Imperial Petroleum (IMPP) AI Stock Analysis

• Market Cap: $157.61M
• Dividend Yield: N/A
• Average Volume (3M): 585.97K
• Price to Earnings (P/E): 3.3
• Beta (1Y): 0.05
• Revenue Growth: -9.98%
• EPS Growth: -19.48%
• Country: US
• Employees: 74
• Sector: Energy
• Sector Strength: 52
• Industry: Oil & Gas Exploration & Production
• EPS (TTM): 0.32
• Shares Outstanding: 44,648,740
• 10 Day Avg. Volume: 749,041
• 30 Day Avg. Volume: 585,971
• PEG Ratio: -0.03
• Price to Book (P/B): 0.21
• Price to Sales (P/S): 0.61
• P/FCF Ratio: 29.80
• Enterprise Value/Market Cap: 0.79
• Enterprise Value/Revenue: 0.92
• Enterprise Value/Gross Profit: 3.01
• Enterprise Value/Ebitda: 1.95
• 1Y Price Target: $6.00
• Price Target Upside: 69.97% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1
• EPS Forecast (FY): 2.02
• Revenue Forecast (FY): $237.34M

• Rating: 72 Outperform
• Price Target: $4.00 ▲(13.31% Upside)

The score is driven mainly by solid financial strength (especially the low-leverage balance sheet and strong profitability) and supportive valuation from a low P/E. These positives are tempered by weak technical momentum and variability in free cash flow alongside cooling revenue/margins versus prior highs.

Positive Factors

Conservative balance sheet

Minimal leverage and an equity-dominated capital base materially reduce financial risk and interest burden. This gives management durable flexibility to weather tanker rate cycles, access capital on better terms, pursue accretive vessel buys, and sustain operations through downturns without solvency stress.

High operating margins

Sustained high operating and net margins indicate structural operating efficiency and pricing power within the fleet. Elevated margins support internal cash generation, improve returns on equity, and provide a buffer versus freight rate volatility, underpinning longer-term earnings resilience.

Funded fleet expansion

Securing $60M and executing vessel acquisitions expands capacity to ~26 vessels and increases calendar days and revenue potential. Committed funding and acquisition pipelines materially grow operating scale and long-term earnings capacity once new ships are integrated and utilization remains strong.

Negative Factors

Declining revenue trend

A multi-period revenue decline signals weakening top-line momentum that could outlast short freight cycles. Persistently lower revenue constrains margin recovery, reduces cash available for reinvestment, and makes returns more dependent on spot-rate improvements or successful fleet redeployment.

Volatile free cash flow

Irregular free cash flow undermines the firm's ability to fund capex, dividends, and acquisitions from operations. This variability forces reliance on external financing at inopportune times, increases refinancing and execution risk, and makes long-term planning and shareholder returns less predictable.

Related-party acquisition risk

Purchasing vessels from affiliated parties creates governance and conflict-of-interest concerns. Even with independent valuations, such deals can raise questions about price discovery, integration incentives, and minority shareholder protections, potentially harming long-term capital allocation credibility.

Imperial Petroleum Business Overview & Revenue Model

Company Description

Imperial Petroleum Inc. provides international seaborne transportation services to oil producers, refineries, and commodities traders. It carries refined petroleum products, such as gasoline, diesel, fuel oil, and jet fuel, as well as edible oils and chemicals; and crude oils. As of March 29, 2022, the company owned four medium range refined petroleum product tankers and one Aframax crude oil tanker with a total capacity of 305,804 deadweight tons. The company was incorporated in 2021 and is based in Athens, Greece.

How the Company Makes Money

Imperial Petroleum, Inc. makes money by providing marine transportation services to oil and gas companies, refineries, and other industrial entities that require the movement of liquid cargoes. The company earns revenue primarily through the chartering of its vessels, which can be contracted on a time charter or spot charter basis. Time charters involve leasing vessels for a fixed period, providing steady and predictable income, while spot charters are typically shorter-term agreements that allow the company to capitalize on fluctuating market rates. Additionally, IMPP may engage in strategic partnerships with other shipping companies or stakeholders in the oil and gas industry to optimize fleet utilization and expand market reach. Factors such as global oil demand, fuel prices, and regulatory changes in maritime shipping can significantly influence the company's earnings.

Imperial Petroleum Financial Statement Overview

Summary

Strong profitability and a very conservative balance sheet (minimal leverage) support the score. Offsetting factors are softer revenue/margin trends versus 2023 and volatile free cash flow (notably weak in 2024 and negative in 2022), indicating less stable cash conversion.

Income Statement

Profitability is strong in recent periods, with TTM (Trailing-Twelve-Months) net margin around 28.6% and solid operating profitability (EBIT margin ~30.5%). However, results have softened versus prior years: revenue is down from 2023 to 2024 and TTM revenue is below 2024, and margins have compressed from 2023 highs. The multi-year trend shows a sharp turnaround from losses in 2020–2021 to robust profitability since 2022, but near-term growth is less consistent.

Balance Sheet

The balance sheet is very conservative: debt is minimal in 2024 and TTM (Trailing-Twelve-Months), with an extremely low debt-to-equity ratio, and equity represents the vast majority of the capital base. Returns on equity remain positive and healthy (about 8.9% TTM), though below the 2023 peak and slightly below 2024 levels, suggesting profitability is normalizing. Overall financial risk from leverage appears low.

