Stampede Drilling Inc (SDI) AI Stock Analysis

• Market Cap: C$28.99M
• Dividend Yield: N/A
• Average Volume (3M): 65.64K
• Price to Earnings (P/E): 17.3
• Beta (1Y): 0.53
• Revenue Growth: -11.14%
• EPS Growth: -84.33%
• Country: CA
• Employees: 258
• Sector: Energy
• Sector Strength: 45
• Industry: Oil & Gas Drilling
• EPS (TTM): 0.01
• Shares Outstanding: 199,941,590
• 10 Day Avg. Volume: 22,132
• 30 Day Avg. Volume: 65,643
• PEG Ratio: -0.28
• Price to Book (P/B): 0.34
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 4.89
• 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

• Rating: 73 Outperform
• Price Target: C$0.00 ▼(-100.00%Downside)

Stampede Drilling Inc. demonstrates a stable financial position with strong cash flow and low leverage. Despite mixed technical signals and moderate valuation, strategic corporate events enhance the outlook. However, declining revenues and recent financial challenges temper the overall score.

Stampede Drilling Inc Business Overview & Revenue Model

Company Description

Stampede Drilling Inc. provides drilling rig services for the oil and natural gas industry in North America. It provides drilling rig services in southeast Saskatchewan and Alberta; and operational management services in the United States. It operates a fleet of 10 telescopic double drilling rigs. The company was formerly known as MATRRIX Energy Technologies Inc. and changed its name to Stampede Drilling Inc. in May 2019. Stampede Drilling Inc. was incorporated in 2011 and is headquartered in Calgary, Canada.

How the Company Makes Money

Stampede Drilling Inc. generates revenue by providing drilling services to oil and gas exploration and production companies. Its key revenue stream is derived from contracts with these companies, where it charges for the deployment and operation of its drilling rigs on a day-rate basis. The company's earnings are significantly influenced by the overall activity level in the oil and gas sector, as well as by the demand for its advanced drilling technologies. Additionally, SDI's partnerships with major energy firms and its reputation for high operational standards contribute to its ability to secure long-term contracts and sustain its revenue.

Stampede Drilling Inc Financial Statement Overview

Summary

Stampede Drilling Inc exhibits solid financial performance with strong cash flow generation and stability in its balance sheet. Despite concerns over declining revenue and low net profit margins, operational earnings remain robust. The low debt levels and high equity ratio enhance financial security, while robust cash flows ensure liquidity and operational flexibility.

Income Statement

Stampede Drilling Inc's income statement shows a strong trajectory over recent years. The Gross Profit Margin for TTM is approximately 20.32%, indicating effective cost management. However, the Net Profit Margin for TTM is relatively low at 2.16%, which reflects high operational costs or other expenses. The Revenue Growth Rate from 2024 to TTM is negative at -4.98%, suggesting a decline in sales, which could be concerning if it continues. EBIT and EBITDA margins are healthy, demonstrating strong earnings performance before interest, taxes, and depreciation.

Balance Sheet

The balance sheet shows strong equity with a Debt-to-Equity Ratio of 0.23 for TTM, indicating low leverage and financial stability. The Return on Equity (ROE) is 1.89% for TTM, which is modest and suggests potential for improvement in generating profits from equity. The Equity Ratio is 70.89% for TTM, reflecting a strong equity position relative to assets, which enhances financial stability and reduces risk.

