Questerre (QEC) AI Stock Analysis

• Market Cap: C$132.84M
• Dividend Yield: N/A
• Average Volume (3M): 35.63K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.02
• Revenue Growth: 9.47%
• EPS Growth: 64.01%
• Country: CA
• Employees: 8
• Sector: Energy
• Sector Strength: 52
• Industry: Oil & Gas Exploration & Production
• EPS (TTM): >-0.01
• Shares Outstanding: 428,516,000
• 10 Day Avg. Volume: 33,747
• 30 Day Avg. Volume: 35,634
• 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: N/A
• Price Target Upside: N/A
• Rating Consensus: Hold
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 56 Neutral
• Price Target: C$0.50 ▲(61.29% Upside)

Questerre's overall stock score is primarily influenced by its mixed financial performance and neutral technical indicators. While there is strong cash flow generation and low leverage, profitability issues and a negative P/E ratio weigh heavily on the score. The technical analysis provides a slightly positive outlook, but valuation concerns remain significant.

Questerre Business Overview & Revenue Model

Company Description

Questerre Energy Corporation (QEC) is a Canadian-based energy company engaged in the exploration and production of oil and natural gas. The company primarily focuses on unconventional resource plays, with its operations centered in Canada and strategic interests in the United States. Questerre's core products include natural gas liquids, oil, and natural gas, which are essential for various applications in energy production and consumption. The company is committed to sustainable practices and innovation in the energy sector, aiming to balance economic growth with environmental stewardship.

How the Company Makes Money

Questerre generates revenue primarily through the exploration, production, and sale of oil and natural gas. The company's key revenue streams include the sale of crude oil, natural gas, and natural gas liquids to various markets, including utilities and industrial users. Additionally, Questerre may earn income from joint ventures and partnerships in its exploration and production activities, leveraging shared resources and expertise. Factors contributing to its earnings include fluctuations in global oil and gas prices, operational efficiency, and the successful development of its resource projects. Strategic partnerships and alliances with other energy firms or service providers may also enhance its revenue potential.

Questerre Financial Statement Overview

Summary

Questerre's financial performance is mixed. Positive revenue growth and strong cash flow generation are offset by negative profitability metrics and returns. The low leverage provides financial stability, but profitability challenges persist.

Income Statement

Questerre's income statement shows a mixed performance. The TTM (Trailing-Twelve-Months) revenue growth rate of 13.91% is positive, indicating a recovery from previous declines. However, profitability metrics such as the net profit margin and EBIT margin are negative, reflecting ongoing challenges in achieving operational efficiency. The gross profit margin has decreased compared to previous periods, suggesting pressure on cost management.

Balance Sheet

The balance sheet is relatively stable with a low debt-to-equity ratio of 0.00095, indicating minimal leverage risk. However, the return on equity is negative, reflecting challenges in generating returns for shareholders. The equity ratio is strong, suggesting a solid capital structure, but the negative ROE highlights profitability issues.

Cash Flow

Cash flow analysis reveals strong free cash flow growth of 678.42% in the TTM period, indicating improved cash generation capabilities. The operating cash flow to net income ratio is healthy at 1.50, suggesting efficient cash conversion. However, the free cash flow to net income ratio of 0.59 indicates that not all cash flows are translating into net income, highlighting potential profitability issues.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	40.24M	34.15M	35.71M	51.75M	30.40M	21.92M
Gross Profit	5.41M	6.51M	6.99M	21.71M	10.66M	-758.00K
EBITDA	13.34M	11.77M	13.11M	25.30M	2.22M	-107.59M
Net Income	-9.09M	-7.33M	-23.71M	14.07M	-4.30M	-117.62M
Balance Sheet
Total Assets	169.98M	170.72M	172.35M	196.49M	184.26M	196.18M
Cash, Cash Equivalents and Short-Term Investments	18.34M	31.79M	35.04M	29.59M	8.53M	10.40M
Total Debt	132.00K	188.00K	228.00K	283.00K	3.63M	15.68M
Total Liabilities	31.62M	32.09M	28.68M	30.36M	35.30M	44.06M
Stockholders Equity	138.35M	138.63M	143.67M	166.13M	148.96M	152.12M
Cash Flow
Free Cash Flow	10.42M	9.63M	11.67M	26.03M	13.57M	4.45M
Operating Cash Flow	17.55M	13.67M	16.32M	28.81M	14.07M	6.41M
Investing Cash Flow	-36.22M	-16.86M	-10.81M	-11.97M	-3.76M	-10.15M
Financing Cash Flow	-67.00K	-65.00K	-55.00K	-3.44M	-11.88M	-1.03M

