tiprankstipranks
Saturn Oil & Gas (TSE:SOIL)
TSX:SOIL
Want to see TSE:SOIL full AI Analyst Report?

Saturn Oil & Gas (SOIL) AI Stock Analysis

78 Followers

Top Page

TSE:SOIL

Saturn Oil & Gas

(TSX:SOIL)

Select Model
Select Model
Select Model
Outperform 70 (OpenAI - Gpt-5.6Sol)
Rating:70Outperform
Price Target:
C$7.00
▲(19.45% Upside)
Action:Upgraded
Date:07/31/26
Overall score is driven primarily by strong cash generation and an attractively low P/E, supported by a constructive earnings call showing operational outperformance, continued deleveraging, and buybacks. The score is held back by material leverage and a weak near-term technical setup (price below the 20/50/100-day averages), alongside hedging-related earnings volatility and capped upside during oil price rallies.
Positive Factors
Strong Cash Generation
Sustained positive operating and free cash flow gives Saturn capacity to fund development, reduce debt and return capital without relying entirely on external financing, strengthening resilience across the commodity cycle.
Negative Factors
Material Balance-Sheet Leverage
Debt near equity leaves Saturn exposed to higher financing costs and reduced flexibility if oil prices or production weaken. Although leverage is improving, the capital structure remains a meaningful constraint during a commodity downturn.
Read all positive and negative factors
Positive Factors
Negative Factors
Strong Cash Generation
Sustained positive operating and free cash flow gives Saturn capacity to fund development, reduce debt and return capital without relying entirely on external financing, strengthening resilience across the commodity cycle.
Read all positive factors

Saturn Oil & Gas (SOIL) vs. iShares MSCI Canada ETF (EWC)

Saturn Oil & Gas Business Overview & Revenue Model

Company Description
Saturn Oil & Gas Inc. is a Canadian energy firm dedicated to acquiring, exploring, and developing crude oil and natural gas deposits. The company primarily concentrates its efforts on light crude oil assets, operating in diverse regions including ...
How the Company Makes Money
Saturn Oil & Gas primarily makes money by producing and selling crude oil, natural gas, and associated natural gas liquids (NGLs) from its Western Canadian asset base. Revenue is generated when produced hydrocarbons are delivered into third-party ...

Saturn Oil & Gas Earnings Call Summary

Earnings Call Date:May 06, 2026
(Q1-2026)
|
% Change Since: |
Next Earnings Date:Nov 10, 2026
Earnings Call Sentiment Positive
The call conveyed a predominantly positive operational and financial picture: production and cash generation beat expectations, net debt was reduced, buybacks and disciplined capital allocation were emphasized, and high-performing wells demonstrated strong capital efficiency. Key negatives included realized and unrealized hedging losses that distorted reported earnings, contractual hedging coverage that limits upside in strong price rallies, seasonal drilling constraints and a potential refinancing cost. On balance, the highlights (consistent outperformance, deleveraging, buybacks, efficient well results and flexibility to accelerate capital) outweigh the lowlights.
Positive Updates
Production Outperformance
Q1 2026 production exceeded 43,100 BOE/day, beating analyst expectations for the seventh consecutive quarter and surpassing Saturn's quarterly guidance by more than 1,600 BOE/day.
Negative Updates
Realized and Unrealized Hedging Losses
Realized hedging loss of $21 million (≈ $5.45/BOE) in Q1 as market prices exceeded strike levels; a large unrealized hedging loss also materially impacted reported net income and EPS (noncash), creating volatility in reported earnings despite strong cash flows.
Read all updates
Q1-2026 Updates
Negative
Production Outperformance
Q1 2026 production exceeded 43,100 BOE/day, beating analyst expectations for the seventh consecutive quarter and surpassing Saturn's quarterly guidance by more than 1,600 BOE/day.
Read all positive updates
Company Guidance
Management's guidance reiterated that after a strong Q1 (production >43,100 BOE/d, beating guidance by >1,600 BOE/d; adjusted funds flow $170M or $0.59/share; free funds flow $62M; Q1 capex $45M for 23 gross wells; royalties ~11%; operating costs $20.49/BOE; realized hedging loss $21M or $5.45/BOE; net debt down 5% to ≈$725M), the company will accelerate ~$20M of H2 capital into Q2 so Q2 capex is now expected at $35–40M with quarterly volumes of ~40,000–41,000 bbl/d, target rigs returning late May–mid‑June to reach five rigs in Q2 (six after July) and bring forward ~10–12 Q3 wells plus 4–5 West Central wells; management said the 2026 budget was set on $60 WTI but could expand full‑year capex (up to roughly a 50% increase to about $300M) if oil holds in the mid‑ to upper‑$70s/$80s, while continuing to prioritize debt reduction, NCIB repurchases (181M shares outstanding; NCIB limit ~12.1M shares; Q1 repurchases ≈$12M/3.7M shares + $3.4M/600k since), maintaining ~50% rolling hedges (currently ~55–60%), and preserving liquidity (credit facility $150M with $14M drawn and accordion to $250M) with tax pools of ≈$1.6B deferring cash tax until 2028+.

