Is Obsidian Energy Stock a Good Investment?
Obsidian Energy Investment Advice | OBE |
- Examine Obsidian Energy's financial health by looking at its balance sheet, income statement, and cash flow statement. Analyze key financial ratios, such as Price-to-Earnings (P/E), Price-to-Sales (P/S), and Price-to-Book (P/B), to determine whether the stock is fairly valued or over/undervalued.
- Research Obsidian Energy's leadership team and their track record. Good management can help Obsidian Energy navigate difficult times and make strategic decisions that benefit shareholders and increases its net worth.
- Consider the overall health of the Oil & Gas Exploration & Production space and any emerging trends that could impact Obsidian Energy's business and its evolving consumer preferences.
- Compare Obsidian Energy's performance and market position to its competitors. Analyze how Obsidian Energy is positioned in terms of product offerings, innovation, and market share.
- Check if Obsidian Energy pays a dividend and its dividend yield and payout ratio.
- Review what financial analysts are saying about Obsidian Energy's stock and their price targets. However, remember that analysts' opinions can vary, and their predictions may not always be accurate.
It's important to note that investing in Obsidian Energy stock, carries risks, and you should carefully consider your investment goals and risk tolerance before making any investment decisions. Also, remember that it's important for investors to have a long-term perspective and a well-diversified portfolio to manage the impact of stock market volatility on their investments. Below is a detailed guide on how to decide if Obsidian Energy is a good investment.
Sell | Buy |
Strong Sell
Market Performance | Very Weak | Details | |
Volatility | Somewhat reliable | Details | |
Hype Condition | Under hyped | Details | |
Current Valuation | Undervalued | Details | |
Odds Of Distress | Below Average | Details | |
Economic Sensitivity | Follows the market closely | Details | |
Investor Sentiment | Alarmed | Details | |
Analyst Consensus | Buy | Details | |
Financial Strenth (F Score) | Very Strong | Details | |
Financial Leverage | Not Rated | Details | |
Reporting Quality (M-Score) | Unlikely Manipulator | Details |
Examine Obsidian Energy Stock
Researching Obsidian Energy's stock involves analyzing various aspects of the company and its industry to make an informed investment decision. The key areas to focus on are fundamentals, business model and competitive advantage. It is also important to analyze trends in revenue, net income, and cash flow, as well as key financial ratios, such as price-to-earnings (P/E), price-to-sales (P/S), and debt-to-equity (D/E). About 24.0% of the company shares are owned by institutional investors. The company has price-to-book ratio of 0.35. Typically companies with comparable Price to Book (P/B) are able to outperform the market in the long run. Obsidian Energy has Price/Earnings To Growth (PEG) ratio of 0.53. The entity last dividend was issued on the 28th of September 2015. The firm had 1:7 split on the 10th of June 2019.
To determine if Obsidian Energy is a good investment, evaluating the company's potential for future growth is also very important. This may include expanding into new markets, launching new products or services, or improving operational efficiency. Companies with strong growth prospects can be more attractive investments. This aspect of the research should be conducted in the context of the overall market and industry in which the company operates and should include an analysis of growth potential, competitive landscape, and any regulatory or economic factors that could impact the business. Some of the essential points regarding Obsidian Energy's research are outlined below:
| Obsidian Energy generated a negative expected return over the last 90 days | |
| Obsidian Energy has 228 M in debt with debt to equity (D/E) ratio of 0.38, which is OK given its current industry classification. Obsidian Energy has a current ratio of 0.26, suggesting that it has not enough short term capital to pay financial commitments when the payables are due. Note however, debt could still be an excellent tool for Obsidian to invest in growth at high rates of return. | |
| Obsidian Energy has a very strong financial position based on the latest SEC filings | |
| Latest headline from globenewswire.com: Ethical Web AI Appoints Peter Varnish OBE to Advisory Board |
Obsidian Energy Quarterly Liabilities And Stockholders Equity |
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Obsidian Energy uses earnings reports to provide investors with an update of all three financial statements, including the income statement, the balance sheet, and the cash flow statement. Therefore, it is also crucial when considering investing in Obsidian Energy. Every quarterly earnings report provides investors with an overview of sales, expenses, and net income for the most recent period. It also may provide a comparison to Obsidian Energy's previous reporting period. The quarterly earnings reports are usually disseminated to the public via Form 10-Q, which is a legal document filed with the Securities and Exchange Commission every quarter.
