TransGlobe Energy Corporation
TransGlobe Energy Corporation Fundamental Analysis
TransGlobe Energy Corporation (TGL.TO) shows moderate financial fundamentals with a PE ratio of 6.53, profit margin of 13.27%, and ROE of 25.46%. The company generates $0.3B in annual revenue with N/A year-over-year growth of N/A.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 72.9/100 based on profitability, valuation, growth, and balance sheet metrics. The B grade reflects solid fundamentals with room for improvement in valuation or growth.
Fundamental Health Score
We analyze TGL.TO's fundamental strength across five key dimensions:
Efficiency Score
ExcellentTGL.TO demonstrates superior asset utilization.
Valuation Score
ExcellentTGL.TO trades at attractive valuation levels.
Growth Score
ModerateTGL.TO shows steady but slowing expansion.
Financial Health Score
ExcellentTGL.TO maintains a strong and stable balance sheet.
Profitability Score
ModerateTGL.TO maintains healthy but balanced margins.
Key Financial Metrics
Is TGL.TO Expensive or Cheap?
P/E Ratio
TGL.TO trades at 6.53 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, TGL.TO's PEG of 0.09 indicates potential undervaluation.
Price to Book
The market values TransGlobe Energy Corporation at 1.48 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 3.37 times EBITDA. This is generally considered low.
How Well Does TGL.TO Make Money?
Net Profit Margin
For every $100 in sales, TransGlobe Energy Corporation keeps $13.27 as profit after all expenses.
Operating Margin
Core operations generate 14.14 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $25.46 in profit for every $100 of shareholder equity.
ROA
TransGlobe Energy Corporation generates $16.87 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
TransGlobe Energy Corporation produces operating cash flow of $45.43M, showing steady but balanced cash generation.
Free Cash Flow
TransGlobe Energy Corporation produces free cash flow of $18.43M, offering steady but limited capital for shareholder returns and expansion.
FCF Per Share
Each share generates $0.25 in free cash annually.
FCF Yield
TGL.TO converts 6.85% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
6.53
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
0.09
vs 25 benchmark
P/B Ratio
Price to book value ratio
1.48
vs 25 benchmark
P/S Ratio
Price to sales ratio
0.88
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.02
vs 25 benchmark
Current Ratio
Current assets to current liabilities
1.63
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.25
vs 25 benchmark
ROA
Return on assets percentage
0.17
vs 25 benchmark
ROCE
Return on capital employed
0.21
vs 25 benchmark
How TGL.TO Stacks Against Its Sector Peers
| Metric | TGL.TO Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 6.53 | 21.23 | Better (Cheaper) |
| ROE | 25.46% | 945.00% | Weak |
| Net Margin | 13.27% | -60038.00% (disorted) | Strong |
| Debt/Equity | 0.02 | -0.49 (disorted) | Distorted |
| Current Ratio | 1.63 | 6.45 | Neutral |
| ROA | 16.87% | -11001215.00% (disorted) | Strong |
TGL.TO outperforms its industry in 3 out of 6 key metrics, particularly excelling in Net Margin, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews TransGlobe Energy Corporation's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
N/A
Industry Style: Cyclical, Value, Commodity
EPS CAGR
N/A
Industry Style: Cyclical, Value, Commodity
FCF CAGR
N/A
Industry Style: Cyclical, Value, Commodity