7 Cheap Energy Stocks Under $5

1. Ring Energy, Inc. (NYSE AMERICAN:REI)

Price: $1.05

P/E Ratio: 5.83

Ring Energy, Inc. (NYSE AMERICAN:REI) is one of the Cheap Energy Stocks to Buy Under $5. Ring Energy, Inc. (NYSE AMERICAN:REI) posted mixed results for its fiscal second quarter of 2025 on August 6. However, the stock is up more than 48.5% since the release. Wall Street is also bullish on the stock.

Ring Energy, Inc. (NYSE AMERICAN:REI) posted a revenue of $82.60 million for the quarter, reflecting a 16.68% decrease year-over-year and below expectations by $265,910. On the bright side, the EPS of $0.05 topped Wall Street estimates by $0.02. After the release, on August 11, Michael Markidis from BMO Capital raised the firm’s price target from C$19 to C$20, with a Buy rating. More recently, on August 12, Pammir Bir from RBC Capital also reiterated a Buy rating on the stock with a price target of C$21.

Ring Energy, Inc. (NYSE AMERICAN:REI) also announced its third-quarter debt reduction targets. The company aims to reduce its debt by approximately $18 million during the third quarter.

Ring Energy, Inc. (NYSE AMERICAN:REI) is an independent oil and gas company focused on exploration, development, and production in the Permian Basin of Texas.

While we acknowledge the potential of REI to grow, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than REI and that has 100x upside potential, check out our report about this cheapest AI stock.

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