Saturn Oil & Gas Financial Statement Overview

Summary
Financials are solid overall, led by strong and growing TTM operating cash flow (~$442M) and free cash flow (~$205M). Offsetting this strength are above-average balance-sheet risk (debt-to-equity ~0.90) and historically volatile profitability, which can amplify downside in a cyclical commodity environment.
Income Statement
72
Positive
Balance Sheet
58
Neutral
Cash Flow
76
Positive
BreakdownTTMDec 2025Dec 2024Dec 2023Dec 2022Mar 2022
Income Statement
Total Revenue1.01B881.65M920.79M624.83M337.19M98.42M
Gross Profit397.07M232.93M577.69M270.83M247.64M56.03M
EBITDA388.39M608.25M405.17M567.87M143.92M-40.84M
Net Income45.49M167.57M54.11M290.62M74.81M-65.06M
Balance Sheet
Total Assets2.19B2.19B2.16B1.34B582.91M221.11M
Cash, Cash Equivalents and Short-Term Investments0.000.0048.42M26.46M18.74M8.88M
Total Debt817.66M827.17M951.84M458.01M247.19M95.89M
Total Liabilities1.28B1.24B1.36B726.55M444.39M251.41M
Stockholders Equity909.29M946.59M803.97M608.66M138.52M-30.31M
Cash Flow
Free Cash Flow205.43M216.16M65.62M153.41M13.21M-9.98M
Operating Cash Flow442.36M457.40M311.94M283.99M102.31M-1.28M
Investing Cash Flow-338.20M-374.39M-749.53M-576.40M-318.24M-87.86M
Financing Cash Flow-153.41M-131.43M459.55M308.62M223.76M90.99M

Saturn Oil & Gas Technical Analysis

Technical Analysis Sentiment
Positive
Last Price5.86
Price Trends
50DMA
5.71
Positive
100DMA
6.09
Positive
200DMA
4.58
Positive
Market Momentum
MACD
0.09
Negative
RSI
61.13
Neutral
STOCH
87.32
Negative
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:SOIL, the sentiment is Positive. The current price of 5.86 is above the 20-day moving average (MA) of 5.61, above the 50-day MA of 5.71, and above the 200-day MA of 4.58, indicating a bullish trend. The MACD of 0.09 indicates Negative momentum. The RSI at 61.13 is Neutral, neither overbought nor oversold. The STOCH value of 87.32 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TSE:SOIL.

Saturn Oil & Gas Peers Comparison

Overall Rating
UnderperformOutperform
Sector (65)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
70
Outperform
C$1.09B3.3415.03%5.74%-75.93%
65
Neutral
$15.17B7.614.09%5.20%3.87%-62.32%
61
Neutral
C$1.09B25.066.18%5.07%2.63%-18.64%
61
Neutral
C$469.37M22.852.93%16.76%-27.27%-79.93%
60
Neutral
C$594.36M-0.41-120.46%44.97%-52.12%-57.79%
60
Neutral
C$466.31M-35.40-10.86%7.06%78.72%-219.22%
57
Neutral
C$1.08B55.701.39%-21.66%
* Energy Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
TSE:SOIL
Saturn Oil & Gas
6.15
3.63
144.05%
TSE:OBE
Obsidian Energy
16.15
8.35
107.05%
TSE:SGY
Surge Energy
11.05
4.63
72.06%
TSE:FEC
Frontera Energy
8.77
5.91
206.54%
TSE:TAL
PetroTal Corp
0.52
-0.11
-17.46%
TSE:IPO
InPlay Oil Corp.
16.67
6.44
62.95%

Saturn Oil & Gas Corporate Events

Business Operations and StrategyM&A Transactions
Saturn Oil & Gas Moves to Fully Acquire Burgess Creek After Successful Takeover Bid
Positive
Aug 7, 2026
Saturn Oil Gas Inc. has moved to compulsorily acquire the remaining common shares of Burgess Creek Exploration Inc. after its takeover offer closed with more than 99.7% of Burgess Creek’s shares tendered. Burgess Creek, a privately held pro...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Jul 31, 2026