Enterprise (E) AI Stock Analysis

• Market Cap: C$124.83M
• Dividend Yield: N/A
• Average Volume (3M): 385.49K
• Price to Earnings (P/E): 19.0
• Beta (1Y): 1.02
• Revenue Growth: -8.85%
• EPS Growth: -67.49%
• Country: CA
• Employees: 90
• Sector: Energy
• Sector Strength: 49
• Industry: Oil & Gas Equipment & Services
• EPS (TTM): 0.04
• Shares Outstanding: 77,531,190
• 10 Day Avg. Volume: 377,081
• 30 Day Avg. Volume: 385,494
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): 0.00
• Price to Cash Flow (P/CF): 0.00
• 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$2.39
• Price Target Upside: 39.77% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 4

Enterprise Group's overall score reflects strong financial performance, supported by strategic growth initiatives and a solid balance sheet. The acquisition and credit facility enhance growth potential, while the technical indicators and valuation suggest a need for cautious optimism. The absence of an earnings call analysis redistributes the focus on the other components, highlighting the company's strengths and potential risks in cash flow management.

Enterprise Business Overview & Revenue Model

Company Description

Enterprise Group, Inc., through its subsidiaries, operates as an equipment rental and construction services company operating in the energy and construction industries. The company primarily focuses on the specialty equipment rental business. It provides flameless heaters to the construction, oil and gas development, and plant shut-down activities in Western Canada. The company also offers oilfield infrastructure site and rental services covering modular/combo equipment, including fuel, generator, light stand, sewage treatment, medic security, and truck trailer combos. In addition, it provides infrastructure site services and rentals for a variety of oil and gas customers servicing the Fort St. John area. The company was formerly known as Enterprise Oilfield Group, Inc. and changed its name to Enterprise Group, Inc. in July 2012. Enterprise Group, Inc. was incorporated in 2004 and is headquartered in St. Albert, Canada.

How the Company Makes Money

Enterprise makes money through its diversified portfolio of car rental services, primarily by generating revenue from daily and weekly vehicle rentals to both leisure and business travelers. It also earns income through its fleet management services, which provide customized vehicle solutions for businesses, including leasing and maintenance. Additionally, Enterprise capitalizes on its car sales division, selling vehicles from its rental and fleet management operations. Significant partnerships with airlines, hotels, and travel agencies, as well as business accounts with corporations, further enhance its revenue streams by driving customer traffic and securing recurring contracts.

Enterprise Financial Statement Overview

Summary

Enterprise demonstrates strong revenue growth and a healthy balance sheet with low leverage and high equity. However, challenges in operating profitability and negative free cash flow indicate potential risks. Continued focus on converting earnings to cash flow will be crucial for long-term sustainability.

Income Statement

Enterprise has shown strong revenue growth with a 3.4% increase from 2023 to 2024 and a significant growth of 26.8% from 2022 to 2023. Gross profit margin improved substantially, reflecting efficient cost management. However, the EBIT margin turned zero in 2024, indicating challenges in core operating profitability, and net profit margin decreased from 18.4% in 2023 to 13.1% in 2024.

Balance Sheet

The company exhibits a strong balance sheet with a debt-to-equity ratio of 0.33, suggesting low financial leverage. Stockholders' equity has more than doubled from 2023 to 2024, reflecting strong financial health. The equity ratio improved to 69.5% in 2024, providing a solid cushion against liabilities.

Cash Flow

Operating cash flow remains robust, though it declined by 10.3% from 2023 to 2024. Free cash flow is negative, indicating potential challenges in liquidity and capital expenditure management. The free cash flow to net income ratio is negative, suggesting the company is not converting its income effectively into free cash.

Breakdown
Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
34.65M	33.50M	26.89M	18.73M	15.52M
	Gross Profit
15.56M	10.50M	10.88M	6.63M	5.19M
	EBIT
7.52M	7.93M	3.39M	-1.14M	-2.49M
	EBITDA
12.71M	12.92M	8.27M	4.67M	2.39M
	Net Income Common Stockholders
4.54M	6.17M	2.28M	-2.38M	-4.44M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
30.67M	3.79M	1.06M	876.54K	783.62K
	Total Assets
118.34M	72.81M	55.37M	51.15M	52.25M
	Total Debt
27.22M	25.70M	15.51M	14.80M	13.69M
	Net Debt
-3.45M	21.91M	14.45M	13.92M	12.91M
	Total Liabilities
36.03M	32.01M	20.59M	18.93M	17.24M
	Stockholders Equity
82.31M	40.80M	34.79M	32.22M	35.01M
Cash Flow		Free Cash Flow
-4.78M	-1.58M	341.82K	-344.63K	2.57M
	Operating Cash Flow
12.13M	13.53M	5.91M	3.50M	3.98M
	Investing Cash Flow
-15.90M	-14.29M	-4.35M	-2.47M	-1.25M
	Financing Cash Flow
30.65M	3.48M	-1.37M	-937.41K	-2.92M

Enterprise Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1.71
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:E, the sentiment is Positive. The current price of 1.71 is above the 20-day moving average (MA) of 1.39, above the 50-day MA of 1.50, and below the 200-day MA of 1.85, indicating a neutral trend. The MACD of 0.05 indicates Negative momentum. The RSI at 65.59 is Neutral, neither overbought nor oversold. The STOCH value of 92.21 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TSE:E.

