Added to YB: 2026-10-13
Pitch date: 2026-10-09
OGD.TO [neutral]
Orbit Garant Drilling Inc.
+10.91%
current return
Author Info
No bio for this author
Company Info
Orbit Garant Drilling Inc. provides mineral drilling services in Canada, the United States, Central and South America, and West Africa.
Market Cap
CAD 42.8M
Pitch Price
CAD 1.10
Price Target
1.25 (+2%)
Dividend
N/A
EV/EBITDA
6.92
P/E
-28.00
EV/Sales
0.41
Sector
Metals and Mining
Category
turnaround
Record revenue, falling margins: a cheap driller that has to prove it can price its work - Orbit Garant Drilling Inc.
OGD.TO (earnings): Orbit Garant is not yet compelling: the C$1.25 12-month target offers only ~14% upside despite a cheap 0.61x book and 4.2x FY27E EV/EBITDA. FY26 revenue hit a record C$203.2M, but adjusted gross margin fell to 14.7%, EBITDA dropped 37% and free cash flow was negative C$9.4M. Strong demand and repricing help, but the northern contract ramp constrains FY27 margins and cash flow; recovery proof requires 18%+ adjusted gross margin and Canada operating margin above 5% in Q1 or Q2 FY27.
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