The share price of Parsley Energy, Inc. [NYSE: PE] inclined by $15.03, presently trading at $15.64. The company’s shares saw 13.99% gains compared to the lowest price in the period of the last 52 weeks, set at $13.72 recorded on Dec 4, 2019. The last few days have been benevolent to the share price as PE jumped by +2.80% during the last week, even though the stock is still down by -0.16% compared to 0.66 of all time high it touched on 12/04/19. However, the stock had a poor performance during the past 3 months, roughly losing -8.35%, while additionally dropping -25.34% during the last 12 months. Parsley Energy, Inc. is said to have a 12-month price target set at $24.23. That means that the stock has a strong potential to acquire 8.59% increase from the current trading price.
Parsley Energy, Inc. [NYSE:PE]: Analyst Rating and Earnings
Its stock price has been found in the range of 13.72 to 22.11. This is compared to its latest closing price of $15.03.
Stay on the lookout for the next quarterly financial report – the company is expected to release the following results on Thu 20 Feb (In 78 Days).
Fundamental Analysis of Parsley Energy, Inc. [PE]
Now let’s turn to look at profitability: with a current Operating Margin for Parsley Energy, Inc. [PE] sitting at +34.03 and its Gross Margin at +45.17, this company’s Net Margin is now 14.00%. These measurements indicate that Parsley Energy, Inc. [PE] is generating considerably more profit, after expenses are accounted for, compared to its market peers.
This company’s Return on Total Capital is 7.50, and its Return on Invested Capital has reached 6.70%. Its Return on Equity is 7.18, and its Return on Assets is 4.06. These metrics suggest that this Parsley Energy, Inc. does a poor job of managing its assets, and likely won’t be able to provide successful business outcomes for its investors in the near term.
Turning to investigate this organization’s capital structure, Parsley Energy, Inc. [PE] has generated a Total
Debt to Total Equity ratio of 39.23. Similarly, its Total Debt to Total Capital is 28.17, while its Total Debt to Total Assets stands at 23.26. Looking toward the future, this publicly-traded company’s Long-Term Debt to Equity is 4.73, and its Long-Term Debt to Total Capital is 39.18.
What about valuation? This company’s Enterprise Value to EBITDA is 5.16 and its Total Debt to EBITDA Value is 1.81. The Enterprise Value to Sales for this firm is now 3.30, and its Total Debt to Enterprise Value stands at 0.31. Parsley Energy, Inc. [PE] has a Price to Book Ratio of 0.80, a Price to Cash Flow Ratio of 3.58 and P/E Ratio of 16.50. These metrics all suggest that Parsley Energy, Inc. is more likely to generate a positive ROI.
Shifting the focus to workforce efficiency, Parsley Energy, Inc. [PE] earns $3,465,713 for each employee under its payroll. Similarly, this company’s Receivables Turnover is 10.72 and its Total Asset Turnover is 0.20. This publicly-traded organization’s liquidity data is also interesting: its Quick Ratio is 0.83 and its Current Ratio is 0.83. This company is not investing its short-term assets in an optimally efficient way, making it a riskier investment.
Parsley Energy, Inc. [PE] has 320.89M shares outstanding, amounting to a total market cap of $4.82B. Its stock price has been found in the range of 13.72 to 22.11. At its current price, it has moved down by -29.26% from its 52-week high, and it has moved up 13.99% from its 52-week low.
This stock’s Beta value is currently 0.54, which indicates that it is 3.12% more volatile that the wider market. This stock’s Relative Strength Index (RSI) is at 48.72. This RSI score is good, suggesting this stock is neither overbought or oversold.
Conclusion: Is Parsley Energy, Inc. [PE] a Reliable Buy?
Shares of Parsley Energy, Inc. [PE], on the whole, present investors with both positive and negative signals. Wall Street analysts have mixed reviews when it comes to the 12-month price outlook, and this company’s financials show a combination of strengths and weaknesses. Based on the price performance, this investment is somewhat risky while presenting reasonable potential for ROI.