Valuation Update With 7 Day Price Move • Jun 08
Investor sentiment improves as stock rises 17% After last week's 17% share price gain to CA$3.79, the stock trades at a trailing P/E ratio of 42.7x. Average forward P/E is 11x in the Oil and Gas industry in Canada. Total returns to shareholders of 120% over the past three years. Reported Earnings • May 12
First quarter 2026 earnings: Revenues exceed analysts expectations while EPS lags behind First quarter 2026 results: CA$0.25 loss per share (down from CA$0.012 profit in 1Q 2025). Revenue: CA$22.9m (down 60% from 1Q 2025). Net loss: CA$23.1m (down CA$24.2m from profit in 1Q 2025). Revenue exceeded analyst estimates by 19%. Earnings per share (EPS) missed analyst estimates. Revenue is forecast to grow 25% p.a. on average during the next 2 years, compared to a 4.6% growth forecast for the Oil and Gas industry in Canada. Over the last 3 years on average, earnings per share has fallen by 8% per year but the company’s share price has increased by 21% per year, which means it is well ahead of earnings. Announcement • May 12
Rubellite Energy Corp. Provides Sales Production Guidance for the Second Quarter and Full Year 2026 Rubellite Energy Corp. provided Sales Production guidance for the second quarter and full year 2026. For the quarter, the company expects Sales Production to be in the range of 13,300 boe/d to 13,400 boe/d.
For the year, the company expects Sales Production to be in the range of 13,300 boe/d to 13,800 boe/d. Recent Insider Transactions Derivative • Apr 17
President exercised options to buy CA$95k worth of stock. On the 15th of April, Susan L. Rose exercised options to buy 32k shares at a strike price of around CA$3.37, costing a total of CA$108k. This transaction amounted to less than 1% of their direct individual holding at the time of the trade. Since June 2025, Susan L.'s direct individual holding has increased from 5.16m shares to 5.28m. Company insiders have collectively bought CA$844k more than they sold, via options and on-market transactions, in the last 12 months. Valuation Update With 7 Day Price Move • Mar 30
Investor sentiment improves as stock rises 16% After last week's 16% share price gain to CA$3.64, the stock trades at a trailing P/E ratio of 10.5x. Average forward P/E is 19x in the Oil and Gas industry in Canada. Total returns to shareholders of 49% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at CA$1.75 per share. New Risk • Mar 26
New minor risk - Insider selling There has been significant insider selling in the company's shares over the past 3 months. Total value of shares sold: CA$93k This is considered a minor risk. There are several reasons why an insider may be selling, including to cover a tax obligation or pay for some other expense. However, we generally consider it a negative if insiders have been selling, especially if they do so below the current price. It implies that they considered a lower price to be reasonable. This is a weak signal, but if there is a pattern of unexplained selling, it can be a sign the insider believes the company's stock is overpriced. Note: We only include open market transactions and private dispositions of directly owned stock by individuals, not by corporations or trusts. Currently, the following risks have been identified for the company: Minor Risks Large one-off items impacting financial results. Profit margins are more than 30% lower than last year (15% net profit margin). Significant insider selling over the past 3 months (CA$93k sold). Reported Earnings • Mar 12
Full year 2025 earnings: EPS exceeds analyst expectations while revenues lag behind Full year 2025 results: EPS: CA$0.35 (down from CA$0.73 in FY 2024). Revenue: CA$210.1m (up 42% from FY 2024). Net income: CA$32.6m (down 35% from FY 2024). Profit margin: 16% (down from 34% in FY 2024). Revenue missed analyst estimates by 1.7%. Earnings per share (EPS) exceeded analyst estimates by 42%. Revenue is expected to decline by 42% p.a. on average during the next 2 years, while revenues in the Oil and Gas industry in Canada are expected to grow by 4.1%. Over the last 3 years on average, earnings per share has increased by 4% per year but the company’s share price has increased by 11% per year, which means it is tracking significantly ahead of earnings growth. Price Target Changed • Mar 11
Price target increased by 16% to CA$3.67 Up from CA$3.17, the current price target is an average from 3 analysts. New target price is 19% above last closing price of CA$3.09. Stock is up 70% over the past year. The company is forecast to post earnings per share of CA$0.24 for next year compared to CA$0.73 last year. Announcement • Mar 11
Rubellite Energy Corp. Provides Production Guidance for the First Quarter of 2026 Rubellite Energy Corp. provided production guidance for the first quarter of 2026. For the quarter, the company expects sales production of 13,300 boe/d - 13,400 boe/d. Announcement • Mar 04
Rubellite Energy Corp., Annual General Meeting, May 14, 2026 Rubellite Energy Corp., Annual General Meeting, May 14, 2026. Announcement • Nov 08
