InPlay Oil Corp. (IPO) AI Stock Analysis

• Market Cap: C$144.76M
• Dividend Yield: 14.14%
• Average Volume (3M): 252.22K
• Price to Earnings (P/E): 12.3
• Beta (1Y): 0.90
• Revenue Growth: -14.73%
• EPS Growth: -71.36%
• Country: CA
• Employees: 25
• Sector: Energy
• Sector Strength: 50
• Industry: Oil & Gas Exploration & Production
• EPS (TTM): 0.02
• Shares Outstanding: 112,214,714
• 10 Day Avg. Volume: 357,416
• 30 Day Avg. Volume: 252,222
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): 1.68
• Price to Cash Flow (P/CF): 3.70
• P/FCF Ratio: 3.00
• 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: C$5.19
• Price Target Upside: -32.07% Downside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1

InPlay Oil Corp. receives an overall score of 61, reflecting a combination of mixed financial performance and bearish technical indicators, offset by an attractive valuation. The company's declining revenue and net income, alongside the pressures on margins, are significant drawbacks. Technical indicators show strong downward momentum, which might deter short-term investors. However, the low P/E ratio and high dividend yield offer a compelling case for value and income investors. Addressing revenue growth and managing financial leverage will be crucial for improving the company's prospects.

InPlay Oil Corp. Business Overview & Revenue Model

Company Description

InPlay Oil Corp. engages in the acquisition, exploration, development, and production of petroleum and natural gas properties in Canada. The company produces and sells crude oil, natural gas, and natural gas liquids. It primarily holds interests in the Cardium assets located in West Central Alberta that focus on the Pembina and Willesden Green pools. The company also holds interest in the Belly River light oil property; and the Duvernay light oil play. InPlay Oil Corp. is headquartered in Calgary, Canada.

How the Company Makes Money

InPlay Oil Corp. generates revenue through the exploration, development, and production of oil and natural gas. The company's primary revenue streams include the sale of crude oil, natural gas, and natural gas liquids, which are extracted from its operated wells in the Western Canadian Sedimentary Basin. InPlay Oil Corp. sells its production to various marketers and oil and gas purchasers at prevailing market prices. The company may also enter into hedging contracts to manage commodity price risks, thereby stabilizing cash flows. Additionally, strategic partnerships and joint ventures help InPlay Oil Corp. optimize its operations and reduce costs, contributing to its overall profitability.

InPlay Oil Corp. Financial Statement Overview

Summary

InPlay Oil Corp. showcases solid operational efficiency and prudent financial management with strong margins but faces challenges in revenue growth. The balance sheet reflects a conservative approach with low leverage and a high equity ratio, although shareholder profitability has decreased. Cash flow analysis reveals strong cash generation capabilities, indicating effective cash management.

Income Statement

The company's gross profit margin for TTM is 39.55%, indicating strong profitability from core operations. However, the net profit margin has decreased to 12.94%, reflecting higher expenses or reduced efficiency. The revenue growth rate shows a decline of 7.32% from the previous year, suggesting potential challenges in maintaining sales growth. The EBIT margin stands at 24.39%, and the EBITDA margin at 52.24%, both showcasing efficient operational performance despite the revenue decline.

Balance Sheet

The debt-to-equity ratio is 0.20, indicating prudent leverage and financial stability. However, return on equity has dropped to 6.45%, suggesting a decrease in profitability for shareholders. The equity ratio is 60.08%, highlighting a strong capital structure with more assets financed by equity than debt.

Cash Flow

Operating cash flow to net income ratio is robust at 4.24, indicating strong cash generation relative to net income. Free cash flow growth rate is impressive at 586.64%, reflecting improvements in cash management. The free cash flow to net income ratio is 0.44, showcasing adequate free cash flow generation relative to profits.

Breakdown
TTM	Dec 2023	Dec 2022	Dec 2021	Dec 2020	Dec 2019
Income Statement		Total Revenue
192.03M	156.85M	238.59M	113.85M	41.93M	75.03M
	Gross Profit
131.08M	104.14M	156.91M	74.82M	18.13M	40.15M
	EBIT
100.76M	37.43M	95.00M	28.20M	-10.53M	3.41M
	EBITDA
105.90M	87.36M	135.36M	125.29M	-56.61M	33.49M
	Net Income Common Stockholders
111.29M	32.70M	83.90M	115.07M	-112.63M	-26.84M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
0.00	-1.00	-320.00K	-578.00K	-553.00K	-1.06M
	Total Assets
314.02M	472.96M	430.91M	406.48M	211.03M	298.01M
	Total Debt
45.40M	51.29M	29.53M	79.70M	64.39M	54.70M
	Net Debt
45.40M	51.29M	29.85M	80.28M	64.94M	55.76M
	Total Liabilities
130.43M	178.60M	157.85M	217.12M	165.31M	140.40M
	Stockholders Equity
183.59M	294.35M	273.06M	189.36M	45.72M	157.61M
Cash Flow		Free Cash Flow
30.72M	1.22M	45.29M	4.98M	-16.27M	-4.54M
	Operating Cash Flow
86.61M	86.01M	122.89M	38.41M	8.47M	27.67M
	Investing Cash Flow
-76.01M	-87.93M	-70.36M	-63.93M	-18.07M	-35.62M
	Financing Cash Flow
-10.61M	1.92M	-52.53M	25.52M	9.60M	7.95M

InPlay Oil Corp. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 7.64
• 50DMA: Negative
• 100DMA: Negative
• 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:IPO, the sentiment is Negative. The current price of 7.64 is below the 20-day moving average (MA) of 8.53, below the 50-day MA of 9.16, and below the 200-day MA of 10.50, indicating a bearish trend. The MACD of -0.51 indicates Positive momentum. The RSI at 33.63 is Neutral, neither overbought nor oversold. The STOCH value of 21.73 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for TSE:IPO.

InPlay Oil Corp. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
TOU	73 Outperform	C$22.26B	16.80	8.55%	2.43%	-8.29%	-30.52%
IPO	61 Neutral	C$144.76M	12.29	3.24%	14.14%	-14.73%	-71.36%
Sector *	55 Neutral	$7.03B	3.43	-6.29%	6.02%	-0.15%	-51.34%