Earthstone Energy (ESTE) Valuation - Oct 31

[dan_s]

Zacks likes ESTE
"One company to watch right now is Earthstone Energy (ESTE). ESTE is currently sporting a Zacks Rank of #2 (Buy), as well as an A grade for Value. The stock holds a P/E ratio of 2.34, while its industry has an average P/E of 6.28."

I highlighted ESTE at the end of my Saturday podcast. By any measure, this stock is trading at a deep discount to any valuation. Today it trades at just over 2.1X my 2022 operating per share forecast and their cash flow will be going way up in 2023.

Read more: https://finance.yahoo.com/news/investor ... 01138.html

[Cliff_N]

Third Quarter 2022 and Other Recent Highlights

Repurchase of 3 million shares of Class A Common Stock for $43.7 million
Closed the Titus Acquisition on August 10, 2022
Net income attributable to Earthstone Energy, Inc. of $211.5 million, or $1.94 per Diluted Share
Net income of $299.3 million, or $2.09 per Adjusted Diluted Share(1)
Adjusted net income(1) of $186.9 million, or $1.30 per Adjusted Diluted Share(1)
Adjusted EBITDAX(1) of $345.8 million, up 15% compared to 2Q 2022
Net cash provided by operating activities of $365.5 million
Free Cash Flow(1) of $174.2 million, up 6% compared to 2Q 2022
Average net production of 94,329 Boepd(2), up 22% compared to 2Q 2022 and 7% above the midpoint of 3Q 2022 guidance
Capital expenditures of $147.2 million