Permex Petroleum Corporation (OIL) AI Stock Analysis

• Market Cap: C$2.59M
• Dividend Yield: N/A
• Average Volume (3M): 828.00
• Price to Earnings (P/E): ―
• Beta (1Y): 0.34
• Revenue Growth: 172.92%
• EPS Growth: -92.61%
• Country: CA
• Employees: 1
• Sector: Energy
• Sector Strength: 58
• Industry: Oil & Gas Exploration & Production
• EPS (TTM): -12.64
• Shares Outstanding: 551,503
• 10 Day Avg. Volume: 791
• 30 Day Avg. Volume: 828
• 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$4.50
• Price Target Upside: -2.17% Downside
• Rating Consensus: Hold
• Number of Analyst Covering: 0

• Rating: 41 Neutral
• Price Target: C$4.50 ▼(-2.17% Downside)

Permex Petroleum Corporation's overall stock score is primarily impacted by its poor financial performance and concerning valuation metrics. The technical analysis offers a neutral outlook, but the lack of positive financial indicators and valuation concerns weigh heavily on the score.

Permex Petroleum Corporation Business Overview & Revenue Model

Company Description

Permex Petroleum Corporation is a publicly traded company in the energy sector, primarily engaged in the acquisition, exploration, and development of oil and natural gas properties in North America. The company focuses on enhancing production and reserves from its portfolio of oil and gas assets, which are strategically located in oil-rich regions. Permex leverages advanced technologies and industry expertise to optimize its operations for maximum efficiency and profitability.

How the Company Makes Money

Permex Petroleum Corporation generates revenue through the extraction and sale of crude oil and natural gas. The company operates a portfolio of producing assets, where it drills and extracts hydrocarbons from its owned or leased properties. Revenues are primarily derived from selling the extracted oil and gas to refineries and other market intermediaries. The company's earnings are influenced by factors such as commodity prices, production volumes, operational costs, and its ability to successfully develop new reserves. Significant partnerships with other oil and gas companies or service providers may also contribute to its operational efficiency and financial performance.

Permex Petroleum Corporation Financial Statement Overview

Summary

Permex Petroleum Corporation's financial health is severely strained. The company faces significant challenges with declining revenue, negative gross profit margins, and consistently negative net income. The balance sheet shows increased leverage and reduced financial stability, while cash flow analysis highlights liquidity issues. These factors collectively indicate a need for strategic improvements.

Income Statement

Permex Petroleum Corporation's income statement reveals significant challenges. The company has experienced negative growth in revenue with a sharp decline from $688,827 in 2023 to $189,699 TTM in 2024. Gross profit margins are negative, indicating costs exceed revenue. Consistently negative net income and EBIT margins highlight struggles with profitability.

Balance Sheet

The balance sheet shows a decrease in stockholders' equity and a poor debt-to-equity ratio, moving from 0.05 in 2021 to 0.70 TTM in 2024, indicating increased leverage. The equity ratio has also decreased, suggesting reduced financial stability. These factors highlight potential risks with solvency and financial independence.

Cash Flow

Cash flow analysis reflects negative free cash flow and negative operating cash flow, emphasizing liquidity issues. The company has not demonstrated consistent free cash flow growth, which could challenge funding operations without external financing.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	342.23K	116.03K	688.83K	1.20M	106.89K	917.72K
Gross Profit	-472.14K	-162.61K	-345.48K	-76.91K	-91.75K	95.28K
EBITDA	-3.82M	-3.42M	-3.78M	-3.16M	-1.18M	-414.80K
Net Income	-5.68M	-3.99M	-3.94M	-3.47M	-1.58M	-1.69M
Balance Sheet
Total Assets	12.91M	12.06M	10.94M	17.19M	10.37M	9.33M
Cash, Cash Equivalents and Short-Term Investments	2.09M	1.51M	82.74K	4.51M	32.79K	7.36K
Total Debt	3.76M	3.78M	284.46K	387.29K	237.72K	295.59K
Total Liabilities	10.99M	7.96M	5.12M	2.88M	2.84M	4.91M
Stockholders Equity	1.93M	4.11M	7.17M	14.31M	7.53M	4.43M
Cash Flow
Free Cash Flow	-3.19M	-2.29M	-3.74M	―	-1.34M	-195.64K
Operating Cash Flow	-3.00M	-2.29M	-2.30M	―	-951.57K	5.51K
Investing Cash Flow	-188.91K	66.77K	-1.45M	―	1.11M	-176.15K
Financing Cash Flow	4.85M	3.65M	523.48K	9.55M	-129.89K	174.42K

Permex Petroleum Corporation Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 4.60
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:OIL, the sentiment is Neutral. The current price of 4.6 is below the 20-day moving average (MA) of 4.89, below the 50-day MA of 5.31, and above the 200-day MA of 4.12, indicating a neutral trend. The MACD of -0.06 indicates Positive momentum. The RSI at 41.97 is Neutral, neither overbought nor oversold. The STOCH value of 3.70 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for TSE:OIL.

Permex Petroleum Corporation Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	65 Neutral	$15.47B	7.30	3.02%	5.25%	4.27%	-62.52%
WCE	51 Neutral	C$3.35M	―	-59.72%	―	6.92%	-1094.44%
OIL	41 Neutral	C$2.59M	―	-152.21%	―	172.92%	-92.61%
PNN	27 Underperform	C$3.34M	―	597.18%	―	―	-118.12%
JBR	23 Underperform	C$810.76K	―	56.97%	―	―	-20.88%
JEC	―	C$2.42M	―	-79.57%	―	―	―
SHP	24 Underperform	C$1.27M	―	94.60%	―	-76.55%	58.66%

Permex Petroleum Corporation Corporate Events

Permex Petroleum Secures $2 Million Through Convertible Debenture Offering

Permex Petroleum Corporation announced the successful closing of a US$2,000,000 private placement of convertible debenture units. This strategic financial move is expected to enhance the company’s working capital and potentially increase its market influence. The offering was subscribed by Kent Lindemuth, significantly increasing his stake in the company and potentially impacting shareholder dynamics. The funds raised will be used for general corporate purposes, and the debenture units come with specific conversion and maturity terms, reflecting Permex’s strategic financial planning.

Permex Petroleum Secures $2 Million Through Convertible Debenture Offering

Permex Petroleum Corporation announced a US$2,000,000 private placement of convertible debenture units, aimed at raising funds for general working capital. This strategic financial move involves issuing 2,000 units to an arm’s length subscriber, each unit comprising a convertible debenture and 393 common share purchase warrants. The debentures mature in one year with a 10% interest rate, offering flexibility for conversion into shares. This initiative is expected to bolster Permex’s financial position, aiding in its operational and strategic goals within the competitive oil and gas industry.