Enterprise Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
E	74 Outperform	C$124.83M	18.98	7.38%	―	-8.85%	-67.49%
SHLE	74 Outperform	C$139.78M	15.17	16.11%	―	18.29%	-94.32%
STEP	59 Neutral	C$271.68M	145.00	0.49%	―	0.98%	-96.29%
Sector *	56 Neutral	$7.06B	3.68	-4.87%	5.83%	0.28%	-51.94%
CFW	55 Neutral	C$287.73M	27.64	1.34%	―	-15.92%	-94.84%
SFD	41 Neutral	C$24.63M	―	5.45%	―	-69.97%	-56.55%

Enterprise Corporate Events

Enterprise Group Reports Q1 2025 Results and Strategic Acquisition

Enterprise Group reported a decline in revenue, gross margin, and adjusted EBITDA for Q1 2025 compared to the same period in 2024, primarily due to the completion of a natural gas infrastructure project. Despite this, the company is expanding its market position by acquiring FlexEnergy Canada, becoming the exclusive supplier of FlexEnergy turbines in Canada, and securing a new lending facility with The Bank of Montreal to support future growth. These strategic moves are expected to enhance Enterprise’s market leadership in providing efficient natural gas to electric power solutions and generate recurring revenue streams through long-term leasing and maintenance contracts.

Spark’s Take on TSE:E Stock

According to Spark, TipRanks’ AI Analyst, TSE:E is a Neutral.

Enterprise Group’s overall score reflects strong financial health and strategic growth initiatives such as acquisitions and credit facilities. However, challenges in converting earnings to cash flow and mixed technical signals suggest cautious optimism. The company’s moderate valuation further supports a balanced view on its stock potential.

To see Spark’s full report on TSE:E stock, click here.

Enterprise Group Expands with Acquisition of FlexEnergy Canada

Enterprise Group, Inc. has signed an agreement to acquire FlexEnergy Canada’s operations for Cdn$20 million, aiming to become the exclusive supplier of FlexEnergy turbines in Canada. This acquisition enhances Enterprise’s ability to provide efficient and environmentally responsible energy solutions, addressing the growing demand for natural gas power solutions amid North America’s power grid challenges. The deal includes 17 turbine generators, long-term lease contracts, and a team of specialists, positioning Enterprise to expand its natural gas-to-electricity strategy and capitalize on opportunities across various industrial sectors.

Spark’s Take on TSE:E Stock

According to Spark, TipRanks’ AI Analyst, TSE:E is a Neutral.

Enterprise Group shows a strong financial position and promising growth initiatives, bolstered by a recent credit facility and share buyback plan. However, technical analysis indicates bearish sentiment, suggesting caution. The company needs to address challenges in cash flow conversion to sustain long-term growth.

To see Spark’s full report on TSE:E stock, click here.

Enterprise Group Secures $41 Million Credit Facility for Growth

Enterprise Group, Inc. has announced the finalization of a new $41 million senior secured credit facility with a Canadian Schedule 1 bank. This facility, which bears interest at a rate of up to prime + 2%, is intended for acquisitions, capital expenditures, and working capital. It is secured by a first charge on all company assets and subject to certain financial covenants. The credit facility is expected to provide Enterprise with the financial flexibility to support its growth plans, maintain operational efficiency, and ensure long-term stability in the evolving market landscape.

Spark’s Take on TSE:E Stock

According to Spark, TipRanks’ AI Analyst, TSE:E is a Neutral.

Enterprise Group shows strong financial health and strategic growth initiatives, supported by a share buyback plan. However, technical indicators suggest current bearish sentiment, and challenges in converting earnings to cash flow pose risks. The overall score reflects these mixed signals, emphasizing the need for cautious optimism.

To see Spark’s full report on TSE:E stock, click here.

Enterprise Group Announces Share Buyback Plan

Enterprise Group, Inc. has announced that the Toronto Stock Exchange has accepted its notice to commence a normal course issuer bid, allowing the company to purchase up to 5,624,649 of its common shares, representing 10% of its public float. This move, authorized by the company’s Board of Directors, is seen as beneficial to shareholders, providing an opportunity to acquire shares at attractive prices and making effective use of company funds. The issuer bid will be active from April 2, 2025, to April 1, 2026, with all purchased shares being canceled, potentially impacting the value of remaining shares.

Enterprise Group Reports Q4 2024 Results and Strategic Growth Plans

Enterprise Group, Inc. announced its Q4 2024 and full-year results, revealing lower-than-expected activities in Q4 but a significant recovery as 2025 began. The company is strategically positioned for future growth, particularly with plans to expand into the mining sector. Notable achievements include a five-year exclusivity agreement with FlexEnergy Solutions and a $28 million capital raise to support growth initiatives. Despite a decrease in Q4 revenue compared to the previous year, the company is optimistic about the demand for natural gas power generation systems and favorable market conditions in 2025.

Enterprise Group to Announce 2025 Financial Results on March 20

Enterprise Group, Inc. has announced that it will release its financial results for the fourth quarter and annual period of 2025 on March 20, 2025. This announcement is significant as it provides stakeholders with insights into the company’s financial health and operational performance, potentially impacting its market positioning and strategic decisions in the energy services sector.