CNSX:OIL

Stock Analysis Report

Permex Petroleum

Executive Summary

Permex Petroleum Corporation engages in the acquisition, development, and production of oil and gas properties in the United States.

Snowflake

Fundamentals

Imperfect balance sheet with limited growth.

Share Price & News

How has Permex Petroleum's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

-8.3%

OIL

-0.06%

CA Oil and Gas

0.1%

CA Market


1 Year Return

-80.4%

OIL

-12.1%

CA Oil and Gas

1.6%

CA Market

Return vs Industry: OIL underperformed the Canadian Oil and Gas industry which returned -12.1% over the past year.

Return vs Market: OIL underperformed the Canadian Market which returned 1.6% over the past year.


Shareholder returns

OILIndustryMarket
7 Day-8.3%-0.06%0.1%
30 Day-8.3%-5.8%-2.9%
90 Day-50.0%-3.8%-1.4%
1 Year-80.4%-80.4%-8.1%-12.1%5.2%1.6%
3 Yearn/a-16.8%-25.2%13.8%3.7%
5 Yearn/a-22.2%-34.0%25.3%7.2%

Price Volatility Vs. Market

How volatile is Permex Petroleum's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Permex Petroleum undervalued compared to its fair value and its price relative to the market?

0.35x

Price to Book (PB) ratio


Share Price vs. Fair Value

Undervalued: Insufficient data to calculate OIL's fair value to establish if it is undervalued.

Significantly Undervalued: Insufficient data to calculate OIL's fair value to establish if it is undervalued.


Price To Earnings Ratio

PE vs Industry: OIL is unprofitable, so we can't compare its PE Ratio to the Oil and Gas industry average.

PE vs Market: OIL is unprofitable, so we can't compare its PE Ratio to the Canadian market.


Price to Earnings Growth Ratio

Low PEG Ratio: Insufficient data to calculate OIL's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: OIL is good value based on its PB Ratio (0.4x) compared to the CA Oil and Gas industry average (0.6x).


Next Steps

Future Growth

How is Permex Petroleum forecast to perform in the next 1 to 3 years based on estimates from 1 analyst?

66.6%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: OIL is forecast to remain unprofitable over the next 3 years.

Earnings vs Market: OIL is forecast to remain unprofitable over the next 3 years.

High Growth Earnings: OIL is forecast to remain unprofitable over the next 3 years.

Revenue vs Market: OIL's revenue (37.4% per year) is forecast to grow faster than the Canadian market (5.8% per year).

High Growth Revenue: OIL's revenue (37.4% per year) is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

High Future ROE: Insufficient data to determine if OIL's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has Permex Petroleum performed over the past 5 years?

39.3%

Last years earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: OIL is unprofitable, and there is insufficient past data to establish if their past 5-year earnings growth rate was positive.

Accelerating Growth: Unable to compare OIL's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: OIL is unprofitable, making it difficult to compare its past year earnings growth to the Oil and Gas industry (62.2%).


Return on Equity

High ROE: OIL has a negative Return on Equity (-21.9%), as it is currently unprofitable.


Return on Assets

ROA vs Industry: OIL is currently unprofitable, so its Return on Assets is negative.


Return on Capital Employed

ROCE Improving: OIL is currently unprofitable, so its Return on Capital Employed is negative.


Next Steps

Financial Health

How is Permex Petroleum's financial position?


Financial Position Analysis

Short Term Liabilities: OIL's short term assets (CA$162.5K) do not cover its short term liabilities (CA$852.5K)

Long Term Liabilities: OIL's short term assets (162.5K) do not cover its long term liabilities (2.8M)


Debt to Equity History and Analysis

Debt Level: OIL is debt free.

Reducing Debt: OIL had no debt 5 years ago.


Balance Sheet

Inventory Level: OIL has a high level of physical assets or inventory.

Debt Coverage by Assets: Insufficient data to determine if OIL's debt is covered by short term assets.


Cash Runway Analysis

For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.

Stable Cash Runway: OIL has less than a year of cash runway based on its current free cash flow.

Forecast Cash Runway: OIL has less than a year of cash runway if free cash flow continues to reduce at historical rates of -47.4% each year


Next Steps

Dividend

What is Permex Petroleum's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

companyn/amarketbottom25%2.0%markettop25%6.0%industryaverage4.9%forecastin3Yearsn/a

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: Unable to evaluate OIL's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.

High Dividend: Unable to evaluate OIL's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.

Stable Dividend: Insufficient data to determine if OIL's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if OIL's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of OIL's dividend in 3 years as they are not forecast to pay a notable one for the Canadian market.


Next Steps

Management

What is the CEO of Permex Petroleum's salary, the management and board of directors tenure and is there insider trading?

1.8yrs

Average board tenure


CEO

Mehran Ehsan (37yo)

0yrs

Tenure

CA$150,000

Compensation

Mr. Mehran Ehsan serves as the President, Chief Executive Officer, Director and Treasurer of Kentucky Petroleum Operating Ltd. Mr. Ehsan serves as the Chief Executive Officer, President and Director of N.A ...


CEO Compensation Analysis

Compensation vs. Market: Insufficient data to establish whether Mehran's total compensation is reasonable compared to companies of similar size in the Canadian market.

Compensation vs Earnings: Mehran's compensation has increased whilst the company is unprofitable.


Board Age and Tenure

1.8yrs

Average Tenure

51.5yo

Average Age

Experienced Board: OIL's board of directors are not considered experienced ( 1.8 years average tenure), which suggests a new board.


