Gulfport Energy (GPOR) AI Stock Analysis

• Market Cap: $2.90B
• Dividend Yield: N/A
• Average Volume (3M): 267.55K
• Price to Earnings (P/E): 16.7
• Beta (1Y): 1.13
• Revenue Growth: -11.68%
• EPS Growth: -123.15%
• Country: US
• Employees: 235
• Sector: Energy
• Sector Strength: 59
• Industry: Oil & Gas Exploration & Production
• EPS (TTM): -15.41
• Shares Outstanding: 17,883,114
• 10 Day Avg. Volume: 250,729
• 30 Day Avg. Volume: 267,554
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): 3.72
• Price to Cash Flow (P/CF): 5.50
• P/FCF Ratio: 4.20
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: $212.50
• Price Target Upside: 31.23% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 7

Gulfport Energy's overall score is driven by financial challenges and valuation concerns, which are offset by strong technical momentum and positive earnings call guidance. Financial performance indicates the need for improvement in revenue and profitability, while technical indicators suggest a positive trend. The earnings call highlights operational efficiency improvements and strategic focus, supporting a cautiously optimistic outlook.

Positive Factors

Financial Performance

The company has a peer-leading free cash flow yield that in our view can rerate the stock higher.

Market Confidence

Analyst recommends a BUY rating for Gulfport Energy Corp with a price objective of 227.00 USD, indicating confidence in the stock's potential growth.

Share Buyback

Gulfport Energy reaffirmed its plans to continue earmarking substantially all of its free cash flow towards buybacks, excluding acquisitions.

Negative Factors

Inventory Concerns

The stock underperformed peers by 3.3% on inventory concerns as the TIL count stepped up from 19 to 28 wells.

Production Concerns

Volumes came in ~1% below expectations due to lower-than-expected NGL production.

Gulfport Energy Business Overview & Revenue Model

Company Description

Gulfport Energy Corporation engages in the exploration, development, acquisition, production of natural gas, crude oil, and natural gas liquids (NGL) in the United States. Its principal properties include Utica Shale covering an area approximately 187,000 net reservoir acres primarily located in Eastern Ohio; and SCOOP covering an area approximately 74,000 net reservoir acres primarily located in Garvin, Grady, and Stephens. As of December 31, 2021, it had 3.9 trillion cubic feet of natural gas equivalent to proved reserves; and proved undeveloped reserves comprising 8 MMbbl oil and 22 MMBbl NGL, and 1,550 Bcf natural gas. The company was incorporated in 1997 and is headquartered in Oklahoma City, Oklahoma.

How the Company Makes Money

Gulfport Energy makes money primarily through the production and sale of natural gas, oil, and natural gas liquids (NGLs). The company's revenue model is centered around extracting these resources from its properties in the Appalachian Basin and South Central Oklahoma, processing them, and selling them to energy markets. Gulfport Energy's key revenue streams include the sale of produced hydrocarbons, which are subject to market price fluctuations. Additionally, the company may enter into hedging contracts to manage commodity price risks, which can also impact its financial performance. Significant factors contributing to Gulfport Energy's earnings include its ability to efficiently develop its reserves, manage operating costs, and maintain strategic partnerships with service providers and other stakeholders in the energy sector.

Gulfport Energy Financial Statement Overview

Summary

Gulfport Energy faces challenges in its income statement with declining revenues and profitability concerns, but maintains a stable balance sheet with moderate leverage. Cash flow generation remains a positive aspect, though high capital expenditures impact free cash flow growth. The company needs to address operational inefficiencies and explore revenue growth opportunities to improve its financial health.

Income Statement

Gulfport Energy has experienced significant volatility in its income statement metrics. The company recorded a substantial net loss in 2024 after a profitable year in 2023. Revenue has been decreasing, with a notable drop in 2024 compared to previous years. The gross profit margin remains high at 100% due to no cost of goods sold reported, but the EBIT and EBITDA margins are negative in 2024 due to high operating expenses. This indicates challenges in maintaining profitability and controlling costs.

