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BKV Corporation

BKV
52
Oil & Gas Exploration & Production · Energy
Price
$25.95
+0.04 (+0.15%)
Market Cap
$2.84B
Winston Score
52
Winston is curious
Mixed quality — meaningful strengths and weaknesses.

Share count rising — dilution

+10.2% over 4y

The company has issued more shares over this period, which dilutes each existing shareholder’s stake.

Diluted shares outstanding: 84.1M (2021) → 92.7M (2025)

BKV Corporation is a natural gas company based in Denver, Colorado. It drills for and produces natural gas, primarily from the Barnett Shale in Texas, one of the largest natural gas fields in the United States. BKV sells its gas to utilities, industrial buyers, and power generators that need fuel to produce electricity and heat.

BKV makes money by selling the natural gas it pulls out of the ground, and it also owns power generation assets that let it sell electricity directly — giving it more ways to earn revenue than a typical gas producer. The company operates mainly in Texas and has a relatively focused asset base, which keeps costs manageable but also concentrates its risk in one region. Because natural gas prices swing up and down based on weather, supply, and demand, BKV's earnings can be unpredictable — and its ability to grow depends heavily on where gas prices go and whether it can expand its power business.

Winston Score History

Growth Profile

When traditional metrics don't capture the full picture, these are the signals growth stock investors use instead.

Revenue Growth

+68.2% YoY

YoY Growth Rate

Revenue accelerating

EPS Growth

+145.2% YoY

YoY Growth Rate

EPS growth accelerating

R&D Spend

$0/ year

0.0% of revenue

Below sector average (1%)

Research and development spending

Insider Activity

71.4%ownership

Flat

Insiders holding steady — not selling despite ability to

Cash Runway

~6 months

$305M cash & investments

Quarterly Free Cash Flow

↓ Burn rate worsening

Short runway — potential dilution ahead through share issuance

Revenue accelerating

BKV Corporation grew revenue 68% year-over-year and the growth rate is speeding up. That's the kind of momentum growth investors look for — the question is whether margins can follow.

The Winston Score above measures business quality today. Growth stocks often score lower because they invest in the future rather than maximising current profits. These metrics show what matters most for evaluating that future.

Score breakdown

Every number that matters to educated investors.

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Quality

Gross Margin
23.6%
Thin — 23.6% gross margin
Operating Margin
8.7%
Modest — 8.7% operating margin
ROCE
0.9%
Weak — 0.9% return on capital

ROIC between 0% and 5%. They earn a few cents back per dollar invested in the business.

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Growth

Sales YoY
+51.3%
Fast-growing sales (51.3% YoY)
EPS YoY
N/A
Data not available
EPS Consistency
8/8 quarters
Every recent quarter grew earnings vs last year

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Cash Flow

Cash Conversion
99%
Turns 99% of profit into real cash
FCF Margin
-19.4%
Burning cash (-19.4%)

Free cash flow is negative. They are burning cash, not generating it.

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Stability

Debt / Equity
0.57
Conservative — low debt load (0.57)
Interest Cover
3.90x
Tight — interest eats into profit (3.9x)

Interest coverage between 3 and 8. Profits cover interest several times over.

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Valuation

P/E Ratio (TTM)
7.8x
Attractive valuation — P/E 7.8

P/E under 10. The price tag is small relative to last year's profit.

P/E vs Forward
-2.9
SLOWING
Earnings expected to fall — forward P/E higher than today

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Dividends

Not applicable for this business.
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