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Prairie Operating Co. (PROP) Stock Fundamental Analysis & AI Rating 2026

PROP Nasdaq Crude Petroleum & Natural Gas DE CIK: 0001162896
Recently Updated • Analysis: Apr 14, 2026 • SEC Data: 2025-12-31
SELL
65% Conf
Pending
Analysis scheduled

📊 PROP Key Takeaways

Revenue: $241.6M
Net Margin: 13.3%
Free Cash Flow: $153.7M
Current Ratio: 0.63x
Debt/Equity: 2.97x
EPS: $-1.35
AI Rating: SELL with 65% confidence
Prairie Operating Co. (PROP) receives a SELL rating with 65% confidence from our AI fundamental analysis based on SEC 10-K filings. With revenue of $241.6M, net profit margin of 13.3%, and return on equity (ROE) of 24.6%, Prairie Operating Co. demonstrates mixed fundamentals in the Energy sector. Below is our complete PROP stock analysis for 2026.

Is Prairie Operating Co. (PROP) a Good Investment?

Claude

While Prairie Operating Co. demonstrates strong operating cash flow ($153.9M, 63.6% FCF margin) and positive net income growth (+152.6%), the company faces critical balance sheet stress with severe liquidity constraints (0.63x current ratio, only $20K cash on hand) and high leverage (2.97x Debt/Equity). The unexplained 0.0% gross margin amid $241.6M revenue raises significant data quality concerns.

Why Buy Prairie Operating Co. Stock? PROP Key Strengths

Claude
  • + Robust operating cash flow of $153.9M with exceptional 63.6% free cash flow margin
  • + Strong net income growth (+152.6% YoY) and positive operating margin (27.1%)
  • + Solid return on equity (24.6%) indicates earnings power despite capital structure

PROP Stock Risks: Prairie Operating Co. Investment Risks

Claude
  • ! Critical liquidity crisis: current ratio of 0.63x with only $20,000 cash reserves; immediate solvency concerns
  • ! Unexplained 0.0% gross margin on $241.6M revenue suggests data quality issues or significant hidden cost structure problems
  • ! Excessive leverage at 2.97x Debt/Equity with $387M long-term debt and weak 2.3x interest coverage ratio
  • ! Negative diluted EPS (-$1.35) despite positive net income indicates severe shareholder dilution from recent capital raises
  • ! Extreme 2,943.8% revenue growth likely from acquisition rather than organic operations

Key Metrics to Watch

Claude
  • * Operating cash flow sustainability and working capital trends
  • * Gross margin clarification and detailed cost structure reconciliation
  • * Debt refinancing status and covenant compliance given low interest coverage

Prairie Operating Co. (PROP) Financial Metrics & Key Ratios

Revenue
$241.6M
Net Income
$32.1M
EPS (Diluted)
$-1.35
Free Cash Flow
$153.7M
Total Assets
$944.5M
Cash Position
$20.0K

💡 AI Analyst Insight

The 63.6% free cash flow margin provides substantial flexibility for dividends, buybacks, and strategic investments. The current ratio below 1.0x warrants monitoring of short-term liquidity.

PROP Profit Margin, ROE & Profitability Analysis

Gross Margin 0.0%
Operating Margin 27.1%
Net Margin 13.3%
ROE 24.6%
ROA 3.4%
FCF Margin 63.6%

PROP vs Energy Sector: How Prairie Operating Co. Compares

How Prairie Operating Co. compares to Energy sector averages

Net Margin
PROP 13.3%
vs
Sector Avg 12.0%
PROP Sector
ROE
PROP 24.6%
vs
Sector Avg 14.0%
PROP Sector
Current Ratio
PROP 0.6x
vs
Sector Avg 1.3x
PROP Sector
Debt/Equity
PROP 3.0x
vs
Sector Avg 0.6x
PROP Sector

Sector benchmarks are approximate industry averages. Actual sector performance may vary.

Is Prairie Operating Co. Stock Overvalued? PROP Valuation Analysis 2026

Based on fundamental analysis, Prairie Operating Co. has mixed fundamental signals relative to the Energy sector in 2026.

Return on Equity
24.6%
Sector avg: 14%
Net Profit Margin
13.3%
Sector avg: 12%
Revenue Growth
N/A
Year-over-year
Debt/Equity
2.97x
Sector avg: 0.6x

Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.

Prairie Operating Co. Balance Sheet: PROP Debt, Cash & Liquidity

Current Ratio
0.63x
Quick Ratio
0.61x
Debt/Equity
2.97x
Debt/Assets
71.8%
Interest Coverage
2.30x
Long-term Debt
$387.0M

PROP Revenue & Earnings Growth: 5-Year Financial Trend

PROP 5-year financial data: Year 2019: Revenue $13.9M, Net Income N/A, EPS $-0.76. Year 2020: Revenue $10.6M, Net Income N/A, EPS $-0.62. Year 2021: Revenue $807.6K, Net Income -$1.9M, EPS N/A. Year 2022: Revenue $517.6K, Net Income -$17.3M, EPS N/A. Year 2025: Revenue $241.6M, Net Income -$40.9M, EPS $-2.65.
Revenue
Net Income
EPS (right axis)

5-Year Trend Summary: Prairie Operating Co.'s revenue has grown significantly by 1,638% over the 5-year period, indicating strong business expansion. The most recent EPS of $-2.65 indicates the company is currently unprofitable.

