HIGHPEAK ENERGY INC (HPK)
US43114Q1058 - Common Stock
Overall HPK gets a fundamental rating of 4 out of 10. We evaluated HPK against 214 industry peers in the Oil, Gas & Consumable Fuels industry. There are concerns on the financial health of HPK while its profitability can be described as average. HPK has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
In the past year HPK was profitable.
HPK had a positive operating cash flow in the past year.
The reported net income has been mixed in the past 5 years: HPK reported negative net income in multiple years.
HPK had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
Looking at the Return On Assets, with a value of 6.29%, HPK is in line with its industry, outperforming 46.73% of the companies in the same industry.
HPK has a Return On Equity (12.49%) which is in line with its industry peers.
HPK's Return On Invested Capital of 11.87% is fine compared to the rest of the industry. HPK outperforms 62.15% of its industry peers.
The Average Return On Invested Capital over the past 3 years for HPK is significantly below the industry average of 44.58%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.29% | ||
| ROE | 12.49% | ||
| ROIC | 11.87% |
ROA(3y)7.49%
ROA(5y)0.25%
ROE(3y)13.61%
ROE(5y)3.39%
ROIC(3y)12.9%
ROIC(5y)N/A
1.3 Margins
HPK has a Profit Margin (17.45%) which is comparable to the rest of the industry.
HPK has a better Operating Margin (39.12%) than 72.43% of its industry peers.
With an excellent Gross Margin value of 86.92%, HPK belongs to the best of the industry, outperforming 91.12% of the companies in the same industry.
In the last couple of years the Gross Margin of HPK has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 39.12% | ||
| PM (TTM) | 17.45% | ||
| GM | 86.92% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y7.73%
GM growth 5YN/A
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), HPK is creating some value.
Compared to 1 year ago, HPK has more shares outstanding
The number of shares outstanding for HPK has been increased compared to 5 years ago.
HPK has a worse debt/assets ratio than last year.
2.2 Solvency
HPK has an Altman-Z score of 1.70. This is a bad value and indicates that HPK is not financially healthy and even has some risk of bankruptcy.
Looking at the Altman-Z score, with a value of 1.70, HPK is in line with its industry, outperforming 52.34% of the companies in the same industry.
HPK has a Debt/Equity ratio of 0.66. This is a neutral value indicating HPK is somewhat dependend on debt financing.
With a Debt to Equity ratio value of 0.66, HPK is not doing good in the industry: 61.68% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.66 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 1.7 |
ROIC/WACC1.21
WACC9.84%
2.3 Liquidity
HPK has a Current Ratio of 1.14. This is a normal value and indicates that HPK is financially healthy and should not expect problems in meeting its short term obligations.
HPK has a Current ratio of 1.14. This is comparable to the rest of the industry: HPK outperforms 46.26% of its industry peers.
A Quick Ratio of 1.12 indicates that HPK should not have too much problems paying its short term obligations.
HPK has a Quick ratio (1.12) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.14 | ||
| Quick Ratio | 1.12 |
3. Growth
3.1 Past
The earnings per share for HPK have decreased strongly by -14.59% in the last year.
HPK shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 81.59% yearly.
Looking at the last year, HPK shows a very strong growth in Revenue. The Revenue has grown by 47.08%.
The Revenue has been growing by 256.15% on average over the past years. This is a very strong growth!
EPS 1Y (TTM)-14.59%
EPS 3YN/A
EPS 5Y81.59%
EPS growth Q2Q24.53%
Revenue 1Y (TTM)47.08%
Revenue growth 3Y256.15%
Revenue growth 5YN/A
Revenue growth Q2Q16.77%
3.2 Future
HPK is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 2.93% yearly.
The Revenue is expected to decrease by -0.61% on average over the next years.
EPS Next Y15.32%
EPS Next 2Y8.98%
EPS Next 3Y2.93%
EPS Next 5YN/A
Revenue Next Year-2.86%
Revenue Next 2Y-5.35%
Revenue Next 3Y-0.61%
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
A Price/Earnings ratio of 8.72 indicates a reasonable valuation of HPK.
Based on the Price/Earnings ratio, HPK is valued a bit cheaper than 64.02% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 24.55, HPK is valued rather cheaply.
With a Price/Forward Earnings ratio of 7.56, the valuation of HPK can be described as very cheap.
Based on the Price/Forward Earnings ratio, HPK is valued a bit cheaper than 75.70% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of HPK to the average of the S&P500 Index (20.92), we can say HPK is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.72 | ||
| Fwd PE | 7.56 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, HPK is valued cheaper than 87.85% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 3.17 |
4.3 Compensation for Growth
HPK's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
PEG (NY)0.57
PEG (5Y)0.11
EPS Next 2Y8.98%
EPS Next 3Y2.93%
5. Dividend
5.1 Amount
HPK has a Yearly Dividend Yield of 1.08%.
Compared to an average industry Dividend Yield of 5.72, HPK is paying slightly less dividend.
Compared to an average S&P500 Dividend Yield of 2.39, HPK's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.08% |
5.2 History
HPK has paid a dividend for less than 5 years, so there is no long track record yet.
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years1
5.3 Sustainability
HPK pays out 6.76% of its income as dividend. This is a sustainable payout ratio.
DP6.76%
EPS Next 2Y8.98%
EPS Next 3Y2.93%
HIGHPEAK ENERGY INC
NASDAQ:HPK (5/1/2024, 7:01:31 PM)
After market: 13.78 0 (0%)13.78
-0.43 (-3.03%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap1.77B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.08% |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
Max EPS beat(2)
EPS beat(4)
Avg EPS beat(4)
Min EPS beat(4)
Max EPS beat(4)
EPS beat(8)
Avg EPS beat(8)
EPS beat(12)
Avg EPS beat(12)
EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
Avg Revenue beat(2)
Min Revenue beat(2)
Max Revenue beat(2)
Revenue beat(4)
Avg Revenue beat(4)
Min Revenue beat(4)
Max Revenue beat(4)
Revenue beat(8)
Avg Revenue beat(8)
Revenue beat(12)
Avg Revenue beat(12)
Revenue beat(16)
Avg Revenue beat(16)
PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.72 | ||
| Fwd PE | 7.56 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)0.57
PEG (5Y)0.11
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.29% | ||
| ROE | 12.49% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 39.12% | ||
| PM (TTM) | 17.45% | ||
| GM | 86.92% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.36
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.66 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 1.14 | ||
| Quick Ratio | 1.12 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
Growth
EPS 1Y (TTM)-14.59%
EPS 3YN/A
EPS 5Y
EPS growth Q2Q
EPS Next Y15.32%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)47.08%
Revenue growth 3Y256.15%
Revenue growth 5Y
Revenue growth Q2Q
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y