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Advantage Oil & Gas

Market Cap

CA$656.2m

Last Updated

2021/05/15 22:51 UTC

Data Sources

Company Financials +

Executive Summary

Advantage Oil & Gas Ltd., together with its subsidiaries, acquires, exploits, develops, and produces crude oil, and natural gas and liquids in the Province of Alberta, Canada. More Details


Snowflake Analysis

Fair value with mediocre balance sheet.

Share Price & News

How has Advantage Oil & Gas's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: AAV is not significantly more volatile than the rest of Canadian stocks over the past 3 months, typically moving +/- 11% a week.

Volatility Over Time: AAV's weekly volatility (11%) has been stable over the past year.


Market Performance


7 Day Return

-3.9%

AAV

-0.9%

CA Oil and Gas

-0.7%

CA Market


1 Year Return

74.7%

AAV

35.2%

CA Oil and Gas

39.3%

CA Market

Return vs Industry: AAV exceeded the Canadian Oil and Gas industry which returned 35.1% over the past year.

Return vs Market: AAV exceeded the Canadian Market which returned 39.2% over the past year.


Shareholder returns

AAVIndustryMarket
7 Day-3.9%-0.9%-0.7%
30 Day1.2%5.1%1.0%
90 Day28.6%14.9%6.1%
1 Year74.7%74.7%42.6%35.2%43.8%39.3%
3 Year-13.7%-13.7%-5.7%-17.3%28.6%16.4%
5 Year-54.3%-54.3%4.5%-14.4%58.6%34.7%

Long-Term Price Volatility Vs. Market

How volatile is Advantage Oil & Gas's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Advantage Oil & Gas undervalued compared to its fair value and its price relative to the market?

45.4%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: AAV (CA$3.46) is trading below our estimate of fair value (CA$6.33)

Significantly Below Fair Value: AAV is trading below fair value by more than 20%.


Price To Earnings Ratio

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

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


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: AAV is good value based on its PB Ratio (0.6x) compared to the CA Oil and Gas industry average (1.5x).


Future Growth

How is Advantage Oil & Gas forecast to perform in the next 1 to 3 years based on estimates from 3 analysts?

13.3%

Forecasted annual revenue growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: Insufficient data to determine if AAV's forecast earnings growth is above the savings rate (1.5%).

Earnings vs Market: Insufficient data to determine if AAV's earnings are forecast to grow faster than the Canadian market

High Growth Earnings: Insufficient data to determine if earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: AAV's revenue (13.3% per year) is forecast to grow faster than the Canadian market (6.3% per year).

High Growth Revenue: AAV's revenue (13.3% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

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


Past Performance

How has Advantage Oil & Gas performed over the past 5 years?

-69.2%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: AAV is currently unprofitable.

Growing Profit Margin: AAV is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: AAV is unprofitable, and losses have increased over the past 5 years at a rate of 69.2% per year.

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

Earnings vs Industry: AAV is unprofitable, making it difficult to compare its past year earnings growth to the Oil and Gas industry (-15%).


Return on Equity

High ROE: AAV has a negative Return on Equity (-1.72%), as it is currently unprofitable.


Financial Health

How is Advantage Oil & Gas's financial position?


Financial Position Analysis

Short Term Liabilities: AAV's short term assets (CA$73.6M) do not cover its short term liabilities (CA$89.8M).

Long Term Liabilities: AAV's short term assets (CA$73.6M) do not cover its long term liabilities (CA$438.6M).


Debt to Equity History and Analysis

Debt Level: AAV's debt to equity ratio (23.1%) is considered satisfactory.

Reducing Debt: AAV's debt to equity ratio has increased from 16.4% to 23.1% over the past 5 years.


Balance Sheet


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: Whilst unprofitable AAV has sufficient cash runway for more than 3 years if it maintains its current positive free cash flow level.

Forecast Cash Runway: AAV is unprofitable but has sufficient cash runway for more than 3 years, due to free cash flow being positive and growing by 0.5% per year.


Dividend

What is Advantage Oil & Gas's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

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

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


Stability and Growth of Payments

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

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


Current Payout to Shareholders

Dividend Coverage: AAV is not paying a notable dividend for the Canadian market.


Future Payout to Shareholders

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


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

7.8yrs

Average management tenure


CEO

Andy Mah (61 yo)

12.33yrs

Tenure

CA$2,279,539

Compensation

Mr. Andy J. Mah has been the Chief Executive Officer at Advantage Oil & Gas Ltd. (AOG) since January 27, 2009 and served as its President since April 21, 2011 until November 11, 2019. Mr. Mah has experienc...


CEO Compensation Analysis

Compensation vs Market: Andy's total compensation ($USD1.88M) is above average for companies of similar size in the Canadian market ($USD793.46K).

Compensation vs Earnings: Andy's compensation has been consistent with company performance over the past year.


Leadership Team

Experienced Management: AAV's management team is seasoned and experienced (7.8 years average tenure).


Board Members

Experienced Board: AAV's board of directors are considered experienced (9.9 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

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


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Advantage Oil & Gas Ltd.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Advantage Oil & Gas Ltd.
  • Ticker: AAV
  • Exchange: TSX
  • Founded: 2001
  • Industry: Oil and Gas Exploration and Production
  • Sector: Energy
  • Market Cap: CA$656.232m
  • Shares outstanding: 189.66m
  • Website: https://www.advantageog.com

Number of Employees


Location

  • Advantage Oil & Gas Ltd.
  • Millennium Tower
  • Suite 2200
  • Calgary
  • Alberta
  • T2P 5E9
  • Canada

Listings


Biography

Advantage Oil & Gas Ltd., together with its subsidiaries, acquires, exploits, develops, and produces crude oil, and natural gas and liquids in the Province of Alberta, Canada. The company focuses on the de...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/05/15 22:51
End of Day Share Price2021/05/14 00:00
Earnings2021/03/31
Annual Earnings2020/12/31


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.