W&T Offshore (NYSE:WTI) Stock Rating Upgraded by Wall Street Zen

W&T Offshore (NYSE:WTI) was upgraded by research analysts at Wall Street Zen from a “hold” rating to a “buy” rating in a research note issued on Saturday, Wall Street Zen reports.

A number of other brokerages have also commented on WTI. Roth Capital set a $4.25 price target on shares of W&T Offshore in a research note on Tuesday, July 21st. Weiss Ratings reaffirmed a “sell (d-)” rating on shares of W&T Offshore in a research report on Thursday, October 15th. One equities research analyst has rated the stock with a Buy rating, one has assigned a Hold rating and one has issued a Sell rating to the stock. According to data from MarketBeat.com, the stock presently has an average rating of “Hold” and an average price target of $4.25.

W&T Offshore Price Performance

WTI opened at $4.05 on Friday. The stock has a market cap of $627.35 million, a price-to-earnings ratio of -11.91 and a beta of 0.30. W&T Offshore has a 12-month low of $1.50 and a 12-month high of $5.08. The business has a 50 day moving average of $3.82 and a 200-day moving average of $3.40.

W&T Offshore (NYSE:WTI) last issued its quarterly earnings results on Thursday, October 29th. The oil and gas company reported $0.01 earnings per share for the quarter, topping analysts’ consensus estimates of ($0.06) by $0.07. The firm had revenue of $167.08 million for the quarter, compared to the consensus estimate of $144.97 million. As a group, analysts expect that W&T Offshore will post -0.09 earnings per share for the current year.

Institutional Investors Weigh In On W&T Offshore

A number of large investors have recently bought and sold shares of the company. Legal & General Group Plc purchased a new position in W&T Offshore during the second quarter valued at $28,000. Nierenberg Investment Management Company LLC acquired a new stake in W&T Offshore during the second quarter worth $42,698. Corient Private Wealth LP acquired a new position in shares of W&T Offshore in the 2nd quarter worth approximately $45,000. Callan Family Office LLC acquired a new position in W&T Offshore during the 2nd quarter worth about $47,000. Finally, Simplicity Wealth LLC acquired a new stake in W&T Offshore during the 2nd quarter worth approximately $51,000. Hedge funds and other institutional investors own 42.88% of the company’s stock.

W&T Offshore News Summary

Here are the key news stories impacting W&T Offshore this week:

• Positive Sentiment: W&T reported third-quarter revenue of $167.1 million, above the $145.0 million consensus estimate and up 31% year over year. Adjusted EPS was $0.01 versus analysts’ expected loss of $0.06. W&T Offshore earnings report
• Positive Sentiment: Production reached 38.2 thousand barrels of oil equivalent per day, exceeding the company’s guidance, while third-quarter Adjusted EBITDA increased 30% year over year to $51.1 million. Free cash flow was $33.2 million, compared with negative free cash flow in the prior-year quarter. W&T Offshore third-quarter results
• Positive Sentiment: Liquidity improved to $234.7 million, cash rose to $191.3 million and net debt declined 20% sequentially, reducing net debt to 0.9 times trailing twelve-month Adjusted EBITDA. The conversion of its credit facility to a reserve-based structure also provides potential borrowing capacity of up to $100 million. W&T Offshore liquidity and credit facility update
• Positive Sentiment: The company declared another $0.01 quarterly dividend, maintaining its 12-quarter record of shareholder distributions. W&T Offshore dividend announcement
• Neutral Sentiment: Higher crude prices, supported by falling inventories and reports of possible U.S. military options involving Iran, could benefit W&T’s realized oil revenue. However, geopolitical developments also increase commodity-price volatility and are not company-specific. Oil forecast and geopolitical risks
• Negative Sentiment: Despite the adjusted profit, W&T posted a GAAP net loss of $13.6 million, or $0.09 per share, partly reflecting derivative losses and higher expenses. The company also issued 3.6 million shares through its ATM program, creating dilution for existing shareholders. W&T Offshore earnings call transcript
• Negative Sentiment: Insiders recorded eight sales and no purchases over the past six months, while surety litigation remains unresolved and fourth-quarter production faces temporary hurricane and facility-turnaround disruptions.

W&T Offshore Company Profile

W&T Offshore, Inc is an independent oil and natural gas exploration and production company focused on the U.S. Gulf of Mexico. The company explores for, develops, and produces crude oil, natural gas, and natural gas liquids from offshore properties.

W&T Offshore’s operations have included assets in the federal and state waters of the Gulf of Mexico, spanning shelf and deepwater areas. Its activities include acquiring exploration and production interests, drilling and completing wells, and managing offshore production and related infrastructure.

Founded in 1983 by Tracy W.