Situation: Distress / turnaround. Thin interest coverage, or operating cash burned against real debt, across the record. The balance sheet carries this situation; the debt schedule sets the clock. Capital build-out. Capital spending has surged to 52% of sales, today's earnings are charged less depreciation than tomorrow's will be.
What moves the needle: The commodity price, and the cost to lift a barrel. What decides it: the price of oil and gas, reserve replacement, and how low the break-even sits when the price falls. It controls its costs, not its prices. On its own account, the filing leans hardest on concentrated dependence, set against the numbers in what the filing emphasizes, below.

Every line is arithmetic on the company's filings, shown in full in the sections below.

The record

Ten years of arithmetic, read across the cycle.

The record, 2016–2025

realized figures from each filing · older years to the left

2016’16	2017’17	2018’18	2019’19	2020’20	2021’21	2022’22	2023’23	2024’24	2025’25	TTMTTMDec 2025
											Income statement
C$575M	C$444M	C$382M	C$382M	C$310M	C$451M	C$771M	C$684M	C$756M	C$571M	C$571M	RevenueRevenue
(C$838M)	(C$87M)	—	—	—	—	—	—	—	—	C$51M	Operating incomeOp. inc.
−145.7%	−19.6%	—	—	—	—	—	—	—	—	9.0%	Operating marginOp. mgn
(C$696M)	(C$84M)	(C$305M)	(C$788M)	(C$772M)	C$414M	C$810M	C$108M	(C$203M)	C$35M	C$35M	Net incomeNet inc.
											Cash flow & returns
(C$137M)	C$125M	C$99M	C$77M	C$79M	C$199M	C$457M	C$353M	C$362M	C$240M	C$240M	Operating cash flowOp. cash
C$559M	C$209M	C$404M	C$865M	C$851M	(C$215M)	(C$353M)	C$245M	C$565M	C$205M	C$205M	Working capital & otherWC & other
C$82M	C$141M	C$168M	C$103M	C$57M	C$141M	C$315M	C$293M	C$343M	C$299M	C$299M	CapexCapex
14.3%	31.8%	44.0%	27.0%	18.5%	31.2%	40.8%	42.8%	45.4%	52.3%	52.3%	Capex / revenueCapex/rev
(C$219M)	(C$16M)	(C$69M)	(C$26M)	C$22M	C$58M	C$142M	C$60M	C$19M	(C$59M)	(C$59M)	Owner earningsOwner earn.
−38.1%	−3.6%	−18.1%	−6.9%	7.2%	12.8%	18.4%	8.8%	2.5%	−10.3%	−10.3%	Owner earnings marginOE mgn
(C$219M)	(C$16M)	(C$69M)	(C$26M)	C$22M	C$58M	C$142M	C$60M	C$19M	(C$59M)	(C$59M)	Free cash flowFCF
−38.1%	−3.6%	−18.1%	−6.9%	7.2%	12.8%	18.4%	8.8%	2.5%	−10.3%	−10.3%	Free cash flow marginFCF mgn
—	—	—	—	—	—	C$0	C$47M	C$42M	C$55M	—	BuybacksBuybacks
-25%	-3%	—	—	—	—	—	—	—	—	3%	ROICROIC
-31%	-4%	-16%	-72%	-239%	54%	51%	7%	-14%	3%	3%	Return on equityROE
−31%	−4%	−16%	−72%	−239%	54%	51%	7%	−14%	3%	3%	Retained to equityRetained/eq
											Balance sheet
C$11M	C$2M	C$400K	C$3M	C$8M	C$7M	C$800K	C$500K	—	—	C$500K	Cash & investmentsCash+inv
C$122M	C$106M	C$53M	C$66M	C$41M	C$69M	C$83M	C$70M	C$88M	C$56M	C$56M	ReceivablesReceiv.
C$175M	C$149M	C$143M	C$111M	C$74M	C$108M	C$186M	C$194M	C$176M	C$155M	C$155M	Accounts payablePayables
(C$53M)	(C$43M)	(C$90M)	(C$45M)	(C$33M)	(C$39M)	(C$103M)	(C$124M)	(C$88M)	(C$99M)	(C$99M)	Operating working capitalOper. WC
C$341M	C$189M	C$76M	C$170M	C$59M	C$87M	C$100M	C$95M	C$492M	C$90M	C$90M	Current assetsCur. assets
C$344M	C$286M	C$190M	C$604M	C$548M	C$531M	C$223M	C$230M	C$275M	C$168M	C$168M	Current liabilitiesCur. liab.
1.0×	0.7×	0.4×	0.3×	0.1×	0.2×	0.4×	0.4×	1.8×	0.5×	0.5×	Current ratioCurr. ratio
C$3.3B	C$3.0B	C$2.6B	C$1.9B	C$964M	C$1.4B	C$2.2B	C$2.3B	C$2.1B	C$1.9B	C$1.9B	Total assetsAssets
C$442M	C$328M	C$402M	C$26M	C$0	C$0	C$225M	C$218M	C$332M	C$180M	C$180M	Total debtDebt
C$431M	C$326M	C$402M	C$23M	(C$8M)	(C$7M)	C$225M	C$218M	C$332M	C$180M	C$179M	Net debt / (cash)Net debt
-7.4×	-3.8×	—	—	—	—	—	—	—	—	1.2×	Interest coverageInt. cov.
C$2.2B	C$2.2B	C$1.9B	C$1.1B	C$323M	C$764M	C$1.6B	C$1.6B	C$1.4B	C$1.4B	C$1.4B	Shareholders’ equityEquity
											Per share
71.8M	72.0M	72.3M	72.9M	73.3M	75.1M	82.0M	80.9M	76.0M	69.4M	69.4M	Shares out (diluted)Shares
C$8.01	C$6.17	C$5.28	C$5.24	C$4.23	C$6.01	C$9.40	C$8.45	C$9.95	C$8.23	C$8.23	Revenue / shareRev/sh
C$-9.70	C$-1.17	C$-4.22	C$-10.81	C$-10.53	C$5.51	C$9.88	C$1.33	C$-2.67	C$0.51	C$0.51	EPS (diluted)EPS
C$-3.05	C$-0.22	C$-0.95	C$-0.36	C$0.30	C$0.77	C$1.73	C$0.74	C$0.25	C$-0.85	C$-0.85	Owner earnings / shareOE/sh
C$-3.05	C$-0.22	C$-0.95	C$-0.36	C$0.30	C$0.77	C$1.73	C$0.74	C$0.25	C$-0.85	C$-0.85	Free cash flow / shareFCF/sh
C$1.14	C$1.96	C$2.32	C$1.42	C$0.78	C$1.88	C$3.84	C$3.62	C$4.51	C$4.31	C$4.31	Cap. spending / shareCapex/sh
C$31.31	C$30.09	C$25.95	C$14.99	C$4.41	C$10.17	C$19.26	C$20.32	C$18.50	C$20.05	C$20.05	Book value / shareBVPS

