Bedrijfsoverzicht
Prairie Operating Co. is an independent energy enterprise based in Houston, Texas, that specializes in the acquisition, development, and production of crude oil, natural gas, and natural gas liquids resources within the United States. The company operates within the Energy sector, specifically the Oil & Gas E&P industry, where its primary function is the exploration and extraction of hydrocarbon assets to supply fuel markets. Prairie Operating Co. maintains a market capitalization of $110.27M, which reflects its valuation as a mid-cap entity in the broader energy landscape, while generating annual revenue of $241.65M with a workforce of 59 employees. These financial figures indicate that the company operates on a scale that allows for significant revenue generation relative to its modest employee base, suggesting high operational leverage or asset intensity typical of upstream energy operations. The market cap of $110.27M places the firm in a category where capital efficiency is often scrutinized closely by analysts, as the company manages substantial asset portfolios with a relatively small internal team.
Financiële gezondheid
Prairie Operating Co. reported a total revenue of $241.65M for the trailing twelve months, yet recorded a net income of -$60,907,000, a disparity that reveals a complex cost structure where expenses significantly erode bottom-line profitability despite top-line activity. While the company generated an EBITDA of $119.67M, indicating strong cash generation from core operations before interest, taxes, depreciation, and amortization, the negative net income highlights the substantial impact of non-operating costs or interest obligations. The company's free cash flow stands at -$534,919,872, a figure that signifies a severe outflow of cash from operations, which severely limits the company's financial flexibility to fund capital expenditures or return capital to shareholders without external financing. Analysis of the margins shows a gross margin of 70.4%, an operating margin of 21.6%, and a profit margin of 13.3%, where the wide gap between gross and operating margins suggests high overhead or administrative costs are absorbing a significant portion of the gross profit. In terms of liquidity and leverage, the company holds only $20,000 in cash against total debt of $370.87M, resulting in a debt-to-equity ratio of 104.05, which characterizes the balance sheet as highly leveraged and reliant on external funding. The current ratio of 0.63 indicates that current assets are less than current liabilities, pointing to potential short-term liquidity constraints that could challenge the company's ability to meet immediate obligations. Return metrics reveal a Return on Equity of 15.7% and a Return on Assets of 7.6%, suggesting that management is generating returns on equity that are positive despite the net loss, while returns on assets are moderate given the high leverage profile.
Waarderingsbeoordeling
The valuation metrics for Prairie Operating Co. show a trailing P/E ratio of N/A due to negative earnings, while the forward P/E is listed at 1.52, implying that the market is pricing the stock based on anticipated future earnings recovery rather than current profitability. The price-to-book ratio stands at 0.76, indicating that the market values the company at a discount to its book value, which often signals either undervaluation relative to asset replacement costs or concerns regarding asset quality and future cash flows. Alternative valuation measures include a price-to-sales ratio of 0.46 and an EV/EBITDA of 5.91, suggesting that on a sales basis the company is valued at less than half its revenue, while the EV/EBITDA multiple reflects a low valuation relative to its earnings power before interest and taxes. The stock has traded between a 52-week high of $4.80 and a 52-week low of $1.22, meaning the current trading price sits within this historical range, specifically reflecting a position that is significantly below the recent peak of $4.80. The beta value of -0.17 indicates that the stock's price movements have historically moved inversely to or with very low correlation relative to the broader market, suggesting a unique volatility profile that differs from standard energy sector peers.
Growth & Income
The company experienced a revenue growth rate of 945.6% year-over-year, whereas earnings growth is listed as N/A due to the current net loss, implying that revenue expansion has not yet translated into bottom-line profitability and that earnings are growing slower than revenue or have contracted in absolute terms. As a non-dividend payer, Prairie Operating Co. reports a dividend yield of N/A and a payout ratio of 0.0%, indicating that the company retains all of its earnings rather than distributing them to shareholders, a strategy typical for companies with negative free cash flow or high capital expenditure needs. This reinvestment approach prioritizes operational expansion or debt reduction over income generation for current shareholders, effectively sacrificing immediate income for potential future growth or stability. The overall growth and income profile is characterized by explosive revenue expansion paired with significant cash burn and no dividend income, presenting a high-risk, high-reward scenario where income is currently zero and growth is measured primarily by top-line sales increases rather than profitability or cash returns.