| 22nd of February 2024 Upcoming Quarterly Report | View | |
| 31st of December 2023 Next Fiscal Quarter End | View |
Earnings surprises can significantly impact Obsidian Energy's stock price both in the short term and over time. Negative earnings surprises usually result in a price decline. However, it has been seen that positive earnings surprises lead to an immediate rise in a stock's price and a gradual increase over time. This is why we often hear news about some companies beating earning projections. Financial analysts spend a large amount of time predicting earnings per share (EPS) along with other important future indicators. Many analysts use forecasting models, management guidance, and additional fundamental information to derive an EPS estimate. Below are the table of largest EPS Surprises Obsidian Energy's investors have experienced.
| Reported | Fiscal Date | Estimated EPS | Reported EPS | Surprise | |||
|---|---|---|---|---|---|---|---|
2017-05-04 | 2017-03-31 | -0.1 | -0.07 | 0.03 | 30 | ||
1998-11-19 | 1998-09-30 | 0.42 | 0.47 | 0.05 | 11 | ||
1998-08-19 | 1998-06-30 | 0.36 | 0.42 | 0.06 | 16 | ||
2024-02-22 | 2023-12-31 | 0.49 | 0.42 | -0.07 | 14 | ||
2023-08-02 | 2023-06-30 | 0.29 | 0.22 | -0.07 | 24 | ||
2017-08-09 | 2017-06-30 | -0.07 | -0.14 | -0.07 | 100 | ||
1999-05-19 | 1999-03-31 | 0.54 | 0.47 | -0.07 | 12 | ||
1998-03-26 | 1997-12-31 | 0.56 | 0.63 | 0.07 | 12 |
Obsidian Energy's market capitalization trends
The company currently falls under 'Small-Cap' category with a total capitalization of 433.27 M.Market Cap |
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Obsidian Energy's profitablity analysis
| Last Reported | Projected for Next Year | ||
| Return On Tangible Assets | 0.05 | 0.05 | |
| Return On Capital Employed | 0.07 | 0.08 | |
| Return On Assets | 0.05 | 0.05 | |
| Return On Equity | 0.07 | 0.07 |
Determining Obsidian Energy's profitability involves analyzing its financial statements and using various financial metrics to determine if Obsidian Energy is a good buy. For example, gross profit margin measures Obsidian Energy's profitability after accounting for the cost of goods sold, while net profit margin measures profitability after accounting for all expenses. Other important metrics include return on assets, return on equity, and free cash flow. By reviewing multiple sources and metrics, you can gain a complete picture of Obsidian Energy's profitability and make more informed investment decisions.
Please note, the presentation of Obsidian Energy's financial position, as portrayed in its financial statements, is often influenced by management's estimates, judgments, and sometimes even manipulations. In the best case, Obsidian Energy's management is honest, while the outside auditors are strict and uncompromising. Please utilize our Beneish M Score to check the likelihood of Obsidian Energy's management manipulating its earnings.
Evaluate Obsidian Energy's management efficiency
Obsidian Energy has Return on Asset of 0.0519 % which means that on every $100 spent on assets, it made $0.0519 of profit. This is way below average. In the same way, it shows a return on shareholders' equity (ROE) of 0.0699 %, implying that it generated $0.0699 on every 100 dollars invested. Obsidian Energy's management efficiency ratios could be used to measure how well Obsidian Energy manages its routine affairs as well as how well it operates its assets and liabilities. The current year's Return On Tangible Assets is expected to grow to 0.05. The current year's Return On Capital Employed is expected to grow to 0.08. At present, Obsidian Energy's Other Assets are projected to increase significantly based on the last few years of reporting. The current year's Return On Tangible Assets is expected to grow to 0.05, whereas Non Current Assets Total are forecasted to decline to about 2 B.| Last Reported | Projected for Next Year | ||
| Book Value Per Share | 19.48 | 18.51 | |
| Tangible Book Value Per Share | 19.48 | 18.51 | |
| Enterprise Value Over EBITDA | 2.57 | 4.18 | |
| Price Book Value Ratio | 0.46 | 0.44 | |
| Enterprise Value Multiple | 2.57 | 4.18 | |
| Price Fair Value | 0.46 | 0.44 | |
| Enterprise Value | 1.1 B | 1.1 B |
Obsidian Energy's management has consistently demonstrated strong leadership, driving both financial growth and operational excellence. By analyzing current market trends and future growth opportunities, we assess the stock's true value and potential for investors.