Insider Trading

Insider Buying: OIL insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

BuyCA$71511 Sep 19
Scott Kelly
EntityIndividual
Role
Member of the Board of Directors
CFO, Corporate Secretary & Director
Shares11,000
Max PriceCA$0.065
BuyCA$37,50011 Sep 19
Scott Kelly
EntityIndividual
Role
Member of the Board of Directors
CFO, Corporate Secretary & Director
Shares250,000
Max PriceCA$0.15
BuyCA$109,50008 May 19
Mehran Ehsan
EntityIndividual
Role
Chief Executive Officer
President
Shares730,000
Max PriceCA$0.15
BuyCA$15,00008 May 19
Douglas Urch
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares100,000
Max PriceCA$0.15
BuyCA$2,00008 May 19
Earl Tobin
EntityIndividual
Shares13,333
Max PriceCA$0.15
BuyCA$21,30008 May 19
Barry Whelan
EntityIndividual
Role
Member of the Board of Directors
COO & Director
Shares142,000
Max PriceCA$0.15
BuyCA$8,25002 May 19
Mehran Ehsan
EntityIndividual
Role
Chief Executive Officer
President
Shares55,000
Max PriceCA$0.15
BuyCA$9,30022 Apr 19
Mehran Ehsan
EntityIndividual
Role
Chief Executive Officer
President
Shares60,000
Max PriceCA$0.15
BuyCA$10,88004 Apr 19
Mehran Ehsan
EntityIndividual
Role
Chief Executive Officer
President
Shares68,000
Max PriceCA$0.16
BuyCA$4,55714 Mar 19
Mehran Ehsan
EntityIndividual
Role
Chief Executive Officer
President
Shares31,000
Max PriceCA$0.15
BuyCA$1,10014 Mar 19
Barry Whelan
EntityIndividual
Role
Member of the Board of Directors
COO & Director
Shares9,500
Max PriceCA$0.12
BuyCA$20,25013 Mar 19
Mehran Ehsan
EntityIndividual
Role
Chief Executive Officer
President
Shares150,000
Max PriceCA$0.14
BuyCA$14,97012 Mar 19
Mehran Ehsan
EntityIndividual
Role
Chief Executive Officer
President
Shares122,000
Max PriceCA$0.14
BuyCA$90005 Dec 18
Barry Whelan
EntityIndividual
Role
Member of the Board of Directors
COO & Director
Shares4,000
Max PriceCA$0.23
BuyCA$9,54819 Nov 18
Douglas Urch
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares40,000
Max PriceCA$0.24
BuyCA$1,20019 Nov 18
Mehran Ehsan
EntityIndividual
Role
Chief Executive Officer
President
Shares5,000
Max PriceCA$0.24
BuyCA$1,34707 Nov 18
Barry Whelan
EntityIndividual
Role
Member of the Board of Directors
COO & Director
Shares5,500
Max PriceCA$0.24
BuyCA$95402 Nov 18
Mehran Ehsan
EntityIndividual
Role
Chief Executive Officer
President
Shares4,000
Max PriceCA$0.24

Ownership Breakdown


Management Team

  • Barry Whelan (77yo)

    COO & Director

    • Tenure: 2.5yrs
    • Compensation: CA$10.77k
  • Scott Kelly (43yo)

    CFO, Corporate Secretary & Director

    • Tenure: 1.8yrs
    • Compensation: CA$30.00k
  • Mehran Ehsan (37yo)

    President

    • Tenure: 0yrs
    • Compensation: CA$150.00k
  • Justin Kates (36yo)

    General Counsel & Independent Director

    • Tenure: 1.8yrs
  • Connie Hang

    Controller

    • Tenure: 0yrs

Board Members

  • Edward Odishaw (83yo)

    Independent Director

    • Tenure: 1.8yrs
  • Barry Whelan (77yo)

    COO & Director

    • Tenure: 2.5yrs
    • Compensation: CA$10.77k
  • Doug Urch (60yo)

    Independent Director

    • Tenure: 0.9yrs
  • Peter Dorrins

    Member of Advisory Board

    • Tenure: 1.2yrs
  • Scott Kelly (43yo)

    CFO, Corporate Secretary & Director

    • Tenure: 1.8yrs
    • Compensation: CA$30.00k
  • Mehran Ehsan (37yo)

    President

    • Tenure: 0yrs
    • Compensation: CA$150.00k
  • Justin Kates (36yo)

    General Counsel & Independent Director

    • Tenure: 1.8yrs
  • Diana Goldstein

    Member of Advisory Board

    • Tenure: 1.2yrs
  • Wayne Schoen

    Member of Advisory Board

    • Tenure: 0yrs
  • Kit Maddox

    Member of Advisory Board

    • Tenure: 0yrs

Company Information

Permex Petroleum Corporation's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Permex Petroleum Corporation
  • Ticker: OIL
  • Exchange: CNSX
  • Founded: 2017
  • Industry: Oil and Gas Exploration and Production
  • Sector: Energy
  • Market Cap: CA$2.201m
  • Shares outstanding: 40.02m
  • Website: https://www.permexpetroleum.com

Location

  • Permex Petroleum Corporation
  • 625 Howe Street
  • Suite 1290
  • Vancouver
  • British Columbia
  • V6C 2T6
  • Canada

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
OILCNSX (Canadian National Stock Exchange)YesCommon SharesCACADMay 2018
OILC.FOTCPK (Pink Sheets LLC)YesCommon SharesUSUSDMay 2018

Biography

Permex Petroleum Corporation engages in the acquisition, development, and production of oil and gas properties in the United States. The company holds interests in the Pittcock North property that covers a ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/19 00:30
End of Day Share Price2019/10/18 00:00
Earnings2019/06/30
Annual Earnings2018/09/30


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.