Share counts before 2018 are restated ×1/7 for a stock split, so per-share figures sit on one basis.

Per-share growththe realized rate an owner's share compounded

	9-yr	5-yr
Revenue / share	+0.3%/yr	+14.3%/yr
Capital spending / share	+15.9%/yr	+40.7%/yr
Book value / share	−4.8%/yr	+35.4%/yr

The record, charted

FY2016–2025

Each measure over its full record; the current point and the worst year marked. Share counts on the current split basis.

Share count

69Mpeak FY2022

Net debt ÷ owner earnings

17.7×peak FY2024

Owner earnings vs. net income

Owner earningsNet income

The accountant's number, and the cash an owner can take; the gap is the tell.

(C$59M)owner earningsvs.C$35Mnet incomelow FY2016

Where the cash went

ReinvestBuybacksDividendsAcquisitionsRetained

Each year's operating cash, by what management did with it: the mix, and how it drifts.

FY2017FY2025

Owner-earnings bridge

FY2021–FY2025cash-flow statement, SEC EDGAR →

Net income is the accountant's number; owner earnings is the cash an owner could take out. The walk between them, off the cash-flow statement, and whether the gap is widening or holding.

In fiscal 2025 the business reported C$35M of profit but (C$59M) of owner earnings: C$94M less than the profit line, taken out by capital spending and the timing of cash.