Beta 2.255 |
Basic technical analysis of Obsidian Stock
As of the 22nd of November, Obsidian Energy holds the Variance of 8.05, risk adjusted performance of (0.05), and Coefficient Of Variation of (1,313). Compared to fundamental indicators, the technical analysis model allows you to check existing technical drivers of Obsidian Energy, as well as the relationship between them. Please check Obsidian Energy information ratio, and the relationship between the coefficient of variation and value at risk to decide if Obsidian Energy is priced some-what accurately, providing market reflects its current price of 5.86 per share. Given that Obsidian Energy has information ratio of (0.11), we recommend you to check out Obsidian Energy's recent market performance to make sure the company can sustain itself at a future point.Obsidian Energy's insider trading activities
Some recent studies suggest that insider trading raises the cost of capital for securities issuers and decreases overall economic growth. Trading by specific Obsidian Energy insiders, such as employees or executives, is commonly permitted as long as it does not rely on Obsidian Energy's material information that is not in the public domain. Local jurisdictions usually require such trading to be reported in order to monitor insider transactions. In many U.S. states, trading conducted by corporate officers, key employees, directors, or significant shareholders must be reported to the regulator or publicly disclosed, usually within a few business days of the trade. In these cases Obsidian Energy insiders are required to file a Form 4 with the U.S. Securities and Exchange Commission (SEC) when buying or selling shares of their own companies.
Ho Cheuk Fund over a week ago Disposition of 696000 shares by Ho Cheuk Fund of Obsidian Energy at 1.81 subject to Rule 16b-3 |
Obsidian Energy's Outstanding Corporate Bonds
Obsidian Energy issues bonds to finance its operations. Corporate bonds make up one of the largest components of the U.S. bond market, which is considered the world's largest securities market. Obsidian Energy uses the proceeds from bond sales for a wide variety of purposes, including financing ongoing mergers and acquisitions, buying new equipment, investing in research and development, buying back their own stock, paying dividends to shareholders, and even refinancing existing debt. Most Obsidian bonds can be classified according to their maturity, which is the date when Obsidian Energy has to pay back the principal to investors. Maturities can be short-term, medium-term, or long-term (more than ten years). Longer-term bonds usually offer higher interest rates but may entail additional risks.
| Dana 575 percent Corp BondUS235822AB96 | View | |
| Boeing Co 2196 Corp BondUS097023DG73 | View | |
| MPLX LP 52 Corp BondUS55336VAL45 | View | |
| Morgan Stanley 3971 Corp BondUS61744YAL20 | View | |
| AerCap Global Aviation Corp BondUS00773HAA59 | View |
Understand Obsidian Energy's technical and predictive indicators
Using predictive indicators to make investment decisions involves analyzing Obsidian Energy's various financial and market-based factors to help forecast future trends and identify investment opportunities. Select the indicators that are most relevant to your investment strategy. Each indicator has its own strengths and weaknesses, so it's essential to combine multiple indicators to get a more comprehensive view of the market and reduce the risk of making poor decisions based on limited data.
| Risk Adjusted Performance | (0.05) | |||
| Market Risk Adjusted Performance | (0.34) | |||
| Mean Deviation | 2.17 | |||
| Coefficient Of Variation | (1,313) | |||
| Standard Deviation | 2.84 | |||
| Variance | 8.05 | |||
| Information Ratio | (0.11) | |||
| Jensen Alpha | (0.28) | |||
| Total Risk Alpha | (0.55) | |||
| Treynor Ratio | (0.35) | |||
| Maximum Drawdown | 13.07 | |||
| Value At Risk | (4.26) | |||
| Potential Upside | 3.76 | |||
| Skewness | 0.317 | |||
| Kurtosis | 1.41 |
| Risk Adjusted Performance | (0.05) | |||
| Market Risk Adjusted Performance | (0.34) | |||
| Mean Deviation | 2.17 | |||
| Coefficient Of Variation | (1,313) | |||
| Standard Deviation | 2.84 | |||
| Variance | 8.05 | |||
| Information Ratio | (0.11) | |||
| Jensen Alpha | (0.28) | |||
| Total Risk Alpha | (0.55) | |||
| Treynor Ratio | (0.35) | |||
| Maximum Drawdown | 13.07 | |||
| Value At Risk | (4.26) | |||
| Potential Upside | 3.76 | |||
| Skewness | 0.317 | |||
| Kurtosis | 1.41 |
Consider Obsidian Energy's intraday indicators
Obsidian Energy intraday indicators are useful technical analysis tools used by many experienced traders. Just like the conventional technical analysis, daily indicators help intraday investors to analyze the price movement with the timing of Obsidian Energy stock daily movement. By combining multiple daily indicators into a single trading strategy, you can limit your risk while still earning strong returns on your managed positions.