Rubellite Energy Corp. Revises Production Guidance for Full Year 2025 Rubellite Energy Corp. revised production guidance for full year 2025. For the period, sales production is expected in the range of 12,325 - 12,400 boe/d, compared to the prior guidance of 12,200 - 12,400 boe/d. Production Mix is expected to remain at 70%, consistent with previous guidance. Heavy Oil Production is anticipated in the range of 8,325 - 8,400 bbl/d, compared to the prior guidance of 8,200 - 8,400 bbl/d. Reported Earnings • Nov 06
Third quarter 2025 earnings released: EPS: CA$0.06 (vs CA$0.23 in 3Q 2024) Third quarter 2025 results: EPS: CA$0.06 (down from CA$0.23 in 3Q 2024). Revenue: CA$46.9m (up 22% from 3Q 2024). Net income: CA$5.65m (down 62% from 3Q 2024). Profit margin: 12% (down from 39% in 3Q 2024). Revenue is forecast to grow 5.6% p.a. on average during the next 2 years, compared to a 3.5% growth forecast for the Oil and Gas industry in Canada. Over the last 3 years on average, earnings per share has increased by 11% per year but the company’s share price has fallen by 3% per year, which means it is significantly lagging earnings. Major Estimate Revision • Oct 12
Consensus EPS estimates fall by 20% The consensus outlook for fiscal year 2025 has been updated. 2025 EPS estimate fell from CA$0.30 to CA$0.24. Revenue forecast unchanged from CA$255.6m at last update. Net income forecast to shrink 72% next year vs 1.6% growth forecast for Oil and Gas industry in Canada . Consensus price target of CA$3.08 unchanged from last update. Share price was steady at CA$2.20 over the past week. Recent Insider Transactions • Sep 25
President recently bought CA$110k worth of stock On the 23rd of September, Susan L. Rose bought around 50k shares on-market at roughly CA$2.20 per share. This transaction amounted to less than 1% of their direct individual holding at the time of the trade. This was the largest purchase by an insider in the last 3 months. Susan L. has been a buyer over the last 12 months, purchasing a net total of CA$200k worth in shares. Recent Insider Transactions Derivative • Sep 08
President exercised options to buy CA$76k worth of stock. On the 4th of September, Susan L. Rose exercised options to buy 35k shares at a strike price of around CA$2.29, costing a total of CA$80k. This transaction amounted to less than 1% of their direct individual holding at the time of the trade. Since September 2024, Susan L.'s direct individual holding has increased from 3.78m shares to 5.19m. Company insiders have collectively bought CA$920k more than they sold, via options and on-market transactions, in the last 12 months. New Risk • Aug 11
New major risk - Revenue and earnings growth Earnings are forecast to decline by an average of 113% per year for the foreseeable future. This is considered a major risk. Ultimately, shareholders want to see a good return on their investment and that generally comes from sharing in the company's profits. If profits are expected to decline, then in most cases the share price will decline over time as well. In addition, if the company pays dividends it will also likely need to reduce or cut them, striking a dual blow to total shareholder returns. Currently, the following risks have been identified for the company: Major Risks Earnings are forecast to decline by an average of 113% per year for the foreseeable future. Shareholders have been substantially diluted in the past year (38% increase in shares outstanding). Minor Risk Large one-off items impacting financial results. Reported Earnings • Aug 06
Second quarter 2025 earnings: EPS exceeds analyst expectations while revenues lag behind Second quarter 2025 results: EPS: CA$0.17. Revenue: CA$70.2m (up 120% from 2Q 2024). Net income: CA$16.1m (up 30% from 2Q 2024). Profit margin: 23% (down from 39% in 2Q 2024). Revenue missed analyst estimates by 2.8%. Earnings per share (EPS) exceeded analyst estimates by 113%. Revenue is forecast to grow 13% p.a. on average during the next 2 years, compared to a 2.4% growth forecast for the Oil and Gas industry in Canada. Recent Insider Transactions • May 19
President recently bought CA$90k worth of stock On the 16th of May, Susan L. Rose bought around 50k shares on-market at roughly CA$1.80 per share. This transaction amounted to less than 1% of their direct individual holding at the time of the trade. This was the largest purchase by an insider in the last 3 months. This was Susan L.'s only on-market trade for the last 12 months. Reported Earnings • May 09
First quarter 2025 earnings: EPS and revenues miss analyst expectations First quarter 2025 results: EPS: CA$0.01 (up from CA$0.066 loss in 1Q 2024). Revenue: CA$49.5m (up 87% from 1Q 2024). Net income: CA$1.16m (up CA$5.31m from 1Q 2024). Profit margin: 2.3% (up from net loss in 1Q 2024). Revenue missed analyst estimates by 4.0%. Earnings per share (EPS) also missed analyst estimates by 93%. Revenue is forecast to grow 23% p.a. on average during the next 2 years, compared to a 3.2% growth forecast for the Oil and Gas industry in Canada. Announcement • May 09
Rubellite Energy Corp. Provides Production Guidance for the Second Quarter and Full Year of 2025 Rubellite Energy Corp. provides production guidance for the second quarter and full year of 2025. For the quarter, the company expects sales production to be 12,200 boe/d to 12,400 boe/d. Heavy oil production to be 8,200 bbl/d to 8,400 bbl/d.