	FY2025	FY2024	FY2023	FY2022	FY2021
Reported net income	C$35M	(C$203M)	C$108M	C$810M	C$414M
Working capital & othertiming of cash in and out, other non-cash items	+C$205M	+C$565M	+C$245M	−C$353M	−C$215M
Cash from operations	C$240M	C$362M	C$353M	C$457M	C$199M
Capital expenditurecash put back in to keep running and to grow	−C$299M	−C$343M	−C$293M	−C$315M	−C$141M
Owner earnings	(C$59M)	C$19M	C$60M	C$142M	C$58M
Owner-earnings marginowner earnings ÷ revenue	-10%	2%	9%	18%	13%

Owner earnings is the cash an owner could pull out without starving the business: operating cash less the capital it must spend to hold its position .

Maintenance capex is estimated as depreciation where a growing business invests above it; free cash flow is the figure the scorecard's free-cash margin reads.

III

Quality & stewardship

Returns, the balance sheet, capital allocation, and pay.

Owner’s Scorecard

FY2025 40-F · source on SEC EDGAR →

Will it survive?

Can it pay its interest? 1.2×

Thin

Operating income C$51M ÷ interest expense C$42M

What this means
Operating profit covers interest, but with little room. A bad year, a refinancing at higher rates, or a revenue wobble closes the gap fast.
How heavy is the debt, net of cash? C$179M · 3.5× operating profit

Meaningful net debt

Cash C$500K − debt C$180M

What this means
Netting C$500K of cash and short-term investments against C$180M of debt leaves C$179M owed, about 3.5× a year's operating profit. Net debt is the leverage figure that matters: the cash is already set against the debt. Strategic or illiquid investments aren't counted here.
How long is cash tied up? —

Not enough data

What this means
The filing data didn't include the inputs for this check.

Is it a good business?

Return on invested capital 3%

Below average

NOPAT C$51M ÷ invested capital C$1.6B (debt + equity − cash)

Industry peers: median 9%

What this means
The rate the business earns on the money tied up in it, Buffett's north star, because over time a stock tracks the ROIC beneath it. Above ~15% sustained hints at a moat; a return below the cost of capital (~8%) erodes value as a business grows rather than building it — the test Buffett weighs most. Asset-light businesses (R&D expensed, little capital) read artificially high, pair this with Owner Earnings.
Owner-earnings margin -4%

Consumes cash through the cycle

10-yr median margin, range -38%–18%; latest (C$59M) = operating cash C$240M − maintenance capex C$299M

Industry peers: median 23%

What this means
What an owner could take out without starving the business: operating cash less the maintenance capital it must spend to hold its position — Buffett's owner earnings. That's -10% of revenue this year, a -4% median across 10 years.
Are earnings backed by cash? 6.81×

Cash-backed

Cash from ops C$240M ÷ net income C$35M

What this means
How much of reported profit showed up as operating cash. Above 1× is reassuring; well below suggests earnings lean on accruals. One year is noisy, growth and working-capital swings distort it, and this is operating cash, not free cash. Watch the multi-year trend.

How is the cash used?

Where do the earnings go? —

No surplus to allocate

What this means
The business didn't generate positive Owner Earnings this year, so any distributions came from the balance sheet or borrowing, not from operations.
Investing or harvesting? —

Not enough data

What this means
The filing data didn't include the inputs for this check.

Graham’s defensive tests · 0 of 4 met

Graham’s numerical criteria for the defensive investor (The Intelligent Investor, ch. 14), run on the filings. A floor of safety, not a buy signal; many fine modern businesses fail his strictest liquidity rules by design.

Adequate size —

Revenue ≥ $2B (a dollar floor) · C$571M

What this means
Big enough to weather a storm. Graham's floor is a dollar figure — about $2B of revenue as a conservative modern stand-in. This company reports in its home currency and we carry no exchange rate, so we show the figure and leave the size bar for you to apply rather than convert it with a number we don't have.
Strong liquidity Miss

Current ratio ≥ 2× · 0.54×

What this means
Current assets at least twice current liabilities, near-term bills covered without touching the business. Strict by design: many cash-rich modern firms run leaner and miss it, holding their cushion in longer-dated securities.
Conservative debt Miss

Debt ≤ working capital · C$180M vs (C$78M) WC

What this means
Graham's rule that borrowings not exceed net current assets. Capital-heavy and buyback-heavy firms routinely fail it, read it next to interest coverage, not alone.
Earnings stability Miss

