Calgary, Alberta--(Newsfile Corp. - February 2, 2026) - Baytex Energy Corp. (TSX: BTE) (NYSE: BTE) ("Baytex") is pleased to announce its year-end 2025 reserves and provide an operations update (all amounts in Canadian dollars unless otherwise noted).Our 2025 performance was highlighted by the strategic divestiture of our U.S. assets, resulting in a significantly strengthened financial position and sharpened focus on our high-return Canadian energy platform. We entered 2026 with a net cash position and rema ...

Baytex Energy Corp. (NYSE:BTE) is among the overlooked penny stocks to invest in. Baytex Energy Corp. (NYSE:BTE) On January 16, TD Cowen downgraded Baytex Energy Corp. (NYSE:BTE) to Hold from Buy and reaffirmed a price target of C$5. Thanks to the company’s rebranding project and reinstatement of its Normal Course Issuer Bid, the stock has appreciated significantly. Over the past six months, BTE has surged by nearly 77%. 3 High-Yielding Retirement Savings Stocks That Pay Monthly Dividends Earlier on Jan ...

Core Viewpoint - Baytex Energy Corp. (NYSE:BTE) is receiving positive ratings from analysts, indicating strong fundamentals and growth potential, particularly in light of its recent strategic decisions and financial outlook for 2026 [1][2][4]. Group 1: Analyst Ratings and Price Targets - Menno Hulshof from TD Cowen reiterated a Buy rating on Baytex Energy Corp. and raised the price target from C$4.75 to C$5 [1] - Jeremy McCrea from BMO Capital also reiterated a Buy rating with a price target of C$6, noting improving fundamentals and upside potential [1][2] Group 2: Financial Outlook and Strategic Plans - Baytex Energy's 2026 capital budget is set between $550 million and $625 million, with a target of 3% to 5% production growth [4] - The company plans to prioritize meaningful shareholder returns, with a significant portion of the $2.305 billion proceeds from the Eagle Ford sale allocated for this purpose [4] Group 3: Growth Drivers and Asset Management - BMO Capital highlighted a strong multi-year growth outlook driven by Baytex's Canadian assets [3] - The recent asset sales are seen as a strategic move to refocus the company on higher-return operations [3]

Core Viewpoint - Baytex Energy (BTE) has been upgraded to a Zacks Rank 1 (Strong Buy) due to an upward trend in earnings estimates, which significantly influences stock prices [1][3]. Earnings Estimates and Stock Price Impact - The Zacks rating system focuses on changes in earnings estimates, which are strongly correlated with near-term stock price movements [4][6]. - Rising earnings estimates for Baytex indicate an improvement in the company's underlying business, likely leading to an increase in stock price [5]. Zacks Rating System - The Zacks Rank stock-rating system classifies stocks into five groups based on earnings estimates, with Zacks Rank 1 stocks historically generating an average annual return of +25% since 1988 [7]. - Only the top 5% of Zacks-covered stocks receive a "Strong Buy" rating, indicating superior earnings estimate revisions [9][10]. Earnings Estimate Revisions for Baytex - Baytex is expected to earn $0.24 per share for the fiscal year ending December 2025, with no year-over-year change [8]. - Over the past three months, the Zacks Consensus Estimate for Baytex has increased by 67.9% [8].

Core Viewpoint - Baytex Energy Corp. is positioned as a strong investment opportunity under $5, with a reaffirmed Buy rating and a price target of C$5.00 by TD Cowen [1] Group 1: Financial and Operational Plans - Baytex Energy has approved a 2026 exploration and development budget between C$550 million and C$625 million, with approximately 45% of the spending allocated to the first half of the year, assuming a WTI price of $60 per barrel [2] - The company targets an average annual production of 67,000 to 69,000 barrels of oil equivalent per day in 2026, reflecting a 3% to 5% increase from 2025 levels [2] - The plan aims to lower the sustaining breakeven price to $52 per barrel, supported by an optimized cost structure and strong liquidity [3] Group 2: Debt Management - Baytex Energy has initiated a cash tender offer to buy back its 7.375% senior notes due 2032 and plans to fully redeem its 8.500% senior notes due 2030, as part of efforts to optimize its debt structure [4] Group 3: Company Overview - Baytex Energy Corp. is a Canadian independent oil and gas company involved in the acquisition, development, and production of crude oil and natural gas, with operations primarily in Western Canada and the Eagle Ford shale in Texas [5]

