Evolution Petroleum EBITDA vs. Current Valuation
| EPM Stock | USD 5.86 0.24 3.93% |
EBITDA | First Reported 2010-12-31 | Previous Quarter 28 M | Current Value 29.4 M | Quarterly Volatility 19 M |
| Current Value | Last Year | Change From Last Year | 10 Year Trend | ||||||
|---|---|---|---|---|---|---|---|---|---|
| Gross Profit Margin | 0.61 | 0.2212 |
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For Evolution Petroleum profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Evolution Petroleum to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Evolution Petroleum utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Evolution Petroleum's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Evolution Petroleum over time as well as its relative position and ranking within its peers.
Evolution |
Evolution Petroleum's Revenue Breakdown by Earning Segment
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Is Oil & Gas Exploration & Production space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Evolution Petroleum. If investors know Evolution will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Evolution Petroleum listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth 0.5 | Dividend Share 0.48 | Earnings Share 0.14 | Revenue Per Share 2.665 | Quarterly Revenue Growth 0.063 |
The market value of Evolution Petroleum is measured differently than its book value, which is the value of Evolution that is recorded on the company's balance sheet. Investors also form their own opinion of Evolution Petroleum's value that differs from its market value or its book value, called intrinsic value, which is Evolution Petroleum's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Evolution Petroleum's market value can be influenced by many factors that don't directly affect Evolution Petroleum's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Evolution Petroleum's value and its price as these two are different measures arrived at by different means. Investors typically determine if Evolution Petroleum is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Evolution Petroleum's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.
Evolution Petroleum Current Valuation vs. EBITDA Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining Evolution Petroleum's current stock value. Our valuation model uses many indicators to compare Evolution Petroleum value to that of its competitors to determine the firm's financial worth. Evolution Petroleum is rated below average in ebitda category among its peers. It also is rated below average in current valuation category among its peers reporting about 8.50 of Current Valuation per EBITDA. At this time, Evolution Petroleum's EBITDA is very stable compared to the past year. Comparative valuation analysis is a catch-all technique that is used if you cannot value Evolution Petroleum by discounting back its dividends or cash flows. It compares the stock's price multiples to nearest competition to determine if the stock is relatively undervalued or overvalued.Evolution Current Valuation vs. EBITDA
EBITDA stands for earnings before interest, taxes, depreciation, and amortization. It is a measure of a company operating cash flow based on data from the company income statement and is a very good way to compare companies within industries or across different sectors. However, unlike Operating Cash Flow, EBITDA does not include the effects of changes in working capital.
Evolution Petroleum |
| = | 27.97 M |
In a nutshell, EBITDA is calculated by adding back each of the excluded items to the post-tax profit, and can be used to compare companies with very different capital structures.
Enterprise Value is a firm valuation proxy that approximates the current market value of a company. It is typically used to determine the takeover or merger price of a firm. Unlike Market Cap, this measure takes into account the entire liquid asset, outstanding debt, and exotic equity instruments that the company has on its balance sheet. When a takeover occurs, the parent company will have to assume the target company's liabilities but will take possession of all cash and cash equivalents.
Evolution Petroleum |
| = | 237.63 M |
Enterprise Value can be a useful tool to compare companies with different capital structures. Long term liability and current cash or cash equivalents can have a huge impact on market valuation of a given company.
Evolution Current Valuation vs Competition
Evolution Petroleum is rated below average in current valuation category among its peers. After adjusting for long-term liabilities, total market size of Energy industry is currently estimated at about 379.87 Billion. Evolution Petroleum adds roughly 237.63 Million in current valuation claiming only tiny portion of equities under Energy industry.
