As of Thursday close, Ring Energy Inc.’s (AMEX:REI) stock was up $0.04, moving up 1.80 percent to $2.26. The average number of shares traded per day over the past five days has been 2,602,940 shares. 2 times new highs have been achieved over the past 5 days, with a -$0.10 fall in that time frame. In the last twenty days, the average volume was 2,562,900, while in the previous 50 days, it was 2,203,352.
Since last month, REI stock rose 28.41%. Shares of the company fell to $1.65 on 07/06/23, the lowest level in the past month. A 52-week high of $3.46 was reached on 01/23/23 after having rallying from a 52-week low of $1.62. Since the beginning of this year, REI’s stock price has dropped by -8.13% or -$0.20, and marked a new high 3 times. However, the stock has declined by -34.78% since its 52-week high.
REI stock investors should be aware that Ring Energy Inc. (REI) stock had its last reported insider trading activity 84 days ago on May 12. McKinney Paul D., the CEO and Chairman of the Board of the company, purchased of 25,000 shares for $1.70 on May 12. It resulted in a $42,500 investment by the insider. HARRIS RICHARD E sold 77,400 shares at an average price of $1.76 on Mar 20. The insider now owns 227,694 shares following the transaction. On Mar 16, CEO and Chairman of the Board McKinney Paul D. bought 50,000 shares at $1.78 apiece. The transaction was valued at $89,000.
Valuation Metrics
Right now, Ring Energy Inc. (REI) has a P/E ratio of about 2.10. The stock’s beta is 2.02. Besides these, the trailing price-to-sales (P/S) ratio of 1.19, the price-to-book (PB) ratio of 0.58, and the price-to-cash flow ratio of 7.00 may also be considered.
Financial Health
In the three months ended March 30, Ring Energy Inc.’s quick ratio stood at 0.40, while its current ratio was 0.50, showing that the company is not able to pay off its debt. According to company report, the long-term debt-to-equity ratio for the quarter ending March 30 was 0.60, and the total debt-to-equity ratio was 0.61. On the profitability front, the trailing twelve-month gross margin is 93.40% percent. In the year ended March 30, EBITDA margin amounted to 72.16%, whereas operating margins totaled 51.50%. Based on annual data, REI earned $191.74 million in gross profit and brought in $347.25 million in revenue.
A company’s management is another factor that investors consider when determining the profitability of an investment. In the past year, return on investment (ROI) was 17.00%. Return on equity (ROE) for the past 12 months was 29.50%.
In Ring Energy Inc.’s quarter-end financial report for March 30, it reported total debt of $422.0 million. According to the earnings report, the company had a lower net income in the recent quarter than it did in the previous quarter. REI’s revenue rose 22.59% to $99.7 million during the quarter, while net income inched up to $88.08 million. While analysts expected Ring Energy Inc. to report $0.11 quarterly earnings, the actual figure was $0.14 per share, beating the consensus estimate by 27.30%. During the quarter, the company generated $58.14 million in EBITDA. The liabilities of Ring Energy Inc. were 582.2 million at the end of its most recent quarter ended March 30, and its total debt was $425.44 million. The value of shareholders’ equity is $195.14 million.
Technical Picture
This quick technical analysis looks at Ring Energy Inc.’s (REI) price momentum. With a historical volatility rate of 48.96%, the RSI 9-day stood at 55.55% on 03 August.
With respect to its five-day moving average, the current Ring Energy Inc. price is down by -4.24% percent or -$0.10. At present, REI shares trade +34.52% above its 20-day simple moving average and +15.31% percent above its 100-day simple moving average. However, the stock is currently trading approximately +19.58% above its SMA50 and -17.52% below its SMA200.
Stochastic coefficient K was 65.19% and Stochastic coefficient D was 77.52%, while ATR was 0.12. Given the Stochastic reading of 62.22% for the 14-day period, the RSI (14) reading has been calculated as 58.88%. As of today, the MACD Oscillator reading stands at -0.06, while the 14-day reading stands at 0.02.
Analyst Ratings
Ring Energy Inc. downgraded its rating on Ring Energy Inc. (AMEX: REI) to a Neutral in a note to investors on August 01, 2022. The analysts firm previously had a Buy rating on the stock.Ring Energy Inc. (REI) has been rated Overweight by analysts. According to 0 brokerage firms, REI is a sell, and 2 firms recommend it is a Hold. There are 0 analysts who say the stock is underweight. A total of 0 analysts rate Ring Energy Inc. stock as buy, with 1 recommending it as overweight.
With a median target price of $3.50, the current consensus forecast for the stock is $3.50 – $3.50. Based on these forecasts, analysts predict Ring Energy Inc. (REI) will achieve an average price target of $3.50.
