Ring Energy Cuts Capital Spending Amid Oil Price Drop

Ring Energy ( (REI) ) has shared an update.

On April 24, 2025, Ring Energy updated its guidance for the second quarter of 2025, reaffirming its sales volume outlook while significantly reducing its capital spending guidance by over 50% to $18 million in response to declining oil prices. The company aims to emphasize debt reduction to manage potential risks associated with prolonged low oil prices, maintaining its sales volume guidance with midpoints of 14,200 barrels of oil per day and 21,500 barrels of oil equivalent per day.

Spark’s Take on REI Stock

According to Spark, TipRanks’ AI Analyst, REI is a Neutral.

Ring Energy faces significant financial and operational challenges, particularly with the sudden absence of revenue and cash flows in 2024. Although recent earnings call insights and a low P/E ratio offer some positive outlook, the technical analysis suggests a bearish trend. The stock is currently overshadowed by financial instability, requiring strategic intervention to improve its market position.

To see Spark’s full report on REI stock, click here.

More about Ring Energy

Ring Energy, Inc. is an oil and gas exploration, development, and production company with current operations focused on the development of its Permian Basin assets.

YTD Price Performance: -33.50%

Average Trading Volume: 2,029,680

Technical Sentiment Signal: Buy

Current Market Cap: $192.4M

Find detailed analytics on REI stock on TipRanks’ Stock Analysis page.