Permex Petroleum Corporation (OIL) AI Stock Analysis

• Market Cap: C$2.81M
• Dividend Yield: N/A
• Average Volume (3M): 7.46K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.29
• Revenue Growth: 29.59%
• EPS Growth: -80.60%
• Country: CA
• Employees: 1
• Sector: Energy
• Sector Strength: 54
• Industry: Oil & Gas Exploration & Production
• EPS (TTM): -12.64
• Shares Outstanding: 551,503
• 10 Day Avg. Volume: 15,409
• 30 Day Avg. Volume: 7,459
• PEG Ratio: 0.01
• Price to Book (P/B): 0.31
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -0.36
• Enterprise Value/Market Cap: 1.27
• Enterprise Value/Revenue: 3.99
• Enterprise Value/Gross Profit: -7.75
• Enterprise Value/Ebitda: -0.27
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0

• Rating: 53 Neutral
• Price Target: C$5.00 ▼(-1.96%Downside)

Permex Petroleum Corporation's overall stock score reflects significant financial challenges, offset partially by positive corporate developments and stable technical indicators. The company's financial instability and negative valuation metrics are major concerns.

Permex Petroleum Corporation Business Overview & Revenue Model

Company Description

Permex Petroleum Corporation is a junior oil and gas company engaged in the acquisition, exploration, development, and production of oil and natural gas properties. The company operates primarily in North America, with a focus on assets in the Permian Basin of West Texas and the Delaware Sub-Basin of New Mexico. Permex Petroleum is dedicated to maximizing shareholder value through strategic property acquisitions, efficient operations, and the deployment of advanced extraction technologies.

How the Company Makes Money

Permex Petroleum Corporation generates revenue through the exploration, development, and production of oil and natural gas. Its primary revenue streams include the sale of these commodities on the open market, where prices fluctuate based on global supply and demand dynamics. The company leverages its strategic asset locations in prolific oil and gas regions to optimize production and enhance profitability. Additionally, Permex may engage in strategic joint ventures or partnerships to bolster its operational capabilities and expand its asset base, contributing to its revenue generation. The company's focus on efficient operations and cost management also plays a crucial role in maintaining profitability amidst volatile market conditions.

Permex Petroleum Corporation Financial Statement Overview

Summary

Permex Petroleum Corporation's financial health appears strained. Persistent net losses and declining revenue indicate operational inefficiencies. Increased debt levels and negative cash flows highlight financial instability and liquidity risks.

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	Sep 2024	Sep 2023	Sep 2022	Sep 2021	Sep 2020
Income Statement
Total Revenue	189.70K	116.03K	688.83K	1.20M	106.89K	917.72K
Gross Profit	-459.52K	-162.61K	-345.48K	-76.91K	-91.75K	95.28K
EBITDA	-4.17M	-3.42M	-3.78M	-3.16M	-1.18M	-414.80K
Net Income	-5.21M	-3.99M	-3.94M	-3.47M	-1.58M	-1.69M
Balance Sheet
Total Assets	10.40M	12.06M	10.94M	17.19M	10.37M	9.33M
Cash, Cash Equivalents and Short-Term Investments	24.61K	1.51M	82.74K	4.51M	32.79K	7.36K
Total Debt	343.96K	3.78M	284.46K	387.29K	237.72K	295.59K
Total Liabilities	4.38M	7.96M	5.12M	2.88M	2.84M	4.91M
Stockholders Equity	6.02M	4.11M	7.17M	14.31M	7.53M	4.43M
Cash Flow
Free Cash Flow	-3.56M	-2.29M	-3.74M	―	-1.34M	-195.64K
Operating Cash Flow	-3.37M	-2.29M	-2.30M	―	-951.57K	5.51K
Investing Cash Flow	-191.27K	66.77K	-1.45M	―	1.11M	-176.15K
Financing Cash Flow	4.22M	3.65M	523.48K	9.55M	-129.89K	174.42K

Permex Petroleum Corporation Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 5.10
• 50DMA: Positive
• 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 Positive. The current price of 5.1 is below the 20-day moving average (MA) of 5.50, above the 50-day MA of 4.20, and above the 200-day MA of 3.73, indicating a neutral trend. The MACD of 0.44 indicates Positive momentum. The RSI at 49.50 is Neutral, neither overbought nor oversold. The STOCH value of 10.49 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive 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 *	68 Neutral	$15.14B	9.95	6.38%	5.21%	4.16%	-67.19%
OIL	53 Neutral	C$2.81M	―	-135.09%	―	29.59%	-80.60%
WCE	49 Neutral	C$2.01M	―	-28.96%	―	27.40%	-259.09%
PNN	27 Underperform	C$3.34M	―	597.18%	―	―	-118.12%
SHP	24 Underperform	C$1.27M	―	94.60%	―	-76.55%	58.66%
JBR	23 Underperform	C$1.62M	―	56.97%	―	―	29.41%

Permex Petroleum Corporation Corporate Events

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.

Permex Petroleum Announces Successful Arrangement Implementation and Executive Changes

Permex Petroleum Corporation has successfully implemented an operating arrangement with a private oil and gas operator in the Permian Basin, meeting initial production expectations. This development is expected to benefit shareholders by generating fees akin to a service provider model. Additionally, the company announced a change in its executive team, with CEO Brad Taillon taking on interim roles as CFO and Corporate Secretary following Gregory Montgomery’s resignation.