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

<ul><li>After adding ~2,300 Boe/d of shallow-decline production in the Lime Rock acquisition, management altered its FY25 capital program to favor allocating free cash flow to debt reduction.</li><li>2Q25 capital spending guidance was lowered by more than 50% from prior expectations, yet production guidance was maintained at 20,500-22,500 Boe/d (13,700-14,700 Bo/d).</li><li>Updated full-year guidance reflects a 36% capital spending reduction from management’s initial outlook and a 5% production reduction. </li></ul>

After adding ~2,300 Boe/d of shallow-decline production in the Lime Rock acquisition, management altered its FY25 capital program to favor allocating free cash flow to debt reduction.2Q25 capital spending guidance was lowered by more than 50% from prior expectations, yet production guidance was maintained at 20,500-22,500 Boe/d (13,700-14,700 Bo/d).Updated full-year guidance reflects a 36% capital spending reduction from management’s initial outlook and a 5% production reduction. 

Ring Energy, Inc: Estimate Update; Focusing on Debt Reduction

Ring Energy Inc

Ring Energy, Inc: Estimate Update; Focusing on Debt Reduction