Logo image of TXP.CA

TOUCHSTONE EXPLORATION INC (TXP.CA) Stock Fundamental Analysis

TSX:TXP - Toronto Stock Exchange - CA89156L1085 - Common Stock - Currency: CAD

0.4  0 (0%)

Fundamental Rating

4

We assign a fundamental rating of 4 out of 10 to TXP. TXP was compared to 214 industry peers in the Oil, Gas & Consumable Fuels industry. There are concerns on the financial health of TXP while its profitability can be described as average. TXP has a correct valuation and a medium growth rate.


Dividend Valuation Growth Profitability Health

5

1. Profitability

1.1 Basic Checks

TXP had negative earnings in the past year.
In the past year TXP had a positive cash flow from operations.
In the past 5 years TXP reported 4 times negative net income.
Each year in the past 5 years TXP had a positive operating cash flow.
TXP.CA Yearly Net Income VS EBIT VS OCF VS FCFTXP.CA Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2015 2016 2017 2018 2019 2020 2021 2022 2023 0 10M -10M -20M

1.2 Ratios

TXP has a worse Return On Assets (-8.20%) than 64.68% of its industry peers.
TXP's Return On Equity of -17.83% is on the low side compared to the rest of the industry. TXP is outperformed by 66.67% of its industry peers.
With an excellent Return On Invested Capital value of 9.57%, TXP belongs to the best of the industry, outperforming 87.06% of the companies in the same industry.
TXP had an Average Return On Invested Capital over the past 3 years of 3.69%. This is below the industry average of 7.73%.
The 3 year average ROIC (3.69%) for TXP is below the current ROIC(9.57%), indicating increased profibility in the last year.
Industry RankSector Rank
ROA -8.2%
ROE -17.83%
ROIC 9.57%
ROA(3y)-4.33%
ROA(5y)-6.02%
ROE(3y)-10.04%
ROE(5y)-13.39%
ROIC(3y)3.69%
ROIC(5y)N/A
TXP.CA Yearly ROA, ROE, ROICTXP.CA Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2015 2016 2017 2018 2019 2020 2021 2022 2023 0 -10 -20 -30 -40

1.3 Margins

TXP has a better Operating Margin (34.31%) than 83.08% of its industry peers.
In the last couple of years the Operating Margin of TXP has grown nicely.
Looking at the Gross Margin, with a value of 79.98%, TXP belongs to the top of the industry, outperforming 93.03% of the companies in the same industry.
In the last couple of years the Gross Margin of TXP has grown nicely.
Industry RankSector Rank
OM 34.31%
PM (TTM) N/A
GM 79.98%
OM growth 3YN/A
OM growth 5Y2.85%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y12.03%
GM growth 5Y3.96%
TXP.CA Yearly Profit, Operating, Gross MarginsTXP.CA Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2015 2016 2017 2018 2019 2020 2021 2022 2023 0 50 -50

2

2. Health

2.1 Basic Checks

With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), TXP is creating some value.
The number of shares outstanding for TXP has been increased compared to 1 year ago.
TXP has more shares outstanding than it did 5 years ago.
The debt/assets ratio for TXP is higher compared to a year ago.
TXP.CA Yearly Shares OutstandingTXP.CA Yearly Shares OutstandingYearly Shares Outstanding 2015 2016 2017 2018 2019 2020 2021 2022 2023 50M 100M 150M 200M
TXP.CA Yearly Total Debt VS Total AssetsTXP.CA Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2015 2016 2017 2018 2019 2020 2021 2022 2023 50M 100M

2.2 Solvency

TXP has an Altman-Z score of 0.79. This is a bad value and indicates that TXP is not financially healthy and even has some risk of bankruptcy.
With a Altman-Z score value of 0.79, TXP perfoms like the industry average, outperforming 52.74% of the companies in the same industry.
TXP has a Debt/Equity ratio of 0.43. This is a healthy value indicating a solid balance between debt and equity.
TXP has a Debt to Equity ratio of 0.43. This is comparable to the rest of the industry: TXP outperforms 42.79% of its industry peers.
Industry RankSector Rank
Debt/Equity 0.43
Debt/FCF N/A
Altman-Z 0.79
ROIC/WACC1.3
WACC7.37%
TXP.CA Yearly LT Debt VS Equity VS FCFTXP.CA Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2015 2016 2017 2018 2019 2020 2021 2022 2023 0 20M -20M 40M 60M

2.3 Liquidity

A Current Ratio of 0.83 indicates that TXP may have some problems paying its short term obligations.
TXP has a Current ratio (0.83) which is in line with its industry peers.
TXP has a Quick Ratio of 0.83. This is a bad value and indicates that TXP is not financially healthy enough and could expect problems in meeting its short term obligations.
TXP has a Quick ratio (0.83) which is comparable to the rest of the industry.
Industry RankSector Rank
Current Ratio 0.83
Quick Ratio 0.83
TXP.CA Yearly Current Assets VS Current LiabilitesTXP.CA Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2015 2016 2017 2018 2019 2020 2021 2022 2023 10M 20M 30M

6

3. Growth

3.1 Past

The earnings per share for TXP have decreased strongly by -434.00% in the last year.
TXP shows a strong growth in Revenue. In the last year, the Revenue has grown by 88.45%.
Measured over the past years, TXP shows a small growth in Revenue. The Revenue has been growing by 5.30% on average per year.
EPS 1Y (TTM)-434%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%N/A
Revenue 1Y (TTM)88.45%
Revenue growth 3Y36.34%
Revenue growth 5Y5.3%
Sales Q2Q%15.79%