For the full year, the company expects sales production to be 12,200 boe/d to 12,400 boe/d. Heavy oil production to be 8,200 bbl/d to 8,400 bbl/d. Price Target Changed • Apr 30
Price target decreased by 8.9% to CA$3.19 Down from CA$3.50, the current price target is an average from 4 analysts. New target price is 85% above last closing price of CA$1.72. Stock is down 33% over the past year. The company is forecast to post earnings per share of CA$0.45 for next year compared to CA$0.73 last year. Recent Insider Transactions Derivative • Apr 11
President exercised options to buy CA$192k worth of stock. On the 7th of April, Susan L. Rose exercised options to buy 115k shares at a strike price of around CA$1.36, costing a total of CA$157k. Since June 2024, Susan L.'s direct individual holding has increased from 3.78m shares to 4.99m. Company insiders have collectively bought CA$784k more than they sold, via options and on-market transactions, in the last 12 months. Valuation Update With 7 Day Price Move • Apr 08
Investor sentiment deteriorates as stock falls 15% After last week's 15% share price decline to CA$1.64, the stock trades at a forward P/E ratio of 4x. Average forward P/E is 8x in the Oil and Gas industry in Canada. Total loss to shareholders of 59% over the past three years. Price Target Changed • Apr 03
Price target decreased by 8.2% to CA$3.50 Down from CA$3.81, the current price target is an average from 4 analysts. New target price is 84% above last closing price of CA$1.90. Stock is down 29% over the past year. The company is forecast to post earnings per share of CA$0.45 for next year compared to CA$0.73 last year. Major Estimate Revision • Mar 18
Consensus EPS estimates fall by 51%, revenue upgraded The consensus outlook for fiscal year 2025 has been updated. 2025 revenue forecast increased from CA$255.2m to CA$269.6m. EPS estimate fell from CA$0.915 to CA$0.45 per share. Net income forecast to shrink 15% next year vs 17% growth forecast for Oil and Gas industry in Canada . Consensus price target of CA$3.56 unchanged from last update. Share price fell 2.6% to CA$1.84 over the past week. Reported Earnings • Mar 11
Full year 2024 earnings: EPS and revenues exceed analyst expectations Full year 2024 results: EPS: CA$0.73 (up from CA$0.31 in FY 2023). Revenue: CA$138.6m (up 72% from FY 2023). Net income: CA$50.0m (up 169% from FY 2023). Profit margin: 36% (up from 23% in FY 2023). Revenue exceeded analyst estimates by 2.2%. Earnings per share (EPS) also surpassed analyst estimates by 33%. Revenue is forecast to grow 25% p.a. on average during the next 2 years, compared to a 2.9% growth forecast for the Oil and Gas industry in Canada. Over the last 3 years on average, earnings per share has fallen by 26% per year but the company’s share price has only fallen by 19% per year, which means it has not declined as severely as earnings. Announcement • Mar 04
Rubellite Energy Corp., Annual General Meeting, May 15, 2025 Rubellite Energy Corp., Annual General Meeting, May 15, 2025. New Risk • Jan 16
New major risk - Shareholder dilution The company's shareholders have been substantially diluted in the past year. Increase in shares outstanding: 49% This is considered a major risk. Shareholder dilution occurs when there is an increase in the number of shares on issue that is not proportionally distributed between all shareholders. Often due to the company raising equity capital or some options being converted into stock. All else being equal, if there are more shares outstanding then each existing share will be entitled to a lower proportion of the company's total earnings, thus reducing earnings per share (EPS). While dilution might not always result in lower EPS (like if the company is using the capital to fund an EPS accretive acquisition) in a lot cases it does, along with lower dividends per share and less voting power at shareholder meetings. Currently, the following risks have been identified for the company: Major Risk Shareholders have been substantially diluted in the past year (49% increase in shares outstanding). Minor Risks High level of debt (47% net debt to equity). Profit margins are more than 30% lower than last year (27% net profit margin). Price Target Changed • Dec 14
Price target decreased by 11% to CA$3.56 Down from CA$4.00, the current price target is an average from 4 analysts. New target price is 84% above last closing price of CA$1.94. Stock is down 2.0% over the past year. The company is forecast to post earnings per share of CA$0.51 for next year compared to CA$0.31 last year. Valuation Update With 7 Day Price Move • Nov 21
Investor sentiment improves as stock rises 15% After last week's 15% share price gain to CA$2.35, the stock trades at a forward P/E ratio of 5x. Average forward P/E is 9x in the Oil and Gas industry in Canada. Total loss to shareholders of 6.7% over the past three years. New Risk • Nov 20
New minor risk - Financial position The company has a high level of debt. Net debt to equity ratio: 47% This is considered a minor risk. Having a high level of debt increases the company's balance sheet risk. The company has a higher interest repayment burden, leading to the need to allocate a greater amount of its earnings towards servicing the debt, potentially limiting growth options or shareholder distributions. It can also increase the risk of bankruptcy if business conditions deteriorate enough that the company can no longer meet its debt obligations. Currently, the following risks have been identified for the company: Minor Risks High level of debt (47% net debt to equity). Profit margins are more than 30% lower than last year (27% net profit margin). Shareholders have been diluted in the past year (49% increase in shares outstanding). Major Estimate Revision • Nov 19
