PHX Minerals (PHX) Update - Dec 23

[dan_s]

PHX is a recent addition to our Small-Cap Growth Portfolio.

Eventually, the Company should move into our High Yield Income Portfolio, but for now they are spending free cash flow on acquisitions.

PHX has a September 30th year-end. Production was up just 5.9% in the fiscal year ending 9-30-2022, but the rate of growth should triple this year.
> Share price at the time of this post was just $3.96
> Good numbers for FYE 9-30-2022: Earning per share of $0.57 and Operating Cash Flow per share of $1.15.
> My forecast for FYE 9-30-2023: Earnings per share of $0.75 and Operating Cash Flow per share of $1.11.

TipRanks: "In the last 3 months, 2 ranked analysts set 12-month price targets for PHX. The average price target among the analysts is $6.10."

On December 19, 2022: Derrick Whitfield at Stifel Nicolaus lowered his price target on PHX Minerals (NYSE: PHX) to $6.20 (from $7.10) while maintaining a Buy rating.

My current Fair Value Estimate is $5.70.

My updated forecast model has been posted to the EPG website.