Questerre (QEC) AI Stock Analysis

• Market Cap: C$139.27M
• Dividend Yield: N/A
• Average Volume (3M): 40.19K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.03
• Revenue Growth: 9.47%
• EPS Growth: 64.01%
• Country: CA
• Employees: 8
• Sector: Energy
• Sector Strength: 52
• Industry: Oil & Gas Exploration & Production
• EPS (TTM): >-0.01
• Shares Outstanding: 428,516,000
• 10 Day Avg. Volume: 34,763
• 30 Day Avg. Volume: 40,190
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• 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$0.50
• Price Target Upside: 56.25% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 0

• Rating: 56 Neutral
• Price Target: C$0.50 ▲(56.25% Upside)

Questerre's overall stock score is primarily influenced by its mixed financial performance and technical analysis. While there are positive signs in revenue growth and technical indicators, profitability issues and a negative P/E ratio weigh heavily on the score. The absence of earnings call data and corporate events limits additional insights.

Questerre Business Overview & Revenue Model

Company Description

Questerre Energy Corporation acquires, explores, and develops non-conventional oil and gas projects in Canada. It produces tight oil, oil shale, shale oil, and shale gas. The company primarily holds 40,800 acres located in Kakwa, west central Alberta, including a 25% working interest in 10,080 acres in Kakwa Central; 50% working interest in 4,480 acres in Kakwa North; 50% interest in 22,400 acres in Kakwa West; and 50% interest in 3,840 acres in Kakwa South. It also holds 100% working interest in 11,952 acres located in Antler, Saskatchewan; and oil shale assets in Jordan. The company was formerly known as Westpro Equipment Ltd. and changed its name to Questerre Energy Corporation in December 2000. Questerre Energy Corporation was incorporated in 1971 and is headquartered in Calgary, Canada.

How the Company Makes Money

Questerre Energy Corporation generates revenue primarily through the exploration and production of oil and natural gas, which are then sold on the market. The company's key revenue streams include the sale of crude oil, natural gas, and natural gas liquids extracted from its operating properties. Questerre's financial performance is influenced by factors such as commodity prices, production volumes, and operating expenses. The company may also engage in strategic partnerships and joint ventures to enhance its operational capabilities and expand its resource base, thereby potentially increasing its revenue-generating opportunities.

Questerre Financial Statement Overview

Summary

Questerre's financial performance is mixed. Positive revenue growth and strong cash flow generation are offset by negative profitability metrics and returns. The low leverage provides financial stability, but profitability challenges persist.

Income Statement

Questerre's income statement shows a mixed performance. The TTM (Trailing-Twelve-Months) revenue growth rate of 13.91% is positive, indicating a recovery from previous declines. However, profitability metrics such as the net profit margin and EBIT margin are negative, reflecting ongoing challenges in achieving operational efficiency. The gross profit margin has decreased compared to previous periods, suggesting pressure on cost management.

Balance Sheet

The balance sheet is relatively stable with a low debt-to-equity ratio of 0.00095, indicating minimal leverage risk. However, the return on equity is negative, reflecting challenges in generating returns for shareholders. The equity ratio is strong, suggesting a solid capital structure, but the negative ROE highlights profitability issues.

Cash Flow

Cash flow analysis reveals strong free cash flow growth of 678.42% in the TTM period, indicating improved cash generation capabilities. The operating cash flow to net income ratio is healthy at 1.50, suggesting efficient cash conversion. However, the free cash flow to net income ratio of 0.59 indicates that not all cash flows are translating into net income, highlighting potential profitability issues.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	40.24M	34.15M	35.71M	51.75M	30.40M	21.92M
Gross Profit	5.41M	6.51M	6.99M	21.71M	10.66M	-758.00K
EBITDA	13.34M	11.77M	13.11M	25.30M	2.22M	-107.59M
Net Income	-9.09M	-7.33M	-23.71M	14.07M	-4.30M	-117.62M
Balance Sheet
Total Assets	169.98M	170.72M	172.35M	196.49M	184.26M	196.18M
Cash, Cash Equivalents and Short-Term Investments	18.34M	31.79M	35.04M	29.59M	8.53M	10.40M
Total Debt	132.00K	188.00K	228.00K	283.00K	3.63M	15.68M
Total Liabilities	31.62M	32.09M	28.68M	30.36M	35.30M	44.06M
Stockholders Equity	138.35M	138.63M	143.67M	166.13M	148.96M	152.12M
Cash Flow
Free Cash Flow	10.42M	9.63M	11.67M	26.03M	13.57M	4.45M
Operating Cash Flow	17.55M	13.67M	16.32M	28.81M	14.07M	6.41M
Investing Cash Flow	-36.22M	-16.86M	-10.81M	-11.97M	-3.76M	-10.15M
Financing Cash Flow	-67.00K	-65.00K	-55.00K	-3.44M	-11.88M	-1.03M

Questerre Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 0.32
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:QEC, the sentiment is Neutral. The current price of 0.32 is below the 20-day moving average (MA) of 0.33, below the 50-day MA of 0.34, and above the 200-day MA of 0.28, indicating a neutral trend. The MACD of >-0.01 indicates Positive momentum. The RSI at 48.46 is Neutral, neither overbought nor oversold. The STOCH value of 30.77 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for TSE:QEC.

Questerre Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
BNE	65 Neutral	138.32M	-20.47	―	―	-11.09%	-118.80%
QEC	56 Neutral	C$139.27M	―	-6.39%	―	9.47%	64.01%
CVVY	54 Neutral	191.74M	-56.41	-23.10%	―	-29.38%	93.99%
CNE	51 Neutral	95.19M	2.20	8.33%	―	3.24%	174.21%
CDR	48 Neutral	115.14M	-29.60	-31.58%	―	210.18%	67.13%
FO	36 Underperform	183.01M	-56.90	―	―	―	35.56%
Sector *	65 Neutral	$15.17B	7.61	4.09%	5.20%	3.87%	-62.32%

Questerre Corporate Events

Questerre Energy to Acquire Brazilian Shale Oil Firm PX Energy

Questerre Energy Corporation has announced a definitive agreement to acquire 100% of PX Energy, a Brazilian shale oil production and refining company. This acquisition is expected to enhance Questerre’s operational base and expertise, supporting its oil shale and biofuel technology advancements. The transaction involves issuing 65 million common shares of Questerre, with performance milestones tied to future cash flow and equity financing achievements. The acquisition is subject to various approvals and conditions, including regulatory and shareholder approvals. The strategic move is anticipated to strengthen Questerre’s oil shale footprint and provide robust margin potential due to PX Energy’s established operations and favorable cost structures.

Questerre Responds to Quebec Court Ruling on Bill 21

Questerre Energy Corporation reported on the Quebec Court of Appeal’s ruling concerning Bill 21, which affects the exploration and production of petroleum and brine. The court recognized a constitutional issue with Bill 21 and reinstated certain provisions, prompting Questerre to seek an appeal to the Supreme Court of Canada. This ruling could impact the enforcement of well abandonment and reclamation provisions, although it does not affect the main trial on the merits of the case. The court’s decision highlights the importance of public interest in the suspension of Bill 21 and overturned a previous decision that suspended key provisions of the bill.