CPE's one year PEG ratio, measuring expected growth in earnings next year relative to current common stock price is 0.04 -- higher than only 0.86% of US-listed equities with positive expected earnings growth.
Of note is the ratio of Callon Petroleum Co's sales and general administrative expense to its total operating expenses; only 2.61% of US stocks have a lower such ratio.
In terms of volatility of its share price, CPE is more volatile than 98.15% of stocks we're observing.
Stocks with similar financial metrics, market capitalization, and price volatility to Callon Petroleum Co are GTE, CDEV, BTU, XEC, and CORR.
Callon Petroleum Company engages in the exploration, development, acquisition, and production of oil and natural gas properties in the Permian Basin in West Texas. The company was founded in 1950 and is based in Natchez, Mississippi.
CPE Price Forecast Based on DCF Valuation
DCF Fair Value Target:
The table below illustrates the output of a discounted cash flow forecast using a variety of scenarios for Callon Petroleum Co. To summarize, we found that Callon Petroleum Co ranked in the 0th percentile in terms of potential gain offered. We should note, though, that all scenearios modelled for this stock suggest it is overvalued. In terms of the factors that were most noteworthy in this DCF analysis for CPE, they are:
The company's compound free cash flow growth rate over the past 1.24 years comes in at -0.7%; that's greater than merely 1.16% of US stocks we're applying DCF forecasting to.
The company has produced more trailing twelve month cash flow than merely 14.05% of its sector Energy.
Callon Petroleum Co's interest coverage rate -- a measure of gross earnings relative to interest payments -- comes in at -27.18. This coverage rate is greater than that of only 4.42% of stocks we're observing for the purpose of forecasting via discounted cash flows.
Terminal Growth Rate in Free Cash Flow
Return Relative to Current Share Price
CLR, DVN, GLOG, MRO, and NINE can be thought of as valuation peers to CPE, in the sense that they are in the Energy sector and have a similar price forecast based on DCF valuation.
Callon Petroleum (CPE) has been attempting to improve its liquidity and reduce its debt. It has done a number of transactions, including issuing second-lien debt (both in exchange for cash and for existing unsecured notes), selling non-operated assets and selling an ORRI on its operated assets. These moves have significantly...
Elephant Analytics on Seeking Alpha | January 6, 2021