ARROW EXPLORATION CORP (AXL.CA) Stock Fundamental Analysis
TSX-V:AXL - TSX Venture Exchange - CA04274P1053 - Common Stock - Currency: CAD
We assign a fundamental rating of 6 out of 10 to AXL. AXL was compared to 214 industry peers in the Oil, Gas & Consumable Fuels industry. AXL has an excellent financial health rating, but there are some minor concerns on its profitability. A decent growth rate in combination with a cheap valuation! Better keep an eye on AXL. With these ratings, AXL could be worth investigating further for value investing!.
1. Profitability
1.1 Basic Checks
In the past year AXL was profitable.
AXL had a positive operating cash flow in the past year.
The reported net income has been mixed in the past 5 years: AXL reported negative net income in multiple years.
In multiple years AXL reported negative operating cash flow during the last 5 years.
1.2 Ratios
Looking at the Return On Assets, with a value of 13.99%, AXL belongs to the top of the industry, outperforming 94.39% of the companies in the same industry.
AXL's Return On Equity of 22.74% is amongst the best of the industry. AXL outperforms 95.33% of its industry peers.
Looking at the Return On Invested Capital, with a value of 29.54%, AXL belongs to the top of the industry, outperforming 99.07% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for AXL is significantly above the industry average of 7.26%.
The 3 year average ROIC (21.60%) for AXL is below the current ROIC(29.54%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 13.99% | ||
| ROE | 22.74% | ||
| ROIC | 29.54% |
ROA(3y)5.03%
ROA(5y)-13.44%
ROE(3y)7.84%
ROE(5y)-40.93%
ROIC(3y)21.6%
ROIC(5y)N/A
1.3 Margins
Looking at the Profit Margin, with a value of 16.06%, AXL is in the better half of the industry, outperforming 76.64% of the companies in the same industry.
In the last couple of years the Profit Margin of AXL has declined.
Looking at the Operating Margin, with a value of 37.10%, AXL belongs to the top of the industry, outperforming 85.51% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 37.1% | ||
| PM (TTM) | 16.06% | ||
| GM | N/A |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3Y-41.09%
PM growth 5YN/A
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so AXL is creating value.
AXL has about the same amout of shares outstanding than it did 1 year ago.
AXL has more shares outstanding than it did 5 years ago.
AXL has a better debt/assets ratio than last year.
2.2 Solvency
AXL has an Altman-Z score of 2.81. This is not the best score and indicates that AXL is in the grey zone with still only limited risk for bankruptcy at the moment.
AXL has a better Altman-Z score (2.81) than 78.50% of its industry peers.
AXL has a debt to FCF ratio of 0.02. This is a very positive value and a sign of high solvency as it would only need 0.02 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 0.02, AXL belongs to the top of the industry, outperforming 95.33% of the companies in the same industry.
AXL has a Debt/Equity ratio of 0.00. This is a healthy value indicating a solid balance between debt and equity.
The Debt to Equity ratio of AXL (0.00) is better than 81.78% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0.02 | ||
| Altman-Z | 2.81 |
ROIC/WACC3.65
WACC8.09%
2.3 Liquidity
AXL has a Current Ratio of 1.57. This is a normal value and indicates that AXL is financially healthy and should not expect problems in meeting its short term obligations.
AXL has a better Current ratio (1.57) than 75.70% of its industry peers.
A Quick Ratio of 1.56 indicates that AXL should not have too much problems paying its short term obligations.
The Quick ratio of AXL (1.56) is better than 77.10% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.57 | ||
| Quick Ratio | 1.56 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 842.37% over the past year.
Measured over the past years, AXL shows a decrease in Earnings Per Share. The EPS has been decreasing by -8.00% on average per year.
AXL shows a strong growth in Revenue. In the last year, the Revenue has grown by 51.35%.
Measured over the past years, AXL shows a very strong growth in Revenue. The Revenue has been growing by 23.67% on average per year.
EPS 1Y (TTM)842.37%
EPS 3Y-8%
EPS 5YN/A
EPS Q2Q%-16.51%
Revenue 1Y (TTM)51.35%
Revenue growth 3Y124.54%
Revenue growth 5Y23.67%
Sales Q2Q%35.41%
3.2 Future
AXL is expected to show a very negative growth in Earnings Per Share. In the coming years, the EPS will decrease by -20.25% yearly.
Based on estimates for the next years, AXL will show a quite strong growth in Revenue. The Revenue will grow by 15.53% on average per year.
EPS Next Y49.77%
EPS Next 2Y-20.25%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year45.45%
Revenue Next 2Y15.53%
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
Although the future Revenue growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 4.67, which indicates a rather cheap valuation of AXL.
