Amid continued high oil and natural gas prices, Energy Services of America (NASDAQ:ESOA), which recently began trading on the Nasdaq, is climbing today. ESOA stock is currently up 9%. Why are else investors watching this company today?
Well, beyond high oil prices, it seems investors are paying attention to one big catalyst. Energy Services of America just uplisted to the Nasdaq yesterday. Previously, it traded on the over-the-counter market under the same ticker.
“By uplisting our common stock, we expect [the] shares will have a broader appeal and increased liquidity,” Energy Services CEO Douglas Reynolds said in a statement yesterday.
Why Is ESOA Stock Up Today?
A provider of services to natural gas and oil companies, Energy Services has more than 700 employees. Among the services the company provides are repairs and maintenance of natural gas pipelines, pipeline construction, construction services for utilities, electrical contracting services, and HVAC construction. The company also carries out general contracting work for commercial construction. It undertakes both union and non-union projects. With the current attention on the energy market, this makes ESOA very relevant.
In 2021, the company grew its revenue slightly, up to $122.5 million from $119.2 million in 2020. According to its website, for 2020, roughly 48% of that revenue came from gas and petroleum contract work. The next largest portion of 43% came from its electrical and mechanical contract services.
Right now, this is a small company, with a market capitalization of just $58 million. However, given the recent uplisting and its work with gas and petroleum, it is clear that investors are watching ESOA stock.
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On the date of publication, Larry Ramer did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.