Energy Services of America (ESOA) AI Stock Analysis

• Market Cap: $147.36M
• Dividend Yield: 1.02%
• Average Volume (3M): 136.10K
• Price to Earnings (P/E): 51.7
• Beta (1Y): 1.14
• Revenue Growth: 9.52%
• EPS Growth: -88.22%
• Country: US
• Employees: 1,396
• Sector: Industrials
• Sector Strength: 72
• Industry: Engineering & Construction
• EPS (TTM): 0.12
• Shares Outstanding: 16,650,537
• 10 Day Avg. Volume: 162,507
• 30 Day Avg. Volume: 136,100
• PEG Ratio: 0.03
• Price to Book (P/B): 2.68
• Price to Sales (P/S): 0.45
• P/FCF Ratio: 15.87
• Enterprise Value/Market Cap: 1.44
• Enterprise Value/Revenue: 0.55
• Enterprise Value/Gross Profit: 5.31
• Enterprise Value/Ebitda: 12.52
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 60 Neutral
• Price Target: $12.00 ▲(35.59% Upside)

Energy Services of America has a moderate overall stock score. The most significant factor is the company's financial performance, which shows moderate revenue growth but faces challenges in profitability and cash flow management. Technical analysis indicates positive momentum, which is a strength. However, the high P/E ratio suggests potential overvaluation, which is a concern.

Positive Factors

Revenue Growth

Steady revenue growth indicates a stable demand for ESOA's services, reflecting its ability to maintain and potentially expand its market position in the energy sector.

Long-term Contracts

Long-term contracts with utility companies ensure reliable revenue streams, enhancing financial stability and providing a buffer against market volatility.

Diversified Service Offerings

Diversification into multiple energy sectors positions ESOA to capitalize on various growth opportunities and mitigate risks associated with sector-specific downturns.

Negative Factors

Profitability Challenges

Declining profit margins indicate rising cost pressures and operational inefficiencies, which could hinder ESOA's ability to generate sustainable profits.

Increased Leverage

Higher leverage increases financial risk, potentially limiting ESOA's ability to invest in growth opportunities and manage economic downturns effectively.

Cash Flow Concerns

Significant decline in free cash flow suggests liquidity issues, which could impact ESOA's ability to fund operations and invest in future growth without additional financing.

Energy Services of America Business Overview & Revenue Model

Company Description

Energy Services of America (ESOA) is a diversified energy company that specializes in providing a wide range of services in the energy sector, including construction and maintenance for natural gas and electric utility companies. The company operates primarily in the United States and focuses on sectors such as utility construction, energy efficiency, and renewable energy solutions, delivering core products and services that include infrastructure development, installation, and repair of energy systems.

How the Company Makes Money

ESOA generates revenue through multiple channels, primarily by offering contracting services to utility companies for infrastructure development and maintenance projects. The company benefits from long-term contracts, which provide a steady income stream. Key revenue streams include construction services for electric and gas facilities, as well as consulting and project management services related to energy efficiency and renewable energy projects. Additionally, partnerships with utility companies and government contracts contribute significantly to its earnings, as these relationships often result in ongoing service agreements and collaborative projects.

Energy Services of America Financial Statement Overview

Summary

Energy Services of America is experiencing moderate revenue growth but faces challenges in profitability and cash flow management. The increase in leverage and decline in return on equity highlight potential financial risks. The company needs to address cost pressures and improve operational efficiency to enhance profitability and cash flow stability.

Income Statement

The company shows a moderate revenue growth rate of 4.81% TTM, indicating steady growth. However, the gross profit margin has decreased to 10.35% TTM from 14.20% in the previous year, reflecting increased cost pressures. The net profit margin is low at 0.72% TTM, down from 7.13%, suggesting challenges in maintaining profitability. EBIT and EBITDA margins have also declined, indicating reduced operational efficiency.

Balance Sheet

The debt-to-equity ratio has increased to 1.13 TTM, indicating higher leverage and potential risk. Return on equity has significantly decreased to 4.90% TTM from 42.77%, showing reduced profitability for shareholders. The equity ratio is not provided, but the overall balance sheet suggests increased financial risk due to higher debt levels.