Group 1: Maximus (MMS) - Maximus operates government health and human services programs globally and has a Zacks Rank 1 (Strong Buy) [1] - The Zacks Consensus Estimate for Maximus' current year earnings has increased by 15.8% over the last 60 days [1] - The company has a price-to-earnings ratio (P/E) of 10.62, compared to 14.40 for the industry, and possesses a Value Score of A [1] Group 2: Virtu Financial (VIRT) - Virtu Financial is a market-leading financial services firm that provides execution services and data analytics, holding a Zacks Rank 1 [2] - The Zacks Consensus Estimate for Virtu Financial's current year earnings has increased by 4.4% over the last 60 days [2] - The company has a price-to-earnings ratio (P/E) of 6.81, compared to 10.70 for the industry, and possesses a Value Score of A [3] Group 3: Baytex Energy (BTE) - Baytex Energy is a conventional oil and gas income trust focused on maintaining production and delivering consistent returns, with a Zacks Rank 1 [4] - The Zacks Consensus Estimate for Baytex Energy's current year earnings has increased by 33.3% over the last 60 days [4] - The company has a price-to-earnings ratio (P/E) of 13.49, compared to 14 for the industry, and possesses a Value Score of A [4]

Group 1 - The article discusses the analysis of oil and gas companies, specifically focusing on identifying undervalued firms in the sector [1] - The author emphasizes the cyclical nature of the oil and gas industry, highlighting the importance of patience and experience in investing [2] - The investing group, Oil & Gas Value Research, seeks out under-followed oil companies and midstream firms that present attractive investment opportunities [2] Group 2 - The article mentions that the author has a beneficial long position in Baytex Energy (BTE) through various financial instruments [3] - It is noted that the article reflects the author's personal opinions and is not influenced by compensation from any company mentioned [3] - The article does not provide investment advice and encourages investors to conduct their own research [4]

Group 1 - The article discusses the analysis of oil and gas companies, specifically focusing on identifying undervalued firms within the sector [1] - The author emphasizes the cyclical nature of the oil and gas industry, highlighting the importance of patience and experience in navigating this market [2] - The investing group, Oil & Gas Value Research, seeks out under-followed oil companies and midstream firms that present attractive investment opportunities [2] Group 2 - The article mentions that the author holds a beneficial long position in Baytex Energy (BTE) through various financial instruments [3] - It is noted that the article reflects the author's personal opinions and is not influenced by any compensation from companies mentioned [3] - The content is part of a broader service that provides detailed analysis on oil and gas companies, including balance sheets and competitive positions [1]

