Orbit Garant Drill (OGD) AI Stock Analysis

• Market Cap: C$53.82M
• Dividend Yield: N/A
• Average Volume (3M): 42.83K
• Price to Earnings (P/E): 11.1
• Beta (1Y): 0.51
• Revenue Growth: 1.04%
• EPS Growth: 107.55%
• Country: CA
• Employees: 1,000
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Industrial Materials
• EPS (TTM): <0.01
• Shares Outstanding: 37,899,840
• 10 Day Avg. Volume: 52,775
• 30 Day Avg. Volume: 42,829
• PEG Ratio: -0.01
• Price to Book (P/B): 0.89
• Price to Sales (P/S): 0.32
• P/FCF Ratio: 8.28
• 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: Moderate Buy
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 60 Neutral
• Price Target: C$1.50 ▲(7.14% Upside)

Orbit Garant Drill's overall stock score reflects a mixed financial performance with stable balance sheet metrics but challenges in revenue growth and cash flow management. Technical analysis indicates a neutral to slightly bearish trend, while valuation metrics suggest reasonable pricing. The earnings call provided a cautiously optimistic outlook, but short-term challenges and increased debt levels weigh on the score.

Positive Factors

Operational Capacity

Orbit Garant's ability to meet increased demand without significant capital expenditure enhances its potential for profitability and market share expansion.

Market Demand

Rising commodity prices drive demand for drilling services, positioning Orbit Garant to benefit from increased project bids and long-term revenue growth.

Balance Sheet Health

A strong balance sheet with a balanced debt-to-equity ratio provides financial stability and flexibility for strategic investments and growth.

Negative Factors

Revenue Decline

Declining revenue reflects challenges in maintaining sales growth, potentially impacting long-term profitability and market competitiveness.

Decreased Gross Margin

A reduction in gross margin indicates rising costs or pricing pressures, which could affect future profitability if not addressed.

Increased Debt Levels

Rising debt levels may strain cash flow and limit financial flexibility, posing risks to long-term financial health and operational expansion.

Orbit Garant Drill Business Overview & Revenue Model

Company Description

Orbit Garant Drilling Inc. provides mineral drilling services in Canada, the United States, South America, and West Africa. It provides underground and surface diamond drilling services to mining companies through various stages of mineral exploration, mine development, and production. The company also offers geotechnical and water drilling services to mining or mineral exploration companies, engineering and environmental consultant firms, and government agencies. In addition, it manufactures and sells conventional and specialized drill rigs. As of June 30, 2021, the company operated 223 drill rigs, including 101 underground drills and 122 drill rigs. Orbit Garant Drilling Inc. was founded in 1965 and is headquartered in Val-d'Or, Canada.

How the Company Makes Money

Orbit Garant Drill generates revenue primarily through its drilling services, which are billed on a per-project basis or through long-term contracts with mining companies and exploration firms. Key revenue streams include surface and underground drilling operations, geotechnical services, and environmental drilling projects. The company benefits from significant partnerships with major mining companies, which provide a steady stream of contracts. Additionally, OGD's focus on maintaining a modern fleet of drilling equipment and investing in technology enhances its operational efficiency and service offerings, further contributing to its earnings.

Orbit Garant Drill Financial Statement Overview

Summary

Orbit Garant Drill has demonstrated a strong financial recovery, with significant improvements in profitability and cash flow generation. The income statement shows robust revenue growth and improved margins, while the balance sheet reflects reduced leverage and better returns on equity. Cash flow metrics are particularly strong, highlighting efficient cash management. Continued focus on operational efficiencies and debt reduction will be key to sustaining this positive trajectory.

Income Statement

Orbit Garant Drill has shown a strong recovery in its income statement metrics over the past year. The gross profit margin improved to 14.96% from 11.24% in the previous year, indicating better cost management. The net profit margin turned positive at 3.99%, a significant improvement from the negative margins in prior years. Revenue growth was robust at 94%, showcasing a strong rebound. However, the EBIT and EBITDA margins, while positive, remain relatively low, suggesting room for operational efficiency improvements.