Consensus EPS estimates increase by 24% The consensus outlook for earnings per share (EPS) in fiscal year 2024 has improved. 2024 revenue forecast increased from CA$154.6m to CA$164.7m. EPS estimate increased from CA$0.41 to CA$0.51 per share. Net income forecast to grow 207% next year vs 9.1% growth forecast for Oil and Gas industry in Canada. Consensus price target of CA$3.81 unchanged from last update. Share price rose 3.4% to CA$2.14 over the past week. New Risk • Nov 14
New major risk - Earnings quality The company has a high level of non-cash earnings. Accrual ratio: 21% This is considered a major risk. Non-cash earnings can arise from many different things. However, if a company consistently has a high level of non-cash earnings, it may be a sign that they are recognizing revenue from customers before the full value of the sales are received as cash or they are not depreciating the value of their assets appropriately. These are practices that inflate earnings, while not providing a similar increase to cash flows. Companies in some select industries naturally have a high level of non-cash earnings and it is not a major concern. However, in the worst case scenario it can be an early sign of performance manipulation by management. Currently, the following risks have been identified for the company: Major Risk High level of non-cash earnings (21% accrual ratio). Minor Risks Profit margins are more than 30% lower than last year (26% net profit margin). Shareholders have been diluted in the past year (49% increase in shares outstanding). Reported Earnings • Nov 14
Third quarter 2024 earnings: EPS exceeds analyst expectations while revenues lag behind Third quarter 2024 results: EPS: CA$0.23 (up from CA$0.064 in 3Q 2023). Revenue: CA$50.0m (up 114% from 3Q 2023). Net income: CA$15.0m (up 281% from 3Q 2023). Profit margin: 30% (up from 17% in 3Q 2023). The increase in margin was driven by higher revenue. Revenue missed analyst estimates by 38%. Earnings per share (EPS) exceeded analyst estimates by 53%. Revenue is forecast to grow 30% p.a. on average during the next 3 years, compared to a 2.1% growth forecast for the Oil and Gas industry in Canada. Over the last 3 years on average, earnings per share has fallen by 43% per year but the company’s share price has only fallen by 6% per year, which means it has not declined as severely as earnings. New Risk • Oct 30
New minor risk - Market cap size The company's market capitalization is less than US$100m. Market cap: CA$138.6m (US$99.6m) This is considered a minor risk. Companies with a small market capitalization are most likely businesses that have not yet released a product to market or are simply a very small company without a wide reach. Either way, risk is elevated with these companies because there is a chance the product may not come to fruition or the company's addressable market or demand may not be as large as expected. In addition, if the company's size is the main factor, it is less likely to have many investors and analysts following it and scrutinizing its performance and outlook. Currently, the following risks have been identified for the company: Minor Risks Profit margins are more than 30% lower than last year (20% net profit margin). Shareholders have been diluted in the past year (9.1% increase in shares outstanding). Market cap is less than US$100m (CA$138.6m market cap, or US$99.6m). Board Change • Sep 01
Insufficient new directors No new directors have joined the board in the last 3 years. The company's board is composed of: No new directors. 5 experienced directors. No highly experienced directors. Independent Director Holly Benson was the last director to join the board, commencing their role in 2021. The company’s insufficient board refreshment is considered a risk according to the Simply Wall St Risk Model. Reported Earnings • Aug 11
Second quarter 2024 earnings: EPS exceeds analyst expectations while revenues lag behind Second quarter 2024 results: EPS: CA$0.20 (up from CA$0.055 in 2Q 2023). Revenue: CA$33.7m (up 96% from 2Q 2023). Net income: CA$12.4m (up 264% from 2Q 2023). Profit margin: 37% (up from 20% in 2Q 2023). The increase in margin was driven by higher revenue. Revenue missed analyst estimates by 6.3%. Earnings per share (EPS) exceeded analyst estimates by 36%. Revenue is forecast to grow 28% p.a. on average during the next 3 years, compared to a 2.7% growth forecast for the Oil and Gas industry in Canada. Major Estimate Revision • Aug 08
Consensus revenue estimates increase by 34% The consensus outlook for revenues in fiscal year 2024 has improved. 2024 revenue forecast increased from CA$122.0m to CA$163.1m. EPS estimate increased from CA$0.37 to CA$0.43 per share. Net income forecast to grow 141% next year vs 34% growth forecast for Oil and Gas industry in Canada. Consensus price target of CA$4.00 unchanged from last update. Share price rose 10% to CA$2.39 over the past week. Announcement • Aug 04
Rubellite Energy Inc. to Report Q2, 2024 Results on Aug 08, 2024 Rubellite Energy Inc. announced that they will report Q2, 2024 results on Aug 08, 2024 Announcement • Aug 03
Rubellite Energy Inc. Provides Production Guidance for the Fourth Quarter and Revises Production Guidance for the Year 2024 Rubellite Energy Inc. provided production guidance for the fourth quarter and revised production guidance for the year 2024. For the quarter, the company expects Sales Production of 7,400 bbl/d - 7,800 bbl/d.
