Pedevco (PED) AI Stock Analysis

• Market Cap: $57.03M
• Dividend Yield: N/A
• Average Volume (3M): 159.25K
• Price to Earnings (P/E): 12.7
• Beta (1Y): 0.48
• Revenue Growth: -6.93%
• EPS Growth: 82.14%
• Country: US
• Employees: 14
• Sector: Energy
• Sector Strength: 52
• Industry: Oil & Gas Exploration & Production
• EPS (TTM): 0.00
• Shares Outstanding: 95,519,356
• 10 Day Avg. Volume: 183,283
• 30 Day Avg. Volume: 159,247
• PEG Ratio: <0.01
• Price to Book (P/B): 0.57
• Price to Sales (P/S): 1.76
• P/FCF Ratio: 5.51
• Enterprise Value/Market Cap: 0.79
• Enterprise Value/Revenue: 1.35
• Enterprise Value/Gross Profit: 9.40
• Enterprise Value/Ebitda: 3.40
• 1Y Price Target: $0.85
• Price Target Upside: 51.79% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 71 Outperform
• Price Target: $0.70 ▲(24.29% Upside)

The score is driven primarily by strong financial stability (very low leverage) and solid recent cash generation, partially offset by deteriorating TTM operating profitability and revenue. Technicals are supportive with price above key moving averages, but near-overbought signals add caution. Valuation is moderate (P/E ~13.7) with no dividend support, and recent financing-related corporate events modestly increase leverage risk.

Positive Factors

Very low leverage / conservative balance sheet

Extremely low leverage provides durable financial flexibility for a cyclical E&P. It reduces refinancing and liquidity risk, enables capital allocation into drilling or buybacks during down cycles, and supports credit access, improving resilience over the next several quarters.

Consistent free cash generation

Material positive free cash flow that roughly equals net income indicates the business converts earnings to cash. Durable FCF supports funding of maintenance and growth capex, debt service and opportunistic investments, reducing dependency on external capital over 2–6 months.

Operations in premier U.S. basins

Operating in the Permian and D-J basins offers structural advantages: proven geology, developed midstream, and service economies of scale. These location advantages tend to support lower unit development costs and more resilient production profiles over medium-term planning horizons.

Negative Factors

Operating margin deterioration

A negative operating margin despite positive net results signals rising operating costs or weaker core performance. This reduces sustainable profitability, limits reinvestment from operations, and makes earnings more sensitive to commodity price swings over coming quarters.

New indebtedness and preferred-holder governance rights

Expanded revolver improves liquidity but materially increases leverage and ties financing to preferred-stock holder consent. That governance overlay can constrain future capital decisions, complicate refinancing or M&A, and raise long-term funding friction for strategic moves.

Volatile cash flows and returns historically

Historical swings in cash generation and returns indicate earnings and free cash are highly cyclical. This volatility undermines predictability of sustained investment, increases risk premiums from lenders and partners, and complicates multi-quarter planning for growth or payouts.

Pedevco Business Overview & Revenue Model

Company Description

PEDEVCO Corp., an oil and gas company, focuses on the acquisition, development, and production of oil and natural gas assets in the United States. As of December 31, 2021, the company held approximately 32,870 net Permian Basin acres located in Chaves and Roosevelt Counties, New Mexico; and approximately 11,580 net Denver-Julesberg (D-J) Basin acres located in Weld and Morgan Counties, Colorado. It had interests in 385 net wells in Permian Basin Asset; and 78 net wells in (D-J) Basin Asset. The company is headquartered in Houston, Texas. PEDEVCO Corp. is a subsidiary of SK Energy LLC.

How the Company Makes Money

PEDEVCO Corp. generates revenue primarily through the sale of crude oil, natural gas, and natural gas liquids that it produces from its operated wells. The company's revenue model is based on the exploration and development of its oil and gas reserves, from which it extracts fossil fuels that are then sold to third-party purchasers. The prices for oil and gas can fluctuate based on market conditions, impacting the company's earnings. Additionally, PEDEVCO may engage in strategic partnerships or joint ventures to optimize resource development and enhance operational efficiencies, which can also contribute to its revenue streams.

Pedevco Financial Statement Overview

Summary

Strong financial footing supported by an extremely low-leverage balance sheet and solid recent cash generation (TTM operating cash flow and free cash flow both ~ $17M). The main offset is weakening core operations in TTM, including a negative operating margin and lower gross margin alongside declining revenue, which raises sustainability risk.

Income Statement

Profitability has improved materially versus earlier years, with strong net profitability in 2024 (net margin ~45%) and still solid in TTM (Trailing-Twelve-Months) (~36%). However, the operating picture weakened in TTM (Trailing-Twelve-Months) with negative operating profit margin (~-11%) and a step down in gross margin (~15% vs ~28–33% in 2022–2024). Growth is also turning less supportive, with revenue down in TTM (Trailing-Twelve-Months) (~-6%) after strong growth in 2024.