PROP Revenue Growth, EPS Growth & YoY Performance

Revenue Growth
N/A
Year-over-year
Net Income Growth
N/A
Year-over-year
EPS Growth
N/A
Earnings per share
FCF Margin
63.6%
Free cash flow / Revenue

PROP Quarterly Earnings & Performance

Quarterly financial performance data for Prairie Operating Co. including revenue, net income, and earnings per share.
Quarter Revenue Net Income EPS
Q3 2025 N/A $1.3M $-0.44
Q1 2023 $385.1K -$971.4K N/A
Q3 2022 $8.0K -$602.1K N/A
Q2 2022 $166.6K -$1.9M N/A
Q1 2022 $172.7K -$2.5M N/A
Q3 2021 $148.4K N/A $-0.07
Q2 2021 $226.7K -$390.4K $-0.11
Q1 2021 $379.2K -$183.6K $-0.05

Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.

Prairie Operating Co. Dividends, Buybacks & Capital Allocation

Operating Cash Flow
$153.9M
Cash generated from operations
Stock Buybacks
$531.0K
Shares repurchased (TTM)
Capital Expenditures
$200.0K
Investment in assets
Dividends
None
No dividend program

PROP SEC Filings: Latest 10-K & 10-Q Analysis

Access official SEC EDGAR filings for Prairie Operating Co. (CIK: 0001162896)

📋 Recent SEC Filings

Date Form Document Action
Apr 9, 2026 8-K ef20070147_8k.htm View →
Apr 7, 2026 8-K ef20069987_8k.htm View →
Mar 31, 2026 10-K ef20060649_10k.htm View →
Mar 30, 2026 4 xslF345X06/form4.xml View →
Mar 30, 2026 4 xslF345X06/form4.xml View →

Frequently Asked Questions about PROP

What is the AI rating for PROP?

Prairie Operating Co. (PROP) has an AI rating of SELL with 65% confidence, based on fundamental analysis of SEC EDGAR filings.

What are PROP's key strengths?

Claude: Robust operating cash flow of $153.9M with exceptional 63.6% free cash flow margin. Strong net income growth (+152.6% YoY) and positive operating margin (27.1%).

What are the risks of investing in PROP?

Claude: Critical liquidity crisis: current ratio of 0.63x with only $20,000 cash reserves; immediate solvency concerns. Unexplained 0.0% gross margin on $241.6M revenue suggests data quality issues or significant hidden cost structure problems.

What is PROP's revenue and growth?

Prairie Operating Co. reported revenue of $241.6M.

Does PROP pay dividends?

Prairie Operating Co. does not currently pay dividends.

Where can I find PROP SEC filings?

Official SEC filings for Prairie Operating Co. (CIK: 0001162896) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.

What is PROP's EPS?

Prairie Operating Co. has a diluted EPS of $-1.35.

How is the AI analysis conducted?

Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined rating reflects both perspectives for balanced insights.

Is PROP a good stock to buy right now?

Based on our AI fundamental analysis in April 2026, Prairie Operating Co. has a SELL rating with 65% confidence. Review the strengths and risks sections above before making a decision. This is not investment advice.

Is PROP stock overvalued or undervalued?

Valuation metrics for PROP: ROE of 24.6% (sector avg: 14%), net margin of 13.3% (sector avg: 12%). Higher ROE suggests strong returns relative to peers.

Should I buy PROP stock in 2026?

Our dual AI analysis gives Prairie Operating Co. a combined SELL rating for 2026. Revenue is data pending, with profitability above sector average. Always conduct your own research.

What is PROP's free cash flow?

Prairie Operating Co.'s operating cash flow is $153.9M, with capital expenditures of $200.0K. FCF margin is 63.6%.

How does PROP compare to other Energy stocks?

Vs Energy sector averages: Net margin 13.3% (avg: 12%), ROE 24.6% (avg: 14%), current ratio 0.63 (avg: 1.3).

Is Prairie Operating Co. carrying too much debt?

PROP has a debt-to-equity ratio of 2.97x, which is above the Energy sector average of 0.6x. Combined with a current ratio below 1, this warrants careful monitoring of the balance sheet.

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Disclaimer: This analysis is generated by Claude AI (Anthropic) and ChatGPT (OpenAI) based on publicly available SEC EDGAR filings. It does not include stock price data and should not be considered financial advice. All fundamental data is sourced from SEC public domain filings. Always conduct your own research and consult with a qualified financial advisor before making investment decisions.
Data Source: SEC EDGAR | Analysis Date: Apr 14, 2026 | Data as of: 2025-12-31 | Powered by Claude AI