Core Viewpoint - As oil and energy investors look towards 2026, balance-sheet strength, capital discipline, and earnings visibility are becoming increasingly important alongside production growth. Baytex Energy and Canadian Natural Resources are diverging in their strategies and risk profiles, with Baytex emerging from a major reset while CNQ focuses on scale and stability [1]. Baytex Energy (BTE) Case - Baytex is transforming into a different company by 2026, having simplified its business through the sale of Eagle Ford assets, which has significantly reduced financial risk and improved its balance sheet [2]. - The company is now focused on high-return Canadian assets, with heavy oil production from Clearwater, Peace River, and Lloydminster forming the backbone of its cash flow, which remains positive even in softer oil price environments [3]. - With over 80% of its 2025 capital spending already completed, Baytex is positioned for better free cash flow visibility heading into 2026, allowing for increased shareholder returns through dividends and buybacks [4]. - Challenges include a heavier weighting towards heavy oil, which increases exposure to price discounts during downturns, and recent reductions in free cash flow expectations due to weaker oil prices [5]. Canadian Natural Resources (CNQ) Case - CNQ represents stability and consistency, with a C$6.3 billion capital program aimed at sustaining low-cost, long-life production while delivering steady returns to shareholders, expecting a modest production growth of about 3% [6]. - The company's asset base features low decline rates and long reserve life, reducing the need for heavy reinvestment and supporting predictable cash flow across commodity cycles [7]. - CNQ's operational efficiency is enhanced by its scale and technology, allowing for steady output and flexibility in response to price changes, although its size limits rapid growth potential [8]. - Looking towards 2026, CNQ is characterized by reliability rather than rapid growth, offering dependable cash flow but limited near-term upside compared to smaller companies like Baytex [9]. Price Performance - Baytex shares have outperformed recently, gaining 65.3% over the past six months, while CNQ shares have decreased by 0.6%, indicating market confidence in Baytex's post-divestment strategy [11]. Valuation - On a forward 12-month price-to-sales basis, CNQ trades at 2.54X and Baytex at 2.45X, suggesting that Baytex may have more room for valuation expansion if its execution continues to improve [12]. EPS Outlook - Baytex is projected to see a 9.5% year-over-year EPS growth in 2025, while CNQ is expected to experience a modest 0.8% decline, indicating stronger earnings leverage for Baytex heading into 2026 [14][16]. Conclusion - Both companies have their merits, but they cater to different investor needs. CNQ is a dependable operator with a proven capital-return model, while Baytex's cleaner balance sheet and improving cash flow profile give it a competitive edge at this time [17].

Core Viewpoint - Baytex Energy Corp. has announced its 2026 budget, a three-year outlook, and changes in executive leadership, emphasizing disciplined growth, shareholder returns, and a strong focus on its Canadian oil and gas portfolio [1][3][12]. 2026 Budget and Production Outlook - The Board approved exploration and development expenditures of CAD 550 to 625 million, targeting average annual production of 67,000 to 69,000 boe/d, based on a WTI price of USD 60/bbl [4][12]. - Production in Q1 2026 is forecasted to average 68,000 to 69,000 boe/d, with an exit production rate of approximately 70,000 boe/d by the end of 2026 [6][12]. - The production mix is expected to be 89% liquids (82% crude oil, 7% NGLs) and 11% natural gas [6]. Capital Allocation - Approximately 55% of the capital expenditures will be directed to light oil assets, while 45% will be allocated to heavy oil assets, allowing for flexibility in response to commodity price movements [5][12]. - The capital program includes 91 wells for heavy oil production, with an average production of 43,000 to 44,000 bbl/d expected in 2026 [8][12]. Pembina Duvernay Development - Baytex plans to bring 12 wells onstream in the Pembina Duvernay in 2026, with production expected to increase by 35% to an average of approximately 11,000 boe/d [7][12]. - About 35% of the 2026 capital program is allocated to the Pembina Duvernay, focusing on infrastructure investments to support long-term development [8][12]. Shareholder Returns and Financial Position - The company intends to return a significant portion of excess proceeds from the Eagle Ford sale to shareholders, resuming its normal course issuer bid and maintaining an annual dividend of CAD 0.09 per share [18][12]. - Baytex has secured a $750 million credit facility, extending maturity to 2030, reflecting strong financial support from its lending syndicate [19][12]. Executive Changes - Chad E. Lundberg has been appointed as President and Chief Operating Officer, effective December 22, 2025, to enhance leadership continuity and execution of the company's strategy [24][12]. - The Board of Directors will consist of 8 members, with 7 being independent, following the departure of two directors [25][12]. Three-Year Outlook - The three-year outlook (2026 to 2028) anticipates 3% to 5% annual production growth, reaching approximately 75,000 boe/d by 2028, with a focus on maintaining a net cash position [20][12]. - The heavy oil portfolio is expected to provide stable production and free cash flow to support growth in the Pembina Duvernay [22][12].