ROK Resources (ROK) AI Stock Analysis

• Market Cap: C$41.38M
• Dividend Yield: N/A
• Average Volume (3M): 657.49K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.64
• Revenue Growth: -13.32%
• EPS Growth: -811.11%
• Country: CA
• Employees: 27
• Sector: Energy
• Sector Strength: 52
• Industry: Oil & Gas Exploration & Production
• EPS (TTM): -0.01
• Shares Outstanding: 217,763,810
• 10 Day Avg. Volume: 226,749
• 30 Day Avg. Volume: 657,490
• PEG Ratio: 0.64
• Price to Book (P/B): 0.38
• Price to Sales (P/S): 0.45
• P/FCF Ratio: 9.34
• 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: 67 Neutral
• Price Target: C$0.25 ▲(13.64% Upside)

The score is driven primarily by financial strength—very low leverage and solid, improving free cash flow—partly offset by weak profitability (net loss and negative EBIT). Technicals add mild support from an improving trend, while valuation is constrained by losses (negative P/E). Corporate actions (going-private progress and buybacks) provide an additional positive tailwind.

Positive Factors

Debt Reduction

Significant debt reduction enhances financial flexibility and reduces interest burden, improving long-term financial health and operational capacity.

Leadership Changes

New leadership with extensive industry expertise can drive strategic initiatives and operational improvements, potentially enhancing company performance.

Reserve Growth

Increased reserves extend the company's production life and asset value, supporting long-term revenue generation and market competitiveness.

Negative Factors

Profitability Challenges

Ongoing profitability issues indicate challenges in cost management and operational efficiency, potentially hindering sustainable growth and investor confidence.

High Leverage

High leverage can limit financial flexibility and increase risk, affecting the company's ability to invest in growth opportunities and weather economic downturns.

Negative Free Cash Flow History

A history of negative free cash flow suggests past challenges in cash management, potentially impacting future investment capacity and financial stability.

ROK Resources Business Overview & Revenue Model

Company Description

ROK Resources Inc. engages in the oil and gas exploration and development activities in Western Canada. As of April 19, 2022, it had a proved developed producing oil and gas reserves of 6,900 thousands of barrels of oil equivalent (Mboe); total proved oil and gas reserves of 9,290 Mboe; and total proved plus probable oil and gas reserves of 15,448 Mboe. The company was formerly known as Petrodorado Energy Ltd. and changed its name to ROK Resources Inc. in January 2020. ROK Resources Inc. is headquartered in Regina, Canada.

How the Company Makes Money

ROK Resources makes money through the sale of crude oil, natural gas, and natural gas liquids that it extracts and produces from its reserves. The company's revenue model is heavily reliant on the market prices of these commodities, which can fluctuate based on global supply and demand dynamics, geopolitical factors, and environmental regulations. ROK Resources may also engage in hedging activities to manage price volatility and ensure a more stable revenue stream. Additionally, the company may establish partnerships or joint ventures with other energy firms to optimize resource development and share operational costs, which can further contribute to its earnings.

ROK Resources Financial Statement Overview

Summary

ROK Resources demonstrates growth in revenue and improved cash flow management, yet profitability remains a key challenge. The company shows potential with a solid equity base and efficient cash operations, but high leverage and ongoing losses pose risks. Continued focus on reducing debt and improving operational profitability will be crucial for a stronger financial standing.

Income Statement

ROK Resources shows a mixed performance in its income statement. Although there is a notable increase in total revenue from 2023 to 2024, the company still struggles with profitability as indicated by negative EBIT and net income margins. The gross profit margin improved significantly, reflecting better cost management. However, the net profit margin remains negative due to high operating expenses.

Balance Sheet

The balance sheet shows a moderate financial position. The company's debt-to-equity ratio has improved due to a reduction in total debt, but it remains a concern. Return on equity is negative, indicating challenges in generating profits from shareholder equity. However, the equity ratio suggests a solid capital structure, with stockholders' equity making up a significant portion of total assets.

