Logan Energy Corp (LGN) AI Stock Analysis

• Market Cap: C$374.83M
• Dividend Yield: N/A
• Average Volume (3M): 265.62K
• Price to Earnings (P/E): 59.2
• Beta (1Y): 0.88
• Revenue Growth: N/A
• EPS Growth: N/A
• Country: CA
• Employees: 20
• Sector: Energy
• Sector Strength: 52
• Industry: Oil & Gas Exploration & Production
• EPS (TTM): <0.01
• Shares Outstanding: 646,261,840
• 10 Day Avg. Volume: 399,333
• 30 Day Avg. Volume: 265,621
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): 3.79
• Price to Cash Flow (P/CF): 5.40
• P/FCF Ratio: 0.00
• 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$1.50
• Price Target Upside: 158.62% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 3

Logan Energy Corp has shown strong revenue recovery and improvements in financial stability, but faces challenges in profitability and cash flow management. Technical indicators suggest bearish trends, and the high P/E ratio raises valuation concerns. Positive corporate events enhance liquidity and growth prospects, balancing some of the financial and technical weaknesses.

Positive Factors

Insider Ownership

Insiders own approximately 20% of the company, creating alignment with growth-oriented investors.

Record Production

The company reported record quarterly production, surpassing consensus expectations.

Negative Factors

Economic Challenges

There is a possibility of falling short of previous production guidance due to uneconomic gas well shut-ins.

Financial Performance

The PDP value created in 2024 was ~$106mn versus capital spending (net of A&D) of ~$212mn, meaning for every dollar spent, there was a loss of $0.50.

Logan Energy Corp Business Overview & Revenue Model

Company Description

Logan Energy Corp (LGN) is a leading company in the energy sector, focused on the exploration, production, and distribution of natural gas and crude oil. Headquartered in Houston, Texas, Logan Energy operates across various regions in North America and has a growing presence in international markets. The company is committed to providing reliable energy solutions while emphasizing sustainable and environmentally responsible practices.

How the Company Makes Money

Logan Energy Corp generates revenue primarily through the sale of natural gas and crude oil. The company engages in upstream activities, including the exploration and production of these resources, which are then sold to a diverse range of customers, including industrial, commercial, and residential sectors. Additionally, Logan Energy benefits from midstream operations, such as the transportation and storage of energy products, which provide stable cash flows. The company's earnings are further bolstered by strategic partnerships with other energy firms and investments in technology to enhance extraction efficiency and reduce operational costs.

Logan Energy Corp Financial Statement Overview

Summary

Logan Energy Corp demonstrates significant revenue recovery and strong equity metrics, contributing to a positive financial outlook. However, challenges in profitability and negative free cash flow due to high capital expenditures pose risks to financial health.

Income Statement

Logan Energy Corp shows a positive gross profit margin for 2024, recovering from negative margins in 2023. However, the revenue growth rate from 2023 to 2024 reflects a significant increase, indicating a strong recovery trajectory. Despite this, the net profit margin remains low. EBITDA margin shows improvement, but EBIT is still at zero, highlighting challenges in operational profitability.

Balance Sheet

The company maintains a robust equity ratio, supported by significant stockholders' equity relative to total assets. The debt-to-equity ratio is low, suggesting conservative leverage. Return on equity has improved, indicating better utilization of shareholder funds. Overall, the balance sheet reflects financial stability with minimal debt risks.

Cash Flow

Operating cash flow covers net income well, suggesting efficient cash generation. However, the free cash flow is negative due to high capital expenditures, posing a liquidity challenge. Despite positive operating cash flow trends, the substantial free cash flow deficit indicates potential cash management issues.

Breakdown
Dec 2024	Dec 2023	Dec 2022
Income Statement		Total Revenue
113.87M	72.72M	127.86M
	Gross Profit
62.70M	-5.65M	88.50M
	EBIT
0.00	-33.18M	39.08M
	EBITDA
49.92M	-4.07M	61.42M
	Net Income Common Stockholders
4.55M	-33.80M	39.40M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
324.00K	53.97M	-251.00K
	Total Assets
365.45M	234.64M	131.90M
	Total Debt
1.30M	150.00K	251.00K
	Net Debt
979.00K	-53.82M	502.00K
	Total Liabilities
90.09M	60.52M	36.11M
	Stockholders Equity
275.36M	174.12M	95.80M
Cash Flow		Free Cash Flow
-161.41M	-61.85M	59.47M
	Operating Cash Flow
50.43M	23.95M	67.11M
	Investing Cash Flow
-196.20M	-68.23M	-22.11M
	Financing Cash Flow
92.10M	98.25M	-45.00M

Logan Energy Corp Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.58
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:LGN, the sentiment is Negative. The current price of 0.58 is below the 20-day moving average (MA) of 0.61, below the 50-day MA of 0.64, and below the 200-day MA of 0.75, indicating a bearish trend. The MACD of -0.02 indicates Negative momentum. The RSI at 48.02 is Neutral, neither overbought nor oversold. The STOCH value of 76.69 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for TSE:LGN.

Logan Energy Corp Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
MEG	71 Outperform	$5.24B	10.78	11.22%	1.48%	-8.92%	-5.46%
ARX	71 Outperform	$15.80B	14.27	14.67%	2.66%	-9.83%	-27.76%
VET	63 Neutral	$1.36B	―	-1.59%	5.61%	-1.72%	79.87%
LGN	61 Neutral	C$374.83M	59.18	2.03%	―	―	―
CNE	60 Neutral	$104.07M	4.40	-9.73%	6.77%	20.91%	-139.18%
Sector *	55 Neutral	$7.05B	3.40	-6.09%	6.09%	-0.43%	-51.04%

Logan Energy Corp Corporate Events

Logan Energy Corp Achieves Significant Growth in 2024 Financial Results

Logan Energy Corp reported significant growth in its 2024 financial results, with a 51% increase in production and an 80% rise in adjusted funds flow compared to the previous year. The company successfully executed its growth strategy, doubling crude oil production and increasing its liquids weighting, despite lower natural gas prices. Logan’s strategic investments in infrastructure, including a new gas plant and expansions in key areas, are expected to support continued growth and operational efficiency in 2025.

Logan Energy Boosts Liquidity with $43 Million Asset Sale

Logan Energy Corp. has announced the sale of a 2.5% gross overriding royalty and a 35% non-operated working interest in its Pouce Coupe facility to Topaz Energy Corp., generating $43 million in proceeds. This strategic move enhances Logan’s liquidity and financial flexibility, allowing it to continue its growth strategy and explore new opportunities while maintaining control over its operations and minimizing impact on its financial forecasts.