Strathcona Resources Ltd.

OTCPK:STHR.F Stock Report

Market Cap: US$4.9b

Strathcona Resources Valuation

Is STHR.F undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

2/6

Valuation Score 2/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of STHR.F when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: STHR.F ($22.99) is trading above our estimate of fair value ($13.17)

Significantly Below Fair Value: STHR.F is trading above our estimate of fair value.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for STHR.F?

Key metric: As STHR.F is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for STHR.F. This is calculated by dividing STHR.F's market cap by their current earnings.
What is STHR.F's PE Ratio?
PE Ratio8.9x
EarningsCA$779.50m
Market CapCA$6.83b

Price to Earnings Ratio vs Peers

How does STHR.F's PE Ratio compare to its peers?

The above table shows the PE ratio for STHR.F vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average7.7x
CIVI Civitas Resources
5.1x-3.5%US$5.0b
MUR Murphy Oil
10.2x12.9%US$4.8b
SM SM Energy
6.3x5.2%US$5.1b
DEN Denbury
9.5x-18.5%US$4.6b
STHR.F Strathcona Resources
8.9x-9.6%US$6.8b

Price-To-Earnings vs Peers: STHR.F is expensive based on its Price-To-Earnings Ratio (8.9x) compared to the peer average (7.2x).

Price to Earnings Ratio vs Industry

How does STHR.F's PE Ratio compare vs other companies in the US Oil and Gas Industry?

3 CompaniesPrice / EarningsEstimated GrowthMarket Cap
AXAS Abraxas Petroleum
0.09xn/aUS$10.27m
BYRO.F Byron Energy
0.03x-10.3%US$312.17k
USOP.Y U.S. Oil and Gas
n/an/aUS$6.00
No more companies available in this PE range
STHR.F 8.9xIndustry Avg. 11.7xNo. of Companies19PE0816243240+
3 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: STHR.F is good value based on its Price-To-Earnings Ratio (8.9x) compared to the US Oil and Gas industry average (11.7x).

Price to Earnings Ratio vs Fair Ratio

What is STHR.F's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

STHR.F PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio8.9x
Fair PE Ratio9x

Price-To-Earnings vs Fair Ratio: STHR.F is good value based on its Price-To-Earnings Ratio (8.9x) compared to the estimated Fair Price-To-Earnings Ratio (9x).

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst STHR.F forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUS$22.99
US$24.62
+7.1%
7.1%US$27.21US$21.48n/a8
Nov ’25US$19.57
US$24.16
+23.5%
7.0%US$26.59US$21.56n/a8
Oct ’25US$20.28
US$26.13
+28.8%
11.8%US$31.13US$22.24n/a8
Sep ’25US$22.98
US$27.43
+19.4%
7.2%US$31.14US$25.21n/a8
Aug ’25US$22.18
US$26.98
+21.6%
7.2%US$30.63US$24.79n/a8
Jul ’25US$23.08
US$26.86
+16.4%
8.4%US$29.38US$22.77n/a7
Jun ’25US$26.65
US$26.86
+0.8%
8.4%US$29.38US$22.77n/a7
May ’25US$22.30
US$25.88
+16.1%
11.0%US$29.27US$21.22n/a8
Apr ’25US$23.00
US$22.80
-0.9%
8.2%US$25.84US$19.20n/a8
Mar ’25US$17.88
US$21.43
+19.8%
12.4%US$25.87US$17.74n/a8
Feb ’25US$17.61
US$21.98
+24.8%
12.4%US$26.14US$17.93n/a7
Jan ’25US$16.31
US$24.10
+47.7%
18.5%US$30.12US$18.82n/a6
Dec ’24US$16.50
US$24.68
+49.6%
14.8%US$29.47US$20.63n/a6
Nov ’24US$19.50
US$25.96
+33.1%
9.8%US$28.84US$22.35US$19.575

Analyst Forecast: Target price is less than 20% higher than the current share price.

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