TSXV:PIPE

Stock Analysis Report

Pipestone Energy

Executive Summary

Pipestone Energy Corp. operates as an oil and gas exploration and development company.


Snowflake Analysis

High growth potential and fair value.

Share Price & News

How has Pipestone Energy's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: PIPE's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

-10.0%

PIPE

0.3%

CA Oil and Gas

0.1%

CA Market


1 Year Return

-27.6%

PIPE

-0.9%

CA Oil and Gas

4.5%

CA Market

Return vs Industry: PIPE underperformed the Canadian Oil and Gas industry which returned -0.7% over the past year.

Return vs Market: PIPE underperformed the Canadian Market which returned 4.7% over the past year.


Shareholder returns

PIPEIndustryMarket
7 Day-10.0%0.3%0.1%
30 Day-11.3%-0.4%0.9%
90 Day-3.1%4.0%3.7%
1 Year-27.6%-27.6%3.4%-0.9%7.8%4.5%
3 Yearn/a-4.4%-14.6%18.2%7.5%
5 Yearn/a-7.3%-22.1%33.7%14.2%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Pipestone Energy undervalued compared to its fair value and its price relative to the market?

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: PIPE (CA$1.26) is trading below our estimate of fair value (CA$22.19)

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


Price To Earnings Ratio

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

PE vs Market: PIPE 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 PIPE's PEG Ratio to determine if it is good value.


Price to Book Ratio

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


Next Steps

Future Growth

How is Pipestone Energy forecast to perform in the next 1 to 3 years based on estimates from 3 analysts?

82.1%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: PIPE is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (1.4%).

Earnings vs Market: PIPE is forecast to become profitable over the next 3 years, which is considered above average market growth.

High Growth Earnings: PIPE's is expected to become profitable in the next 3 years.

Revenue vs Market: PIPE's revenue (80.7% per year) is forecast to grow faster than the Canadian market (4.7% per year).

High Growth Revenue: PIPE's revenue (80.7% per year) is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

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


Next Steps

Past Performance

How has Pipestone Energy performed over the past 5 years?

-301.0%

Last years earnings growth


Earnings and Revenue History

Quality Earnings: PIPE is currently unprofitable.

Growing Profit Margin: PIPE is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: Insufficient data to determine if PIPE's year-on-year earnings growth rate was positive over the past 5 years.

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

Earnings vs Industry: PIPE is unprofitable, making it difficult to compare its past year earnings growth to the Oil and Gas industry (4.1%).


Return on Equity

High ROE: PIPE has a negative Return on Equity (-2.73%), as it is currently unprofitable.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Pipestone Energy's financial position?


Financial Position Analysis

Short Term Liabilities: PIPE's short term assets (CA$66.7M) exceed its short term liabilities (CA$45.8M).

Long Term Liabilities: PIPE's short term assets (CA$66.7M) do not cover its long term liabilities (CA$178.8M).


Debt to Equity History and Analysis

Debt Level: PIPE's debt to equity ratio (41.6%) is considered high.

Reducing Debt: Insufficient data to determine if PIPE's debt to equity ratio has reduced over the past 5 years.


Balance Sheet

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

Debt Coverage by Assets: PIPE's debt is not covered by short term assets (assets are 0.4x debt).


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: PIPE has less than a year of cash runway based on its current free cash flow.

Forecast Cash Runway: PIPE has sufficient cash runway for 1.5 years if free cash flow continues to reduce at historical rates of -69.9% each year.


Next Steps

Dividend

What is Pipestone Energy's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

companyn/amarketbottom25%2.0%markettop25%5.4%industryaverage4.8%forecastin3Yearsn/a

Current dividend yield vs market & industry

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

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


Stability and Growth of Payments

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

Growing Dividend: Insufficient data to determine if PIPE'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 PIPE'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?


CEO

Paul Wanklyn 0

0

Mr. Paul Wanklyn serves as President, Chief Executive Officer and Director of Pipestone Energy Corp. Mr. Wanklyn started his career at Canadian Hunter Exploration Ltd. in 1982 as an exploration geologist,  ...


Ownership

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


Insider Trading Volume

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


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 15.3%.


Top Shareholders

Company Information

Pipestone Energy Corp.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Pipestone Energy Corp.
  • Ticker: PIPE
  • Exchange: TSXV
  • Founded:
  • Industry: Oil and Gas Exploration and Production
  • Sector: Energy
  • Market Cap: CA$239.184m
  • Shares outstanding: 189.83m
  • Website: https://pipestonecorp.com

Location

  • Pipestone Energy Corp.
  • 3700, 888 – 3rd Street SW
  • Calgary
  • Alberta
  • T2P 5C5
  • Canada

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
PIPETSXV (TSX Venture Exchange)YesShare CapitalCACADSep 2018
BKBE.FOTCPK (Pink Sheets LLC)YesShare CapitalUSUSDSep 2018
2LADB (Deutsche Boerse AG)YesShare CapitalDEEURSep 2018
0ULTLSE (London Stock Exchange)YesShare CapitalGBCADSep 2018

Biography

Pipestone Energy Corp. operates as an oil and gas exploration and development company. The company is headquartered in Calgary, Canada. Pipestone Energy Corp. is a subsidiary of Canadian Non-Operated Resources LP. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/02/24 01:11
End of Day Share Price2020/02/21 00:00
Earnings2019/09/30
Annual Earnings2018/12/31


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.