Sonoro Energy (SNV) AI Stock Analysis

• Market Cap: C$13.20M
• Dividend Yield: N/A
• Average Volume (3M): 62.49K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.86
• Revenue Growth: N/A
• EPS Growth: N/A
• Country: CA
• Employees: 22
• Sector: Energy
• Sector Strength: 52
• Industry: Oil & Gas Exploration & Production
• EPS (TTM): >-0.01
• Shares Outstanding: 239,952,600
• 10 Day Avg. Volume: 50,173
• 30 Day Avg. Volume: 62,489
• PEG Ratio: 0.03
• Price to Book (P/B): -16.02
• Price to Sales (P/S): 58.52
• P/FCF Ratio: -18.65
• 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: 45 Neutral
• Price Target: C$0.05 ▲(35.00% Upside)

The score is held down primarily by weak and unstable financial performance (negative revenue and ongoing losses) and a pressured balance sheet due to negative equity, partially offset by improved but inconsistent TTM cash generation. Technicals show a short-term rebound but overbought signals and weaker longer-term averages temper the outlook, while valuation is constrained by a negative P/E and no dividend data.

Positive Factors

Improved operating and free cash flow

Positive TTM operating and free cash flow indicates the company is generating cash from operations despite accounting losses. Over a 2–6 month horizon, stronger cash generation reduces immediate funding pressure and supports ongoing exploration or capex without reliance on dilutive equity.

Lower reported leverage

Reported debt falling to zero materially lowers near-term financial risk and interest burden. This strengthens short-term solvency and gives management more optionality to fund projects or navigate commodity cycles without increased fixed financing costs in the coming months.

Cash flow quality vs accounting loss

TTM cash flow outperforming net income suggests earnings quality is being driven by real cash generation rather than accounting items. That durable cash conversion supports operating continuity and reduces immediate liquidity risk over a multi-month timeframe.

Negative Factors

Negative shareholders’ equity

Negative equity signals accumulated losses and constrains financing flexibility. Over 2–6 months, this raises the risk of needing external capital or restructuring, increasing dilution or refinancing costs and limiting the firm's ability to pursue sustained E&P investment.

Revenue deterioration and instability

A declining and unstable top line undermines the business model's sustainability. With revenue turning negative in TTM, the company lacks reliable sales-driven cash inflows, heightening reliance on sporadic cash events or financing to cover operating needs in the medium term.

Materially negative profitability

Sustained negative operating earnings indicate the core business is not generating profit from operations. Over the coming months this erodes retained capital, increases the likelihood of continued cash burn or financing needs, and pressures long-term investment capacity.

Sonoro Energy Business Overview & Revenue Model

Company Description

Sonoro Energy Ltd. explores for, appraises, develops, and produces oil and gas resources in Southeast Asia. It holds a 25% interest in the Selat Panjang Production Sharing Contract covering an area of approximately 940 square kilometers located in Riau province, Central Sumatra. The company was formerly known as Sonic Technology Solutions Inc. and changed its name to Sonoro Energy Ltd. in July 2010. Sonoro Energy Ltd. was incorporated in 2000 and is based in Calgary, Canada.

How the Company Makes Money

Sonoro Energy generates revenue through the exploration, development, and production of oil and gas resources. The company's primary revenue streams include the sale of crude oil and natural gas extracted from its operated fields. Sonoro Energy may also engage in joint ventures and partnerships with other energy companies to share risks and operational costs, which can lead to additional revenue opportunities through shared production and sales. The company's earnings are influenced by factors such as commodity prices, production levels, and operational efficiency, as well as its ability to successfully develop new oil and gas reserves.

Sonoro Energy Financial Statement Overview

Summary

Sonoro Energy faces significant financial hurdles across its income statement, balance sheet, and cash flow metrics. The company has struggled with profitability, high leverage, and negative cash flows, which are critical areas that need addressing to ensure long-term viability. Strategic financial management and operational efficiency improvements are essential for stabilizing and enhancing financial performance.

Income Statement

The income statement reveals a challenging financial performance for Sonoro Energy. The company has negative gross profit and net income margins, indicating profitability issues. While there is a notable revenue presence in the TTM period, the revenue growth rate is not applicable due to zero revenue in previous periods. EBIT and EBITDA margins are deeply negative, highlighting operational inefficiencies and potential cost management issues.