Obsidian Energy Corporate Filings
F3 | 7th of November 2024 The schedule filed by any person or group who acquires beneficial ownership of more than 5% of a voting class of a company's equity securities registered under Section 12 of the Act | ViewVerify |
6K | 31st of October 2024 A report filed by foreign private issuers with SEC. A foreign private issuer is a non-U.S. company with securities traded on U.S. exchanges. | ViewVerify |
| 5th of September 2024 Other Reports | ViewVerify | |
| 15th of August 2024 Other Reports | ViewVerify |
Obsidian Stock media impact
Far too much social signal, news, headlines, and media speculation about Obsidian Energy that are available to investors today. That information is available publicly through Obsidian media outlets and privately through word of mouth or via Obsidian internal channels. However, regardless of the origin, that massive amount of Obsidian data is challenging to quantify into actionable patterns, especially for investors that are not very sophisticated with ever-evolving tools and techniques used in the investment management field.
A primary focus of Obsidian Energy news analysis is to determine if its current price reflects all relevant headlines and social signals impacting the current market conditions. A news analyst typically looks at the history of Obsidian Energy relative headlines and hype rather than examining external drivers such as technical or fundamental data. It is believed that price action tends to repeat itself due to investors' collective, patterned thinking related to Obsidian Energy's headlines and news coverage data. This data is often completely overlooked or insufficiently analyzed for actionable insights to drive Obsidian Energy alpha.
Obsidian Energy Sentiment by Major News Outlets
Investor sentiment, mood or attitude towards Obsidian Energy can have a significant impact on its stock price or the market as a whole. This sentiment can be positive or negative, and various factors, such as economic indicators, news events, or market trends, can influence it. When investor sentiment is positive, investors are more likely to buy stocks, increasing demand and increasing the stock price. Positive investor sentiment can be driven by good news about the company or the broader market, such as solid earnings reports or positive economic data.
Note that negative investor sentiment can cause investors to sell stocks, leading to a decrease in demand and a drop in the stock price. Negative sentiment can be driven by factors such as poor earnings reports, negative news about the company or industry, or broader economic concerns. It's important to note that investor sentiment is just one of many factors that can affect stock prices. Other factors, such as company performance, industry trends, and global economic conditions, can also play a significant role in determining the value of a stock.
Obsidian Energy Corporate Management
| Jay McGilvary | Senior Development | Profile | |
| William Swadling | Vice Operations | Profile | |
| Gary Sykes | Senior Development | Profile | |
| Mark Hawkins | General Legal | Profile |
Check out Your Equity Center to better understand how to build diversified portfolios, which includes a position in Obsidian Energy. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in bureau of labor statistics. For information on how to trade Obsidian Stock refer to our How to Trade Obsidian Stock guide.You can also try the Bollinger Bands module to use Bollinger Bands indicator to analyze target price for a given investing horizon.
Is Oil & Gas Exploration & Production space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Obsidian Energy. If investors know Obsidian will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Obsidian Energy listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth 0.4 | Earnings Share 1.02 | Revenue Per Share 9.012 | Quarterly Revenue Growth 0.075 | Return On Assets 0.0519 |
The market value of Obsidian Energy is measured differently than its book value, which is the value of Obsidian that is recorded on the company's balance sheet. Investors also form their own opinion of Obsidian Energy's value that differs from its market value or its book value, called intrinsic value, which is Obsidian Energy's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Obsidian Energy's market value can be influenced by many factors that don't directly affect Obsidian Energy's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
In summary, please note that there is a difference between Obsidian Energy's value and its price, as these two are different measures arrived at by various means. Investors typically determine if Obsidian Energy is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Obsidian Energy's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.