For the year, the company expects Sales Production of 5,600 bbl/d - 5,900 bbl/d against previous guidance of 4,600 bbl/d - 4,900 bbl/d. New Risk • Jul 28
New minor risk - Market cap size The company's market capitalization is less than US$100m. Market cap: CA$137.7m (US$99.6m) This is considered a minor risk. Companies with a small market capitalization are most likely businesses that have not yet released a product to market or are simply a very small company without a wide reach. Either way, risk is elevated with these companies because there is a chance the product may not come to fruition or the company's addressable market or demand may not be as large as expected. In addition, if the company's size is the main factor, it is less likely to have many investors and analysts following it and scrutinizing its performance and outlook. Currently, the following risks have been identified for the company: Minor Risks Profit margins are more than 30% lower than last year (14% net profit margin). Market cap is less than US$100m (CA$137.7m market cap, or US$99.6m). New Risk • Jun 14
New minor risk - Market cap size The company's market capitalization is less than US$100m. Market cap: CA$136.2m (US$99.1m) This is considered a minor risk. Companies with a small market capitalization are most likely businesses that have not yet released a product to market or are simply a very small company without a wide reach. Either way, risk is elevated with these companies because there is a chance the product may not come to fruition or the company's addressable market or demand may not be as large as expected. In addition, if the company's size is the main factor, it is less likely to have many investors and analysts following it and scrutinizing its performance and outlook. Currently, the following risks have been identified for the company: Minor Risks Profit margins are more than 30% lower than last year (14% net profit margin). Market cap is less than US$100m (CA$136.2m market cap, or US$99.1m). Recent Insider Transactions Derivative • Jun 09
Chairman exercised options to buy CA$218k worth of stock. On the 3rd of June, Susan L. Rose exercised options to buy 96k shares at a strike price of around CA$2.49, costing a total of CA$239k. This transaction amounted to 2.6% of their direct individual holding at the time of the trade. Since March 2024, Susan L.'s direct individual holding has increased from 3.68m shares to 3.78m. Company insiders have collectively sold CA$104k more than they bought, via options and on-market transactions in the last 12 months. Reported Earnings • May 15
First quarter 2024 earnings released: CA$0.07 loss per share (vs CA$0.031 profit in 1Q 2023) First quarter 2024 results: CA$0.07 loss per share (down from CA$0.031 profit in 1Q 2023). Revenue: CA$13.6m (down 12% from 1Q 2023). Net loss: CA$4.15m (down 344% from profit in 1Q 2023). Revenue is forecast to grow 43% p.a. on average during the next 2 years, compared to a 5.5% growth forecast for the Oil and Gas industry in Canada. Announcement • May 15
Rubellite Energy Inc. Provides Production Guidance for the Year 2024 Rubellite Energy Inc. provided production guidance for the year 2024. For the year, Production sales volumes are expected to grow 39% to 48% year-over-year to average 4,600 to 4,900 boe/d and exit the year at 5,000 to 5,200 boe/d, poised for continued growth into 2025 with strong anticipated oil production and the addition of natural gas sales volumes in the first quarter of 2025. Price Target Changed • Apr 23
Price target increased by 8.8% to CA$4.10 Up from CA$3.77, the current price target is an average from 4 analysts. New target price is 49% above last closing price of CA$2.76. Stock is up 30% over the past year. The company is forecast to post earnings per share of CA$0.47 for next year compared to CA$0.31 last year. Price Target Changed • Mar 20
Price target increased by 7.1% to CA$4.03 Up from CA$3.77, the current price target is an average from 3 analysts. New target price is 59% above last closing price of CA$2.53. Stock is up 10.0% over the past year. The company is forecast to post earnings per share of CA$0.45 for next year compared to CA$0.31 last year. Reported Earnings • Mar 16
Full year 2023 earnings released: EPS: CA$0.31 (vs CA$0.47 in FY 2022) Full year 2023 results: EPS: CA$0.31 (down from CA$0.47 in FY 2022). Revenue: CA$88.8m (up 82% from FY 2022). Net income: CA$18.6m (down 25% from FY 2022). Profit margin: 21% (down from 50% in FY 2022). The decrease in margin was driven by higher expenses. Announcement • Mar 15
Rubellite Energy Inc. Provides Production Guidance for the First Quarter and Full Year 2024 Rubellite Energy Inc. provided sales production guidance for the first quarter and full year 2024. For the first quarter, the company expects sales Production of 4,450 bbl/d - 4,500 bbl/d.For the full year 2024, the company expects sales Production of 4,600 bbl/d - 4,900 bbl/d. Announcement • Mar 10
Rubellite Energy Inc., Annual General Meeting, May 22, 2024 Rubellite Energy Inc., Annual General Meeting, May 22, 2024. Price Target Changed • Jan 19
Price target decreased by 7.9% to CA$3.64 Down from CA$3.95, the current price target is an average from 4 analysts. New target price is 73% above last closing price of CA$2.10. Stock is down 3.2% over the past year. The company is forecast to post earnings per share of CA$0.26 for next year compared to CA$0.47 last year. Announcement • Jan 17
