Mexco Energy (MXC) AI Stock Analysis

• Market Cap: $16.70M
• Dividend Yield: 1.23%
• Average Volume (3M): 59.97K
• Price to Earnings (P/E): 10.0
• Beta (1Y): -0.21
• Revenue Growth: 11.40%
• EPS Growth: 30.87%
• Country: US
• Employees: 3
• Sector: Energy
• Sector Strength: 45
• Industry: Oil & Gas Exploration & Production
• EPS (TTM): 0.31
• Shares Outstanding: 2,046,000
• 10 Day Avg. Volume: 3,246
• 30 Day Avg. Volume: 59,970
• PEG Ratio: 0.35
• Price to Book (P/B): 0.88
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 6.56
• Enterprise Value/Market Cap: 0.88
• Enterprise Value/Revenue: 0.52
• Enterprise Value/Gross Profit: 4.45
• Enterprise Value/Ebitda: 0.90
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0

• Rating: 75 Outperform
• Price Target: $9.50 ▲(16.42%Upside)

Mexco Energy is in a robust financial position with strong profit margins and minimal debt, as reflected in the high financial performance score. The positive corporate events and undervaluation further bolster its attractiveness. However, technical analysis indicates potential short-term weakness, which tempers the overall score.

Mexco Energy Business Overview & Revenue Model

Company Description

Mexco Energy Corporation (MXC) is an independent oil and natural gas company engaged in the exploration, development, and production of oil and gas properties located in the United States. The company focuses on acquiring and managing oil and gas interests in various geological basins, leveraging its expertise to optimize production and increase reserves. With a strategic emphasis on sustainable growth and maximizing shareholder value, Mexco Energy remains committed to operating efficiently within the energy sector.

How the Company Makes Money

Mexco Energy Corporation generates revenue primarily through the sale of oil and natural gas extracted from its properties. The company's key revenue streams include the production and sale of crude oil, natural gas, and natural gas liquids (NGLs) from its owned and operated wells. Additionally, Mexco might earn income from partnerships and joint ventures with other oil and gas companies, which can include shared production agreements or royalty interests. The company's earnings are significantly influenced by the prevailing market prices for oil and natural gas, as well as its ability to efficiently manage production costs and optimize resource extraction.

Mexco Energy Financial Statement Overview

Summary

Mexco Energy demonstrates strong profitability and financial stability with notable revenue and profit growth. The company has a solid balance sheet with minimal leverage and strong equity, though there is a need for improved free cash flow growth.

Income Statement

Mexco Energy has demonstrated notable revenue growth from 2024 to 2025, with a Revenue Growth Rate of 11.4%. The Gross Profit Margin stands at 44.9% and the Net Profit Margin at 23.3%, indicating strong profitability. The EBIT and EBITDA margins are also impressive at 26.5% and 60.8% respectively, showing efficient operations. However, the previous year had a significantly higher total revenue, and the company needs to maintain this growth trajectory.

Balance Sheet

The company's balance sheet is solid with a very low Debt-to-Equity Ratio of 0.01, indicating minimal leverage. The Return on Equity is strong at 9.2%, reflecting efficient use of equity to generate profits. Additionally, the Equity Ratio is high at 92.0%, showing a strong equity base compared to total assets, which suggests financial stability and low financial risk.

Cash Flow

Operating Cash Flow to Net Income Ratio is 2.5, indicating good cash generation relative to net income. Free Cash Flow has seen a decline from the previous year, but the Free Cash Flow to Net Income Ratio remains positive at 0.5. The company has managed its capital expenditures effectively to ensure positive free cash flow, though maintaining sustainable free cash flow growth remains a challenge.

Breakdown	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	7.36M	6.60M	9.56M	6.59M	2.80M
Gross Profit	3.30M	3.11M	5.98M	3.96M	1.02M
EBITDA	4.48M	3.97M	6.72M	4.36M	1.14M
Net Income	1.71M	1.34M	4.66M	2.86M	102.70K
Balance Sheet
Total Assets	20.35M	19.06M	17.82M	13.28M	10.83M
Cash, Cash Equivalents and Short-Term Investments	1.75M	2.47M	2.24M	1.37M	57.81K
Total Debt	126.53K	19.26K	75.63K	129.92K	1.18M
Total Liabilities	1.64M	1.43M	987.80K	1.06M	2.01M
Stockholders Equity	18.71M	17.63M	16.83M	12.22M	8.82M
Cash Flow
Free Cash Flow	853.00K	1.08M	1.20M	1.86M	-885.19K
Operating Cash Flow	4.27M	4.43M	6.52M	3.74M	710.05K
Investing Cash Flow	-4.15M	-3.42M	-5.44M	-1.71M	-1.39M
Financing Cash Flow	-834.58K	-779.72K	-209.81K	-721.43K	701.01K

Mexco Energy Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 8.16
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For MXC, the sentiment is Negative. The current price of 8.16 is below the 20-day moving average (MA) of 8.48, below the 50-day MA of 8.29, and below the 200-day MA of 9.88, indicating a bearish trend. The MACD of -0.21 indicates Positive momentum. The RSI at 45.59 is Neutral, neither overbought nor oversold. The STOCH value of 31.37 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for MXC.

Mexco Energy Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
MXC	75 Outperform	$16.70M	10.04	9.42%	1.23%	11.40%	30.87%
Sector *	52 Neutral	C$2.96B	-1.55	-3.48%	6.54%	3.13%	-49.39%
BRN	45 Neutral	$11.26M	―	-49.65%	―	-25.50%	-85.87%
BATL	41 Neutral	$23.04M	―	36.17%	―	-6.23%	45.67%

Mexco Energy Corporate Events

Mexco Energy Reports 27% Net Income Increase

On June 27, 2025, Mexco Energy Corporation announced its financial results for fiscal 2025, reporting a 27% increase in net income to $1,712,368 and an 11% rise in operating revenues to $7,358,066 compared to fiscal 2024. The company participated in drilling 35 horizontal wells and acquired various royalty and mineral interests, while its estimated proved reserves decreased due to lower oil and gas prices. Mexco Energy remains financially stable with $2.2 million in cash and no outstanding bank debt, actively seeking new opportunities.

Mexco Energy Declares Annual Cash Dividend

On May 13, 2025, Mexco Energy Corporation announced that its Board of Directors declared a regular annual cash dividend of $0.10 per share, payable on June 16, 2025, to stockholders of record on June 2, 2025. This decision reflects the company’s ongoing financial strategies and considerations, including liquidity and capital resources, and impacts stakeholders by providing a return on investment, though future dividends are not guaranteed.