Granite Ridge Resources, Inc. () 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

Comstock Resources, Inc.

Gulfport Energy Corp.

Talos Energy, Inc.

Core Laboratories, Inc.

Expro Group Holdings NV

Callon Petroleum Co.

Granite Ridge Resources, Inc.

Vital Energy, Inc.

HighPeak Energy, Inc.

NextDecade Corp.

Hammerhead Energy, Inc.

Why is Granite Ridge Resources, Inc. ?

High Management Efficiency with a high ROE of 26.86%

Company has a low Debt to Equity ratio (avg) at times

Healthy long term growth as Net Sales has grown by an annual rate of 356.30% and Operating profit at 221.27%

Negative results in Jun 25

PRE-TAX PROFIT(Q) At USD 8.93 MM has Fallen at -47.36%
NET PROFIT(Q) At USD 6.69 MM has Fallen at -55.3%
DEBT-EQUITY RATIO (HY) Highest at 40.51 %

With ROE of 9.48%, it has a very attractive valuation with a 1.21 Price to Book Value

The stock is trading at a discount compared to its peers' average historical valuations
Over the past year, while the stock has generated a return of -16.15%, its profits have fallen by -28.2%

Consistent Underperformance against the benchmark over the last 3 years

Along with generating -16.15% returns in the last 1 year, the stock has also underperformed S&P 500 in each of the last 3 annual periods

Real-Time Research Report

Verdict Report

How much should you sell?

All quantity irrespective of whether you are making profits or losses

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

When to re-enter? - We will constantly monitor the company and review our call based on new data

Is Granite Ridge Resources, Inc. for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

Granite Ridge Resources, Inc.

-29.76%

-0.44

42.46%

S&P 500

20.78%

0.70

20.15%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

32.17%

EBIT Growth (5y)

9.21%

EBIT to Interest (avg)

58.26

Debt to EBITDA (avg)

0.24

Net Debt to Equity (avg)

0.34

Sales to Capital Employed (avg)

0.49

Tax Ratio

25.61%

Dividend Payout Ratio

238.74%

Pledged Shares

Institutional Holding

87.88%

ROCE (avg)

29.14%

ROE (avg)

26.86%

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

1.27

EV to EBIT

12.37

EV to EBITDA

3.67

EV to Capital Employed

1.17

EV to Sales

2.50

PEG Ratio

Dividend Yield

7.49%

ROCE (Latest)

9.44%

ROE (Latest)

7.76%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

Mildly Bullish

RSI

No Signal

Bollinger Bands

Mildly Bullish

Bearish

Moving Averages

Bullish (Daily)

KST

Bullish

Bearish

Dow Theory

Mildly Bearish

No Trend

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

2What is working for the Company

NET SALES(Q)

Highest at USD 128.26 MM

NET PROFIT(Q)

At USD 17.55 MM has Grown at 49.45%

-28What is not working for the Company

OPERATING CASH FLOW(Y)

Lowest at USD 278.67 MM

NET PROFIT(HY)

At USD 26.09 MM has Grown at -42.27%

PRE-TAX PROFIT(Q)

At USD 4.02 MM has Fallen at -68.76%

ROCE(HY)

Lowest at -5.58%

DEBT-EQUITY RATIO (HY)

Highest at 69.38 %

RAW MATERIAL COST(Y)

Grown by 32.83% (YoY

DEBTORS TURNOVER RATIO(HY)

Lowest at 5.31 times

INTEREST(Q)

Highest at USD 10.32 MM

EPS(Q)

Lowest at USD -0.36

Here's what is working for Granite Ridge Resources, Inc.

Net Sales

Highest at USD 128.26 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (USD MM)

Net Profit

At USD 17.55 MM has Grown at 49.45%

over average net sales of the previous four periods of USD 11.75 MM

MOJO Watch

Near term Net Profit trend is positive

Net Profit (USD MM)

Here's what is not working for Granite Ridge Resources, Inc.

Pre-Tax Profit

At USD 4.02 MM has Fallen at -68.76%

over average net sales of the previous four periods of USD 12.87 MM

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (USD MM)

Operating Cash Flow

Lowest at USD 278.67 MM and Fallen

In each year in the last three years

MOJO Watch

The company's cash revenues from business operations are falling

Operating Cash Flows (USD MM)

Interest

At USD 10.32 MM has Grown at 21.37%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (USD MM)

Debt-Equity Ratio

Highest at 69.38 % and Grown

In each half year in the last five Semi-Annual periods

MOJO Watch

The company is borrowing more to fund its operations; it's liquidity situation may be stressed

Debt-Equity Ratio

Interest

Highest at USD 10.32 MM

in the last five periods and Increased by 21.37% (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (USD MM)

EPS

Lowest at USD -0.36

in the last five periods

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (USD)

Debtors Turnover Ratio

Lowest at 5.31 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio

Raw Material Cost

Grown by 32.83% (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