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Kiwetinohk Energy Corp. (TSE:KEC)
TSX:KEC
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Kiwetinohk Energy Corp.
(TSX:KEC)
61Neutral
Kiwetinohk Energy Corp. (KEC) vs. S&P 500 (SPY)
Market Cap
C$667.71M
Dividend YieldN/A
Average Volume (3M)48.00K
Price to Earnings (P/E)601.6
Beta (1Y)0.58
Revenue Growth6.01%
EPS Growth-99.01%
CountryCA
Employees90
SectorEnergy
Sector Strength50
IndustryOil & Gas Exploration & Production
Share Statistics
EPS (TTM)0.03
Shares Outstanding43,784,450
10 Day Avg. Volume122,060
30 Day Avg. Volume47,997
Financial Highlights & Ratios
PEG RatioN/A
Price to Book (P/B)N/A
Price to Sales (P/S)1.51
Price to Cash Flow (P/CF)3.00
P/FCF Ratio0.00
Enterprise Value/Market CapN/A
Enterprise Value/RevenueN/A
Enterprise Value/Gross ProfitN/A
Enterprise Value/EbitdaN/A
Forecast
1Y Price Target
C$18.00Price Target Upside19.21% Upside
Rating ConsensusModerate Buy
Number of Analyst Covering1
Kiwetinohk Energy Corp. Business Overview & Revenue Model
Company DescriptionKiwetinohk Energy Corp. (KEC) is an integrated energy company based in Canada. The company is engaged in the exploration, development, and production of oil and natural gas resources. KEC focuses on sustainable and responsible energy production, leveraging advanced technologies to optimize efficiency and minimize environmental impact. The company operates within the energy sector, providing a range of energy products and services to meet the needs of its diverse client base.
How the Company Makes MoneyKiwetinohk Energy Corp. generates revenue primarily through the production and sale of oil and natural gas. The company's key revenue streams include the extraction and marketing of these hydrocarbons. By exploring and developing energy resources, KEC is able to sell the extracted oil and natural gas to various markets, including domestic and international buyers. Additionally, KEC may engage in strategic partnerships and joint ventures to enhance its exploration and production capabilities, which can contribute to its financial performance. The company's earnings are influenced by factors such as commodity prices, production volumes, and operational efficiencies.
Kiwetinohk Energy Corp. Financial Statement Overview
Summary
Kiwetinohk Energy Corp. has shown revenue growth of 13.74%, but challenges include declining gross and net profit margins. The balance sheet is stable with strong equity, though leverage has increased. Operational cash flow is strong, but negative free cash flow indicates potential liquidity issues.Income Statement
Kiwetinohk Energy Corp. showed a moderate improvement in revenue with a growth rate of 13.74% from 2023 to 2024. However, the gross profit margin decreased significantly, and the net profit margin dropped to a mere 0.21% for 2024. The EBITDA margin is strong at 37.46% but the absence of EBIT indicates operational challenges.65
Positive
Balance Sheet
The company has a stable equity position with an equity ratio of 58.84% for 2024, indicating strong asset backing. However, the debt-to-equity ratio increased to 0.40, reflecting a rise in leverage. Return on equity significantly decreased to 0.15%, indicating declining profitability.72
Positive
Cash Flow
Cash flow from operations is strong, but free cash flow is negative, suggesting high capital expenditures relative to cash generation. The operating cash flow to net income ratio is 247.91, which indicates strong cash conversion, but free cash flow to net income is negative, reflecting potential liquidity concerns.60
Neutral
| Breakdown | ||||
| Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 | Dec 2020 |
