Evolution Petroleum (EPM) Gains But Lags Market: What You Should Know
Evolution Petroleum (EPM) closed the most recent trading day at $6.26, moving +0.97% from the previous trading session. This move lagged the S&P 500's daily gain of 1.18%. At the same time, the Dow added 0.87%, and the tech-heavy Nasdaq gained 1.6%.
Shares of the oil and gas company witnessed a loss of 28.82% over the previous month, trailing the performance of the Oils-Energy sector with its loss of 5.46% and the S&P 500's loss of 5.17%.
The investment community will be paying close attention to the earnings performance of Evolution Petroleum in its upcoming release. The company's earnings per share (EPS) are projected to be $0.07, reflecting a 76.67% decrease from the same quarter last year. In the meantime, our current consensus estimate forecasts the revenue to be $21.63 million, indicating a 45.67% decline compared to the corresponding quarter of the prior year.
For the full year, the Zacks Consensus Estimates project earnings of $0.53 per share and a revenue of $96.55 million, demonstrating changes of -47.52% and -36.63%, respectively, from the preceding year.
Additionally, investors should keep an eye on any recent revisions to analyst forecasts for Evolution Petroleum. Recent revisions tend to reflect the latest near-term business trends. Therefore, positive revisions in estimates convey analysts' confidence in the company's business performance and profit potential.
Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has moved 51.39% lower. As of now, Evolution Petroleum holds a Zacks Rank of #4 (Sell).
Looking at its valuation, Evolution Petroleum is holding a Forward P/E ratio of 11.81. Its industry sports an average Forward P/E of 8.76, so one might conclude that Evolution Petroleum is trading at a premium comparatively.
The Oil and Gas - Exploration and Production - United States industry is part of the Oils-Energy sector. This group has a Zacks Industry Rank of 41, putting it in the top 17% of all 250+ industries.
The Zacks Industry Rank is ordered from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow EPM in the coming trading sessions, be sure to utilize Zacks.com.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Evolution Petroleum Corporation, Inc. (EPM) : Free Stock Analysis Report
