Talos Energy Stock Fair Value – Talos Energy Reports ‘Immaterial’ Impact from Gulf of Mexico Oil Spill in Q4
December 8, 2023
☀️Trending News
Talos Energy ($NYSE:TALO) recently reported that their fourth quarter results should not be significantly impacted by the recent oil spill in the Gulf of Mexico. The company feels that the potential effects of the spill are “immaterial” when looking at their quarterly performance. Talos Energy is an independent oil and gas exploration and production company based out of Houston, Texas. They specialize in deepwater exploration, development, and production of crude oil and natural gas.
Talos Energy currently has a portfolio of various gas and oil assets located in the US Gulf of Mexico, Western Offshore Mexico, and the Yucatan Peninsula. Their focus is on delivering sustained growth in production and reserves through smart investments and strategic acquisitions.
Price History
On Thursday, Talos Energy reported that the recent oil spill in the Gulf of Mexico had an “immaterial” impact on their fourth quarter results. The news was welcomed by investors, as the company’s stock opened at $12.6 and closed at $12.9, up by 5.0% from the previous day’s closing price of $12.3. The company noted that the spill had not caused any disruption to their operations and that they remained on track to meet their full year production guidance despite the incident. Live Quote…
About the Company
Income Snapshot
Below shows the total revenue, net income and net margin for Talos Energy. More…
| Total Revenues | Net Income | Net Margin |
| 1.42k | 104.18 | 10.4% |
Cash Flow Snapshot
Below shows the cash from operations, investing and financing for Talos Energy. More…
| Operations | Investing | Financing |
| 513.62 | -505.2 | 42.48 |
Balance Sheet Snapshot
Below shows the total assets, liabilities and book value per share for Talos Energy. More…
| Total Assets | Total Liabilities | Book Value Per Share |
| 4.75k | 2.69k | 16.62 |
Key Ratios Snapshot
Some of the financial key ratios for Talos Energy are shown below. More…
| 3Y Rev Growth | 3Y Operating Profit Growth | Operating Margin |
| 31.0% | 48.4% | 15.0% |
| FCF Margin | ROE | ROA |
| 35.7% | 6.4% | 2.8% |
Analysis – Talos Energy Stock Fair Value
At GoodWhale, we analyzed TALOS ENERGY‘s financials and found that the intrinsic value of their share is around $12.3. This conclusion was reached using our proprietary Valuation Line, which considers various metrics such as cash flow, profitability, growth rate, and debt structure. Currently, TALOS ENERGY stock is traded at $12.9, which implies a fair price that is slightly overvalued by 4.7%. Although this may be considered an attractive price right now, we recommend that investors proceed with caution and re-evaluate the stock before making any investment decisions. More…
Peers
Talos Energy Inc is an oil and gas exploration and production company with operations in the U.S. Gulf of Mexico and offshore Mexico. The company was founded in 2010 and is headquartered in Houston, Texas. Talos Energy’s competitors include SM Energy Co, Enwell Energy PLC, and Northern Oil & Gas Inc.
– SM Energy Co ($NYSE:SM)
SM Energy Co is an American oil and gas company headquartered in Denver, Colorado. As of December 31, 2020, the company had 1.4 billion barrels of oil equivalent of proved reserves, all located in the United States. In 2020, the company’s production averaged 188 thousand barrels of oil equivalent per day.
SM Energy Co’s market cap is 5.39B as of 2022. The company has a Return on Equity of 31.47%. SM Energy Co is engaged in the exploration, development, and production of oil and gas properties. The company’s operations are focused in onshore North America, specifically in the Permian Basin, South Texas, the Gulf Coast, and the Rocky Mountains.
– Enwell Energy PLC ($LSE:ENW)
Enwell Energy PLC is an oil and gas exploration and production company with a focus on the UK North Sea. The company has a market capitalization of £78.88 million and a return on equity of 30.22%. Enwell Energy’s main activities include the exploration, development and production of oil and gas assets in the UK North Sea.
– Northern Oil & Gas Inc ($NYSE:NOG)
As of 2022, Northern Oil & Gas Inc has a market cap of 2.7B and a Return on Equity of 320.51%. The company is engaged in the exploration and production of oil and gas in the United States.
Summary
Talos Energy is an oil and gas exploration and production company, and has recently experienced an oil spill in the Gulf of Mexico. This news has positively impacted the stock price which moved up the same day. For those who are considering investing in Talos Energy, it is important to take into account both its past performance and recent events. The company has a solid track record of delivering consistent returns and its leadership team has proven to be reliable and capable in their respective roles.
Additionally, the limited financial impact from the oil spill could be seen as a sign of the company’s resilience and strength.
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