AXL's Price/Earnings ratio is rather cheap when compared to the industry. AXL is cheaper than 93.93% of the companies in the same industry.
AXL is valuated cheaply when we compare the Price/Earnings ratio to 26.54, which is the current average of the S&P500 Index.
AXL is valuated cheaply with a Price/Forward Earnings ratio of 4.30.
AXL's Price/Forward Earnings ratio is rather cheap when compared to the industry. AXL is cheaper than 92.99% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 35.28, AXL is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 4.67 | ||
| Fwd PE | 4.3 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, AXL is valued cheaply inside the industry as 98.60% of the companies are valued more expensively.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of AXL indicates a rather cheap valuation: AXL is cheaper than 89.72% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 6.36 | ||
| EV/EBITDA | 0.67 |
4.3 Compensation for Growth
AXL's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
AXL has a very decent profitability rating, which may justify a higher PE ratio.
AXL's earnings are expected to decrease with -20.25% in the coming years. This may justify a cheaper valuation.
PEG (NY)0.09
PEG (5Y)N/A
EPS Next 2Y-20.25%
EPS Next 3YN/A
5. Dividend
5.1 Amount
No dividends for AXL!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
TSX-V:AXL (8/7/2025, 7:00:00 PM)
0.28
0 (0%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)
Earnings (Next)
Inst Owners9.5%
Inst Owner ChangeN/A
Ins Owners20.79%
Ins Owner ChangeN/A
Market Cap80.04M
Analysts84.44
Price Target0.91 (225%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)N/A
Avg EPS beat(2)N/A
Min EPS beat(2)N/A
Max EPS beat(2)N/A
EPS beat(4)N/A
Avg EPS beat(4)N/A
Min EPS beat(4)N/A
Max EPS beat(4)N/A
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)N/A
Avg Revenue beat(2)N/A
Min Revenue beat(2)N/A
Max Revenue beat(2)N/A
Revenue beat(4)N/A
Avg Revenue beat(4)N/A
Min Revenue beat(4)N/A
Max Revenue beat(4)N/A
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)0%
PT rev (3m)-13.02%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)0%
EPS NY rev (3m)0%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0%
Revenue NY rev (3m)0%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 4.67 | ||
| Fwd PE | 4.3 | ||
| P/S | 0.74 | ||
| P/FCF | 6.36 | ||
| P/OCF | 1.28 | ||
| P/B | 1.05 | ||
| P/tB | 1.05 | ||
| EV/EBITDA | 0.67 |
EPS(TTM)0.06
EY21.43%
EPS(NY)0.07
Fwd EY23.26%
FCF(TTM)0.04
FCFY15.72%
OCF(TTM)0.22
OCFY77.9%
SpS0.38
BVpS0.27
TBVpS0.27
PEG (NY)0.09
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 13.99% | ||
| ROE | 22.74% | ||
| ROCE | 41.03% | ||
| ROIC | 29.54% | ||
| ROICexc | 45.45% | ||
| ROICexgc | 45.45% | ||
| OM | 37.1% | ||
| PM (TTM) | 16.06% | ||
| GM | N/A | ||
| FCFM | 11.61% |
ROA(3y)5.03%
ROA(5y)-13.44%
ROE(3y)7.84%
ROE(5y)-40.93%
ROIC(3y)21.6%
ROIC(5y)N/A
ROICexc(3y)30.65%
ROICexc(5y)N/A
ROICexgc(3y)30.65%
ROICexgc(5y)N/A
ROCE(3y)29.99%
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3Y-41.09%
PM growth 5YN/A
GM growth 3YN/A
GM growth 5YN/A
F-Score7
Asset Turnover0.87
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0.02 | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 176.46% | ||
| Cap/Sales | 45.95% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 91.16% | ||
| Profit Quality | 72.29% | ||
| Current Ratio | 1.57 | ||
| Quick Ratio | 1.56 | ||
| Altman-Z | 2.81 |
F-Score7
WACC8.09%
ROIC/WACC3.65
Cap/Depr(3y)179.48%
Cap/Depr(5y)137.47%
Cap/Sales(3y)44.52%
Cap/Sales(5y)35.31%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)842.37%
EPS 3Y-8%
EPS 5YN/A
EPS Q2Q%-16.51%
EPS Next Y49.77%
EPS Next 2Y-20.25%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)51.35%
Revenue growth 3Y124.54%
Revenue growth 5Y23.67%
Sales Q2Q%35.41%
Revenue Next Year45.45%
Revenue Next 2Y15.53%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y67.12%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year145.89%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y177.42%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y212.6%
OCF growth 3YN/A
OCF growth 5Y59.26%