(SKYQ) Sky Quarry - Ratings and Ratios

Sky Quarry Inc. is a multifaceted energy company that not only engages in oil production and refining but is also at the forefront of environmental remediation through innovative technologies. By focusing on recycling waste asphalt shingles and remediating oil-saturated soils, the company is positioned at the intersection of traditional energy production and sustainable practices, potentially capitalizing on the growing demand for environmentally friendly solutions.

The companys operational footprint includes significant assets such as 100% interest in asphalt bitumen leases covering approximately 5,930 acres in Utahs PR Spring region. This, combined with its refining capabilities that convert heavy crude oil into valuable petroleum products like diesel, naphtha, and paving asphalt liquids, underscores its vertical integration and potential for profitability in a competitive energy landscape.

From a market perspective, SKYQs stock has shown volatility, with its last price at $0.96. Technical indicators suggest a potentially bullish trend, with the stock trading above its 20-day and 50-day Simple Moving Averages (SMA20 and SMA50) of $0.79 and $0.72, respectively. However, it remains below its 200-day SMA of $1.21, indicating a longer-term bearish trend. The Average True Range (ATR) of 0.10 or 10.02% suggests significant short-term volatility.

Fundamentally, Sky Quarry Inc. has a market capitalization of $16.36M USD, with no P/E ratio due to negative earnings. The Return on Equity (RoE) stands at -135.04, indicating substantial losses relative to shareholder equity. This suggests that while the company is in a growth phase or restructuring, investors should be cautious about its financial health.

Forecasting SKYQs stock performance involves analyzing both its technical and fundamental data. Given its current price is above both SMA20 and SMA50 but below SMA200, and considering the high volatility indicated by ATR, theres a potential for short-term gains if the stock can break through resistance levels. However, the lack of profitability and negative RoE are significant concerns. If Sky Quarry can successfully leverage its environmental remediation technologies and improve its refining margins, it might see an improvement in its financials. A potential target could be a move towards its 52-week high of $4.24 if it achieves operational and financial milestones. Conversely, failure to address its financial losses could see the stock testing its 52-week low of $0.52. Investors should closely monitor the companys progress in its environmental initiatives and refining operations, as these will be key drivers of its stock performance.