7 Cheap Energy Stocks Under $5

5. Greenfire Resources Ltd. (NYSE:GFR)

Price: $4.57

P/E Ratio: 5.01

Greenfire Resources Ltd. (NYSE:GFR) is one of the Cheap Energy Stocks to Buy Under $5. On September 22,  BMO Capital analyst Tariq Saad downgraded Greenfire Resources Ltd. (NYSE:GFR) from Outperform to Market Perform, while keeping the price target unchanged at C$8.

The analyst noted that the firm anticipates the company to materially outspend its cash flow in 2026, which will drive its leverage higher. The company reported its fiscal second-quarter results on August 6. It produced 15,748 barrels of bitumen per day despite a steam generator failure. This issue reduced production by about 1,500 to 2,250 barrels per day.

Moreover, the company generated $17.7 million in operating cash flow and $33.8 million in adjusted funds flow. Whereas the capital expenditures were $10.8 million, down from $23 million last year. Management noted that they are working with Alberta regulators to reduce sulphur dioxide emissions, which previously exceeded limits. Moreover, sulphur removal facilities costing $11.3 million are expected to be installed by Q4 2025 to resolve this.

Greenfire Resources Ltd. (NYSE:GFR) is an energy company focused on producing oil from the Athabasca oil sands in Alberta, Canada.