Obsidian Energy Ltd.
Obsidian Energy Ltd. is an intermediate-sized oil and gas producer focused on the exploration, development, and production of petroleum resources in Western Canada. The company’s current portfolio centers on oil and natural gas assets in Alberta, including Peace River, Willesden Green, and Viking, with a mix of heavy oil, light oil, and associated natural gas operations. Obsidian Energy also holds interests in related production infrastructure and manages a portfolio that supports its upstream business model. Headquartered in Calgary, Canada, Obsidian Energy serves the North American energy market by supplying crude oil, natural gas liquids, and natural gas through its operated and non-operated asset base.
$11.82
+$0.01 (+0.08%)
Price from 2 days ago
Operating margin is thin at 8.60%. Limited cushion if revenue slows or costs rise, not the profile of a wide-moat business.
Revenue declined 26.7% YoY. The question is whether this is cyclical or a structural shift.
At 43x earnings, the current multiple leaves limited room for execution misses or growth deceleration. Negative free cash flow of -C$59M. The business is consuming cash, not generating it.
42.5x earnings. The market is pricing in years of above-average growth. If that thesis breaks, downside from multiple compression alone could be 30%+. This is a stock where you're paying for the future, not the present.
Price History
Valuation & Multiples
Based on TTM earnings · Diluted shares
Profitability & Returns
Revenue (TTM)
C$611M
▼ -26.7% YoY
Net Income (TTM)
C$28M
▲ +117.4% YoY
Op. Margin
13.28%
▲ +38.4pp YoY
ROIC
2.37%
▲ +13.3pp YoY
Cash Flow & Balance Sheet
FCF (TTM)
-C$182M
▲ +8.0% YoY
Op. Cash Flow (TTM)
C$166M
▲ +1170.5% YoY
Net Debt
N/A
Cash & Equiv.
N/A
3Y CAGR: -12.6%
Continue Research
Is Obsidian Energy (OBE) overvalued?
At a P/E of 42.5, Obsidian Energy (OBE)'s valuation is best read against its own history, its peers, and the growth its price implies. A high multiple is not the same as overvalued: fast-growing, high-quality businesses can deserve a premium. See the general approach in how to tell if a stock is overvalued.
On quality, Obsidian Energy scores 14/100 on Intrinsiqq's quality scorecard (a lower-quality business on these measures), weighing growth, margins, returns on capital, share count, and balance-sheet strength. All figures are computed from company filings; read the full methodology, or see how the market compares in our US profitability statistics. This is analysis, not investment advice.
Frequently asked
Is Obsidian Energy a high-quality business?+
Obsidian Energy scores 14 out of 100 on Intrinsiqq's quality score, a weighted blend of 6 metrics each scored 0 to 100, which makes it a lower-quality business on these measures. Recent fundamentals include a 13.3% operating margin and a 2.4% return on invested capital. The score weighs revenue and free-cash-flow growth, operating margins, return on invested capital, share-count change, and balance-sheet strength, all computed from company filings, not opinion. Because valuation only means something relative to quality, the full metric-by-metric breakdown is on the quality scorecard.
Is Obsidian Energy a good stock to buy right now?+
That depends on valuation and quality together, not either alone. you should weigh OBE's valuation and scores 14/100 on quality (lower-quality). A cheap price is only a bargain if the business is durable, and a premium can be justified by genuine quality, so the two questions, "is it cheap?" and "is it good?", only make sense side by side. Read the valuation against the quality scorecard, run the DCF on your own assumptions, and decide for yourself. This is analysis from company filings, not investment advice.
Related stocks: Oil & Gas E&P
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Data sourced from company filings and third-party price providers. Scores, valuations, and metrics are algorithmic estimates. This is not investment advice. See our Terms and Methodology.
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