Greenfire Resources (NYSE:GFR) Shares Gap Up - Still a Buy?

Key Points

• Greenfire Resources shares opened higher, rising from a $5.99 close to $6.24 before trading around $6.14.
• Analyst sentiment is mixed but leans positive: the stock has a consensus “Moderate Buy” rating and an average price target of $11.50, despite one sell rating.
• Greenfire exceeded quarterly expectations, reporting $0.31 in earnings per share versus estimates of $0.01 and revenue of $123.86 million versus $107.41 million; institutional investors own 88.89% of shares.

Greenfire Resources Ltd. (NYSE:GFR - Get Free Report) shares gapped up prior to trading on Wednesday. The stock had previously closed at $5.99, but opened at $6.24. Greenfire Resources shares last traded at $6.14, with a volume of 31,560 shares trading hands.

Wall Street Analysts Forecast Growth

Several analysts have commented on the stock. TD Securities raised shares of Greenfire Resources to a "strong-buy" rating in a research report on Thursday, July 23rd. BMO Capital Markets upgraded shares of Greenfire Resources from a "market perform" rating to an "outperform" rating and set a $11.50 price objective for the company in a research note on Wednesday, August 5th. Royal Bank Of Canada began coverage on shares of Greenfire Resources in a research note on Monday, July 6th. They issued a "hold" rating for the company. Finally, Weiss Ratings reaffirmed a "sell (d)" rating on shares of Greenfire Resources in a report on Thursday, August 13th. One research analyst has rated the stock with a Strong Buy rating, one has assigned a Buy rating, one has issued a Hold rating and one has issued a Sell rating to the company. According to data from MarketBeat, the stock presently has a consensus rating of "Moderate Buy" and an average price target of $11.50.

Greenfire Resources Stock Performance

The business has a 50 day simple moving average of $6.27 and a 200 day simple moving average of $6.11. The company has a quick ratio of 0.76, a current ratio of 0.96 and a debt-to-equity ratio of 0.03. The company has a market capitalization of $771.27 million, a PE ratio of -22.04 and a beta of 0.19.

Greenfire Resources (NYSE:GFR - Get Free Report) last issued its quarterly earnings results on Wednesday, August 5th. The company reported $0.31 earnings per share for the quarter, topping analysts' consensus estimates of $0.01 by $0.30. Greenfire Resources had a negative return on equity of 3.50% and a negative net margin of 6.36%.The business had revenue of $123.86 million for the quarter, compared to analyst estimates of $107.41 million.

Institutional Inflows and Outflows

A number of hedge funds have recently bought and sold shares of GFR. Engineers Gate Manager LP acquired a new stake in Greenfire Resources during the 2nd quarter worth about $60,000. Donald Smith & CO. Inc. acquired a new position in shares of Greenfire Resources in the second quarter valued at about $1,672,000. Militia Capital Management LLC acquired a new position in shares of Greenfire Resources in the first quarter valued at about $1,637,000. Bank of America Corp DE raised its stake in shares of Greenfire Resources by 2,709.5% in the first quarter. Bank of America Corp DE now owns 42,142 shares of the company's stock worth $266,000 after purchasing an additional 40,642 shares during the last quarter. Finally, Renaissance Technologies LLC raised its stake in shares of Greenfire Resources by 25.7% in the first quarter. Renaissance Technologies LLC now owns 161,262 shares of the company's stock worth $1,019,000 after purchasing an additional 32,962 shares during the last quarter. Institutional investors and hedge funds own 88.89% of the company's stock.

About Greenfire Resources

Greenfire Resources Ltd. is a Canadian energy company focused on the development and production of bitumen from the Athabasca oil sands in Alberta. The company uses thermal recovery methods, including steam-assisted gravity drainage (SAGD), to produce heavy oil that can be processed into marketable crude oil products.

Greenfire's principal assets are the Hangingstone Expansion and Hangingstone Demonstration oil sands projects, located south of Fort McMurray, Alberta. These facilities are designed to recover bitumen from the company's resource leases, with production supported by steam generation, extraction, and related oil sands infrastructure.

Headquartered in Calgary, Alberta, Greenfire serves energy markets through the production and sale of bitumen and heavy crude oil.

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