in 2024, demonstrating effective cash generation. The operating cash flow to net income ratio is solid, indicating strong cash flow relative to income. The company has managed a turnaround from negative free cash flow positions in previous years, showing progress in cash management and capital allocation.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	91.39M	101.48M	38.47M	141.26M	156.01M	46.73M
Gross Profit	77.37M	42.83M	-9.94M	53.50M	77.94M	6.18M
EBITDA	35.16M	51.10M	55.45M	70.81M	113.48M	11.93M
Net Income	14.05M	21.95M	28.30M	42.28M	78.51M	9.26M
Balance Sheet
Total Assets	360.00M	359.10M	425.84M	382.11M	312.44M	239.31M
Cash, Cash Equivalents and Short-Term Investments	40.38M	30.07M	32.26M	51.38M	13.55M	12.26M
Total Debt	0.00	77.00K	81.31M	82.81M	53.85M	66.98M
Total Liabilities	39.73M	43.08M	128.09M	113.45M	85.25M	91.40M
Stockholders Equity	320.27M	316.02M	297.75M	268.65M	227.18M	147.91M
Cash Flow
Free Cash Flow	16.11M	76.88M	-3.58M	-4.68M	16.64M	-13.21M
Operating Cash Flow	25.22M	84.07M	23.84M	76.41M	105.22M	6.96M
Investing Cash Flow	15.05M	7.30M	-32.09M	-57.79M	-85.31M	-25.89M
Financing Cash Flow	-87.42M	-93.64M	-10.86M	19.28M	-18.60M	10.35M

Maxim Power Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 4.45
• 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:MXG, the sentiment is Negative. The current price of 4.45 is below the 20-day moving average (MA) of 4.59, below the 50-day MA of 4.56, and below the 200-day MA of 4.57, indicating a bearish trend. The MACD of -0.04 indicates Positive momentum. The RSI at 36.55 is Neutral, neither overbought nor oversold. The STOCH value of 11.00 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for TSE:MXG.

Maxim Power Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
INE	72 Outperform	―	―	―	―	0.97%	―
Sector *	66 Neutral	$17.65B	18.10	5.60%	3.62%	6.62%	11.55%
MXG	64 Neutral	C$292.75M	17.41	4.47%	―	-28.65%	-73.50%
CPX	61 Neutral	C$10.87B	24.81	9.40%	3.73%	-2.99%	-32.11%
BLX	57 Neutral	C$2.89B	-288.59	-1.47%	2.53%	-11.91%	-132.41%
NPI	57 Neutral	$4.76B	―	-7.06%	6.80%	-4.86%	-86.64%
TA	54 Neutral	$6.07B	―	-8.42%	1.03%	-11.00%	-227.07%

Maxim Power Corporate Events

Maxim Power Corp Announces TSX Approval for Share Buyback Program

Maxim Power Corp has received approval from the Toronto Stock Exchange to initiate a normal course issuer bid, allowing the company to purchase and cancel up to 3,182,528 common shares, representing approximately 5% of its outstanding shares. This move is intended to reflect the company’s belief that its share price may not fully represent its underlying value, thereby benefiting shareholders by increasing their proportional share interest.

The most recent analyst rating on (TSE:MXG) stock is a Hold with a C$4.50 price target. To see the full list of analyst forecasts on Maxim Power stock, see the TSE:MXG Stock Forecast page.

Maxim Power Corp. Reports Mixed Q2 2025 Financial Results

Maxim Power Corp. reported its financial results for the second quarter of 2025, showing an increase in revenues and Adjusted EBITDA due to higher generation volumes and realized power prices. However, net income decreased due to unrealized losses on commodity swaps. For the first half of 2025, the company experienced a decline in revenues, Adjusted EBITDA, and net income compared to the previous year, attributed to lower realized power prices and generation volumes.