|---|---|---|---|---|
| Income Statement | Total Revenue | |||
| 510.12M | 448.48M | 768.45M | 297.19M | 9.76M | Gross Profit |
| 256.88M | 117.24M | 418.60M | 247.46M | 8.68M | EBIT |
| 0.00 | 91.75M | 286.73M | 19.35M | -4.80M | EBITDA |
| 191.10M | 288.53M | 262.10M | -16.96M | -4.33M | Net Income Common Stockholders |
| 1.06M | 111.90M | 190.99M | -22.32M | -18.52M |
| Balance Sheet | Cash, Cash Equivalents and Short-Term Investments | |||
| 0.00 | 5.05M | -11.67M | 2.34M | 54.48M | Total Assets |
| 1.22B | 1.09B | 932.65M | 614.34M | 172.99M | Total Debt |
| 284.31M | 220.61M | 130.87M | 33.46M | 505.00K | Net Debt |
| 284.31M | 215.56M | 142.53M | 31.12M | -53.97M | Total Liabilities |
| 500.54M | 375.41M | 332.03M | 216.90M | 6.74M | Stockholders Equity |
| 715.04M | 710.20M | 600.62M | 397.43M | 166.25M |
| Cash Flow | Free Cash Flow | |||
| -73.54M | -67.51M | -13.11M | -15.08M | -7.95M | Operating Cash Flow |
| 263.20M | 240.76M | 242.85M | 35.82M | -1.66M | Investing Cash Flow |
| -318.42M | -303.03M | -330.15M | -265.39M | -31.86M | Financing Cash Flow |
| 50.24M | 67.38M | 85.50M | 177.44M | 60.03M |
Kiwetinohk Energy Corp. Technical Analysis
Negative
15.10
Price Trends
16.05
Negative
16.24
Negative
15.24
Negative
Market Momentum
-0.34
Positive
44.41
Neutral
83.21
Negative
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:KEC, the sentiment is Negative. The current price of 15.1 is below the 20-day moving average (MA) of 15.78, below the 50-day MA of 16.05, and below the 200-day MA of 15.24, indicating a bearish trend. The MACD of -0.34 indicates Positive momentum. The RSI at 44.41 is Neutral, neither overbought nor oversold. The STOCH value of 83.21 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for TSE:KEC.
Kiwetinohk Energy Corp. Peers Comparison
Overall Rating
UnderperformOutperform
Sector (55)
Financial Indicators
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
74 Outperform | C$3.58B | 12.52 | 10.37% | 7.41% | -9.52% | -11.68% | |
73 Outperform | C$22.26B | 16.80 | 8.55% | 2.42% | -8.29% | -30.52% | |
71 Outperform | $15.88B | 14.35 | 14.67% | 2.70% | -9.83% | -27.76% | |
63 Neutral | $1.40B | ― | -1.59% | 5.58% | -1.72% | 79.87% | |
62 Neutral | $1.65B | 29.02 | 2.51% | 5.54% | -26.02% | 464.95% | |
61 Neutral | C$667.71M | 601.59 | 0.15% | ― | 6.01% | -99.01% | |
55 Neutral | $7.12B | 3.39 | -6.24% | 6.01% | -0.03% | -52.30% |
* Energy Sector Average
Performance Comparison
TSE:KEC
Kiwetinohk Energy Corp.
14.80
2.31
18.49%
TSE:BIR
Birchcliff Energy
6.05
0.71
13.19%
TSE:ARX
ARC Resources
26.63
1.63
6.52%
TSE:VET
Vermilion Energy
8.79
-7.12
-44.75%
TSE:PEY
Peyto Exploration & Dev
17.90
3.70
26.06%
TSE:TOU
Tourmaline Oil
62.59
-1.65
-2.57%
Kiwetinohk Energy Corp. Earnings Call Summary
Earnings Call Date: Mar 6, 2025 | % Change Since: -0.66% | Next Earnings Date: May 7, 2025
Earnings Call Sentiment Positive
The earnings call reflected strong performance in the Upstream division with high operating netbacks and successful extension of Alliance Pipeline capacity. However, challenges remain in the Power division due to regulatory uncertainty, and increased capital expenditure is expected to temporarily raise debt levels.Highlights
Strong Upstream Performance
Executed a significant development program, with production in Q3 averaging near 26,000 BOEs per day. The company expanded its fourth quarter plans to include additional wells, expecting to deliver free cash flow and repay debt early in 2025.
High Operating Netbacks
Achieved a Q3 netback of $28.98 per BOE, with an adjusted operating netback of $30.89 per BOE. Operating costs were reduced by 22% from the third quarter of last year.