3.2 Future

Based on estimates for the next years, TXP will show a very strong growth in Earnings Per Share. The EPS will grow by 40.70% on average per year.
The Revenue is expected to grow by 31.68% on average over the next years. This is a very strong growth
EPS Next Y122.44%
EPS Next 2Y47.25%
EPS Next 3Y40.7%
EPS Next 5YN/A
Revenue Next Year18.63%
Revenue Next 2Y16.29%
Revenue Next 3Y31.68%
Revenue Next 5YN/A

3.3 Evolution

When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
TXP.CA Yearly Revenue VS EstimatesTXP.CA Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 20M 40M 60M 80M 100M
TXP.CA Yearly EPS VS EstimatesTXP.CA Yearly EPS VS EstimatesYearly EPS VS Estimates 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 0 0.05 -0.05 -0.1 -0.15

4

4. Valuation

4.1 Price/Earnings Ratio

The Price/Earnings Ratio is negative for TXP. In the last year negative earnings were reported.
Based on the Price/Forward Earnings ratio of 18.40, the valuation of TXP can be described as rather expensive.
The rest of the industry has a similar Price/Forward Earnings ratio as TXP.
The average S&P500 Price/Forward Earnings ratio is at 94.77. TXP is valued rather cheaply when compared to this.
Industry RankSector Rank
PE N/A
Fwd PE 18.4
TXP.CA Price Earnings VS Forward Price EarningsTXP.CA Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 0 20 40 60 80

4.2 Price Multiples

84.58% of the companies in the same industry are more expensive than TXP, based on the Enterprise Value to EBITDA ratio.
Industry RankSector Rank
P/FCF N/A
EV/EBITDA 3.74
TXP.CA Per share dataTXP.CA EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 0 0.1 -0.1 0.2 0.3 0.4

4.3 Compensation for Growth

The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
TXP's earnings are expected to grow with 40.70% in the coming years. This may justify a more expensive valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y47.25%
EPS Next 3Y40.7%

0

5. Dividend

5.1 Amount

No dividends for TXP!.
Industry RankSector Rank
Dividend Yield N/A

TOUCHSTONE EXPLORATION INC

TSX:TXP (2/7/2025, 7:00:00 PM)

0.4

0 (0%)

Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)11-14 2024-11-14
Earnings (Next)N/A N/A
Inst Owners13.13%
Inst Owner ChangeN/A
Ins Owners7.37%
Ins Owner ChangeN/A
Market Cap94.58M
Analysts80
Price Target1.41 (252.5%)
Short Float %N/A
Short RatioN/A
Dividend
Industry RankSector Rank
Dividend Yield N/A
Yearly Dividend0
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)-20.69%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)-100%
EPS NY rev (1m)-69.23%
EPS NY rev (3m)-71.43%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)-13.61%
Revenue NY rev (3m)-28.67%
Valuation
Industry RankSector Rank
PE N/A
Fwd PE 18.4
P/S 1.33
P/FCF N/A
P/OCF 3.15
P/B 0.95
P/tB 0.95
EV/EBITDA 3.74
EPS(TTM)-0.13
EYN/A
EPS(NY)0.02
Fwd EY5.43%
FCF(TTM)0
FCFYN/A
OCF(TTM)0.13
OCFY31.71%
SpS0.3
BVpS0.42
TBVpS0.42
PEG (NY)N/A
PEG (5Y)N/A
Profitability
Industry RankSector Rank
ROA -8.2%
ROE -17.83%
ROCE 13.29%
ROIC 9.57%
ROICexc 10.08%
ROICexgc 10.08%
OM 34.31%
PM (TTM) N/A
GM 79.98%
FCFM N/A
ROA(3y)-4.33%
ROA(5y)-6.02%
ROE(3y)-10.04%
ROE(5y)-13.39%
ROIC(3y)3.69%
ROIC(5y)N/A
ROICexc(3y)4.1%
ROICexc(5y)N/A
ROICexgc(3y)4.1%
ROICexgc(5y)N/A
ROCE(3y)5.13%
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5Y-1.6%
ROICexc growth 3YN/A
ROICexc growth 5Y-1.6%
OM growth 3YN/A
OM growth 5Y2.85%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y12.03%
GM growth 5Y3.96%
F-Score5
Asset Turnover0.33
Health
Industry RankSector Rank
Debt/Equity 0.43
Debt/FCF N/A
Debt/EBITDA 1.17
Cap/Depr 253.79%
Cap/Sales 43.66%
Interest Coverage 7.37
Cash Conversion 81.55%
Profit Quality N/A
Current Ratio 0.83
Quick Ratio 0.83
Altman-Z 0.79
F-Score5
WACC7.37%
ROIC/WACC1.3
Cap/Depr(3y)466.24%
Cap/Depr(5y)430.26%
Cap/Sales(3y)76.45%
Cap/Sales(5y)80.4%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-434%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%N/A
EPS Next Y122.44%
EPS Next 2Y47.25%
EPS Next 3Y40.7%
EPS Next 5YN/A
Revenue 1Y (TTM)88.45%
Revenue growth 3Y36.34%
Revenue growth 5Y5.3%
Sales Q2Q%15.79%
Revenue Next Year18.63%
Revenue Next 2Y16.29%
Revenue Next 3Y31.68%
Revenue Next 5YN/A
EBIT growth 1Y848.39%
EBIT growth 3YN/A
EBIT growth 5Y8.3%
EBIT Next Year254.83%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y90.68%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y154.9%
OCF growth 3Y76.95%
OCF growth 5Y15.13%