A profit every year (10-yr record) · 6 loss years

What this means
Graham wanted earnings in each of the past ten years, the stability a defensive owner leans on.
Dividend record Miss

Uninterrupted dividends · none paid

What this means
An unbroken dividend was Graham's mark of durability. He wanted twenty years; the filings show about ten, and a single suspension breaks the streak. Non-payers, many fine modern compounders, fall outside his defensive net by design.
Earnings growth —

Earnings +33% over the record · —

What this means
Earnings were negative early in the record, a growth rate isn't meaningful.
Moderate price —

P/E ≤ 15 and P/E × P/B ≤ 22.5 · decided by the price

What this means
Graham's valuation gate, the wall he kept between a sound business and a sound investment. Three-year average earnings are C$-0.29/share (latest year C$0.52), the averaged base the calculator's gate runs on, and book value is C$20.69/share. Enter a price in “What the price implies” just below for the P/E, P/B, and whether it clears. But this is the rule Buffett outgrew: there's no hard P/E law, and a wonderful business can deserve a far richer multiple if the thesis holds, treat it as the bargain-hunter's floor, not a verdict on the price.

Durability & moat, 2016–2025

Whether the record’s returns held, and what the capital reinvested earned.

Profitable years 4 of 10

What this means
Lost money in 6 year(s), look at what happened there before trusting the average.
Reinvestment, incremental ROIC returns capital

What this means
The capital base barely grew: this business returns cash through dividends and buybacks rather than reinvesting. Judge it on the cash returned, not on compounding.
Worst year 2016 · −145.7% op. margin

What this means
Operations went underwater in 2016, understand why before trusting the good years.

Does AI threaten the moat?

Low contestability

The moat is physical, regulated or balance-sheet-funded, the kind AI cuts costs within but does not contest.

AI is unlikely to contest a moat that is physical, regulated or balance-sheet-funded; here it reads more as a cost tool than a threat.

Read from the filing's own risk factors, paired with the industry's structure under its SIC code; the durability is read above, the price below.

All figures as filed; the source filing is linked above.

Current Position

as of fiscal year-end, Dec 31, 2025

Can the business pay what it owes this year, off the freshest balance sheet: the quality of the assets, the debt actually coming due, and what a low ratio means here.

Current assetsC$90M

Cash & short-term investmentsC$500K
ReceivablesC$56M
Other current assetsC$34M

Current liabilitiesC$168M

Accounts payableC$155M
Other current liabilitiesC$13M

Current ratio0.54×all current assets ÷ what's due · Graham looked for 2×

Quick ratio—inventory untagged this quarter, so withheld rather than shown equal to the current ratio

Cash ratio0.00×strictest: cash alone against what's due

Working capital(C$78M)the cushion left after near-term bills

Deeper floors

Tangible book valueC$1.4Bequity stripped of goodwill & intangibles

Net current asset value(C$373M)Graham's net-net: current assets less all liabilities

Debt incl. operating leasesC$199MC$20M of it operating leases

From the company's latest filing.

How the cash was used, 2016–2025

Over the record, the business generated C$1.9B of operating cash; how management split it reads as a reinvestor, most operating cash is plowed back into the business.

ReinvestedC$1.9B · 105%
BuybacksC$144M · 8%

Returned to ownersC$144M
C$0 as dividends and C$144M as buybacks.
Source of funding−C$233M
Reinvestment and shareholder returns ran C$233M beyond the operating cash the business generated, so the gap was financed off the balance sheet.
Average price paid for buybacks—
Buybacks ran C$144M over the span, but the filings don't tag the share count needed to deduce the average price paid.
Net change in share count−3.3%
The diluted count fell from 72M to 69M, so the buybacks outran the stock issued to staff.
Dividend record—
No dividend line was reported in the filing data over the span; the record here neither confirms nor rules out a payout.

Buybacks are gross of stock issued to staff; the share-count line above is the net of that, the figure that decides whether owners gained. The average price paid blends a year of purchases (and any accelerated repurchase), so it is close, not exact. The record of where the cash went and on what terms.

