EVOLUTION PETROLEUM CORP (EPM) Stock Fundamental Analysis
USA - NYSEARCA:EPM - US30049A1079 - Common Stock
5.415 USD
+0.15 (+2.75%)
EPM gets a fundamental rating of 3 out of 10. The analysis compared the fundamentals against 210 industry peers in the Oil, Gas & Consumable Fuels industry. While EPM seems to be doing ok healthwise, there are quite some concerns on its profitability. EPM does not seem to be growing, but still is valued expensively.
1. Profitability
1.1 Basic Checks
In the past year EPM has reported negative net income.
EPM had a positive operating cash flow in the past year.
Of the past 5 years EPM 4 years were profitable.
Each year in the past 5 years EPM had a positive operating cash flow.
1.2 Ratios
Looking at the Return On Assets, with a value of -0.62%, EPM is doing worse than 69.52% of the companies in the same industry.
Looking at the Return On Equity, with a value of -1.35%, EPM is doing worse than 67.62% of the companies in the same industry.
EPM has a Return On Invested Capital of 2.97%. This is in the lower half of the industry: EPM underperforms 65.71% of its industry peers.
EPM had an Average Return On Invested Capital over the past 3 years of 20.97%. This is in line with the industry average of 21.90%.
The 3 year average ROIC (20.97%) for EPM is well above the current ROIC(2.97%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.62% | ||
| ROE | -1.35% | ||
| ROIC | 2.97% |
ROA(3y)17.31%
ROA(5y)7.39%
ROE(3y)28.79%
ROE(5y)12.86%
ROIC(3y)20.97%
ROIC(5y)14.37%
1.3 Margins
EPM's Profit Margin has declined in the last couple of years.
EPM has a worse Operating Margin (6.09%) than 66.19% of its industry peers.
EPM's Operating Margin has declined in the last couple of years.
Looking at the Gross Margin, with a value of 42.56%, EPM is in line with its industry, outperforming 51.43% of the companies in the same industry.
In the last couple of years the Gross Margin of EPM has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 6.09% | ||
| PM (TTM) | N/A | ||
| GM | 42.56% |
OM growth 3Y-10.46%
OM growth 5Y-25.75%
PM growth 3YN/A
PM growth 5Y-33.42%
GM growth 3Y-3.86%
GM growth 5Y-8.15%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so EPM is creating value.
EPM has more shares outstanding than it did 1 year ago.
Compared to 5 years ago, EPM has more shares outstanding
EPM has a worse debt/assets ratio than last year.
2.2 Solvency
EPM has an Altman-Z score of 2.15. This is not the best score and indicates that EPM is in the grey zone with still only limited risk for bankruptcy at the moment.
The Altman-Z score of EPM (2.15) is better than 70.48% of its industry peers.
EPM has a debt to FCF ratio of 1.43. This is a very positive value and a sign of high solvency as it would only need 1.43 years to pay back of all of its debts.
EPM has a Debt to FCF ratio of 1.43. This is amongst the best in the industry. EPM outperforms 87.62% of its industry peers.
A Debt/Equity ratio of 0.50 indicates that EPM is not too dependend on debt financing.
EPM has a Debt to Equity ratio (0.50) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.5 | ||
| Debt/FCF | 1.43 | ||
| Altman-Z | 2.15 |
ROIC/WACC0.35
WACC8.42%
2.3 Liquidity
EPM has a Current Ratio of 0.88. This is a bad value and indicates that EPM is not financially healthy enough and could expect problems in meeting its short term obligations.
Looking at the Current ratio, with a value of 0.88, EPM is doing worse than 62.38% of the companies in the same industry.
A Quick Ratio of 0.88 indicates that EPM may have some problems paying its short term obligations.
EPM has a Quick ratio of 0.88. This is comparable to the rest of the industry: EPM outperforms 46.19% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.88 | ||
| Quick Ratio | 0.88 |
3. Growth
3.1 Past
The earnings per share for EPM have decreased strongly by -137.50% in the last year.
The earnings per share for EPM have been decreasing by -22.88% on average. This is quite bad
The Revenue has been growing slightly by 3.79% in the past year.
The Revenue has been growing by 14.71% on average over the past years. This is quite good.
EPS 1Y (TTM)-137.5%
EPS 3Y6.27%
EPS 5Y-22.88%
EPS Q2Q%-800%
Revenue 1Y (TTM)3.79%
Revenue growth 3Y37.96%
Revenue growth 5Y14.71%
Sales Q2Q%-2.02%
3.2 Future
The Earnings Per Share is expected to decrease by -74.05% on average over the next years. This is quite bad
EPM is expected to show a decrease in Revenue. In the coming years, the Revenue will decrease by -1.64% yearly.
EPS Next Y-137.87%
EPS Next 2Y-74.05%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year-3.79%
Revenue Next 2Y-1.64%
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings Ratio is negative for EPM. In the last year negative earnings were reported.
Based on the Price/Forward Earnings ratio of 670.17, the valuation of EPM can be described as expensive.
Based on the Price/Forward Earnings ratio, EPM is valued a bit more expensive than the industry average as 69.52% of the companies are valued more cheaply.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.77, EPM is valued quite expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 670.17 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of EPM is on the same level as its industry peers.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of EPM indicates a rather cheap valuation: EPM is cheaper than 84.76% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 7.48 | ||
| EV/EBITDA | 7.89 |
4.3 Compensation for Growth
A cheap valuation may be justified as EPM's earnings are expected to decrease with -74.05% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-74.05%
EPS Next 3YN/A
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 9.16%, EPM is a good candidate for dividend investing.