Balance Sheet

The balance sheet is very conservatively financed, with extremely low leverage across periods (debt-to-equity around ~0.2% in TTM (Trailing-Twelve-Months)), providing substantial flexibility for a cyclical commodity business. Equity and assets remain sizable and stable, and returns on equity are positive in recent periods (TTM ~8%; 2024 ~15%). The main drawback is that returns have been volatile historically (including weak/negative years), underscoring earnings sensitivity to operating conditions.

Cash Flow

Cash generation is a clear strength: operating cash flow is strong in TTM (Trailing-Twelve-Months) (~$17.1M) and free cash flow is similarly strong (~$17.0M). Cash flow generally supports earnings quality, with free cash flow modestly exceeding net income in TTM (Trailing-Twelve-Months) (~1.08x). Offsetting this, free cash flow growth is slightly negative in TTM (Trailing-Twelve-Months) and 2024, and cash flow performance has shown sharp swings historically (notably very weak in 2020).

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	33.24M	39.55M	30.78M	30.03M	15.86M	8.06M
Gross Profit	4.77M	11.18M	10.08M	8.48M	2.54M	-7.72M
EBITDA	13.19M	20.82M	15.04M	13.88M	6.18M	-21.25M
Net Income	9.56M	17.79M	264.00K	2.84M	-1.30M	-32.69M
Balance Sheet
Total Assets	135.89M	133.84M	129.59M	116.11M	98.22M	79.56M
Cash, Cash Equivalents and Short-Term Investments	10.92M	4.01M	18.52M	29.43M	25.93M	8.03M
Total Debt	257.00K	228.00K	316.00K	81.00K	195.00K	670.00K
Total Liabilities	20.52M	12.74M	28.13M	19.65M	6.74M	3.93M
Stockholders Equity	115.37M	121.10M	101.45M	96.46M	91.48M	75.64M
Cash Flow
Free Cash Flow	17.05M	12.60M	23.44M	3.73M	5.93M	12.00K
Operating Cash Flow	17.12M	12.77M	23.48M	15.98M	5.97M	12.00K
Investing Cash Flow	-10.76M	-26.87M	-35.74M	-12.27M	-2.76M	-14.77M
Financing Cash Flow	139.00K	0.00	0.00	35.00K	14.69M	370.00K

Pedevco Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.56
• 50DMA: Positive
• 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 PED, the sentiment is Positive. The current price of 0.56 is below the 20-day moving average (MA) of 0.58, above the 50-day MA of 0.55, and below the 200-day MA of 0.59, indicating a neutral trend. The MACD of 0.01 indicates Positive momentum. The RSI at 50.71 is Neutral, neither overbought nor oversold. The STOCH value of 27.66 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for PED.

Pedevco Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
NRT	85 Outperform	$80.97M	10.20	375.02%	12.50%	22.51%	26.50%
PED	71 Outperform	$57.03M	12.66	3.66%	―	-6.93%	82.14%
Sector *	65 Neutral	$15.17B	7.61	4.09%	5.20%	3.87%	-62.32%
PRT	57 Neutral	$40.51M	7.90	7.20%	11.00%	-0.83%	-0.82%
PVL	54 Neutral	$59.40M	28.13	4.93%	6.02%	18.14%	-68.41%

Pedevco Corporate Events

Pedevco Updates Executive Compensation Following 2025 Annual Review

On January 27, 2026, Pedevco Corp. completed its 2025 annual compensation review and approved cash bonuses for its senior leadership team, including the president and CEO, executive vice president and general counsel, chief commercial officer, chief operating officer, chief financial officer and chief accounting officer, with awards ranging from $43,000 to $170,000. As part of the same review, the company raised Chief Accounting Officer Paul Pinkston’s annual salary from $168,000 to $175,000 effective February 1, 2026, while decisions on any related equity incentive awards for employees had not yet been finalized, signaling a continued focus on executive and key staff retention through targeted cash compensation adjustments.

The most recent analyst rating on (PED) stock is a Hold with a $0.68 price target. To see the full list of analyst forecasts on Pedevco stock, see the PED Stock Forecast page.

Pedevco gains preferred holder approval for new borrowing

On October 31, 2025, PEDEVCO Corp. entered into an Amended and Restated Credit Agreement providing an initial $120 million borrowing base and up to $250 million in revolving credit capacity, under which it borrowed $87 million in connection with recently closed mergers, and on January 8, 2026, the company drew an additional $6 million to fund participation in certain non-operated well operations and other payables. The incremental borrowing was subject to approval by holders of PEDEVCO’s Series A Convertible Preferred Stock, which possess rights to approve new indebtedness above $500,000; on January 6, 2026, majority holders North Peak Oil & Gas Holdings, LLC and Century Oil and Gas Holdings, LLC granted that approval via written consent, underscoring preferred shareholders’ influential role in the company’s capital structure and funding decisions.

The most recent analyst rating on (PED) stock is a Buy with a $0.62 price target. To see the full list of analyst forecasts on Pedevco stock, see the PED Stock Forecast page.