Inverting the record

Invert: instead of why Obsidian Energy Ltd. is a good business, the question is what would make owning it a mistake, and whether those marks are in the record. Disconfirming tests across 2016–2025.

None of the 4 tests turned up a mark; each came back clean. A clean panel says only that these particular ways of being wrong are not written into the record.

Each test came back clean

Is it less profitable than it was?
Did the share count rise anyway?
Did debt outgrow the business?
Did receivables and inventory outpace sales?

Each test is read from the filings and is noisy alone; a flag can mark a cyclical trough or a year of heavy investment as easily as a problem. The filing says which.

Peers, Oil & Gas Producers

The same industry, side by side on owner economics. Each figure is a through-cycle median, so a peak or trough year can’t distort it; the group median at the foot is the line to read each against.

Company	Revenue	Gross margin	Op. margin	ROIC	Owner earn. margin
BKVBKV Corporation	$894M	—	19.8%	7%	-2%
TTITetra Technologies Inc.	$631M	28%	8.6%	13%	-1%
GTEGran Tierra Energy Inc.	$597M	68%	17.8%	3%	10%
OBEObsidian Energy Ltd.	C$571M	—	9.0%	3%	-1%
GRNTGranite Ridge Resources Inc.	$450M	—	19.3%	9%	56%
BSMBlack Stone Minerals L.P. Common	$422M	—	50.6%	—	65%
EGYVAALCO Energy Inc.	$359M	—	27.2%	18%	23%
KRPKimbell Royalty Partners	$334M	—	20.1%	—	39%
Group median	—	—	19.6%	8%	16%

The price

What a price has to assume.

What the price implies

reverse-DCF

Enter the home-market price, not the US ADR quote. Obsidian Energy Ltd. reports in CAD, and every figure here (owner earnings, book value, the share count) is on that CAD, ordinary-share basis. Enter the price on the same basis: the local-exchange quote per ordinary share in CAD. A US ADR price in dollars bundles the ADR-to-ordinary ratio and the exchange rate, so it will not reconcile with these figures and would throw the multiple off.

Type today's close and see the owner-earnings growth you'd have to believe to justify it, beside what Obsidian Energy Ltd. has delivered.

Obsidian Energy Ltd.’s latest year shows negative owner earnings, below the record’s own through-cycle owner earnings. So the tool opens on the through-cycle base, the cash it would earn at rest; clear the toggle below to read the latest year exactly as reported.

Today’s price C$

Base Normalize · through-cycle (C$7M) Net of stock comp

—

The assumptions Required return 9% Years of high growth 10 Terminal growth 2.5%

9.0% = the 4.55% 10-year Treasury (Jul 15, 2026) + 4.45 points of equity premium. The rate you require is yours to set.

Enter a price above to run it.

Implied by the price—

Owner-earnings growth, delivered—

Owner-earnings yield—

P/E (3-yr earnings ’23–’25)—

P/B—

Graham’s price gate—

Graham capped the multiple at 15×; Buffett and Munger let that rule go: a wonderful business can deserve 50× if the thesis holds. The gate marks the bargain-hunter's floor.

Against a high-grade bond: Graham’s yardstick bond yield%

Prefilled with the 10-year Treasury (4.55%, as of Jul 15, 2026). Edit it for today’s exact figure, or a AAA corporate yield.

Graham measured a stock against the bond you could own instead, the heart of his margin of safety. Enter a price above to weigh the owner-earnings yield against this bond.

Owner earnings (C$59M) on 67M shares outstanding, per the 40-F cover, as of 2025-12-31; net debt C$179M. The if-converted diluted count is 69M, 3% above the shares outstanding: the dilution overhang (convertibles, options) a buyer inherits. The base opens on the through-cycle figure (the latest year sits off the record’s own median, and Graham’s averaging cuts both ways); clear Normalize to use the year as filed. Net of stock comp treats option pay as the expense it is. The dials set the multiple a growth belief justifies; the price, and every dollar on this page, is yours.

Weigh OBE against another business →

Cite: Owner Scorecard, "Obsidian Energy Ltd. (OBE), the owner's record," https://ownerscorecard.com/c/OBE, data as of 2026-07-09.

Manual order: ← NYAX its page in the Manual ODD →

Industry order: ← NUAI the Oil & Gas Producers chapter OVV →