Orca Exploration Group (ORC.B) AI Stock Analysis

• Market Cap: C$165.29M
• Dividend Yield: 12.26%
• Average Volume (3M): 2.39K
• Price to Earnings (P/E): 11.4
• Beta (1Y): 0.33
• Revenue Growth: 12.88%
• EPS Growth: -772.07%
• Country: CA
• Employees: 128
• Sector: Energy
• Sector Strength: 45
• Industry: Oil & Gas Exploration & Production
• EPS (TTM): N/A
• Shares Outstanding: 18,015,015
• 10 Day Avg. Volume: 2,331
• 30 Day Avg. Volume: 2,394
• PEG Ratio: 0.55
• Price to Book (P/B): 0.75
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 3.93
• Enterprise Value/Market Cap: 0.27
• Enterprise Value/Revenue: 0.11
• Enterprise Value/Gross Profit: 0.74
• Enterprise Value/Ebitda: 0.28
• 1Y Price Target: C$3.00
• Price Target Upside: -7.69% Downside
• Rating Consensus: Hold
• Number of Analyst Covering: 0

• Rating: 68 Neutral
• Price Target: C$3.50 ▲(7.69%Upside)

Orca Exploration Group's strong cash flow management and positive technical indicators are offset by significant challenges in profitability and valuation concerns. The high dividend yield is a positive factor, but the negative P/E ratio due to net losses highlights the need for profitability improvements.

Orca Exploration Group Business Overview & Revenue Model

Company Description

Orca Energy Group Inc. engages in the exploration, development, production, and sale of petroleum and natural gas to the power and industrial sectors in Tanzania. It principally holds interests in the Songo Songo natural gas field located to the south of Dar Es Salaam. The company was formerly known as Orca Exploration Group Inc. and changed its name to Orca Energy Group Inc. in July 2020. Orca Energy Group Inc. was incorporated in 2004 and is based in Road Town, British Virgin Islands.

How the Company Makes Money

Orca Exploration Group generates revenue primarily through the production and sale of natural gas. The company's key revenue streams include long-term gas supply agreements with power generation companies and industrial customers in Tanzania. Orca Exploration leverages its infrastructure and expertise in gas extraction and distribution to deliver natural gas from its Songo Songo field to its clients. The company's earnings are significantly influenced by its partnerships with local utilities and industrial users, regulatory frameworks, and the demand for natural gas within the region. Additionally, the company may engage in exploration activities to discover new gas reserves, potentially impacting future revenue streams.

Orca Exploration Group Financial Statement Overview

Summary

Orca Exploration Group demonstrates solid cash flow management with strong operating cash flow and efficient core operations. However, challenges in achieving net profitability and a decrease in stockholders' equity raise concerns about long-term sustainability.

Income Statement

Orca Exploration Group's income statement shows a stable revenue trend with a slight increase in TTM compared to the previous year. However, the net profit margin is negative due to consistent net losses, indicating profitability challenges. Gross and EBITDA margins are healthy, suggesting efficient core operations, but the company's inability to turn revenue into net income remains a concern.

Balance Sheet

The balance sheet reflects a strong equity position with a low debt-to-equity ratio, indicating financial stability. Despite a decrease in total assets over time, the equity ratio remains robust, suggesting prudent financial management. However, the decrease in stockholders' equity raises concerns about long-term sustainability without improving profitability.

Cash Flow

Orca Exploration Group demonstrates strong cash flow generation capabilities, with a significant increase in operating cash flow in the TTM period. The free cash flow growth rate is impressive, showing effective cost management and capital expenditure control. The high operating cash flow to net income ratio indicates efficient cash conversion from operations despite reporting net losses.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	111.59M	110.23M	118.09M	86.02M	77.87M
Gross Profit	61.10M	49.18M	70.90M	57.99M	51.14M
EBITDA	18.63M	75.21M	92.76M	62.94M	67.12M
Net Income	-21.58M	7.01M	27.73M	16.37M	27.76M
Balance Sheet
Total Assets	185.77M	215.43M	248.08M	230.27M	242.61M
Cash, Cash Equivalents and Short-Term Investments	90.08M	101.57M	96.32M	72.98M	104.19M
Total Debt	30.34M	40.42M	49.77M	54.78M	54.67M
Total Liabilities	124.49M	126.75M	152.80M	158.82M	150.74M
Stockholders Equity	61.28M	88.68M	89.62M	68.34M	90.35M
Cash Flow
Free Cash Flow	9.13M	39.69M	41.93M	15.13M	19.47M
Operating Cash Flow	27.09M	48.48M	67.66M	40.11M	46.51M
Investing Cash Flow	-17.96M	-8.79M	-25.73M	-24.98M	17.72M
Financing Cash Flow	-23.07M	-31.74M	-18.69M	-45.95M	-54.41M

Orca Exploration Group Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 3.25
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:ORC.B, the sentiment is Positive. The current price of 3.25 is below the 20-day moving average (MA) of 3.26, above the 50-day MA of 3.08, and above the 200-day MA of 2.87, indicating a neutral trend. The MACD of 0.03 indicates Positive momentum. The RSI at 54.28 is Neutral, neither overbought nor oversold. The STOCH value of 48.90 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TSE:ORC.B.

Orca Exploration Group Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
HME	81 Outperform	C$187.00M	5.38	48.97%	9.74%	22.64%	44.49%
RBY	72 Outperform	C$194.25M	2.80	21.76%	―	83.19%	-43.74%
ORC.B	68 Neutral	C$165.29M	11.45	-30.30%	12.26%	12.88%	-772.07%
PRQ	62 Neutral	C$187.97M	169.05	0.33%	8.28%	-21.04%	-96.30%
Sector *	52 Neutral	C$2.96B	-1.55	-3.48%	6.54%	3.13%	-49.39%
RECO	49 Neutral	C$142.82M	―	-14.82%	―	-100.00%	61.24%
TETHF	―	$79.95M	―	-34.33%	―	―	―