CGX Energy (OYL) AI Stock Analysis

• Market Cap: C$45.70M
• Dividend Yield: N/A
• Average Volume (3M): 46.78K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.72
• Revenue Growth: N/A
• EPS Growth: -1886.78%
• Country: CA
• Employees: 767
• Sector: Energy
• Sector Strength: 52
• Industry: Oil & Gas Exploration & Production
• EPS (TTM): >-0.01
• Shares Outstanding: 338,549,000
• 10 Day Avg. Volume: 56,447
• 30 Day Avg. Volume: 46,777
• PEG Ratio: 0.47
• Price to Book (P/B): 0.48
• Price to Sales (P/S): 553.34
• P/FCF Ratio: -5.94
• 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: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 42 Neutral
• Price Target: C$0.13 ▼(-10.71% Downside)

The score is weighed down primarily by very weak profitability and continued cash burn despite revenue improvement, plus equity erosion. Technicals are mixed but generally soft, and valuation metrics provide little support due to losses and no stated dividend yield. Corporate events add incremental risk due to the license dispute and related impairment, partially offset by the availability of short-term financing.

Positive Factors

High Revenue Growth Rate

A high revenue growth rate indicates potential for future expansion and market capture, crucial for transitioning to profitability.

Partnerships and Joint Ventures

Strategic partnerships can enhance resource access and expertise, potentially accelerating exploration success and revenue generation.

Strong Equity Base

Having no debt provides CGX Energy with financial flexibility and reduces the risk of financial distress, supporting long-term stability.

Negative Factors

Operational Inefficiencies

Negative margins reflect inefficiencies that could hinder profitability and require strategic improvements to enhance operational performance.

Cash Flow Challenges

Negative cash flow highlights financial strain, limiting the company's ability to fund operations and invest in growth opportunities.

Legal Dispute Over Key Asset

The potential termination of the Corentyne block license poses a significant risk to CGX Energy's future operations and profitability.

CGX Energy Business Overview & Revenue Model

Company Description

CGX Energy Inc., an oil and gas exploration company, explores for and evaluates petroleum and natural gas properties in Guyana, South America. It holds interests in three petroleum prospecting licenses and related petroleum agreements, including Corentyne, Berbice, and Demerara blocks that cover an area of approximately 11,005.2 square kilometers located in offshore and onshore Guyana. The company also constructs and develops the Berbice Deep Water Port project in Guyana. CGX Energy Inc. was incorporated in 1998 and is headquartered in Toronto, Canada.

How the Company Makes Money

CGX Energy makes money through its exploration and development activities aimed at discovering commercially viable oil and natural gas reserves. The company's primary revenue stream is expected to come from the successful extraction and sale of these resources. Currently, CGX Energy is in the exploration phase, which involves significant investment in seismic data acquisition, drilling, and evaluation of geological formations. Once the company transitions to the production phase, it will generate revenue from selling crude oil and natural gas to global markets. Additionally, CGX Energy may engage in partnerships or joint ventures with other energy companies to share exploration risks and leverage expertise, which can also contribute to its earnings potential.

CGX Energy Financial Statement Overview

Summary

CGX Energy is facing significant financial challenges. Despite having no debt, the company's inability to generate profits, coupled with cash flow inefficiencies, poses major risks. The need for better revenue generation and cost management is critical.

Income Statement

CGX Energy has shown minimal revenue generation in the recent period, with a total revenue of 53,145 for the latest year. Gross profit margin is positive since costs are minimal, but EBIT and EBITDA margins are negative, indicating operational inefficiencies. The net profit margin is also negative, reflecting a loss-making position. The revenue growth rate is high due to the absence of prior revenues, but profitability remains a concern.

Balance Sheet

The company has a strong equity base with zero debt, resulting in a low risk of financial leverage. The equity ratio is solid, indicating a strong capital structure. However, the consistent losses have been eroding equity over time, which might affect the long-term sustainability if not addressed.

Cash Flow

Cash flow analysis shows significant negative free cash flow due to high capital expenditures, indicating heavy investment or operational costs without equivalent returns. The operating cash flow to net income ratio is unfavorable, suggesting cash flow challenges. However, the company has managed to maintain liquidity through financing activities in previous years.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	610.23K	53.15K	0.00	0.00	0.00	0.00
Gross Profit	547.90K	53.15K	-28.50K	-38.80K	-23.18K	-9.13K
EBITDA	-57.78M	-2.00M	-4.73M	-5.55M	-10.66M	-5.42M
Net Income	-58.80M	-2.58M	-3.19M	-10.02M	-12.70M	-5.50M
Balance Sheet
Total Assets	21.28M	79.30M	84.88M	93.01M	134.06M	39.18M
Cash, Cash Equivalents and Short-Term Investments	458.32K	2.07M	6.41M	12.39M	17.24M	11.82M
Total Debt	0.00	0.00	0.00	0.00	18.53M	0.00
Total Liabilities	26.07M	18.40M	21.45M	27.67M	60.44M	14.58M
Stockholders Equity	3.54M	60.91M	63.43M	65.34M	73.62M	24.60M
Cash Flow
Free Cash Flow	-1.67M	-4.95M	-5.64M	-65.18M	-72.78M	-8.89M
Operating Cash Flow	-1.74M	-4.33M	―	-8.49M	-16.08M	-4.23M
Investing Cash Flow	-907.64K	-41.82K	-3.46M	-31.16M	-56.70M	-4.66M
Financing Cash Flow	0.00	0.00	1.16M	34.92M	78.87M	4.86M

CGX Energy Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.14
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:OYL, the sentiment is Positive. The current price of 0.14 is above the 20-day moving average (MA) of 0.14, above the 50-day MA of 0.14, and above the 200-day MA of 0.13, indicating a bullish trend. The MACD of <0.01 indicates Negative momentum. The RSI at 51.87 is Neutral, neither overbought nor oversold. The STOCH value of 20.00 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TSE:OYL.

CGX Energy Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
AXL	73 Outperform	C$70.04M	7.23	12.74%	―	22.88%	2321.43%
ROK	67 Neutral	C$43.55M	-7.81	-5.42%	―	-13.32%	-811.11%
Sector *	65 Neutral	$15.17B	7.61	4.09%	5.20%	3.87%	-62.32%
TXP	46 Neutral	C$56.83M	-9.83	-4.64%	―	-23.68%	75.45%
OYL	42 Neutral	C$45.70M	-0.56	-188.43%	―	―	-1886.78%
PPR	40 Underperform	C$27.56M	-0.83	―	―	-5.45%	-4.42%

CGX Energy Corporate Events

CGX Energy Reports Q3 Financials Amid Legal Dispute Over Guyana License

CGX Energy Inc. has released its unaudited financial statements for the third quarter of 2025, highlighting a significant financial maneuver and ongoing legal challenges. The company secured a $2.5 million loan from Frontera Energy to support its working capital, while also engaging in a legal dispute with the Government of Guyana over the Corentyne block license. This dispute has led to a $56.4 million impairment on the Corentyne asset, with the company asserting its rights despite the government’s stance that the license expired.

CGX Energy Secures $2.5 Million Loan for Guyana Exploration

CGX Energy Inc. announced a US$2.5 million loan agreement through its subsidiary, CGX Resources Inc., with Frontera Energy Corporation, its joint venture partner in the Corentyne block offshore Guyana. This loan will support CGX in financing its share of corporate working capital and other budgeted costs. The loan is structured to be drawn in tranches over six months and carries an interest rate of 19.32% per annum. This financial move is significant for CGX as it continues to invest in its operations in the Guyana-Suriname Basin, potentially impacting its market positioning and stakeholder interests.