Cash Flow

Cash flow metrics indicate a robust financial condition with a Free Cash Flow Growth Rate of 50.03% from 2024 to TTM, showcasing improved cash generation. The Operating Cash Flow to Net Income Ratio is 11.52 for TTM, highlighting excellent cash conversion from operations. The Free Cash Flow to Net Income Ratio is 3.64 for TTM, indicating strong cash flow relative to net earnings, which enhances liquidity and financial flexibility.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	82.07M	85.96M	66.88M	32.16M	14.39M
Gross Profit	18.34M	22.05M	17.83M	7.86M	426.00K
EBITDA	16.21M	19.36M	14.20M	8.01M	1.48M
Net Income	5.16M	10.55M	8.21M	2.08M	-4.79M
Balance Sheet
Total Assets	120.79M	118.57M	108.28M	50.76M	47.78M
Cash, Cash Equivalents and Short-Term Investments	756.00K	3.52M	703.00K	665.00K	684.00K
Total Debt	18.53M	21.05M	22.02M	11.82M	13.45M
Total Liabilities	27.80M	30.24M	29.80M	14.58M	15.01M
Stockholders Equity	87.39M	82.72M	72.83M	36.18M	32.77M
Cash Flow
Free Cash Flow	4.09M	6.23M	-30.97M	2.01M	1.38M
Operating Cash Flow	18.73M	20.68M	10.15M	6.09M	4.89M
Investing Cash Flow	-17.20M	-13.28M	-42.18M	-3.83M	-5.32M
Financing Cash Flow	-4.31M	-4.56M	32.08M	-2.28M	786.00K

Stampede Drilling Inc Technical Analysis

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

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:SDI, the sentiment is Negative. The current price of 0.14 is below the 20-day moving average (MA) of 0.14, above the 50-day MA of 0.14, and below the 200-day MA of 0.17, indicating a neutral trend. The MACD of <0.01 indicates Positive momentum. The RSI at 48.21 is Neutral, neither overbought nor oversold. The STOCH value of 13.33 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for TSE:SDI.

Stampede Drilling Inc Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ACX	80 Outperform	C$163.88M	3.15	24.63%	―	-5.05%	147.92%
PHX	79 Outperform	C$379.59M	6.69	25.15%	9.58%	4.69%	-34.62%
SDI	73 Outperform	C$28.99M	17.26	1.91%	―	-11.14%	-84.33%
AKT.A	71 Outperform	C$87.71M	4.65	11.11%	―	2.57%	63.53%
ESI	65 Neutral	C$417.42M	14.37	-1.17%	―	-2.85%	-144.20%
Sector *	58 Neutral	kr131.30B	9.08	-6.44%	<0.01%	12.63%	-44.27%
WRG	53 Neutral	C$71.92M	―	-1.99%	―	5.00%	22.76%

Stampede Drilling Inc Corporate Events

Stampede Drilling Inc. Extends Credit Agreement to 2028

Stampede Drilling Inc. has extended its credit agreement with Royal Bank of Canada and The Toronto-Dominion Bank, pushing the maturity date from 2026 to 2028. This extension provides the company with financial flexibility to execute its strategic priorities, including disciplined growth and capital returns to shareholders, while adapting to market changes.

Stampede Drilling Grants Stock Options to Key Officers

Stampede Drilling Inc. has announced the granting of 900,000 stock options to certain officers, allowing them to purchase common shares at a price of $0.15 per share. This move, under the company’s recently approved stock option plan, is likely aimed at incentivizing key personnel and aligning their interests with the company’s long-term growth objectives.

Stampede Drilling Inc. Reports Decline in Q1 2025 Results Amid Market Challenges

Stampede Drilling Inc. reported a decline in its first quarter 2025 financial results, with revenue dropping by 15% and net income decreasing by 71% compared to the same period in 2024. The decreases were attributed to fewer operating days, increased maintenance costs, and higher depreciation expenses. Despite these challenges, Stampede remains optimistic about modest growth in Canadian oilfield activity, supported by increased tidewater access and potential shareholder returns through its share repurchase program.

Stampede Drilling Boosts Cash Flow with $5 Million Equipment Sale

Stampede Drilling Inc. has announced the sale of certain drilling components from an A/C triple drilling rig to a private company for $5 million in cash and additional equipment valued at $290,000. This strategic move is expected to enhance Stampede’s cash flow, allowing for potential equipment upgrades, debt reduction, or further stock repurchases. The transaction reflects a proactive approach to monetize assets without incurring significant capital expenditures, thereby improving the return on investment from previous acquisitions.