Obsidian Energy Intrinsic Stock Value – Obsidian Energy Sees 7% Production Increase in 2023, FY Capital Slightly Below Guidance Despite Cold Weather Impact

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Obsidian Energy Intrinsic Stock Value – Obsidian Energy ($NYSEAM:OBE) is an oil and gas exploration and production company that operates in western Canada. It focuses on its core assets in the Alberta Deep Basin and has maintained a long-term focus on creating value for its shareholders through cost control and disciplined capital investment. For 2023, Obsidian Energy anticipates a 7% increase in average production to 32,000 to 33,500 barrels of oil equivalent per day (boe/d). This growth is expected to be driven by the successful execution of their drilling program and completion operations. In Q4, the production averaged 31,742 boe/d, leading to a full-year 2022 production of 30,682 boe/d – slightly lower than the 30,800 boe/d guidance due to the cold weather conditions.

The company also experienced reduced liquids production due to the weather conditions, and an increase in operating costs associated with the freezing temperatures. Despite these challenges, Obsidian Energy was able to maintain its focus on cost control and efficient capital investment. This allowed them to reach their production guidance and remain within their capital budget. As they move into 2023, they are hopeful that the cold weather won’t have a significant impact on their production and are confident that they will continue to create value for their shareholders through disciplined capital investments.

Market Price

Despite the cold weather having an impact on the company’s capital expenditure, it is still slightly lower than what was initially forecasted.

Additionally, media exposure for the company has been largely positive, with many analysts predicting a promising future for Obsidian Energy. On Tuesday, OBSIDIAN ENERGY stock opened at $6.5 and closed at $6.6, up by 3.1% from the previous closing price of 6.4. This indicates that investors have confidence in the company’s future prospects, despite the current challenging conditions. This increase in share price could be attributed to the positive outlook of the future and the 7% increase in production, which is a very promising result for investors. It is clear that Obsidian Energy is on the right track and is continuing to make progress despite the challenging circumstances. The company is continuing to focus on increasing its production levels, while also ensuring that its capital expenditure remains within its guidance. With such promising results, and media exposure being largely positive, it seems that Obsidian Energy is in a strong position and investors can be optimistic about their future prospects. Live Quote…

About the Company

Income Snapshot

Below shows the total revenue, net income and net margin for Obsidian Energy. More…

Cash Flow Snapshot

Below shows the cash from operations, investing and financing for Obsidian Energy. More…

Balance Sheet Snapshot

Below shows the total assets, liabilities and book value per share for Obsidian Energy. More…

Key Ratios Snapshot

Some of the financial key ratios for Obsidian Energy are shown below. More…

VI Analysis – Obsidian Energy Intrinsic Stock Value

OBSIDIAN ENERGY’s fundamentals have been made easier to analyze with the help of the VI app. This app utilizes its proprietary VI Line to calculate the fair value of the company’s stock, which has been estimated to be around $4.8. Currently, the stock is being traded at $6.6, making it overvalued by 37.3%. The company’s financials can provide insight into the potential of OBSIDIAN ENERGY in the long-term. These include key metrics such as the P/E ratio, debt-to-equity ratio, and dividend yield. By analyzing these figures, investors can gain insight into the company’s ability to generate profits and return value to shareholders. The app also allows investors to compare OBSIDIAN ENERGY’s stock performance to that of its peers in the same industry. This allows them to assess the company’s competitive position and make investment decisions accordingly. Overall, the VI app is a great tool for analyzing the fundamentals of OBSIDIAN ENERGY and determining its fair value. With its help, investors can easily evaluate the company’s long-term potential and make informed decisions on whether to invest in its stock or not. More…

Summary

Obsidian Energy is a Canadian oil and gas producer that has seen positive results in their production for 2023. Despite the impacts of cold weather conditions, their FY capital was slightly below guidance. Overall, the company has seen a 7% increase in their production this year and have received mostly positive media exposure.

Additionally, their stock price has seen an increase since the announcement was made. For investors, Obsidian Energy appears to be a promising investment as they are seeing an increase in production and their stock prices are on the rise.