TAG Oil (TAO) AI Stock Analysis

• Market Cap: C$27.18M
• Dividend Yield: N/A
• Average Volume (3M): 134.40K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.49
• Revenue Growth: 462.37%
• EPS Growth: 35.49%
• Country: CA
• Employees: 12
• Sector: Energy
• Sector Strength: 52
• Industry: Oil & Gas Exploration & Production
• EPS (TTM): 0.00
• Shares Outstanding: 226,461,700
• 10 Day Avg. Volume: 106,839
• 30 Day Avg. Volume: 134,397
• PEG Ratio: 0.14
• Price to Book (P/B): 0.52
• Price to Sales (P/S): 29.90
• P/FCF Ratio: -1.08
• 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: 46 Neutral
• Price Target: C$0.00 ▼(-100.00% Downside)

TAG Oil's overall stock score is driven by significant financial challenges, including persistent losses and negative cash flows. Technical indicators provide a mixed outlook, while valuation metrics highlight concerns with a negative P/E ratio. The lack of earnings call data and corporate events further limits positive influences on the score.

TAG Oil Business Overview & Revenue Model

Company Description

TAG Oil Ltd., together with its subsidiaries, engages in the exploration, development, and production of oil and gas in Canada, the Middle East, and North Africa. The company was formerly known as Durum Cons. Energy Corp. and changed its name to TAG Oil Ltd. in June 2002. The company was incorporated in 1990 and is headquartered in Vancouver, Canada.

How the Company Makes Money

TAG Oil generates revenue primarily through the extraction and sale of crude oil and natural gas. The company sells its production to domestic and international markets, capitalizing on fluctuations in oil and gas prices. Key revenue streams include direct sales of oil and gas, as well as any potential royalty payments from production agreements. Additionally, TAG Oil may engage in strategic partnerships with other companies in the energy sector to optimize resource extraction and explore new opportunities, which can further enhance its revenue through collaborative projects or joint ventures.

TAG Oil Financial Statement Overview

Summary

TAG Oil faces significant financial difficulties, characterized by persistent losses and negative cash flows. Despite revenue growth, profitability remains elusive with negative margins and cash flow issues. The balance sheet is stable with low leverage, but negative return on equity and cash flow challenges pose substantial risks.

Income Statement

TAG Oil's income statement reveals significant challenges, with negative margins across the board. The gross profit margin is deeply negative, indicating costs far exceed revenues. The net profit margin is also negative, reflecting substantial losses. Despite a revenue growth rate of 59.7% in the latest year, the company struggles with profitability, as evidenced by negative EBIT and EBITDA margins.

Balance Sheet

The balance sheet shows a low debt-to-equity ratio, suggesting limited leverage, which is a positive aspect. However, the return on equity is negative, indicating that the company is not generating profits from its equity base. The equity ratio is relatively healthy, but the overall financial health is undermined by persistent losses.

Cash Flow

Cash flow analysis highlights severe issues, with negative operating and free cash flows. The free cash flow growth rate is negative, and the operating cash flow to net income ratio is unfavorable, indicating cash flow challenges. The free cash flow to net income ratio is positive, but this is due to substantial net losses rather than strong cash generation.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.57M	864.00K	781.33K	0.00	0.00	0.00
Gross Profit	-1.33M	-1.01M	-1.00M	-164.00K	-122.00K	-235.00K
EBITDA	-7.82M	-8.28M	-9.01M	-7.39M	-3.85M	-3.45M
Net Income	-5.58M	-6.33M	-8.20M	-3.00M	-4.46M	-14.92M
Balance Sheet
Total Assets	47.99M	55.09M	53.91M	41.06M	18.20M	20.50M
Cash, Cash Equivalents and Short-Term Investments	5.34M	7.40M	16.44M	20.66M	15.52M	17.14M
Total Debt	1.24M	1.49M	208.00K	459.00K	573.00K	98.00K
Total Liabilities	2.71M	5.74M	7.43M	2.04M	979.00K	505.00K
Stockholders Equity	45.28M	49.35M	46.48M	39.01M	17.23M	20.00M
Cash Flow
Free Cash Flow	-17.81M	-23.88M	-22.88M	-11.94M	-4.11M	-4.10M
Operating Cash Flow	-8.28M	-5.98M	-3.90M	-5.46M	-4.08M	-3.92M
Investing Cash Flow	-4.28M	-17.14M	-17.28M	-4.42M	1.33M	3.68M
Financing Cash Flow	5.47M	5.54M	17.00M	23.57M	-55.00K	-24.72M

TAG Oil Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.12
• 50DMA: Positive
• 100DMA: Positive
• 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:TAO, the sentiment is Positive. The current price of 0.12 is below the 20-day moving average (MA) of 0.12, above the 50-day MA of 0.12, and below the 200-day MA of 0.12, indicating a neutral trend. The MACD of >-0.01 indicates Positive momentum. The RSI at 49.48 is Neutral, neither overbought nor oversold. The STOCH value of 40.00 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TSE:TAO.

TAG Oil 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%
SOU	50 Neutral	$18.49M	―	-57.62%	―	-10.88%	80.32%
TAO	46 Neutral	C$27.18M	―	-12.39%	―	462.37%	35.49%
DME	42 Neutral	C$34.85M	―	-6.13%	―	-82.16%	70.07%
SNV	41 Neutral	C$11.62M	―	-101.34%	―	―	―
OYL	39 Underperform	C$49.09M	―	-180.57%	―	―	-2034.82%

TAG Oil Corporate Events

TAG Oil Announces Director Resignation and Severance Package

TAG Oil Ltd. announced the resignation of Toby Pierce as a director, effective January 6, 2025, to focus on other professional commitments. The company plans to issue him $200,000 in common shares as part of his severance package, pending approval from the TSX Venture Exchange. This change marks a significant shift in leadership but maintains Mr. Pierce’s involvement as a shareholder, highlighting TAG Oil’s adaptive strategy amid industry dynamics.

TAG Oil Advances Egyptian Operations and Development Plans

TAG Oil is making strides in the development of its BED-1 concession in Egypt, with steady production from its T100 and BED 1-7 wells and plans to drill new wells in 2025. The company is also optimizing logistics and reducing costs to improve profitability, while seeking strategic partners to accelerate the development of its assets.

TAG Oil Restructures Leadership for Egyptian Expansion

TAG Oil has announced a strategic organizational restructuring, appointing Mr. Abdel Badwi as the new Executive Chairman and CEO, who will lead the company from Cairo, Egypt. This move is part of a broader strategy to cut costs by eliminating Canadian positions and focus on optimizing their Egyptian operations. The company aims to leverage its expertise in unconventional drilling to expand its asset base in Egypt’s Western Desert.

TAG Oil Closes Public Offering Successfully

TAG Oil has successfully closed a public offering, raising substantial capital by issuing over 40 million units, each comprising a common share and a warrant. The offering was managed by a group of agents who received commissions and broker warrants, highlighting the strong financial interest in TAG Oil’s operations.

TAG Oil’s Strategic Expansion in Egypt

TAG Oil has successfully closed a public offering, raising over $6.8 million to fund its expansion in Egypt’s Western Desert, including developing the Badr Oil Field and a new strategic concession. This move is part of TAG Oil’s broader strategy to explore joint ventures and partnerships in the Middle East North Africa region.