Pedevco (NYSEAMERICAN:PED) Posts Quarterly Earnings Results, Misses Estimates By $0.88 EPS

Pedevco (NYSEAMERICAN:PED) released its quarterly earnings results on Thursday. The company reported ($0.70) earnings per share (EPS) for the quarter, missing the consensus estimate of $0.18 by ($0.88), FiscalAI reports. Pedevco had a positive return on equity of 0.67% and a negative net margin of 14.61%. The firm had revenue of $35.54 million for the quarter, compared to analyst estimates of $31.05 million.

Here are the key takeaways from Pedevco’s conference call:

• Q3 results were mixed: Revenue was $35.5 million, up 411% year over year but down about 23% sequentially, while Adjusted EBITDA fell to $14.7 million from $18.7 million in Q2. PEDEVCO reported a $9.2 million net loss, including a $12 million non-cash unrealized derivative loss.
• Production declined 14% sequentially to 5,850 BOE per day, partly due to temporary shut-ins and rod conversions moved forward from Q4. Management expects Q4 production to be roughly flat on average versus Q3, with growth in the exit rate as wells return and new wells come online.
• PEDEVCO is positioning for Rocky Mountain growth: It added about 5,678 net acres in its Powder River Basin Mowry prospect for $5.9 million, nearly doubling its position there, and cited a program of roughly 15 gross wells spanning the Powder River and D-J basins into early 2027.
• The company is about halfway through its well-optimization program and continues to target more than $10 million in annualized LOE savings once the work is completed, which it expects in 2027.
• PEDEVCO reaffirmed 2026 production guidance of 6,500–7,000 BOE per day and Adjusted EBITDA guidance of $60 million–$70 million, while raising full-year net capital expenditure guidance to $37 million–$42 million. Management said it plans to reinvest cash flow aggressively, but detailed 2027 plans await completion of the CEO search.

Pedevco Price Performance

Shares of PED traded down $0.57 during mid-day trading on Thursday, reaching $13.05. 5,761 shares of the company’s stock were exchanged, compared to its average volume of 31,845. The company has a quick ratio of 0.78, a current ratio of 0.78 and a debt-to-equity ratio of 0.42. The company has a 50-day simple moving average of $14.21 and a two-hundred day simple moving average of $13.73. Pedevco has a 52-week low of $8.64 and a 52-week high of $18.89. The company has a market cap of $173.43 million, a price-to-earnings ratio of 435.15 and a beta of 0.32.

Analyst Ratings Changes

Separately, Zacks Research raised shares of Pedevco from a “strong sell” rating to a “hold” rating in a research note on Friday, July 17th. One equities research analyst has rated the stock with a Strong Buy rating and one has issued a Hold rating to the company’s stock. According to data from MarketBeat, the company presently has a consensus rating of “Buy”.

Insider Buying and Selling

In related news, VP Moore Clark sold 5,277 shares of the business’s stock in a transaction dated Tuesday, August 18th. The shares were sold at an average price of $12.53, for a total value of $66,120.81. Following the completion of the transaction, the vice president owned 45,385 shares of the company’s stock, valued at approximately $568,674.05. The trade was a 10.42% decrease in their position. The sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, major shareholder Simon G. Kukes bought 147,070 shares of Pedevco stock in a transaction on Thursday, October 8th. The stock was purchased at an average price of $13.00 per share, for a total transaction of $1,911,910.00. Following the completion of the acquisition, the insider owned 4,137,543 shares in the company, valued at $53,788,059. This represents a 3.69% increase in their position. Additional details regarding this purchase are available in the official SEC disclosure. In the last ninety days, insiders sold 10,260 shares of company stock worth $129,417. 54.90% of the stock is owned by corporate insiders.

Pedevco Company Profile

PEDEVCO Corp. is an independent energy company focused on acquiring, developing and producing oil and natural gas resources in the United States. Its operations are concentrated in the Permian Basin, including areas of southeastern New Mexico and West Texas. The company’s activities include drilling and operating wells and managing oil and gas properties. Its production includes crude oil, natural gas and natural gas liquids. PEDEVCO is headquartered in Houston, Texas. Its chief executive officer is Simon Kukes.