Balance Sheet

The balance sheet shows a mixed picture of Sonoro Energy's financial health. The debt-to-equity ratio is not favorable due to a significant portion of debt relative to equity. However, the company has managed to improve its stockholders' equity, turning from negative to positive in the latest TTM period. The equity ratio remains low, indicating high leverage, which poses a potential risk in times of financial stress.

Cash Flow

Cash flow analysis highlights issues with sustainability and cash management. The operating cash flow is negative in the TTM period, reflecting cash outflows that exceed inflows from core business activities. Free cash flow is also negative, suggesting challenges in covering capital expenditure from operational cash. The free cash flow growth rate and operating cash flow to net income ratio are not favorable, indicating potential liquidity challenges.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	-50.87K	346.36K	0.00	0.00	0.00	0.00
Gross Profit	12.20K	120.78K	0.00	-19.82K	-18.71K	-19.79K
EBITDA	-4.15M	-4.26M	-1.19M	-161.34K	-2.29M	-1.06M
Net Income	-4.06M	-4.48M	3.92M	-1.35M	-2.63M	-1.34M
Balance Sheet
Total Assets	427.79K	303.21K	3.95M	126.49K	163.29K	2.08M
Cash, Cash Equivalents and Short-Term Investments	316.61K	188.14K	1.04M	117.12K	111.48K	106.68K
Total Debt	0.00	700.00K	700.00K	2.02M	2.01M	1.82M
Total Liabilities	1.26M	1.57M	2.59M	5.38M	4.28M	4.12M
Stockholders Equity	-828.81K	-1.27M	1.36M	-5.25M	-4.12M	-2.05M
Cash Flow
Free Cash Flow	1.73M	-1.09M	-1.05M	-99.46K	-114.08K	-370.98K
Operating Cash Flow	1.72M	-537.40K	1.40M	-99.46K	-114.08K	-370.98K
Investing Cash Flow	-2.05M	-1.57M	-3.53M	0.00	0.00	0.00
Financing Cash Flow	306.97K	1.24M	3.05M	103.36K	118.37K	298.50K

Sonoro Energy Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.04
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Negative
• MACD: Negative
• RSI: Negative
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:SNV, the sentiment is Positive. The current price of 0.04 is below the 20-day moving average (MA) of 0.04, below the 50-day MA of 0.04, and below the 200-day MA of 0.07, indicating a neutral trend. The MACD of <0.01 indicates Negative momentum. The RSI at 78.51 is Negative, neither overbought nor oversold. The STOCH value of 61.11 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TSE:SNV.

Sonoro Energy Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
VUX	66 Neutral	C$14.06M	6.83	12.78%	―	16.71%	―
Sector *	65 Neutral	$15.17B	7.61	4.09%	5.20%	3.87%	-62.32%
CWV	46 Neutral	C$14.22M	-5.91	-16.40%	―	295.02%	78.28%
SNV	45 Neutral	C$13.20M	-7.05	―	―	―	―
BDR	45 Neutral	C$9.05M	-1.46	-575.47%	―	―	-920.00%
PUL	45 Neutral	C$6.23M	-1.14	-20.40%	―	-23.57%	-388.89%
CEC	41 Neutral	C$8.46M	-2.91	-43.43%	―	―	-1150.00%

Sonoro Energy Corporate Events

Sonoro Energy Names Robert Bensh as New CEO, Issues Equity Incentives in Leadership Shake-Up

Sonoro Energy Ltd. has appointed Texas-based energy executive Robert Bensh as its new President and Chief Executive Officer, with an expected concurrent appointment to the board of directors subject to TSX Venture Exchange approval, replacing outgoing CEO and director Greg Renwick, who will remain as a consultant to support the company’s Middle East projects. As part of the leadership transition, Sonoro will grant Bensh 500,000 common shares as a signing bonus and 1.5 million stock options, while issuing an additional 4.3 million options to directors, management, consultants and employees, a move that signals a strategic effort to strengthen management depth and align incentives as the company advances its Middle Eastern oil and gas developments, pending regulatory approval.

The most recent analyst rating on (TSE:SNV) stock is a Hold with a C$0.04 price target. To see the full list of analyst forecasts on Sonoro Energy stock, see the TSE:SNV Stock Forecast page.