W&T Offshore (NYSE:WTI) Announces Earnings Results

by · The Cerbat Gem

W&T Offshore (NYSE:WTI – Get Free Report) issued its earnings results on Thursday. The oil and gas company reported $0.01 earnings per share (EPS) for the quarter, topping the consensus estimate of ($0.06) by $0.07, FiscalAI reports. The firm had revenue of $167.08 million during the quarter, compared to analysts’ expectations of $144.97 million.

W&T Offshore Trading Up 0.5%

WTI stock traded up $0.02 during trading on Friday, reaching $4.05. The stock had a trading volume of 7,242,816 shares, compared to its average volume of 3,743,945. W&T Offshore has a 52 week low of $1.50 and a 52 week high of $5.08. The stock’s 50 day moving average is $3.82 and its two-hundred day moving average is $3.40. The firm has a market cap of $611.32 million, a PE ratio of -11.91 and a beta of 0.35.

W&T Offshore Announces Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Thursday, November 19th. Investors of record on Thursday, November 12th will be given a dividend of $0.01 per share. This represents a $0.04 dividend on an annualized basis and a yield of 1.0%. The ex-dividend date is Thursday, November 12th. W&T Offshore’s dividend payout ratio is -11.76%.

Key Headlines Impacting W&T Offshore

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.

Analyst Upgrades and Downgrades

Several equities research analysts recently weighed in on WTI shares. Roth Capital set a $4.25 price target on shares of W&T Offshore in a research report on Tuesday, July 21st. Wall Street Zen upgraded W&T Offshore from a “hold” rating to a “buy” rating in a research note on Saturday. Finally, Weiss Ratings reissued a “sell (d-)” rating on shares of W&T Offshore in a report on Thursday, October 15th. One analyst has rated the stock with a Buy rating, one has given a Hold rating and one has given a Sell rating to the company’s stock. According to data from MarketBeat, W&T Offshore presently has an average rating of “Hold” and a consensus price target of $4.25.

View Our Latest Stock Analysis on W&T Offshore

About W&T Offshore

(Get Free Report)

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.

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