HighPeak Energy Inc. Common Stock (HPK)

FairStock Score: 20/100 — RISKY

Key Financials

AI Analysis

AI-generated, general educational analysis — not personal investment advice.

HighPeak is a small Permian Basin oil and gas producer, and I must start with the moat: there is none in the usual sense. It sells commodities at market prices, so its fortunes ride on oil and gas prices. The filed figures show just how cyclical it is: in FY2023 it earned $215.9M on $1.1B revenue, with diluted EPS $1.58; by FY2025 net income collapsed to $19.0M on $863.4M revenue, or $0.14 per diluted share. The fiscal Q2 2026 quarter ended 2026-06-30 was strong — $272.4M revenue, $82.3M net income, $0.59 diluted EPS — but fiscal Q1 2026, the quarter ended 2026-03-31, showed a $127.4M net loss and negative $1.02 diluted EPS. That swing tells me not to annualize one good quarter. Financial health is mixed. FairStock's Piotroski F-Score is 8/9, which is encouraging, and its EV/EBITDA is only 4.96. But TTM free cash flow is negative $7.9M, FCF yield is -0.6%, its Altman Z-Score is 0.80, and debt-to-equity is 0.77. At $10.11 on 2026-10-13, market cap is $1.3B, P/B is 0.82, and P/E is -14.65. A below-book price can be a value signal, but negative earnings and weak cash generation make it speculative. The company has no durable competitive advantage; it has leverage to energy prices. I would want clear, sustainable free cash flow and debt reduction before treating this as a Graham-style bargain.

In plain English: HighPeak Energy is a small oil and gas producer working in the Permian Basin. The business looks uneven: it made money in the latest quarter but lost money in the prior quarter and did not generate positive cash left over after spending over the past year. At $10.11, the stock trades below the value of its net assets on the books, but the company carries debt and its profits swing with energy prices, so it is not a steady bargain.

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Data as of 2026-10-13 close · note generated 2026-10-15 · model deepseek-flash

Sources (SEC EDGAR): fiscal Q2 2026 10-Q (period ended 2026-06-30) · fiscal Q1 2026 10-Q (period ended 2026-03-31) · fiscal Q3 2025 10-Q (period ended 2025-09-30) · fiscal Q2 2025 10-Q (period ended 2025-06-30) · FY2025 10-K (period ended 2025-12-31) · FY2024 10-K (period ended 2024-12-31) · FY2023 10-K (period ended 2023-12-31)

Fundamentals from company filings and market-data providers; prices are end-of-day, not real-time. AI-generated analysis is general and educational — not personal investment advice. Scoring methodology · Score test · Disclaimer