Baytex Energy Corp. (BTE) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

Comparison

Company

Score

Quality

Valuation

Financial

Technical

Whitecap Resources, Inc.

Peyto Exploration & Development Corp.

Cenovus Energy, Inc.

Baytex Energy Corp.

Crescent Point Energy Corp.

Athabasca Oil Corp.

NuVista Energy Ltd.

Suncor Energy, Inc.

Paramount Resources Ltd.

Imperial Oil Ltd.

Enerplus Corp.

Why is Baytex Energy Corp. ?

Strong Long Term Fundamental Strength with a 68.88% CAGR growth in Operating Profits

The company has been able to generate a Return on Equity (avg) of 10.68% signifying high profitability per unit of shareholders funds

Flat results in Jun 25

NET SALES(Q) Lowest at CAD 709.19 MM
OPERATING PROFIT(Q) Lowest at CAD 428.65 MM
RAW MATERIAL COST(Y) Grown by 42.18% (YoY)

With ROE of 9.36%, it has a fair valuation with a 0.69 Price to Book Value

The stock is trading at a premium compared to its peers' average historical valuations
Over the past year, while the stock has generated a return of -15.69%, its profits have fallen by -15.1%

High Institutional Holdings at 49.18%

These investors have better capability and resources to analyse fundamentals of companies than most retail investors.
Their stake has increased by 1.66% over the previous quarter.

Consistent Underperformance against the benchmark over the last 3 years

Along with generating -15.69% returns in the last 1 year, the stock has also underperformed S&P/TSX 60 in each of the last 3 annual periods

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Baytex Energy Corp. should be less than 10%
Overall Portfolio exposure to Oil should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Oil)

When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock

Is Baytex Energy Corp. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Baytex Energy Corp.

86.47%

3.15

59.23%

S&P/TSX 60

21.87%

1.54

14.62%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

25.43%

EBIT Growth (5y)

53.36%

EBIT to Interest (avg)

4.75

Debt to EBITDA (avg)

1.63

Net Debt to Equity (avg)

0.52

Sales to Capital Employed (avg)

0.46

Tax Ratio

30.42%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

49.84%

ROCE (avg)

12.51%

ROE (avg)

10.68%

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

Industry P/E

Price to Book Value

1.74

EV to EBIT

5.36

EV to EBITDA

1.70

EV to Capital Employed

2.15

EV to Sales

1.08

PEG Ratio

Dividend Yield

ROCE (Latest)

40.06%

ROE (Latest)

10.30%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

RSI

Bearish

No Signal

Bollinger Bands

Bullish

Moving Averages

Bullish (Daily)

KST

Mildly Bearish

Bullish

Dow Theory

Mildly Bullish

OBV

Bullish

Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned

Technical Movement

Analyse All Technical Factors

Financial Trend

Financial Trend Scorecard

Financial Trend scale:

Very Negative, Negative, Flat, Positive, Very Positive, Outstanding

6What is working for the Company

DIVIDEND PAYOUT RATIO(Y)

Highest at 54.09%

NET PROFIT(9M)

Higher at CAD 259.77 MM

DEBT-EQUITY RATIO (HY)

Lowest at 47.8 %

-11What is not working for the Company

NET PROFIT(Q)

At CAD 29.56 MM has Fallen at -62.28%

RAW MATERIAL COST(Y)

Grown by 19.56% (YoY

PRE-TAX PROFIT(Q)

Lowest at CAD 43.47 MM

Here's what is working for Baytex Energy Corp.

Debt-Equity Ratio

Lowest at 47.8 %

in the last five Semi-Annual periods

MOJO Watch

The company has been reducing its borrowing as compared to equity capital

Debt-Equity Ratio

Dividend Payout Ratio

Highest at 54.09%

in the last five years

MOJO Watch

Company is distributing higher proportion of profits generated as dividend

DPR (%)

Here's what is not working for Baytex Energy Corp.

Pre-Tax Profit

At CAD 43.47 MM has Fallen at -66.52%

over average net sales of the previous four periods of CAD 129.82 MM

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (CAD MM)

Net Profit

At CAD 29.56 MM has Fallen at -62.28%

over average net sales of the previous four periods of CAD 78.37 MM

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (CAD MM)

Pre-Tax Profit

Lowest at CAD 43.47 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (CAD MM)

Raw Material Cost

Grown by 19.56% (YoY)

MOJO Watch

The company's ability to pass on the cost of raw materials to customers has deteriorated; this may lead to a fall in profit margin

Raw Material Cost as a percentage of Sales