Balance Sheet

The balance sheet shows a stable but cautious financial position. The debt-to-equity ratio is relatively low at 0.41 in 2024, indicating moderate leverage. However, the return on equity has dropped significantly in 2024 due to net losses, and the equity ratio is stable at around 60%. The company has managed to maintain a reasonable level of equity despite the downturn in net income, which is a positive sign of financial resilience.

Cash Flow

Gulfport Energy's cash flow statement reveals mixed results. Operating cash flow is strong relative to net income, indicating good cash generation from operations. However, free cash flow growth is weak due to high capital expenditures. The free cash flow to net income ratio is positive, suggesting that the company is generating cash despite net losses. Overall, cash flow management appears cautious but sustainable.

Breakdown
Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
928.60M	1.05B	2.33B	1.50B	801.25M
	Gross Profit
505.36M	663.02M	2.00B	809.35M	50.95M
	EBIT
-236.76M	974.85M	1.55B	755.71M	-77.89M
	EBITDA
68.24M	1.33B	822.24M	401.29M	-1.26B
	Net Income Common Stockholders
-261.39M	1.47B	494.70M	138.16M	-1.63B
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
1.47M	1.93M	7.26M	3.26M	89.86M
	Total Assets
2.87B	3.27B	2.53B	2.17B	2.54B
	Total Debt
708.96M	681.68M	720.87M	713.27M	253.74M
	Net Debt
707.48M	679.75M	713.61M	710.01M	163.88M
	Total Liabilities
1.12B	1.06B	1.65B	1.56B	2.84B
	Stockholders Equity
1.75B	2.21B	881.13M	607.37M	-300.50M
Cash Flow		Free Cash Flow
195.94M	185.82M	278.30M	155.70M	-271.98M
	Operating Cash Flow
650.03M	723.18M	739.08M	465.14M	95.30M
	Investing Cash Flow
-455.99M	-537.23M	-458.30M	-297.94M	-314.59M
	Financing Cash Flow
-194.50M	-191.28M	-276.78M	-253.81M	303.08M

Gulfport Energy Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 161.93
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GPOR, the sentiment is Negative. The current price of 161.93 is below the 20-day moving average (MA) of 178.98, below the 50-day MA of 179.19, and below the 200-day MA of 162.54, indicating a bearish trend. The MACD of 2.88 indicates Negative momentum. The RSI at 61.29 is Neutral, neither overbought nor oversold. The STOCH value of 47.86 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for GPOR.

Gulfport Energy Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
MTDR	81 Outperform	$4.81B	5.38	19.67%	2.51%	23.47%	0.80%
EQT	76 Outperform	$27.55B	102.88	1.30%	1.37%	3.00%	-90.88%
AR	70 Outperform	$10.41B	185.37	0.82%	―	-4.22%	-77.20%
GPOR	58 Neutral	$2.90B	16.69	-13.60%	―	-11.68%	-123.15%
Sector *	57 Neutral	$7.70B	4.18	-3.52%	8.32%	0.35%	-64.68%
RRC	56 Neutral	$8.07B	30.63	6.88%	0.99%	-7.57%	-69.25%
CNX	54 Neutral	$4.30B	9.01	-2.14%	―	-4.26%	-105.72%

Gulfport Energy Corporate Events

Gulfport Energy Plans 30% Liquids Production Increase in 2025

Gulfport Energy reported its financial and operational results for the fourth quarter and full year of 2024, highlighting a net production of 1.06 Bcfe per day and a 13% increase in net liquids production compared to the previous year. Looking ahead to 2025, the company plans to increase its net daily liquids production by over 30% and maintain flat year-over-year net daily equivalent production, while reducing drilling and completion capital costs by 20%. Gulfport aims to allocate most of its adjusted free cash flow towards common share repurchases, reflecting its strategy to enhance shareholder value and capitalize on an improving natural gas environment.