Research from Water Tower Research, Water Tower Research

Water Tower Research

Water Tower Research is a leading equity research firm that provides research on micro, small and mid cap companies.

Water Tower Research was founded by Wall Street veterans after witnessing a fundamental shift in the investment research industry with the result being a declining knowledge base among investors, a lack of awareness and a shrinking pool of fundamental research being conducted on companies across the small-cap and micro-cap spectrum. The same issues are now increasingly occurring in the mid-cap space. This sea change within the investment community is impacting not only the companies themselves but also current shareholders and potential investors. With significantly less active sell-side sponsorship by Wall Street, a substantial information gap has developed between companies and various constituents in the financial community. The net result is fewer channels for insight and information to flow between companies and investors.

Research from Water Tower Research

Equity Research Firm

Equity Bottom-Up

<div><ul><li>Management laid out the math on debt reduction in frank terms – every $125 million term loan paydown translates to ~$1 per share in equity value based on HighPeak’s current share count. </li><li>Mandatory quarterly term loan amortization payments of $30 million are scheduled to begin on September 30, 2026.</li><li>The FY26 operating plan was constructed to generate free cash flow in a sub-$60/bbl oil price environment.</li></ul></div>

Management laid out the math on debt reduction in frank terms – every $125 million term loan paydown translates to ~$1 per share in equity value based on HighPeak’s current share count. Mandatory quarterly term loan amortization payments of $30 million are scheduled to begin on September 30, 2026.The FY26 operating plan was constructed to generate free cash flow in a sub-$60/bbl oil price environment.

HPK: Prioritizing Debt Reduction to Position Company for Long Term

HighPeak Energy Inc

HPK: Prioritizing Debt Reduction to Position Company for Long Term