Ring Energy, Inc. (REI) AI Stock Analysis

Ring Energy, Inc., an active exploration and production company, focuses on acquiring, exploring, developing, and producing oil and natural gas primarily in Texas and New Mexico. As of December 31, 2021, the company held proven reserves amounting to approximately 77.8 million barrels of oil equivalent. Its operational asset base includes interests in Andrews, Gaines, Culberson, Reeves, Yoakum, Runnels, and Coke counties in Texas, alongside Lea County in New Mexico. Ring Energy markets its oil and gas production directly to end users, marketers, and purchasers. Headquartered in The Woodlands, Texas, the company operates with 111 employees.

Revenue grew at a 5-year CAGR of 22.1% through FY2025, climbing from $196.3M in FY2021 to $366.3M in FY2024 before dropping 16.1% to $307.2M in FY2025. Operating margin compressed from 48.8% in FY2021 and 55.2% in FY2022 down to 24.2% in FY2025. Net income moved from $138.6M in FY2022 to -$34.7M in FY2025, accompanied by EPS of $0.18. Over the trailing twelve months, revenue reached $308.3M with an operating margin of 74.3% and EPS of -$1.01. In the latest quarter ended June 30, 2026, revenue increased 26.5% year-over-year while quarterly earnings surged 170.2%.

As of June 30, 2026, Ring Energy held $1.1M in cash and short-term investments against total debt of $363.8M, yielding net debt of $362.6M. The current ratio stood at 0.54, while debt-to-equity was 0.48 with shareholders' equity of $753.4M and total assets of $1.28B. For FY2025, the company generated $150.8M in operating cash flow and $52.9M in free cash flow after funding capital expenditures of $97.9M. Over the last five years, the company's share count increased 94.6%.

With a market capitalization of $356.9M and enterprise value of $709.2M, Ring Energy trades at a forward P/E of 6.3x, compared to the median of 12.7x for its US-listed Energy peers. Its price-to-sales ratio is 1.2x versus the peer median of 1.8x, while EV to EBITDA stands at 8.6x versus the 8.0x peer median. Over the past year, the stock returned 45.7%, exceeding the S&P 500 (SPY) return of 16.8%, though its 5-year return of -64.2% lags SPY's 83.0% gain.

Ring Energy has 1 Hold rating and no Buy or Sell ratings. The mean price target of $2.08 represents a 52.1% premium over the last close of $1.37 on October 16, 2026. For the fiscal year ending December 31, 2026, consensus estimates expect EPS of $0.28 and revenue of $356.9M. For the following year, 3 analysts project EPS of $0.24 on revenue of $352.7M. The company has beaten EPS estimates in 3 of the last 4 quarters, with next earnings on November 5, 2026.

This page is an AI-written research summary of Ring Energy, Inc. (REI). The text was generated on October 30, 2026 from Quotelinks data as of October 16, 2026 (company profile, annual results, latest balance sheet, valuation, price performance and analyst estimates). An automatic check rejects any draft that contains a figure not found in that data. It is not investment advice; verify figures on the linked tabs before making decisions.

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