Tethys Petroleum Ltd. (TPL) 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

Orca Energy Group, Inc.

Gear Energy Ltd.

Tethys Petroleum Ltd.

Yangarra Resources Ltd.

Pieridae Energy Ltd.

Hemisphere Energy Corp.

Kolibri Global Energy, Inc.

Questerre Energy Corp.

ROK Resources, Inc.

Reconnaissance Energy Africa Ltd.

Falcon Oil & Gas Ltd.

Why is Tethys Petroleum Ltd. ?

High Management Efficiency with a high ROE of 28.91%

Company's ability to service its debt is strong with a healthy EBIT to Interest (avg) ratio of 18.07

With a growth in Net Profit of 594.14%, the company declared Very Positive results in Mar 26

The company has declared positive results for the last 5 consecutive quarters
NET PROFIT(Q) At CAD 2.75 MM has Grown at 594.14%
ROCE(HY) Highest at 28.43%
NET SALES(Q) At CAD 11.11 MM has Grown at 94.98%

With ROE of 24.31%, it has a attractive valuation with a 2.55 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 14.58%, its profits have fallen by -11.5%

Underperformed the market in the last 1 year

The stock has generated a return of 14.58% in the last 1 year, much lower than market (S&P/TSX 60) returns of 28.02%

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Tethys Petroleum Ltd. 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 Tethys Petroleum Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Tethys Petroleum Ltd.

22.22%

0.34

126.97%

S&P/TSX 60

28.13%

2.23

12.57%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

21.79%

EBIT Growth (5y)

27.90%

EBIT to Interest (avg)

20.49

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.19

Sales to Capital Employed (avg)

0.74

Tax Ratio

Tax Ratio is Negative%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

0.06%

ROCE (avg)

58.42%

ROE (avg)

28.91%

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

2.55

EV to EBIT

8.06

EV to EBITDA

5.21

EV to Capital Employed

2.90

EV to Sales

2.67

PEG Ratio

Dividend Yield

ROCE (Latest)

36.00%

ROE (Latest)

24.31%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Mildly Bearish

RSI

No Signal

Bollinger Bands

Mildly Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Mildly Bearish

Dow Theory

Bearish

No Trend

OBV

No Trend

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

21What is working for the Company

NET PROFIT(Q)

At CAD 2.75 MM has Grown at 594.14%

ROCE(HY)

Highest at 28.43%

NET SALES(Q)

At CAD 11.11 MM has Grown at 94.98%

RAW MATERIAL COST(Y)

Fallen by -9.78% (YoY

DEBTORS TURNOVER RATIO(HY)

Highest at 6.93 times

PRE-TAX PROFIT(Q)

Highest at CAD 3.62 MM

-4What is not working for the Company

OPERATING CASH FLOW(Y)

Lowest at CAD 12.57 MM

NET PROFIT(HY)

At CAD 7.96 MM has Grown at -36.65%

Here's what is working for Tethys Petroleum Ltd.

Net Profit

At CAD 2.75 MM has Grown at 594.14%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very positive

Net Profit (CAD MM)

Net Sales

At CAD 11.11 MM has Grown at 94.98%

Year on Year (YoY)

MOJO Watch

Near term sales trend is very positive

Net Sales (CAD MM)

Pre-Tax Profit

At CAD 3.62 MM has Grown at 182.63%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is very positive

Pre-Tax Profit (CAD MM)

Pre-Tax Profit

Highest at CAD 3.62 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (CAD MM)

Debtors Turnover Ratio

Highest at 6.93 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its Debtors faster

Debtors Turnover Ratio

Raw Material Cost

Fallen by -9.78% (YoY)

MOJO Watch

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

Raw Material Cost as a percentage of Sales

Depreciation

Highest at CAD 2.29 MM

in the last five periods

MOJO Watch

The expenditure on assets done by the company may have gone into operation

Depreciation (CAD MM)

Depreciation

At CAD 2.29 MM has Grown at 59.47%

period on period (QoQ)

MOJO Watch

The expenditure on assets done by the company has gone into productive use which should positively reflect in the future sales

Depreciation (CAD MM)

Here's what is not working for Tethys Petroleum Ltd.

Operating Cash Flow

Lowest at CAD 12.57 MM

in the last three years

MOJO Watch

The company's cash revenues from business operations are falling

Operating Cash Flows (CAD MM)