Phx Minerals CFO buys $9.9k in company stock

PHX Minerals Inc. (NYSE:PHX) reported a notable transaction by a key executive, with the company's Senior Vice President and Chief Financial Officer, Raphael D'Amico, making a purchase of company stock. On August 9, 2024, D'Amico acquired 3,000 shares of PHX Minerals' common stock at a price of $3.2994 per share, totaling approximately $9,898.

This transaction increases D'Amico's total holdings in PHX Minerals to 520,124 shares, a figure that includes restricted shares subject to performance criteria and elapsed time. The acquisition of shares by a CFO is often seen by investors as a sign of confidence in the company's financial health and future prospects.

PHX Minerals, formerly known as Panhandle Oil & Gas Inc., has a presence in the crude petroleum and natural gas sector, with its corporate headquarters in Fort Worth, Texas. The company's stock is publicly traded, offering investors the opportunity to participate in the energy market.

Investors and market watchers often pay close attention to insider transactions such as this one, as they can provide insights into the company's performance and management's expectations. The purchase by D'Amico is a direct ownership transaction, meaning the shares are owned outright without any intermediaries or indirect means.

The recent filing with the SEC provides transparency into the actions of PHX Minerals' executives, allowing shareholders and potential investors to stay informed about the movements of insider stock ownership.

In other recent news, PHX Minerals Inc. reported a significant increase in its quarterly corporate volumes, marking the highest since the second quarter of 2018. This notable growth, a 40% surge from the previous quarter, is primarily attributed to a strategic shift towards mineral assets, now composing about 90% of the company's production. The company's revenue also increased by 39% despite a slight decrease in realized prices, due to the increased production volumes.

PHX Minerals has also demonstrated financial discipline by reducing its debt by $4 million since the end of 2023 and increasing dividends by 33%. The company has closed $3.5 million in mineral acquisitions and continues to evaluate further opportunities. The company's debt-to-EBITDA ratio stood at 1.32 times as of June 30, 2024.

The company's outlook is optimistic, with a seven-year inventory of high-quality drilling locations and expectations of an upward trend in 2025. However, it acknowledges the influence of commodity prices and operator decisions on future growth. Despite a challenging macro environment and a decline rate of over 25% in their royalty interests, PHX Minerals remains confident in its ability to maintain a robust balance sheet and capitalize on market conditions.

InvestingPro Insights

Following the recent insider stock purchase by PHX Minerals Inc.'s CFO, Raphael D'Amico, investors may find additional context in the company's financial metrics and stability. According to InvestingPro data, PHX Minerals has a market capitalization of $123.43 million and a P/E ratio of 28.28, which adjusts to a more favorable 23.89 when considering the last twelve months as of Q2 2024. This indicates a valuation that may attract those looking for companies with earnings-based growth potential.

Furthermore, PHX Minerals has demonstrated a strong commitment to returning value to shareholders, as evidenced by a dividend yield of 3.56% as of 2024. This is supported by a notable dividend growth of 33.33% over the last year, underscoring the company's ability to maintain and increase shareholder payouts. The company's dividend reliability is highlighted by an impressive track record of maintaining dividend payments for 41 consecutive years, a fact that can be particularly appealing to income-focused investors.

Two InvestingPro Tips that stand out for PHX Minerals include the company's low price volatility and its ability to manage debt effectively. The stock's historical trading patterns suggest a lower risk profile for investors concerned with market fluctuations. Additionally, the company's moderate level of debt, paired with liquid assets that exceed short-term obligations, signals financial prudence and a solid balance sheet.

For those interested in further insights and tips on PHX Minerals, InvestingPro offers additional analysis and metrics. There are 6 more InvestingPro Tips available for PHX Minerals, which can be found at https://www.investing.com/pro/PHX. These tips provide a deeper dive into the company's financial health and future outlook, which could be particularly valuable in light of the recent insider buying activity.

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