WallStSmart

Canadian Natural Resources Ltd (CNQ)vsObsidian Energy Ltd (OBE)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Canadian Natural Resources Ltd generates 8117% more annual revenue ($44.68B vs $543.70M). CNQ leads profitability with a 26.3% profit margin vs 5.1%. CNQ trades at a lower P/E of 12.3x. CNQ earns a higher WallStSmart Score of 79/100 (B+).

CNQ

Strong Buy

79

out of 100

Grade: B+

Growth: 7.3Profit: 9.0Value: 6.7Quality: 7.0
Piotroski: 6/9Altman Z: 2.05

OBE

Strong Buy

66

out of 100

Grade: B-

Growth: 7.3Profit: 5.5Value: 4.7Quality: 5.5
Piotroski: 4/9Altman Z: 1.46
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

CNQUndervalued (+47.9%)

Margin of Safety

+47.9%

Fair Value

$96.11

Current Price

$50.32

$45.79 discount

UndervaluedFair: $96.11Overvalued

Intrinsic value data unavailable for OBE.

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

CNQ6 strengths · Avg: 9.5/10
Operating MarginProfitability
43.1%10/10

Strong operational efficiency at 43.1%

Revenue GrowthGrowth
69.5%10/10

Revenue surging 69.5% year-over-year

EPS GrowthGrowth
83.8%10/10

Earnings expanding 83.8% YoY

Market CapQuality
$103.22B9/10

Large-cap with strong market position

Return on EquityProfitability
25.1%9/10

Every $100 of equity generates 25 in profit

Profit MarginProfitability
26.3%9/10

Keeps 26 of every $100 in revenue as profit

OBE5 strengths · Avg: 9.8/10
Price/BookValuation
0.9x10/10

Reasonable price relative to book value

Operating MarginProfitability
35.7%10/10

Strong operational efficiency at 35.7%

Revenue GrowthGrowth
41.7%10/10

Revenue surging 41.7% year-over-year

EPS GrowthGrowth
190.5%10/10

Earnings expanding 190.5% YoY

Debt/EquityHealth
0.279/10

Conservative balance sheet, low leverage

Areas to Watch

CNQ1 concerns · Avg: 2.0/10
PEG RatioValuation
3.422/10

Expensive relative to growth rate

OBE4 concerns · Avg: 3.3/10
P/E RatioValuation
39.4x4/10

Premium valuation, high expectations priced in

Market CapQuality
$788.70M3/10

Smaller company, higher risk/reward

Return on EquityProfitability
1.4%3/10

ROE of 1.4% — below average capital efficiency

Profit MarginProfitability
5.1%3/10

5.1% margin — thin

Comparative Analysis Report

WallStSmart Research

Bull Case : CNQ

The strongest argument for CNQ centers on Operating Margin, Revenue Growth, EPS Growth. Profitability is solid with margins at 26.3% and operating margin at 43.1%. Revenue growth of 69.5% demonstrates continued momentum.

Bull Case : OBE

The strongest argument for OBE centers on Price/Book, Operating Margin, Revenue Growth. Revenue growth of 41.7% demonstrates continued momentum.

Bear Case : CNQ

The primary concerns for CNQ are PEG Ratio.

Bear Case : OBE

The primary concerns for OBE are P/E Ratio, Market Cap, Return on Equity.

Key Dynamics to Monitor

CNQ profiles as a growth stock while OBE is a hypergrowth play — different risk/reward profiles.

CNQ carries more volatility with a beta of 0.88 — expect wider price swings.

CNQ is growing revenue faster at 69.5% — sustainability is the question.

CNQ generates stronger free cash flow (4.4B), providing more financial flexibility.

Bottom Line

CNQ scores higher overall (79/100 vs 66/100), backed by strong 26.3% margins and 69.5% revenue growth. Both earn "Strong Buy" and "Strong Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Canadian Natural Resources Ltd

ENERGY · OIL & GAS E&P · USA

Canadian Natural Resources Limited acquires, explores, develops, produces, markets and sells crude oil, natural gas and natural gas liquids (NGL). The company is headquartered in Calgary, Canada.

Obsidian Energy Ltd

ENERGY · OIL & GAS E&P · USA

Obsidian Energy Ltd. explores, develops and produces oil and natural gas in Western Canada. The company is headquartered in Calgary, Canada.

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