Rubellite Energy Inc. Provides Operational Update Rubellite Energy Inc. announced its preliminary fourth quarter 2023 and current production results, update commodity price risk management contracts and provide an operational update, all of which highlight successful advancement of Rubellite's growth focused business plan centered around the attractive Clearwater play. Highlights include: Preliminary Fourth quarter 2023 average heavy oil sales production of 4,209 bbl/d, exceeding the high end of the fourth quarter guidance range of 3,900 to 4,200 bbl/d. The Company recorded approximately 113 bbl/d of additional average heavy oil production which was not recorded as sales during the quarter, building inventory to fill new tank volumes for oil processing and water separation at pad sites. Development drilling operations were focused on three pads including: finishing the last two of eight wells on the prolific pad at 15-24-63-18W4 (the 15-24 Pad); drilling four (4.0 net) horizontal multi-lateral wells at a new development pad at 9-3-63-18W4. and drilling one (1.0 net) horizontal multi -lateral development well, with a second (1.0 net) well rig released in early January, on a new development pad to the north at 14-22-63-18W4 ("14-22 Pad"). Including one well on the 9-3 Pad, which has not been able to commence continuous production due to high initial gas volumes, preliminary performance from the fourth quarter development drilling program is performing, on average, commensurate with the Figure Lake type curve(1) thus far. The Company is pleased with the step out drilling program executed by the second rig which was windowed in during the fourth quarter. Based on early time production performance to date, two of these four Figure Lake step out wells are Rubellite's most prolific performers drilled to date since the Company's inception, and have served to extend the development trend at Figure Lake to both the North and South. Operationally going forward, Rubellite intends to keep one drilling rig running continuously at Figure Lake until break up in late March, to drill six (6.0 net) wells during the first quarter of 2024. One development well has already been rig released on the 14-22 Pad since year-end. Given ungulate restrictions, drilling operations have now shifted to the south end of Figure Lake to drill two wells on the Company's recently acquired lands at a pad in Edwand at 3-17-61-17W4 (the "3-17 Pad"), applying an OBM drilling fluid system to this pool to compare to the water-based mud results from wells drilled by the previous operator. The rig will then return to the 6-19 Pad to drill two additional wells prior to break-up. The Company is planning to continue its one rig program through break-up to drill six additional wells on the BLMS 5-32 Pad. In early January, Rubellite re-activated its horizontal multi-lateral Northern Exploration well at Dawson (5-16-81-16W5) which was rig released in late January 2023. Rubellite also plans to continue exploration activities to pursue additional prospective land capture and de-risk acreage during the first quarter of 2024". As at January 16, 2024, Rubellite has entered into commodity price risk management contracts on an average of 2,150 bbl/d during 2024 to effectively provide Western Canadian Select ("WCS") price protection at approximately $83.45 CAD83.45/bbl as per the following commodity price and foreign exchange risk management contracts: Oil price risk management contracts: Oil price management contracts: Oil price risk Management contracts. Board Change • Dec 31
High number of new and inexperienced directors There are 5 new directors who have joined the board in the last 3 years. The company's board is composed of: 5 new directors. No experienced directors. No highly experienced directors. Chairman, President & CEO Sue Rose is the most experienced director on the board, commencing their role in 2021. The following issues are considered to be risks according to the Simply Wall St Risk Model: Lack of board continuity. Lack of experienced directors. New Risk • Dec 05
New minor risk - Market cap size The company's market capitalization is less than US$100m. Market cap: CA$134.2m (US$98.8m) This is considered a minor risk. Companies with a small market capitalization are most likely businesses that have not yet released a product to market or are simply a very small company without a wide reach. Either way, risk is elevated with these companies because there is a chance the product may not come to fruition or the company's addressable market or demand may not be as large as expected. In addition, if the company's size is the main factor, it is less likely to have many investors and analysts following it and scrutinizing its performance and outlook. Currently, the following risks have been identified for the company: Major Risk High level of non-cash earnings (27% accrual ratio). Minor Risks Less than 3 years of financial data is available. Profit margins are more than 30% lower than last year (40% net profit margin). Shareholders have been diluted in the past year (14% increase in shares outstanding). Market cap is less than US$100m (CA$134.2m market cap, or US$98.8m). New Risk • Nov 11
New minor risk - Profit margin trend The company's profit margins are lower than last year and have reduced by more than 30%. Net profit margin: 36% Last year net profit margin: 61% This is considered a minor risk. A large drop in profit margin could indicate the company does not have strong competitive advantages or it is yet to establish itself and its core business. Even if it is a well established business, this may make it a much riskier investment than one that has a combination of proven competitive advantages and a stable or growing profit margin. Currently, the following risks have been identified for the company: Major Risk High level of non-cash earnings (27% accrual ratio). Minor Risks Less than 3 years of financial data is available. Profit margins are more than 30% lower than last year (36% net profit margin). Shareholders have been diluted in the past year (13% increase in shares outstanding). Reported Earnings • Nov 11