Advantageous Alliance Pipeline Capacity
Extended Alliance Pipeline capacity by 7 years, allowing the sale of over 90% of natural gas production in Chicago at a premium to Alberta prices, with Chicago pricing approximately 200% higher than AECO in Q3.
Montney Well Performance
First Montney well in the Simonette area exceeded expectations with rates in excess of 7 million cubic feet per day of gas and gas liquids, plus approximately 400 barrels a day of condensate.
Lowlights
Regulatory Uncertainty in Power Division
Cautious approach in the Power division due to an uncertain regulatory environment, affecting the advancement of projects such as the Homestead project.
Incremental Capital Leading to Short-Term Debt Increase
Incremental capital investments are expected to result in a higher ratio of net debt to adjusted funds flow from operations in the short term as the company exits the year.
Company Guidance
In the third quarter of 2024, Kiwetinohk Energy provided guidance on several key metrics, reflecting a strong performance and strategic initiatives across its divisions. The Upstream division executed a significant development program, achieving an operating netback of $28.98 per BOE and an adjusted operating netback of $30.89 per BOE, with a substantial focus on the Duvernay and Montney assets. The company maintained low operating costs at $7.19 per BOE, representing a 22% year-over-year reduction, and leveraged its 120 million cubic feet per day capacity on the Alliance Pipeline to sell over 90% of its natural gas in Chicago, where prices were approximately 200% higher than Alberta's AECO benchmark. Kiwetinohk plans to accelerate drilling activities with an additional rig in the fourth quarter, leading to a temporary increase in net debt to adjusted funds flow from operations. However, with nine wells expected to come online by early 2025, the company anticipates generating free cash flow and repaying debt. The Power division remains cautious due to regulatory uncertainties, seeking sale or financing opportunities, while the overall capital program saw a $10 million increase, supported by $230 million in credit facility availability. The company ended the quarter with nearly $900 million in tax pools, aiding in tax deferral, and highlighted the strategic value of its assets in light of recent acquisitions in the Duvernay play.Kiwetinohk Energy Corp. Corporate Events
Business Operations and StrategyFinancial Disclosures
Kiwetinohk Energy Reports Strong 2024 Results and Strategic Exploration
Positive
Mar 6, 2025
Kiwetinohk Energy Corp. reported strong financial and operational results for 2024, with a notable 19% increase in annual production and a 10% growth in total proved plus probable reserves. The company successfully reduced operating costs and completed the sale of its Opal gas-fired power project. Kiwetinohk is exploring strategic alternatives, including potential sales of its businesses, to address funding capacity constraints and capitalize on value-enhancing opportunities.
Financial Disclosures
Kiwetinohk Energy Corp. Schedules Earnings Release and Conference Call
Neutral
Feb 28, 2025
Kiwetinohk Energy Corp. has announced that it will release its upcoming earnings on March 6, 2025, with a conference call scheduled for the same day to discuss the results and address questions. This announcement is significant for stakeholders as it provides insights into the company’s financial performance and strategic direction, potentially impacting its market positioning and investor confidence.
M&A TransactionsBusiness Operations and Strategy
Kiwetinohk Energy Sells Opal Gas-Fired Power Project for $21 Million
Positive
Feb 4, 2025
Kiwetinohk Energy Corp. has announced the sale of its 101-MW Opal natural gas-fired power project for $21 million to Bitdeer Technologies Group. This transaction is intended to strengthen Kiwetinohk’s financial position by reducing debt and demonstrates the company’s capability in developing high-quality power assets. The sale aligns with Kiwetinohk’s strategic focus on advancing and financing prominent projects within its portfolio, reinforcing its market positioning as a developer of scalable energy solutions.
Glossary
OutperformA stock rated as "Outperform" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock is likely to deliver higher returns compared to the average returns of other stocks in the same sector or market index. Investors might consider this stock a good buying opportunity.
NeutralA stock rated as "Neutral" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly attractive nor unattractive for investment. Investors may consider holding onto the stock, as it is not expected to either significantly outperform or underperform the market.
UnderperformA stock rated as "Underperform" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock may deliver lower returns compared to the average returns of other stocks in the same sector or market index. Investors might consider selling the stock or avoiding it as an investment.
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.