Evolution Petroleum Profitability Projections
The most important aspect of a successful company is its ability to generate a profit. For investors in Evolution Petroleum, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Evolution Petroleum will eventually generate negative long term returns. The profitability progress is the general direction of Evolution Petroleum's change in net profit over the period of time. It can combine multiple indicators of Evolution Petroleum, where stable trends show no significant progress. An accelerating trend is seen as positive, while a decreasing one is unfavorable. A rising trend means that profits are rising, and operational efficiency may be rising as well. A decreasing trend is a sign of poor performance and may indicate upcoming losses.
| Last Reported | Projected for Next Year | ||
| Operating Income | 7.9 M | 6.2 M | |
| Income Before Tax | 5.5 M | 9.2 M | |
| Total Other Income Expense Net | -2.4 M | -2.3 M | |
| Net Income | 4.1 M | 5.9 M | |
| Income Tax Expense | 1.4 M | 2.3 M | |
| Net Income Applicable To Common Shares | 40.5 M | 42.5 M | |
| Net Income From Continuing Ops | 4.1 M | 3.9 M | |
| Interest Income | 342 K | 362.1 K | |
| Non Operating Income Net Other | -3.4 M | -3.2 M | |
| Net Interest Income | -1.1 M | -1.1 M | |
| Change To Netincome | -2 M | -1.9 M | |
| Net Loss | 0.12 | (3.53) | |
| Income Quality | 5.57 | 0.44 | |
| Net Income Per E B T | 0.74 | 0.99 |
Evolution Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on Evolution Petroleum. Investors often realize that things won't turn out the way they predict. There are maybe way too many unforeseen events and contingencies during the holding period of Evolution Petroleum position where the market behavior may be hard to predict, tax policy changes, gold or oil price hikes, calamities change, and many others. The question is, are you prepared for these unexpected events? Although some of these situations are obviously beyond your control, you can still follow the important profit indicators to know where you should focus on when things like this occur. Below are some of the Evolution Petroleum's important profitability drivers and their relationship over time.
Use Evolution Petroleum in pair-trading
One of the main advantages of trading using pair correlations is that every trade hedges away some risk. Because there are two separate transactions required, even if Evolution Petroleum position performs unexpectedly, the other equity can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in Evolution Petroleum will appreciate offsetting losses from the drop in the long position's value.Evolution Petroleum Pair Trading
Evolution Petroleum Pair Trading Analysis
The ability to find closely correlated positions to Evolution Petroleum could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Evolution Petroleum when you sell it. If you don't do this, your portfolio allocation will be skewed against your target asset allocation. So, investors can't just sell and buy back Evolution Petroleum - that would be a violation of the tax code under the "wash sale" rule, and this is why you need to find a similar enough asset and use the proceeds from selling Evolution Petroleum to buy it.
The correlation of Evolution Petroleum is a statistical measure of how it moves in relation to other instruments. This measure is expressed in what is known as the correlation coefficient, which ranges between -1 and +1. A perfect positive correlation (i.e., a correlation coefficient of +1) implies that as Evolution Petroleum moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Evolution Petroleum moves in either direction, the perfectly negatively correlated security will move in the opposite direction. If the correlation is 0, the equities are not correlated; they are entirely random. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak.
Correlation analysis and pair trading evaluation for Evolution Petroleum can also be used as hedging techniques within a particular sector or industry or even over random equities to generate a better risk-adjusted return on your portfolios.Use Investing Themes to Complement your Evolution Petroleum position
In addition to having Evolution Petroleum in your portfolios, you can quickly add positions using our predefined set of ideas and optimize them against your very unique investing style. A single investing idea is a collection of funds, stocks, ETFs, or cryptocurrencies that are programmatically selected from a pull of investment themes. After you determine your investment opportunity, you can then find an optimal portfolio that will maximize potential returns on the chosen idea or minimize its exposure to market volatility.Did You Try This Idea?
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Fama and French investing themes focus on testing asset pricing under different economic assumptions. The Recreation theme has 33 constituents at this time.
You can either use a buy-and-hold strategy to lock in the entire theme or actively trade it to take advantage of the short-term price volatility of individual constituents. Macroaxis can help you discover thousands of investment opportunities in different asset classes. In addition, you can partner with us for reliable portfolio optimization as you plan to utilize Recreation Theme or any other thematic opportunities.
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Check out Investing Opportunities. To learn how to invest in Evolution Stock, please use our How to Invest in Evolution Petroleum guide.You can also try the Portfolio Comparator module to compare the composition, asset allocations and performance of any two portfolios in your account.
To fully project Evolution Petroleum's future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of Evolution Petroleum at a specified time, usually calculated after every quarter, six months, or one year. Three primary documents fall into the category of financial statements. These documents include Evolution Petroleum's income statement, its balance sheet, and the statement of cash flows.