Third quarter 2023 earnings released: EPS: CA$0.06 (vs CA$0.34 in 3Q 2022) Third quarter 2023 results: EPS: CA$0.06 (down from CA$0.34 in 3Q 2022). Revenue: CA$18.2m (up 41% from 3Q 2022). Net income: CA$3.94m (down 79% from 3Q 2022). Profit margin: 22% (down from 145% in 3Q 2022). Revenue is forecast to grow 46% p.a. on average during the next 2 years, compared to a 5.1% growth forecast for the Oil and Gas industry in Canada. Recent Insider Transactions Derivative • Sep 22
VP of Finance exercised options and sold CA$162k worth of stock On the 15th of September, Ryan Shay exercised options to acquire 70k shares at no cost and sold these for an average price of CA$2.32 per share. This trade did not impact their existing holding. Since December 2022, Ryan's direct individual holding has increased from 941.98k shares to 977.08k. Company insiders have collectively sold CA$386k more than they bought, via options and on-market transactions in the last 12 months. Announcement • Sep 12
Rubellite Energy Inc. Provides Operations Update Rubellite Energy Inc. provided an operations update and advises that the Company will be presenting at the Peters & Co. Limited 2023 Energy Conference on September 12, 2023. At Figure Lake, a total of five (5.0 net) multi-lateral horizontal wells have been rig released during the third quarter to date on the new pad located at 15-24-63-18W4 (the "15-24 Pad"), with a total of eight (8.0 net) wells planned. The first well on the 15-24 Pad had an IP30 of 189 bbl/d (previously reported IP19 of 203 bbl/d). The second well on the 15-24 Pad had an IP30 of 225 bbl/d. The third well on the 15-24 Pad fully recovered its oil-based mud load fluid ("OBM"), started its IP30 period on August 19th and has recorded an IP18 of 287 bbl/d. The fourth well on the 15-24 Pad fully recovered its OBM, started its IP30 period on September 4th and is performing in line with the first three 15-24 Pad wells. All of the 15-24 Pad wells on sales production to date have early performance that is significantly outperforming the Figure Lake type curve IP30 of 116 bbl/d. The fifth well on the 15- 24 Pad was rig released on September 5th and is currently recovering OBM. Water production to date from the wells on the 15-24 Pad has averaged approximately 5% of total fluid production, compared with an average to date at Figure Lake of approximately 22%. Given the infill drilling characterization of development in this central portion of the Figure Lake area, Rubellite intends to maintain continuous drilling operations on six to eight well pads for the remainder of 2023 to minimize rig moves and facility builds, and optimize the re-use of oil-based mud, thereby reducing costs and improving capital efficiencies. Rubellite has contracted a second rig to start-up in the fourth quarter to drill a minimum of two (2.0 net) wells and up to three (3.0 net) wells to accelerate evaluation of the Buffalo Lake Metis Settlement lands while maintaining the ongoing infill drilling program in the off-Settlement lands at Figure Lake. Up to 16 (16.0 net) multi- Lateral horizontal wells are expected to be drilled at Figure Lake in the second half of 2023 (unchanged from previous guidance) for a full year 2023 total of 25 - 26 (25.0 - 26.0 net) wells, as the property continues to be the Company's primary focus of investment and development. Production for the last two weeks of August averaged approximately 3,285 bbl/d of conventional heavy oil, based on field estimates and before inventory adjustments, up 15% from the 2,844 bbl/d reported for the second quarter of 2023, aided by the strong performance of the 15-24 Pad wells. The Company remains on track to achieve its 2023 annual average sales production guidance of 2,900 to 3,100 bbl/d with no changes to previous guidance assumptions. Price Target Changed • Sep 09
Price target increased by 7.9% to CA$3.40 Up from CA$3.15, the current price target is an average from 5 analysts. New target price is 51% above last closing price of CA$2.25. Stock is down 13% over the past year. The company is forecast to post earnings per share of CA$0.29 for next year compared to CA$0.47 last year. Price Target Changed • Aug 14
Price target increased by 8.2% to CA$3.30 Up from CA$3.05, the current price target is an average from 5 analysts. New target price is 59% above last closing price of CA$2.08. Stock is down 29% over the past year. The company is forecast to post earnings per share of CA$0.29 for next year compared to CA$0.47 last year. Announcement • Aug 13
Rubellite Energy Inc. Provides Sales Production Guidance for the Full Year 2023 Rubellite Energy Inc. provided sales production guidance for the full year 2023. For the period, the company expects sales Production to be in the range of 2,900 bbl/d - 3,100 bbl/d. Reported Earnings • Aug 11
Second quarter 2023 earnings released Second quarter 2023 results: EPS: CA$0.05. Net income: CA$3.40m (up CA$3.40m from 2Q 2022). Revenue is forecast to grow 28% p.a. on average during the next 2 years, compared to a 2.5% growth forecast for the Oil and Gas industry in Canada. Price Target Changed • May 16
Price target decreased by 7.1% to CA$3.25 Down from CA$3.50, the current price target is an average from 5 analysts. New target price is 63% above last closing price of CA$2.00. Stock is down 51% over the past year. The company is forecast to post earnings per share of CA$0.43 for next year compared to CA$0.47 last year. Reported Earnings • May 13
