An lesser known oil & gas player in US - Evolution
A stock screener was set to comb through small/nano-cap businesses in the US. The criteria include: Low Price/Free Cash Flow (less than 15) Sales growth past 5 years (more than 10%) Low Debt/Equity (less than 0.1) Low LT Debt/Equity (less than 0.1) Operating margin (over 5%) Net Profit margin (over 5)% The above criteria is a quick overview covering income statement, balance sheet & cash flow statements. This is just a quick overview and more detailed scrutiny is needed to give us better confidence in the business. From the screened stock list, one stock caught my attention (as the list is largely dominated by regional banks). Company of interest - EPM 0.00%↑ Evolution Petroleum (EPM) Apart from the criteria above, EPM has displayed good financial fundamentals as per the table above. Let us look at the past performances of EPM Overview of EPM: Record revenue in 2022 (which is aided by the sky-high oil prices) at $109M Operating profit is $45M at an operating...