Cash Flow

Free cash flow has decreased by 71.63% TTM, indicating potential liquidity issues. The operating cash flow to net income ratio is low at 0.14, suggesting weak cash generation relative to net income. The free cash flow to net income ratio is moderate at 0.53, but the significant decline in free cash flow growth is concerning.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	385.59M	351.88M	304.10M	197.59M	122.47M	119.19M
Gross Profit	39.89M	49.95M	36.81M	22.37M	12.92M	13.50M
EBITDA	16.92M	44.69M	20.59M	6.25M	4.68M	8.46M
Net Income	2.79M	25.11M	7.40M	3.75M	9.10M	2.43M
Balance Sheet
Total Assets	195.55M	158.25M	142.51M	112.63M	70.17M	58.16M
Cash, Cash Equivalents and Short-Term Investments	15.34M	12.93M	16.43M	7.43M	8.23M	11.22M
Total Debt	61.48M	36.39M	48.18M	32.24M	17.46M	15.77M
Total Liabilities	141.01M	99.55M	107.92M	74.30M	35.53M	32.34M
Stockholders Equity	54.54M	58.69M	34.59M	38.33M	34.64M	25.82M
Cash Flow
Free Cash Flow	6.67M	9.92M	10.25M	2.98M	-5.25M	11.45M
Operating Cash Flow	12.57M	18.68M	21.07M	8.28M	798.94K	14.99M
Investing Cash Flow	-31.49M	-8.00M	-10.18M	-8.28M	-8.69M	-2.77M
Financing Cash Flow	19.71M	-14.19M	-1.89M	-805.41K	4.90M	-5.58M

Energy Services of America Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 8.85
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For ESOA, the sentiment is Negative. The current price of 8.85 is below the 20-day moving average (MA) of 10.08, below the 50-day MA of 10.26, and below the 200-day MA of 9.89, indicating a bearish trend. The MACD of -0.49 indicates Positive momentum. The RSI at 32.57 is Neutral, neither overbought nor oversold. The STOCH value of 17.66 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for ESOA.

Energy Services of America Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
GLDD	76 Outperform	$860.87M	10.68	17.37%	―	12.53%	35.68%
ORN	64 Neutral	$395.02M	41.03	6.31%	―	7.02%	―
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
ESOA	60 Neutral	$147.36M	51.66	5.24%	1.02%	9.52%	-88.22%
BWMN	59 Neutral	$626.30M	37.92	6.31%	―	16.73%	―
MTRX	47 Neutral	$428.61M	-14.39	-16.33%	―	17.16%	24.10%
SLND	43 Neutral	$173.70M	―	-84.16%	―	-9.10%	21.10%

Energy Services of America Corporate Events

Energy Services Acquires Rigney Digital Systems

On September 30, 2025, Energy Services of America Corporation announced that its subsidiary, Nitro Construction Services, completed the acquisition of Rigney Digital Systems, a leader in HVAC control systems based in Hurricane, West Virginia. This strategic acquisition, valued at $4.5 million, allows Nitro to expand its expertise in building technology while maintaining Rigney’s brand identity and client relationships. The move is expected to enhance Nitro’s service offerings with smarter, more efficient building solutions, ensuring continuity for Rigney’s existing customers and supporting future growth in HVAC controls and building technology.

The most recent analyst rating on (ESOA) stock is a Hold with a $11.00 price target. To see the full list of analyst forecasts on Energy Services of America stock, see the ESOA Stock Forecast page.

Energy Services of America Declares Quarterly Dividend

On September 26, 2025, Energy Services of America Corporation announced a quarterly cash dividend of $0.03 per common share, payable on October 15, 2025, to shareholders recorded by October 6, 2025. This announcement reflects the company’s ongoing commitment to providing shareholder value and may influence investor sentiment positively.

The most recent analyst rating on (ESOA) stock is a Hold with a $11.00 price target. To see the full list of analyst forecasts on Energy Services of America stock, see the ESOA Stock Forecast page.

Energy Services of America Announces Strategic Acquisition

On September 18, 2025, Energy Services of America Corporation announced that its subsidiary, Nitro Construction Services, has entered into an Asset Purchase Agreement with Rigney Digital Systems, a leader in HVAC control systems. The acquisition, valued at $4.5 million, is expected to close on September 30, 2025, and will allow Nitro to expand its expertise in building technology while Rigney continues to operate under its established brand. This strategic move is aimed at enhancing Nitro’s service offerings and maintaining Rigney’s trusted name, ensuring continuity for existing customers and supporting future growth in the HVAC controls sector.

The most recent analyst rating on (ESOA) stock is a Hold with a $10.50 price target. To see the full list of analyst forecasts on Energy Services of America stock, see the ESOA Stock Forecast page.

Energy Services of America Reports Strong Revenue Growth

Energy Services of America Corporation, headquartered in Huntington, WV, is a contractor and service company that operates primarily in the mid-Atlantic and Central regions of the United States, providing services to the natural gas, petroleum, water distribution, automotive, chemical, and power industries. The company is known for its commitment to safety, quality, and production, employing over 1,000 individuals regularly.