Kosmos Energy Ltd. profile analysis
Kosmos Energy Ltd. is an American based company headquartered in Texas that has the main operation site along the Atlantic Margins. The company’s main focus is on deepwater oil and gas extraction, independent oil production, and exploration of various deepwater sites for oil and gas. The company’s main assets are offshore production sites located in Ghana, Gulf of Mexico, and Equatorial Guinea. The company also owns offshore gas production sites in Senegal and Mauritania.
The company’s other interests lie in various exploration programs that are based on basin infrastructure, frontier, and emerging basins. The company is also active in the global trade market, often putting up its shares as NYSE: KOS at https://www.webull.com/quote/nyse-kos .
Kosmos Energy first quarter 2020 update
For the first quarter, ended in May2020, Kosmos faced a total loss of approximately $183 million,whichcan also be translated to $0.45 per common shares as NYSE: KOS. Upon certain adjustments, analysts could see a different impact on the comparability results, according to this, the company faced an adjusted net loss of approximately $66 million, which can be translated to $0.16 per common shares for the first quarter in the year 2020.
What should be expected of Kosmos Energy stocks?
For the first quarter of 2020, the stock performance for NYSE: KOS on the market is seen to be underperforming to a large extent. But it will be interesting to see how the company performs in the upcoming quarters of 2020 and subsequentially in the fiscal year. Though certain estimates suggest that the company can make $276 million for the coming quarter and a total of $960 million for the ongoing financial year.
Kosmos Energy Ltd. stock analysis: Is it a good buy?
Even though the stock is misprized accurately by 111% on the Discounted Cash Flow (DCF) basis, the company still manages to earn a 64th percentile rank based on the potential gain offered to its shareholders.
The company’s major capital is generated from its equity shares which constitute around 26% of the total. This revenue is considered to be greater than the cash flow revenue per share by 11.76%. The effective tax rate on the company’s products is set at 57, which is considered to be as high as 95% of the US stocks in the same sector. Also, analyzing the reliance on the debt rate for Kosmos stocks, it is quite greater than most companies operating in the same sector.
The current price at trading platform for NYSE: KOS is settled at $1.62 per share, with DCF fair value target to be $3.67 and gain possibilities reaching as high as 110%. The possibilities for a profit are quite thin but there might be an expected gain in the upcoming quarters of 2020. Disclaimer: The analysis information is for reference only and does not constitute an investment recommendation.