Abraxas Petroleum Stock Analysis, Valuation (NASDAQ:AXAS)
Take a look at Amigobulls Abraxas Petroleum stock analysis video. Our analyst opinion covering the buy and sell arguments for AXAS stock is shown in the video.
Note: Amigobulls stock rating is our opinion based on the historical performance of the company's fundamentals. It is not indicative of the future performance of the stock.
Abraxas Petroleum Corp. Stock Rating 3.3/5
Amigobulls AXAS stock analysis uses latest quarter 2018 Q2 financial data like Abraxas Petroleum revenue growth, profit margins and cash flows. Abraxas Petroleum valuation forms a crucial part of our stock analysis. Our Abraxas Petroleum stock rating is based on company's fundamentals like balance sheet risk and cash flow position.
Should you buy AXAS stock?
- Abraxas Petroleum sales grew by 116.1% year on year in 2018-03.
- Revenue growth has been tremendous with a compounded annual growth of 8.1 over the last 5 years.
- Abraxas Petroleum had a healthy average operating margin of 33.75 over the last 4 quarters.
- Net margins came in at average 12.1% for Abraxas Petroleum over the last twelve months.
- AXAS stock is trading at an earnings multiple of 11.4 which is better than the sector average of 20.8.
- Abraxas Petroleum has an attractive ROIC (Return on Invested Capital) of 20.2
- Abraxas Petroleum has a good Return On Equity (ROE) of 12.2.
Should you sell AXAS stock?
- Abraxas Petroleum is debt laden and has a high debt/equity ratio of 0.91.
- AXAS stock is trading at a PS multiple of 2.8, which is a negative when compared to the Oils-Energy sector average multiple of 1.6.
- Abraxas Petroleum has a negative FCF (Free Cash Flow) margin of -38.7.
Investors can use Amigobulls Abraxas Petroleum stock analysis as a tool to arrive at accurate conclusions regarding financial health of the company and its valuation. Fundamental analysis of a company is the most often used approach to find the intrinsic value of a stock.
While doing a study of the company financials, Abraxas Petroleum revenue growth and profit or net income are two main metrics which help in identifying whether AXAS stock is overvalued or undervalued. Technical analysis comes in handy to check whether the market sentiment is in line with the fundamental picture of the company.