Maxim Power (MXG) AI Stock Analysis

• Market Cap: C$287.70M
• Dividend Yield: N/A
• Average Volume (3M): 8.30K
• Price to Earnings (P/E): 17.1
• Beta (1Y): 1.04
• Revenue Growth: -12.05%
• EPS Growth: -48.82%
• Country: CA
• Employees: 46
• Sector: Utilities
• Sector Strength: 65
• Industry: Independent Power Producers
• EPS (TTM): <0.01
• Shares Outstanding: 63,650,562
• 10 Day Avg. Volume: 7,533
• 30 Day Avg. Volume: 8,299
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• 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$5.00
• Price Target Upside: 11.11% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 1

• Rating: 64 Neutral
• Price Target: C$5.00 ▲(11.11% Upside)

Maxim Power's overall stock score reflects its strong financial performance, characterized by significant revenue growth and improved profitability. The technical analysis suggests a neutral market sentiment, while the valuation indicates the stock is fairly priced. The absence of earnings call data and corporate events means these factors did not influence the score.

Maxim Power Business Overview & Revenue Model

Company Description

Maxim Power Corp., an independent power producer, engages in the development, ownership, and operation of power generation facilities in Canada. Its core asset is Milner 2 power plant, a 204 megawatt natural gas-fired turbine generator located in Grande Cache, Alberta. Maxim Power Corp. is headquartered in Calgary, Canada.

How the Company Makes Money

Maxim Power Corp generates revenue through the sale of electricity produced by its owned and operated power generation facilities. The company sells this electricity to wholesale markets, utilities, and other large-scale electricity purchasers. Key revenue streams include payments received from power purchase agreements and spot market sales. Additionally, the company may benefit from government incentives and regulatory frameworks that support power generation activities. Maxim Power's earnings are influenced by factors such as energy prices, operational efficiency, and the successful management of its power generation assets.

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	86.97M	101.48M	38.47M	141.26M	156.01M	46.73M
Gross Profit	56.06M	42.83M	-9.94M	53.50M	77.94M	6.18M
EBITDA	38.12M	51.10M	53.74M	70.81M	113.48M	11.86M
Net Income	14.72M	21.95M	28.30M	42.28M	78.51M	9.26M
Balance Sheet
Total Assets	364.00M	359.10M	425.84M	382.11M	312.44M	239.31M
Cash, Cash Equivalents and Short-Term Investments	31.49M	30.07M	32.26M	51.38M	13.55M	12.26M
Total Debt	66.00K	77.00K	81.31M	82.81M	53.85M	66.98M
Total Liabilities	44.46M	43.08M	128.09M	113.45M	85.25M	91.40M
Stockholders Equity	319.54M	316.02M	297.75M	268.65M	227.18M	147.91M
Cash Flow
Free Cash Flow	21.19M	76.88M	-3.58M	-4.68M	16.64M	-13.21M
Operating Cash Flow	30.53M	84.07M	23.84M	76.41M	105.22M	6.96M
Investing Cash Flow	4.82M	7.30M	-32.09M	-57.79M	-85.31M	-25.89M
Financing Cash Flow	-90.47M	-93.64M	-10.86M	19.28M	-18.60M	10.35M

Maxim Power Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 4.50
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

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 4.5 is above the 20-day moving average (MA) of 4.48, below the 50-day MA of 4.55, and below the 200-day MA of 4.79, indicating a neutral trend. The MACD of >-0.01 indicates Negative momentum. The RSI at 49.26 is Neutral, neither overbought nor oversold. The STOCH value of 51.11 is Neutral, 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
CPX	70 Outperform	9.53B	19.19	8.98%	4.01%	-16.83%	-37.24%
MXG	64 Neutral	C$287.70M	17.11	4.47%	―	-12.05%	-48.82%
TA	60 Neutral	5.36B	-33.07	-7.28%	1.34%	-20.91%	-127.48%
NPI	60 Neutral	5.88B	-110.20	-1.06%	5.56%	-8.39%	-180.67%
BLX	54 Neutral	2.75B	-276.98	-0.64%	2.45%	-13.45%	-112.19%
Sector *	66 Neutral	$17.65B	18.10	5.60%	3.62%	6.62%	11.55%

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.