EPM's Dividend Yield is rather good when compared to the industry average which is at 6.15. EPM pays more dividend than 87.14% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 2.38, EPM pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 9.16% |
5.2 History
The dividend of EPM has a limited annual growth rate of 3.76%.
EPM has been paying a dividend for at least 10 years, so it has a reliable track record.
EPM has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)3.76%
Div Incr Years0
Div Non Decr Years4
5.3 Sustainability
The earnings of EPM are negative and hence is the payout ratio. EPM will probably not be able to sustain this dividend level.
DP-1681.55%
EPS Next 2Y-74.05%
EPS Next 3YN/A
NYSEARCA:EPM (9/16/2025, 11:23:28 AM)
5.415
+0.15 (+2.75%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)
Earnings (Next)
Inst Owners57.16%
Inst Owner Change4.8%
Ins Owners10.04%
Ins Owner Change-0.94%
Market Cap185.79M
Analysts76.67
Price Target5.2 (-3.97%)
Short Float %4.31%
Short Ratio8.47
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 9.16% |
Yearly Dividend0.48
Dividend Growth(5Y)3.76%
DP-1681.55%
Div Incr Years0
Div Non Decr Years4
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-489.55%
Min EPS beat(2)-494.06%
Max EPS beat(2)-485.04%
EPS beat(4)1
Avg EPS beat(4)-242.01%
Min EPS beat(4)-494.06%
Max EPS beat(4)48.51%
EPS beat(8)1
Avg EPS beat(8)-154.71%
EPS beat(12)4
Avg EPS beat(12)-89.83%
EPS beat(16)5
Avg EPS beat(16)-70.49%
Revenue beat(2)0
Avg Revenue beat(2)-1.9%
Min Revenue beat(2)-3.68%
Max Revenue beat(2)-0.13%
Revenue beat(4)0
Avg Revenue beat(4)-4.21%
Min Revenue beat(4)-11.4%
Max Revenue beat(4)-0.13%
Revenue beat(8)1
Avg Revenue beat(8)-4.83%
Revenue beat(12)5
Avg Revenue beat(12)0.39%
Revenue beat(16)9
Avg Revenue beat(16)1.52%
PT rev (1m)-17.07%
PT rev (3m)-17.07%
EPS NQ rev (1m)300%
EPS NQ rev (3m)851.88%
EPS NY rev (1m)-136%
EPS NY rev (3m)-136%
Revenue NQ rev (1m)-0.79%
Revenue NQ rev (3m)-3.84%
Revenue NY rev (1m)-0.1%
Revenue NY rev (3m)-1.72%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 670.17 | ||
| P/S | 2.16 | ||
| P/FCF | 7.48 | ||
| P/OCF | 6.07 | ||
| P/B | 2.59 | ||
| P/tB | 2.59 | ||
| EV/EBITDA | 7.89 |
EPS(TTM)-0.03
EYN/A
EPS(NY)0.01
Fwd EY0.15%
FCF(TTM)0.72
FCFY13.37%
OCF(TTM)0.89
OCFY16.46%
SpS2.51
BVpS2.09
TBVpS2.09
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.62% | ||
| ROE | -1.35% | ||
| ROCE | 3.91% | ||
| ROIC | 2.97% | ||
| ROICexc | 3.1% | ||
| ROICexgc | 3.1% | ||
| OM | 6.09% | ||
| PM (TTM) | N/A | ||
| GM | 42.56% | ||
| FCFM | 28.9% |
ROA(3y)17.31%
ROA(5y)7.39%
ROE(3y)28.79%
ROE(5y)12.86%
ROIC(3y)20.97%
ROIC(5y)14.37%
ROICexc(3y)22.81%
ROICexc(5y)15.8%
ROICexgc(3y)22.81%
ROICexgc(5y)15.8%
ROCE(3y)27.6%
ROCE(5y)18.91%
ROICexcg growth 3Y-4.57%
ROICexcg growth 5Y-27.84%
ROICexc growth 3Y-4.57%
ROICexc growth 5Y-27.82%
OM growth 3Y-10.46%
OM growth 5Y-25.75%
PM growth 3YN/A
PM growth 5Y-33.42%
GM growth 3Y-3.86%
GM growth 5Y-8.15%
F-Score5
Asset Turnover0.55
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.5 | ||
| Debt/FCF | 1.43 | ||
| Debt/EBITDA | 1.33 | ||
| Cap/Depr | 26.75% | ||
| Cap/Sales | 6.68% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 114.49% | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.88 | ||
| Quick Ratio | 0.88 | ||
| Altman-Z | 2.15 |
F-Score5
WACC8.42%
ROIC/WACC0.35
Cap/Depr(3y)325.93%
Cap/Depr(5y)306.62%
Cap/Sales(3y)37.87%
Cap/Sales(5y)41.68%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-137.5%
EPS 3Y6.27%
EPS 5Y-22.88%
EPS Q2Q%-800%
EPS Next Y-137.87%
EPS Next 2Y-74.05%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)3.79%
Revenue growth 3Y37.96%
Revenue growth 5Y14.71%
Sales Q2Q%-2.02%
Revenue Next Year-3.79%
Revenue Next 2Y-1.64%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y-9.09%
EBIT growth 3Y23.53%
EBIT growth 5Y-14.83%
EBIT Next Year221.53%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-42.26%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-59.49%
OCF growth 3Y68.72%
OCF growth 5Y-1.13%