Balance Sheet

The company's balance sheet reflects moderate financial stability. The debt-to-equity ratio decreased to 0.48, indicating a reduction in leverage, which is a positive sign. Return on equity improved to 11.01%, reflecting better profitability. However, the equity ratio remains stable, suggesting a balanced asset structure. Continued focus on reducing debt and improving equity returns could enhance financial stability further.

Cash Flow

Cash flow metrics are strong, with a significant increase in free cash flow growth at 291.24%, indicating improved cash generation capabilities. The operating cash flow to net income ratio is healthy at 0.57, suggesting efficient cash conversion. The free cash flow to net income ratio of 0.40 indicates that a substantial portion of earnings is being converted into free cash flow, supporting future investments and debt reduction.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	187.28M	189.05M	181.24M	200.98M	195.47M	163.29M
Gross Profit	26.31M	28.28M	20.37M	16.82M	13.74M	20.29M
EBITDA	22.20M	20.47M	9.16M	14.87M	9.97M	17.58M
Net Income	4.72M	7.54M	-1.32M	-669.00K	-6.65M	2.29M
Balance Sheet
Total Assets	138.55M	130.64M	119.88M	127.56M	137.06M	138.14M
Cash, Cash Equivalents and Short-Term Investments	1.42M	3.54M	332.00K	2.18M	1.02M	3.26M
Total Debt	37.66M	32.66M	34.12M	37.01M	40.31M	37.30M
Total Liabilities	69.60M	62.22M	59.65M	65.92M	74.55M	67.79M
Stockholders Equity	68.95M	68.42M	60.23M	61.64M	62.51M	70.35M
Cash Flow
Free Cash Flow	-813.00K	7.32M	481.00K	4.92M	-6.14M	1.93M
Operating Cash Flow	12.09M	18.52M	9.22M	14.35M	5.86M	9.79M
Investing Cash Flow	-10.33M	-8.57M	-5.98M	-8.44M	-10.78M	-6.70M
Financing Cash Flow	-1.16M	-6.67M	-5.56M	-4.43M	2.71M	-3.79M

Orbit Garant Drill Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 1.40
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:OGD, the sentiment is Neutral. The current price of 1.4 is above the 20-day moving average (MA) of 1.31, below the 50-day MA of 1.50, and below the 200-day MA of 1.49, indicating a neutral trend. The MACD of -0.04 indicates Negative momentum. The RSI at 51.09 is Neutral, neither overbought nor oversold. The STOCH value of 84.57 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for TSE:OGD.

Orbit Garant Drill Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	61 Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%
OGD	60 Neutral	C$53.82M	11.08	7.13%	―	1.04%	107.55%
NIM	52 Neutral	C$221.66M	-48.94	―	―	―	48.63%
LCE	40 Underperform	C$53.72M	-19.14	-4.48%	―	―	27.68%
WM	39 Underperform	C$109.81M	-9.79	-3.76%	―	―	9.35%
FPC	33 Underperform	C$148.41M	-60.14	-4.06%	―	―	54.00%
CDB	32 Underperform	C$77.60M	-4.11	-309.54%	―	―	-8.78%

Orbit Garant Drill Corporate Events

Orbit Garant Reports Decline in Q1 2026 Earnings Amid Project Delays

Orbit Garant Drilling Inc. reported a decrease in revenue and net earnings for the first quarter of fiscal 2026, attributed to the completion of certain projects and temporary delays in Canada and South America. Despite the current financial results, the company remains optimistic about future growth due to increasing demand for drilling services, supported by high gold and copper prices, and anticipates benefiting from the resumption of delayed projects and new contract bids.

Orbit Garant Achieves Record Net Earnings in Fiscal 2025

Orbit Garant Drilling Inc. reported its highest net earnings in over a decade for fiscal 2025, driven by improved profitability in Canada and South America. The company’s strategic focus on operational improvements and strong customer demand allowed it to reduce debt and repurchase shares, enhancing shareholder value. With high gold and copper prices, Orbit Garant plans to maintain its disciplined business strategy, continue debt reduction, and capitalize on its operational capacity to support new contracts, particularly in its core regions.