Quality Investor

PrimeEnergy Resources Corporation

Rank #56Capital Return

PNRG · Nasdaq · Energy

PrimeEnergy Resources Corporation (PNRG) — Rank #56 by gross profitability (GP/assets 0.58) · ROE 12.0% · Piotroski F-Score 7 / 9.

As-of 2026-09-15 · CIK 0000056868 · all metrics point-in-time as of the filing date.

About

PrimeEnergy Resources Corporation, through its subsidiaries, engages in acquisition, development, and production of oil and natural gas properties in the United States.

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The company owns leasehold, mineral, and royalty interests in producing and non-producing oil and gas properties; and operates wells and owns non-operating interests and royalties. It also acquires producing oil and gas properties through joint ventures with industry partners; and provides contract services to third parties, including well-servicing support operations, site-preparation, and construction services for oil and gas drilling and reworking operations. The company was formerly known as PrimeEnergy Corporation and changed its name to PrimeEnergy Resources Corporation in December 2018.

PrimeEnergy Resources Corporation was incorporated in 1973 and is based in Houston, Texas.

Industry
Oil & Gas E&P
Sector
Energy
State
DE
Filer Category
Non-accelerated filerSmaller reporting company
Fiscal Year End
December 31

Price History

PNRG+310.0% · +32.6% CAGRSPY+80.5% · +12.5% CAGR

Company Snapshot

P/E and reverse DCF are the primary valuation lenses at this stage.

Market Cap

$343.42M

P/E (annual)

20.0

P/S (annual)

1.8

P/B

1.6

P/OCF (annual)

3.6

Shareholder Yield

4.0%

Employees

67

Industry

Oil & Gas E&P

Exchange

Nasdaq

Signal Flags

1 green1 red
Sequential beat (rev + EPS)Both revenue and EPS exceeded prior quarter — 2-quarter streak
Revenue declining YoYRevenue contracted year over year

Quality Profile

Profitability

1/1 pass
GP / assets
0.58
Return on equity
12.0%
Gross margin trend
PASS

Safety

1/1 pass
Balance-sheet safety
PASS
Debt / equity
0.44
Current ratio
1.49×
Net cash
$28.73M

Cash Flow

2/3 pass
Positive FCF
PASS
Cash-backed earnings
WARN
Accruals healthy
PASS
SBC / revenue

Growth

1/2 pass
Revenue growth
-20.5%
Piotroski F-Score
7 / 9
Share dilution
-4.0%

Terry Smith quality gate

Passes 1/5 Terry Smith thresholds

3 of 5 thresholds not computable from filed data.

What Growth Is Priced In

Implied revenue growth (10Y)

10.9%

incredible deal

The annual FCF growth rate today's price requires over a 10-year horizon (discount rate 10%, terminal growth 2.5%).

Buyback tailwind: -4.0% — per-share value needs a total required return of 6.9% once share-count change is priced in.

vs. own 6-year median revenue growth: 10.4%

within its own history

Cost-of-equity sensitivity (implied growth at different discount rates)

r = 8%

6.4%

r = 10% (base)

10.9%

r = 12%

14.8%

Net debt / market cap: -5.5%

Base FCF: $20.8M

Valuation History

Current multiple vs historical range at each filing date. Band spans 25th-75th percentile.

P / E

Price / diluted EPS

19.0xFair
4.5xmed 19.0x98.5x

P / S

Price / revenue per share

2.6xExpensive
1.6xmed 2.1x3.4x

P / B

Price / book value per share

2.3xFair
0.9xmed 2.0x4.0x

P / GP

Price / gross profit per share

2.7xExpensive
1.9xmed 2.1x3.0x

FCF yield, shareholder yield, and buyback activity are the primary reads at this stage.

Profitability

Gross profitability (GP / assets)

0.58

Primary signal (Novy-Marx).

1st of 6 SIC 13 peers

Return on equity

12.0%

Gross margin

96.7%

1st of 6 SIC 13 peers

Revenue growth (YoY)

-20.5%

Gross margin improving

Margin trend vs prior year.

PASS

Operating Leverage

2022202320242025
Revenue vs COGS
Revenue vs OpEx
Op. Income vs Revenue

Growth

Revenue CAGR (3Y)

6.4%

Revenue CAGR (5Y)

26.5%

Earnings CAGR (3Y)

FCF CAGR (3Y)

Anti-fragile safety

Balance-sheet safety

Composite anti-fragile check.

PASS

Debt / equity

0.44

2nd of 6 SIC 13 peers (best = lowest)

Current ratio

1.49×

4th of 6 SIC 13 peers

Quick ratio

1.38×

Net cash

$28.73M

Cash & equivalents minus total debt.

Recession resistance

Revenue through recessions

Worst single-year YoY revenue decline, 16 years of history

Weak
2008-2009 (GFC)
N/AN/A
2020 (COVID)
-44.3%Significant decline
Worst year on record(any fiscal year, not recession-limited)
-45.3%Significant decline

Cash-flow health

Free cash flow

$20.78M

Operating cash flow minus capex.

Positive free cash flow

PASS

FCF / net income

-0.21

Cash-backing of earnings.

FCF/NI divergence

Unfavorable divergence (yellow flag).

WARN

Accruals healthy

Cash-backed earnings.

PASS

SBC / revenue

Stock-based comp intensity.

Piotroski F-Score

F-Score

7 / 9

Fundamental-strength score (0-9).

Lifecycle Phase History

20202025
Decline
Hypergrowth
Capital Return