Gran Tierra Energy Inc.
Find Ratings ReportsGRAN TIERRA ENERGY INC's gross profit margin for the fourth quarter of its fiscal year 2023 is essentially unchanged when compared to the same period a year ago. Sales and net income have dropped, although the growth in net income underperformed the average competitor within the subsector, the revenue growth did not. GRAN TIERRA ENERGY INC has very weak liquidity. Currently, the Quick Ratio is 0.29 which clearly shows a lack of ability to cover short-term cash needs. The liquidity decreased from the same period a year ago, despite already having weak liquidity to begin with. This would indicate deteriorating cash flow.
During the same period, stockholders' equity ("net worth") has decreased by 5.07% from the same quarter last year. The key liquidity measurements indicate that the company is in a position in which financial difficulties could develop in the near future.
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Income Statement | Q4 FY23 | Q4 FY22 |
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Net Sales ($mil) | 154.94 | 162.64 |
EBITDA ($mil) | 90.44 | 103.41 |
EBIT ($mil) | 37.8 | 51.63 |
Net Income ($mil) | 7.71 | 33.28 |
Balance Sheet | Q4 FY23 | Q4 FY22 |
---|---|---|
Cash & Equiv. ($mil) | 63.29 | 128.02 |
Total Assets ($mil) | 1326.29 | 1335.61 |
Total Debt ($mil) | 567.24 | 594.39 |
Equity ($mil) | 396.39 | 417.57 |
Profitability | Q4 FY23 | Q4 FY22 |
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Gross Profit Margin | 66.79 | 70.15 |
EBITDA Margin | 58.36 | 63.58 |
Operating Margin | 24.4 | 31.75 |
Sales Turnover | 0.48 | 0.53 |
Return on Assets | -0.47 | 10.4 |
Return on Equity | -1.59 | 33.3 |
Debt | Q4 FY23 | Q4 FY22 |
---|---|---|
Current Ratio | 0.43 | 0.7 |
Debt/Capital | 0.59 | 0.59 |
Interest Expense | 11.69 | 10.75 |
Interest Coverage | 3.23 | 4.8 |
Share Data | Q4 FY23 | Q4 FY22 |
---|---|---|
Shares outstanding (mil) | 32.25 | 34.62 |
Div / share | 0.0 | 0.0 |
EPS | 0.23 | 0.9 |
Book value / share | 12.29 | 12.06 |
Institutional Own % | n/a | n/a |
Avg Daily Volume | 407143.0 | 362877.0 |
SELL. The current P/E ratio is negative, which has no meaningful value in the assessment of premium or discount valuation, it simply displays that the company has negative earnings. For additional comparison, its price-to-book ratio of 0.50 indicates a significant discount versus the S&P 500 average of 4.68 and a significant discount versus the subsector average of 2.46. The price-to-sales ratio is well below both the S&P 500 average and the subsector average, indicating a discount. After reviewing these and other key valuation criteria, GRAN TIERRA ENERGY INC proves to trade at a discount to investment alternatives.
Price/Earnings |
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Price/Cash Flow |
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GTE NM | Peers 13.78 | GTE 0.87 | Peers 5.77 | |||||||||||||||||||||
Neutral. The absence of a valid P/E ratio happens when a stock can not be valued on the basis of a negative stream of earnings. GTE's P/E is negative making this valuation measure meaningless. |
Discount. The P/CF ratio, a stock’s price divided by the company's cash flow from operations, is useful for comparing companies with different capital requirements or financing structures. GTE is trading at a significant discount to its peers. |
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Price/Projected Earnings |
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Price to Earnings/Growth |
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GTE 2.30 | Peers 11.29 | GTE NA | Peers 8.64 | |||||||||||||||||||||
Discount. A lower price-to-projected earnings ratio than its peers can signify a less expensive stock or lower future growth expectations. GTE is trading at a significant discount to its peers. |
Neutral. The PEG ratio is the stock’s P/E divided by the consensus estimate of long-term earnings growth. Faster growth can justify higher price multiples. Ratio not available. |
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Price/Book |
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Earnings Growth |
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GTE 0.50 | Peers 2.46 | GTE -105.40 | Peers 5.25 | |||||||||||||||||||||
Discount. A lower price-to-book ratio makes a stock more attractive to investors seeking stocks with lower market values per dollar of equity on the balance sheet. GTE is trading at a significant discount to its peers. |
Lower. Elevated earnings growth rates can lead to capital appreciation and justify higher price-to-earnings ratios. However, GTE is expected to significantly trail its peers on the basis of its earnings growth rate. |
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Price/Sales |
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Sales Growth |
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GTE 0.31 | Peers 2.48 | GTE -10.47 | Peers -8.61 | |||||||||||||||||||||
Discount. In the absence of P/E and P/B multiples, the price-to-sales ratio can display the value investors are placing on each dollar of sales. GTE is trading at a significant discount to its subsector on this measurement. |
Lower. A sales growth rate that trails the subsector implies that a company is losing market share. GTE significantly trails its peers on the basis of sales growth. |
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