OBE PE Ratio & Valuation,Is OBE Overvalued

OBE Relative Valuation

OBE's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average, adjusted by weights. If the market price exceeds this fair value range, OBE is overvalued; if below, it's undervalued.

Historical Valuation

Obsidian Energy Ltd (OBE) is now in the Overvalued zone, suggesting that its current forward PE ratio of 6.87 is considered Overvalued compared with the five-year average of 4.27. The fair price of Obsidian Energy Ltd (OBE) is between 3.04 to 5.79 according to relative valuation methord. Compared to the current price of 5.90 USD , Obsidian Energy Ltd is Overvalued By 1.93%.

Relative Value

Fair Zone

3.04-5.79

Current Price：5.90

1.93%

Overvalued

6.87

2.17

EV/EBITDA

Obsidian Energy Ltd. (OBE) has a current EV/EBITDA of 2.17. The 5-year average EV/EBITDA is 2.26. The thresholds are as follows: Strongly Undervalued below 1.56, Undervalued between 1.56 and 1.91, Fairly Valued between 2.60 and 1.91, Overvalued between 2.60 and 2.95, and Strongly Overvalued above 2.95. The current Forward EV/EBITDA of 2.17 falls within the Historic Trend Line -Fairly Valued range.

2.01

EV/EBIT

Obsidian Energy Ltd. (OBE) has a current EV/EBIT of 2.01. The 5-year average EV/EBIT is 3.74. The thresholds are as follows: Strongly Undervalued below -2.68, Undervalued between -2.68 and 0.53, Fairly Valued between 6.94 and 0.53, Overvalued between 6.94 and 10.15, and Strongly Overvalued above 10.15. The current Forward EV/EBIT of 2.01 falls within the Historic Trend Line -Fairly Valued range.

0.75

Obsidian Energy Ltd. (OBE) has a current PS of 0.75. The 5-year average PS is 0.80. The thresholds are as follows: Strongly Undervalued below 0.30, Undervalued between 0.30 and 0.55, Fairly Valued between 1.05 and 0.55, Overvalued between 1.05 and 1.29, and Strongly Overvalued above 1.29. The current Forward PS of 0.75 falls within the Historic Trend Line -Fairly Valued range.

2.08

P/OCF

Obsidian Energy Ltd. (OBE) has a current P/OCF of 2.08. The 5-year average P/OCF is 1.62. The thresholds are as follows: Strongly Undervalued below 0.67, Undervalued between 0.67 and 1.15, Fairly Valued between 2.09 and 1.15, Overvalued between 2.09 and 2.57, and Strongly Overvalued above 2.57. The current Forward P/OCF of 2.08 falls within the Historic Trend Line -Fairly Valued range.

12.85

P/FCF

Obsidian Energy Ltd. (OBE) has a current P/FCF of 12.85. The 5-year average P/FCF is 94.91. The thresholds are as follows: Strongly Undervalued below -887.64, Undervalued between -887.64 and -396.36, Fairly Valued between 586.18 and -396.36, Overvalued between 586.18 and 1077.46, and Strongly Overvalued above 1077.46. The current Forward P/FCF of 12.85 falls within the Historic Trend Line -Fairly Valued range.

Obsidian Energy Ltd (OBE) has a current Price-to-Book (P/B) ratio of 0.40. Compared to its 3-year average P/B ratio of 0.43 , the current P/B ratio is approximately -8.43% higher. Relative to its 5-year average P/B ratio of 0.54, the current P/B ratio is about -27.32% higher. Obsidian Energy Ltd (OBE) has a Forward Free Cash Flow (FCF) yield of approximately -0.81%. Compared to its 3-year average FCF yield of 2.71%, the current FCF yield is approximately -129.87% lower. Relative to its 5-year average FCF yield of 7.40% , the current FCF yield is about -110.94% lower.

0.40

P/B

Median3y

0.43

Median5y

0.54

-0.81

FCF Yield

Median3y

2.71

Median5y

7.40

Competitors Valuation Multiple

The average P/S ratio for OBE's competitors is 1.16, providing a benchmark for relative valuation. Obsidian Energy Ltd Corp (OBE) exhibits a P/S ratio of 0.75, which is -35.88% above the industry average. Given its robust revenue growth of -31.70%, this premium appears unsustainable.

P/S

P/E

EV/EBITDA

EV/EBIT

Revenue Growth

Market Cap

Performance Decomposition

Market capitalization of OBE increased by 3.97% over the past 1 year. The primary factor behind the change was an decrease in P/E Change from -1.54 to -2.48.

The secondary factor is the Margin Expansion, contributed -25.90%to the performance.

Overall, the performance of OBE in the past 1 year is driven by P/E Change. Which is more unsustainable.

-31.70%

195.90M → 133.80M

Revenue Growth

-25.90%

16.95 → 12.56

Margin Expansion

61.57%

-1.54 → -2.48

P/E Change

3.97%

5.79 → 6.02

Mkt Cap Growth

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Frequently Asked Questions

Is Obsidian Energy Ltd (OBE) currently overvalued or undervalued?

What is Obsidian Energy Ltd (OBE) fair value?

OBE's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average , adjusted by weights. The fair price of Obsidian Energy Ltd (OBE) is between 3.04 to 5.79 according to relative valuation methord.

How does OBE's valuation metrics compare to the industry average?

What is the current P/B ratio for Obsidian Energy Ltd (OBE) as of Dec 15 2025?

As of Dec 15 2025, Obsidian Energy Ltd (OBE) has a P/B ratio of 0.40. This indicates that the market values OBE at 0.40 times its book value.

What is the current FCF Yield for Obsidian Energy Ltd (OBE) as of Dec 15 2025?

As of Dec 15 2025, Obsidian Energy Ltd (OBE) has a FCF Yield of -0.81%. This means that for every dollar of Obsidian Energy Ltd’s market capitalization, the company generates -0.81 cents in free cash flow.

What is the current Forward P/E ratio for Obsidian Energy Ltd (OBE) as of Dec 15 2025?

As of Dec 15 2025, Obsidian Energy Ltd (OBE) has a Forward P/E ratio of 6.87. This means the market is willing to pay $6.87 for every dollar of Obsidian Energy Ltd’s expected earnings over the next 12 months.

What is the current Forward P/S ratio for Obsidian Energy Ltd (OBE) as of Dec 15 2025?

As of Dec 15 2025, Obsidian Energy Ltd (OBE) has a Forward P/S ratio of 0.75. This means the market is valuing OBE at $0.75 for every dollar of expected revenue over the next 12 months.

OBE Valuation