Questerre Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.31
• 50DMA: Negative
• 100DMA: Negative
• 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:QEC, the sentiment is Negative. The current price of 0.31 is below the 20-day moving average (MA) of 0.32, below the 50-day MA of 0.33, and above the 200-day MA of 0.29, indicating a neutral trend. The MACD of >-0.01 indicates Positive momentum. The RSI at 42.69 is Neutral, neither overbought nor oversold. The STOCH value of 11.11 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for TSE:QEC.

Questerre Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	65 Neutral	$15.17B	7.61	4.09%	5.20%	3.87%	-62.32%
BNE	65 Neutral	$130.62M	-19.33	-1.21%	―	-11.09%	-118.80%
QEC	56 Neutral	C$132.84M	-14.62	-6.39%	―	9.47%	64.01%
CVVY	54 Neutral	C$264.46M	-74.36	-4.38%	―	-29.38%	93.99%
CNE	51 Neutral	C$73.36M	1.62	8.72%	―	3.24%	174.21%
CDR	46 Neutral	C$109.00M	―	-83.41%	―	210.18%	67.13%
FO	36 Underperform	C$210.74M	―	-5.25%	―	―	35.56%

Questerre Corporate Events

Questerre Partners with Nice Capital to Develop Brazilian Oil Shale Venture

Questerre Energy Corporation has entered into a joint venture with Nice Capital Holdings to develop PX Energy, an oil shale production and refining company in Brazil. This partnership aims to position PX Energy as a competitive player in Brazil’s energy market, leveraging Questerre’s resource development expertise and Nimofast’s distribution capabilities to drive growth and innovation in sustainable shale oil production.

The most recent analyst rating on (TSE:QEC) stock is a Hold with a C$0.50 price target. To see the full list of analyst forecasts on Questerre stock, see the TSE:QEC Stock Forecast page.

Questerre Updates on Strategic Acquisition of PX Energy

Questerre Energy Corporation announced an update on its proposed acquisition of PX Energy, a Brazilian oil shale production and refining company. The company emphasized the importance of completing due diligence to ensure a beneficial transaction for shareholders, while addressing liquidity needs through financial partnerships to mitigate risks. Discussions with bondholders and convertible note holders are ongoing to establish a sustainable capital structure. The acquisition, seen as strategically valuable for advancing Questerre’s oil shale strategy, is contingent upon various approvals and conditions.

The most recent analyst rating on (TSE:QEC) stock is a Hold with a C$0.50 price target. To see the full list of analyst forecasts on Questerre stock, see the TSE:QEC Stock Forecast page.

Questerre Boosts Production and Expands with PX Energy Acquisition

Questerre has reported a significant increase in production, averaging over 3,000 boe per day, driven by new wells at Kakwa North. The company is actively pursuing legal avenues to protect its shareholders’ rights concerning Bill 21 in Quebec and is promoting its natural gas as a cost-effective energy solution for the province. The acquisition of PX Energy is expected to enhance Questerre’s oil shale operations, particularly in Jordan, and support the commercialization of its Red Leaf technology. Despite lower oil prices, Questerre maintained strong financial performance with a working capital surplus and no credit facility drawdowns.

Questerre Reports Increased Production Amid Legal Challenges

Questerre Energy Corporation reported significant growth in production, nearly doubling its output compared to the previous year, following the tie-in of Kakwa North wells. Despite higher production, the company faced a net loss due to increased expenses, while also appealing a legal decision related to Bill 21 in Quebec, impacting its operations and stakeholder interests.

Questerre Energy to Acquire Brazilian Shale Oil Firm PX Energy

Questerre Energy Corporation has announced a definitive agreement to acquire 100% of PX Energy, a Brazilian shale oil production and refining company. This acquisition is expected to enhance Questerre’s operational base and expertise, supporting its oil shale and biofuel technology advancements. The transaction involves issuing 65 million common shares of Questerre, with performance milestones tied to future cash flow and equity financing achievements. The acquisition is subject to various approvals and conditions, including regulatory and shareholder approvals. The strategic move is anticipated to strengthen Questerre’s oil shale footprint and provide robust margin potential due to PX Energy’s established operations and favorable cost structures.