Squatex Energy and Ressources Inc (SQX) AI Stock Analysis

• Market Cap: C$2.48M
• Dividend Yield: N/A
• Average Volume (3M): 22.60K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.31
• Revenue Growth: N/A
• EPS Growth: -29.41%
• Country: CA
• Employees: N/A
• Sector: Energy
• Sector Strength: 52
• Industry: Oil & Gas Exploration & Production
• EPS (TTM): >-0.01
• Shares Outstanding: 123,850,655
• 10 Day Avg. Volume: 8,200
• 30 Day Avg. Volume: 22,601
• PEG Ratio: -0.14
• Price to Book (P/B): -1.19
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -15.70
• 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: 40 Underperform
• Price Target: C$0.02 ▼(-5.00% Downside)

The score is primarily weighed down by very weak financial performance (no revenue, ongoing losses, cash burn, and negative equity). Technicals also lean bearish with price below key moving averages and negative MACD. A positive partnership event provides some strategic upside, but it is not yet reflected in financial results.

Positive Factors

Advanced Exploration Techniques

Utilizing advanced exploration techniques can enhance the company's ability to identify viable drilling locations, potentially leading to successful resource extraction and future revenue generation.

Strategic Partnerships

Strategic partnerships with larger firms can provide access to capital and expertise, facilitating the development of large-scale projects and potentially improving financial stability and growth prospects.

Potential Revenue Streams

Joint ventures and leasing exploration rights offer alternative revenue streams, which can diversify income sources and reduce financial risk, supporting long-term sustainability.

Negative Factors

Zero Revenue

The lack of revenue generation indicates operational challenges and limits the company's ability to invest in growth, posing a significant risk to long-term viability and financial health.

Negative Equity

Negative equity reflects excessive liabilities over assets, suggesting financial distress and potential insolvency, which undermines the company's stability and future prospects.

Negative Cash Flow

Persistent negative cash flow indicates an inability to generate cash from operations, necessitating reliance on external financing, which is unsustainable without revenue improvements.

Squatex Energy and Ressources Inc Business Overview & Revenue Model

Company Description

Squatex Energy and Resources Inc. engages in the exploration and development of oil and gas properties in Quebec. It owns 36 licenses covering an area of 6,560.93 km2 in the Appalachian Basin, including 12 exploration permits, which cover 2,249.3 km2 in the St. Lawrence Lowlands region; and 24 exploration permits that covers 4,311.6 km2 in the Lower St. Lawrence/Gaspe region. The company was founded in 2001 and is based in Brossard, Canada.

How the Company Makes Money

Squatex Energy and Ressources Inc generates revenue primarily through the exploration and potential commercialization of oil and gas reserves. The company invests in identifying viable drilling locations, conducting exploratory drilling, and developing infrastructure to extract and eventually sell these resources. Revenue streams include the sale of crude oil and natural gas to refineries, utility companies, and other industrial clients. The company may also form strategic partnerships with larger energy firms to share the costs and profits associated with the development of large-scale projects. Additionally, Squatex might engage in joint ventures or lease its exploration rights to other companies, providing another potential revenue stream.

Squatex Energy and Ressources Inc Financial Statement Overview

Summary

Squatex Energy and Ressources Inc is in a precarious financial position, with zero revenue, persistent losses, and negative equity. The lack of revenue growth and negative cash flows highlight the company's operational and financial challenges. Immediate strategic changes are necessary to improve its financial health and sustainability.

Income Statement

Squatex Energy and Ressources Inc has consistently reported zero revenue across all periods, indicating a lack of sales or operational income. The company is incurring substantial net losses, and there is no sign of revenue growth or improvement in profit margins. EBIT and EBITDA margins are negative, reflecting operational inefficiency and financial instability.

Balance Sheet

The company's balance sheet reveals significant financial distress. With negative stockholders' equity and zero total revenue, the debt-to-equity ratio is undefined and suggests insolvency. The absence of revenue and high liabilities pose substantial risks. Equity ratio is negative, highlighting excessive liabilities relative to assets.

Cash Flow

Squatex Energy and Ressources Inc's cash flow is severely strained with negative operating and free cash flows, indicating that the company is unable to generate cash from operations. The reliance on financing activities to sustain cash flow is evident, but this is unsustainable long-term without revenue or profitability improvements.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	0.00	0.00	0.00	0.00	0.00	0.00
Gross Profit	-363.00	0.00	0.00	0.00	0.00	0.00
EBITDA	-369.81K	0.00	0.00	-133.02K	-297.50K	-817.47K
Net Income	-544.60K	-511.67K	-337.92K	-256.19K	-422.68K	-942.41K
Balance Sheet
Total Assets	55.31K	17.40K	27.60K	6.87K	25.90K	89.14K
Cash, Cash Equivalents and Short-Term Investments	19.63K	7.16K	16.79K	5.18K	11.45K	69.52K
Total Debt	1.32M	1.18M	948.60K	822.60K	672.60K	522.60K
Total Liabilities	3.43M	3.13M	2.63M	2.27M	2.03M	1.67M
Stockholders Equity	-3.38M	-3.11M	-2.60M	-2.26M	-2.01M	-1.58M
Cash Flow
Free Cash Flow	-338.99K	-236.62K	-114.39K	-156.27K	-208.07K	-25.85K
Operating Cash Flow	-332.94K	-236.62K	-114.39K	-156.27K	-208.07K	-25.85K
Investing Cash Flow	-6.05K	0.00	0.00	0.00	0.00	0.00
Financing Cash Flow	305.69K	227.00K	126.00K	150.00K	150.00K	82.00K

Squatex Energy and Ressources Inc 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%
CBV	54 Neutral	C$3.48M	-11.23	-10.75%	―	-19.02%	-352.70%
OIL	44 Neutral	C$2.65M	-0.33	-152.21%	―	172.92%	-92.61%
SQX	40 Underperform	C$2.48M	-4.55	―	―	―	-29.41%
PNN	27 Underperform	C$3.34M	-0.88	―	―	―	―

Squatex Energy and Ressources Inc Corporate Events

Squatex and Caron Technologies Forge Strategic Partnership with Senegal’s Geological Survey

Squatex Energy and Resources Inc. and Caron Technologies International Inc. have entered a strategic partnership with the National Geological Survey of Senegal, focusing on geological mapping, mineral and energy exploration, and sustainable natural resource management. This agreement enhances Squatex’s presence in West Africa, offering access to a resource-rich geological basin, while providing CTI an international platform for its technologies, aligning with a shared vision of science-based, environmentally responsible exploration.