Obsidian Energy (OBE) vs Tamboran Resources Corporation (TBN)

Obsidian Energy and Tamboran Resources Corporation are both Oil & Gas E&P companies. Tamboran Resources Corporation is the larger, with a market value of $1.1B against $765.4M — 1.5× the size. Tamboran Resources Corporation has negative trailing earnings, so its P/E is not meaningful; Obsidian Energy trades at 38.6×. Obsidian Energy has the higher net margin (4.53% vs 0.00%) and the higher return on invested capital (1.47% vs −2.54%). Across the 13 metrics below, Obsidian Energy leads on 9 and Tamboran Resources Corporation on 4.

Valuation

Metric OBE TBN Oil & Gas E&P median
P/E 38.65 n/m 11.01
P/S 1.80 n/m 1.98
P/B 0.79 0.73 1.30
Price to free cash flow n/m n/m 10.68
EV/EBITDA 6.49 n/m 5.09
EV/Sales 2.46 n/m 2.63
Earnings yield 2.59% (3.86%) 5.78%
Free cash flow yield (16.77%) (26.19%) 4.91%

Profitability

Metric OBE TBN Oil & Gas E&P median
Gross margin 63.83% — 80.41%
Operating margin 6.70% 0.00% 21.39%
Net margin 4.53% 0.00% 14.17%
Free cash flow margin (30.26%) 0.00% 8.18%
Return on equity 1.99% (3.84%) 10.05%
Return on assets 1.43% (3.26%) 5.81%
Return on invested capital 1.47% (2.54%) 6.32%

Growth

Metric OBE TBN Oil & Gas E&P median
Revenue growth (TTM) (19.29%) — 9.94%
EPS growth (last fiscal year) 117.95% 53.97% (10.50%)
Revenue growth, 5-year CAGR 15.86% — 18.67%
Net income growth, 5-year CAGR 0.00% — 0.00%

Health

Metric OBE TBN Oil & Gas E&P median
Debt to equity 0.25 0.07 0.28
Current ratio 0.78 2.61 0.96
Net debt to EBITDA 0.66 5.01 0.89

Dividend

Metric OBE TBN Oil & Gas E&P median
Dividend yield — — 3.29%
Payout ratio — — 0.35

Size

Metric OBE TBN Oil & Gas E&P median
Market cap 765.39m 1.11b 1.04b

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