First quarter 2023 earnings: Revenues exceed analysts expectations while EPS lags behind First quarter 2023 results: EPS: CA$0.03. Net income: CA$1.70m (up CA$1.70m from 1Q 2022). Revenue exceeded analyst estimates by 7.6%. Earnings per share (EPS) missed analyst estimates by 50%. Valuation Update With 7 Day Price Move • Mar 17
Investor sentiment deteriorates as stock falls 16% After last week's 16% share price decline to CA$2.19, the stock trades at a forward P/E ratio of 6x. Average forward P/E is 6x in the Oil and Gas industry in Canada. Total loss to shareholders of 38% over the past year. Announcement • Jan 18
Rubellite Energy Inc. Revises Production Guidance for the First Quarter of 2023 Rubellite Energy Inc. revised production guidance for the first quarter of 2023. Factoring in the positive initial performance from the fourth quarter 2022 drilling program to date, production sales volumes for the first quarter of 2023 are expected to average at the high end of the previous November 10, 2022 guidance of 2,200 bbl/d to 2,600 bbl/d. Valuation Update With 7 Day Price Move • Jan 17
Investor sentiment improved over the past week After last week's 20% share price gain to CA$2.15, the stock trades at a forward P/E ratio of 13x. Average forward P/E is 6x in the Oil and Gas industry in Canada. Total loss to shareholders of 17% over the past year. Price Target Changed • Jan 14
Price target decreased to CA$3.84 Down from CA$4.38, the current price target is an average from 4 analysts. New target price is 113% above last closing price of CA$1.80. Stock is down 30% over the past year. The company posted earnings per share of CA$1.02 last year. Valuation Update With 7 Day Price Move • Dec 08
Investor sentiment deteriorated over the past week After last week's 15% share price decline to CA$1.97, the stock trades at a trailing P/E ratio of 4.7x. Average forward P/E is 6x in the Oil and Gas industry in Canada. Total loss to shareholders of 17% over the past year. Price Target Changed • Nov 16
Price target decreased to CA$4.38 Down from CA$5.00, the current price target is an average from 4 analysts. New target price is 69% above last closing price of CA$2.59. Stock is up 4.0% over the past year. The company posted earnings per share of CA$1.02 last year. Price Target Changed • Oct 26
Price target decreased to CA$4.63 Down from CA$5.38, the current price target is an average from 4 analysts. New target price is 70% above last closing price of CA$2.72. Stock is up 2.6% over the past year. The company posted earnings per share of CA$1.02 last year. Valuation Update With 7 Day Price Move • Sep 27
Investor sentiment deteriorated over the past week After last week's 15% share price decline to CA$2.20, the stock trades at a trailing P/E ratio of 5.2x. Average forward P/E is 5x in the Oil and Gas industry in Canada. Total loss to shareholders of 10% over the past year. Valuation Update With 7 Day Price Move • Aug 17
Investor sentiment deteriorated over the past week After last week's 15% share price decline to CA$2.88, the stock trades at a trailing P/E ratio of 6.8x. Average forward P/E is 6x in the Oil and Gas industry in Canada. Simply Wall St's valuation model estimates the intrinsic value at CA$1.76 per share. Valuation Update With 7 Day Price Move • Jul 29
Investor sentiment improved over the past week After last week's 20% share price gain to CA$3.50, the stock trades at a trailing P/E ratio of 8.3x. Average forward P/E is 6x in the Oil and Gas industry in Canada. Valuation Update With 7 Day Price Move • Jul 05
Investor sentiment deteriorated over the past week After last week's 19% share price decline to CA$3.03, the stock trades at a trailing P/E ratio of 7.2x. Average forward P/E is 6x in the Oil and Gas industry in Canada. Valuation Update With 7 Day Price Move • Jun 09
Investor sentiment improved over the past week After last week's 18% share price gain to CA$5.07, the stock trades at a forward P/E ratio of 23x. Average forward P/E is 9x in the Oil and Gas industry in Canada. Valuation Update With 7 Day Price Move • Apr 20
Investor sentiment improved over the past week After last week's 19% share price gain to CA$4.75, the stock trades at a trailing P/E ratio of 11.2x. Average forward P/E is 7x in the Oil and Gas industry in Canada. Announcement • Mar 31
Rubellite Energy Inc. announced that it has received CAD 13.432561 million in funding from Perpetual Energy Inc. and other investors Rubellite Energy Inc. announced a brokered private placement of 3,783,820 common shares at a price of CAD 3.55 per share for gross proceeds of CAD 13,432,561 on March 29, 2022. The transaction included participation from certain directors, officers and employees of the company and existing investor Perpetual Energy Inc. and their respective associates and relatives. Valuation Update With 7 Day Price Move • Mar 24
Investor sentiment improved over the past week After last week's 17% share price gain to CA$4.04, the stock trades at a trailing P/E ratio of 7.7x. Average forward P/E is 7x in the Oil and Gas industry in Canada. Announcement • Jan 19
Rubellite Energy Inc. Provides Production Guidance for the First Quarter of 2022 Rubellite Energy Inc. provided production guidance for the first quarter of 2022. Development drilling activity across Rubellite's three operating areas is forecast to drive rapid production growth. Production sales volumes are expected to reach in excess of 2,000 bbl/d during the first quarter of 2022. The Company expects to update first quarter and full year 2022 guidance after stabilized production results from the ongoing Ukalta and Figure Lake drilling programs have been established. Rubellite also plans to continue exploration activities to pursue additional prospective land capture and de-risk acreage. 
