Should Investors Trust The Upside Potential In Obsidian Energy Ltd (OBE)?

Obsidian Energy Ltd (AMEX:OBE) currently has a daily average trading volume of 243.67K but it saw 567397 shares traded in last market. With a market cap of 449.98M USD, the company’s current market price of $5.92 came falling about -3.74 while comparing to the previous closing price of $6.15. In past 52 weeks, the stock remained buoying in the range of price level as high as $9.06 and as low as $6.00. In the recent trading on the day, stock has struck highest price mark of $5.895 while lowest mark touched by it was $6.16.

Taking a look at 20-day trading activity of Obsidian Energy Ltd (OBE) gives us an average price of $6.75, while its current price level is -34.69% below from 52-week high level whereas it is -1.26% above from lowest level seen by the stock during that period. Simple moving average of 50 days or SMA-50 of the stock’s closing price is $7.07 while that of 200 days or SMA-200 reads an average of $7.30. A closer look into the stock’s movement over the week reveals that its volatility is standing at 4.60% during that period while stretching the period over a month that decreases to 3.21%. It is also necessary to take a look into other indicators of a stock too, to get a better idea about its price movement. And in doing so, we find stock’s 14-day relative strength index (RSI) standing at 31.32 which implies that the stock is in neutral territory.

Over the week, OBE’s stock price is moving -15.43% down while it is -4.36% when we observe its performance for the past one month. Year-to-date it is -12.68% down and over the past year, the stock is showing a downside performance of -19.67%.

Currently, Obsidian Energy Ltd’s total number of outstanding shares is 77.59M. Company’s return on investment (ROI) stands at 5.42% and return on equity (ROE) at 6.51%. It has a price to earnings ratio (P/E ratio) of 6.04 while having a 3.96 of forward P/E ratio. Stock’s beta reads 1.52. Stock has a price to book (P/B) ratio of 0.37 while price to sale or P/S ratio amounts to 0.89. Its return on asset (ROA) is 4.63% on average.