Risk factor
Very high price volatility
Profitability factor
Undervalued vs peers
About
East West Petroleum Corp. functions as a junior enterprise within the oil and gas industry, primarily dedicated to the exploration, development, and production of hydrocarbon reserves. Its operations span two key regions: New Zealand and Romania. In New Zealand, the company possesses a 30% interest in the Cheal-E site mining permit, situated within the Taranaki Basin. Concurrently, its Romanian portfolio includes four exploration blocks, which collectively cover an extensive area of 1,007,500 acres in the Pannonian Basin of the country's western region. Established in 1987, this Vancouver, Canada-headquartered firm previously operated under the name Avere Energy Inc. It officially adopted its current name, East West Petroleum Corp., in August 2010.
Company Valuation
From both historical and forecast perspectives, the stock is considerably underpriced compared to similar stocks. In particular, the stock is 'cheap' on EV/EBITDA.