Cash Flow

Cash generation is strong on an operating basis, with TTM (Trailing-Twelve-Months) operating cash flow comfortably exceeding net income (coverage ~3.86x) and free cash flow closely tracking net income (about 0.97x). The key weakness is volatility: 2024 free cash flow was very low relative to earnings, 2022 was materially negative, and TTM free cash flow growth is down year-over-year. This points to uneven cash conversion and/or fluctuating reinvestment needs.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	136.07M	147.48M	183.73M	97.02M	17.36M	20.30M
Gross Profit	41.54M	50.40M	73.37M	32.64M	-2.34M	367.66K
EBITDA	64.28M	67.55M	88.58M	43.41M	5.18M	8.25M
Net Income	38.93M	50.16M	71.13M	29.51M	-3.64M	-394.00K
Balance Sheet
Total Assets	476.35M	449.51M	376.83M	366.58M	128.47M	138.12M
Cash, Cash Equivalents and Short-Term Investments	99.32M	206.73M	124.03M	118.90M	3.39M	6.45M
Total Debt	19.26K	78.76K	0.00	69.96M	27.84M	0.00
Total Liabilities	17.36M	28.84M	14.53M	84.17M	31.72M	4.06M
Stockholders Equity	458.98M	420.67M	362.31M	282.41M	96.75M	134.06M
Cash Flow
Free Cash Flow	65.23M	3.02M	51.39M	-77.78M	5.10M	8.14M
Operating Cash Flow	67.10M	77.70M	79.53M	40.90M	5.24M	8.87M
Investing Cash Flow	-66.59M	-106.65M	12.29M	-186.68M	-142.60K	-728.00K
Financing Cash Flow	-169.88M	4.81M	-57.40M	196.95M	-6.37M	-9.33M

Imperial Petroleum Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 3.53
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IMPP, the sentiment is Negative. The current price of 3.53 is below the 20-day moving average (MA) of 3.68, below the 50-day MA of 4.22, and below the 200-day MA of 3.80, indicating a bearish trend. The MACD of -0.18 indicates Negative momentum. The RSI at 38.91 is Neutral, neither overbought nor oversold. The STOCH value of 42.24 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IMPP.

Imperial Petroleum Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
IMPP	72 Outperform	$157.61M	3.30	8.80%	―	-9.98%	-19.48%
Sector *	65 Neutral	$15.17B	7.61	4.09%	5.20%	3.87%	-62.32%
AMPY	52 Neutral	$203.19M	-7.26	-6.90%	―	-9.46%	-144.89%
EPM	51 Neutral	$137.90M	-635.48	-0.19%	13.52%	-2.23%	-104.00%
GTE	50 Neutral	$191.66M	-2.21	-21.91%	―	-1.58%	-271.90%
EP	41 Neutral	$105.26M	-5.88	-31.43%	―	-15.13%	17.34%

Imperial Petroleum Corporate Events

Imperial Petroleum to Add Four Vessels in 2026 Fleet Expansion Deal

On December 19, 2025, Imperial Petroleum Inc. announced it had entered into agreements to acquire a 2010 South Korean-built product tanker of 50,000 dwt for $20.65 million and three Japanese-built handysize drybulk carriers built in 2015 and 2016 with a total capacity of about 105,000 dwt for $57.26 million, from entities affiliated with Brave Maritime Corp Inc. The related-party transactions, linked to members of the Vafias family, were approved by the company’s independent directors after obtaining independent vessel valuations, with deliveries expected between the second and third quarters of 2026 and an option to defer payment for one year after each agreement date without interest; upon delivery, and absent further fleet changes, Imperial Petroleum’s fleet will rise to 26 vessels totaling roughly 1.55 million dwt, marking a notable expansion of its operational capacity and earnings potential in both the product tanker and drybulk segments.

The most recent analyst rating on (IMPP) stock is a Buy with a $6.00 price target. To see the full list of analyst forecasts on Imperial Petroleum stock, see the IMPP Stock Forecast page.

Imperial Petroleum Reports Strong Q3 2025 Results Amid Fleet Expansion

Imperial Petroleum Inc. announced its unaudited financial and operating results for the third quarter and nine months ended September 30, 2025. The company reported a significant increase in revenue and operating income, attributed to the expansion of its dry bulk fleet and improved market rates. The integration of seven dry bulk vessels led to a 36.1% increase in fleet calendar days, and operational utilization improved to 88.7% in Q3 2025. The company also raised $60 million through a registered direct equity offering to fund further fleet expansion.

The most recent analyst rating on (IMPP) stock is a Buy with a $6.00 price target. To see the full list of analyst forecasts on Imperial Petroleum stock, see the IMPP Stock Forecast page.

Imperial Petroleum Secures $60 Million in Direct Offering

On November 28, 2025, Imperial Petroleum Inc. announced a securities purchase agreement with institutional investors for a registered direct offering of approximately $60 million. The offering involves the sale of 9,523,900 shares of common stock and accompanying warrants, with the proceeds intended for working capital and general corporate purposes. The offering is expected to close around December 1, 2025, subject to customary conditions, and is being managed by Maxim Group LLC as the sole placement agent.

The most recent analyst rating on (IMPP) stock is a Buy with a $6.00 price target. To see the full list of analyst forecasts on Imperial Petroleum stock, see the IMPP Stock Forecast page.