Cash Flow

Cash flow analysis reveals some positive trends. The operating cash flow to net income ratio is strong, highlighting efficient cash generation relative to net income. There is a significant improvement in free cash flow from the previous year, indicating better cash management and investment returns. However, consistent negative free cash flow in earlier years suggests room for improvement.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	74.93M	85.19M	71.83M	87.31M	3.44M	598.45K
Gross Profit	42.32M	47.42M	2.01M	53.80M	2.04M	199.56K
EBITDA	14.02M	25.61M	19.11M	111.68M	-1.00M	-943.00K
Net Income	-5.61M	-636.00K	-10.99M	80.00M	-2.32M	-1.20M
Balance Sheet
Total Assets	142.54M	156.64M	165.07M	192.08M	13.10M	6.56M
Cash, Cash Equivalents and Short-Term Investments	6.69M	0.00	0.00	5.26M	1.21M	1.42M
Total Debt	324.00K	7.73M	14.54M	35.66M	3.84M	0.00
Total Liabilities	41.84M	55.24M	63.64M	82.57M	9.11M	3.66M
Stockholders Equity	100.71M	101.41M	101.43M	109.51M	3.98M	2.91M
Cash Flow
Free Cash Flow	14.00M	4.09M	-969.24K	15.94M	-2.02M	-1.45M
Operating Cash Flow	26.28M	22.20M	29.16M	45.13M	-1.47K	-949.58K
Investing Cash Flow	-7.48M	-15.11M	-7.12M	-88.21M	-5.71M	-750.85K
Financing Cash Flow	-12.11M	-7.09M	-27.29M	47.09M	5.50M	1.87M

ROK Resources Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.22
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:ROK, the sentiment is Negative. The current price of 0.22 is above the 20-day moving average (MA) of 0.22, below the 50-day MA of 0.22, and above the 200-day MA of 0.20, indicating a bearish trend. The MACD of >-0.01 indicates Positive momentum. The RSI at 38.61 is Neutral, neither overbought nor oversold. The STOCH value of 21.21 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for TSE:ROK.

ROK Resources Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
AXL	73 Outperform	C$71.47M	7.37	12.74%	―	22.88%	2321.43%
ROK	67 Neutral	C$41.38M	-7.42	-5.42%	―	-13.32%	-811.11%
Sector *	65 Neutral	$15.17B	7.61	4.09%	5.20%	3.87%	-62.32%
CNE	59 Neutral	C$52.20M	0.95	10.62%	―	-7.68%	79.37%
NSE	49 Neutral	C$65.10M	-4.68	-467.35%	―	―	-63.05%
TXP	46 Neutral	C$60.08M	-10.39	-4.64%	―	-23.68%	75.45%
OYL	42 Neutral	C$47.40M	-0.58	-188.43%	―	―	-1886.78%

ROK Resources Corporate Events

ROK Resources Extends Go‑Private Deal Timeline After Buyer Default

ROK Resources has secured a court-approved final order for its previously announced go-private plan of arrangement with Blue Alaska Oil Trading’s subsidiary and a newly formed SpinCo that will hold its EMP Metals Corp. shares, marking a key step toward exiting public markets. To give the buyer more time to fund the deal, the parties amended their arrangement to extend the outside closing date to March 17, 2026, confirm that the full deposit is now earned by ROK, and raise the cap on transaction costs to CAD$4.25 million, while obligating the purchaser to provide sufficient cash three business days before closing; the move follows a notice of default issued after the buyer failed to promptly fund escrow, and the transaction’s completion would see ROK’s shares delisted from the TSX Venture Exchange and the company cease to be a reporting issuer in its Canadian jurisdictions.

The most recent analyst rating on (TSE:ROK) stock is a Hold with a C$0.25 price target. To see the full list of analyst forecasts on ROK Resources stock, see the TSE:ROK Stock Forecast page.

ROK Resources Shareholders Approve Go-Private Transaction

ROK Resources Inc. announced that its shareholders have overwhelmingly approved a plan of arrangement and go-private transaction involving Blue Alaska Oil Trading LLC and a newly formed company, SpinCo. The transaction, which received 94.8% approval from shareholders, is set to be finalized following court and regulatory approvals, with an expected closing date on or before January 16, 2026. Post-transaction, ROK’s shares will be delisted from the TSXV, and the company plans to cease being a reporting issuer in several Canadian jurisdictions.

ROK Resources Reports Q3 2025 Financials and Advances Going Private Transaction

ROK Resources Inc. has released its financial results for the third quarter of 2025, reporting funds from operations of $4.1 million and a working capital surplus of $2.7 million. The company is progressing with its Going Private Transaction, expected to close by the end of 2025, which involves a special resolution to be considered by shareholders in December. The company has also executed a Normal Course Issuer Bid, repurchasing and canceling over 2 million shares, reflecting a strategic move to enhance shareholder value.

ROK Resources Prepares for Annual Shareholder Meeting with Key Resolutions

ROK Resources has announced the filing and mailing of its management information circular and proxy-related materials for the upcoming annual general and special meeting of shareholders scheduled for December 10, 2025. At this meeting, shareholders will address several key issues, including the approval of a plan of arrangement, the election of directors, and the approval of the existing stock option plan. The company has made these materials available electronically due to potential postal delays and encourages shareholders to vote electronically.