Kosmos Energy (NYSE:KOS) Shares Down 5.2% - Here's Why

Key Points

• Kosmos Energy's shares dropped 5.2% to $1.73, with trading volume significantly lower than average, indicating possible investor concerns.
• Analysts have mixed ratings on the stock, with Goldman Sachs and Mizuho lowering their price targets, while Kosmos Energy retains a consensus target price of $4.93.
• The company reported a loss of $0.19 per share in its last quarterly earnings, missing estimates, and its revenues also fell short of expectations at $393.52 million.

Shares of Kosmos Energy Ltd. (NYSE:KOS - Get Free Report) fell 5.2% on Wednesday . The company traded as low as $1.73 and last traded at $1.73. 1,633,129 shares were traded during trading, a decline of 84% from the average session volume of 10,070,563 shares. The stock had previously closed at $1.82.

Wall Street Analysts Forecast Growth

A number of equities analysts have recently issued reports on KOS shares. The Goldman Sachs Group reduced their price target on Kosmos Energy from $3.50 to $3.00 and set a "buy" rating on the stock in a research report on Monday, May 19th. Benchmark reissued a "hold" rating on shares of Kosmos Energy in a report on Thursday, June 5th. Wall Street Zen raised shares of Kosmos Energy to a "sell" rating in a research note on Friday, May 16th. Finally, Mizuho lowered their price target on shares of Kosmos Energy from $4.00 to $3.00 and set a "neutral" rating on the stock in a research report on Tuesday, May 13th. Three investment analysts have rated the stock with a Buy rating and three have issued a Hold rating to the company. According to MarketBeat, the stock currently has an average rating of "Moderate Buy" and a consensus target price of $4.93.

Kosmos Energy Stock Down 6.3%

The firm's 50 day simple moving average is $1.93 and its 200-day simple moving average is $2.00. The company has a market cap of $815.42 million, a price-to-earnings ratio of -5.17 and a beta of 1.57. The company has a debt-to-equity ratio of 2.56, a current ratio of 0.45 and a quick ratio of 0.25.

Kosmos Energy (NYSE:KOS - Get Free Report) last issued its quarterly earnings data on Monday, August 4th. The oil and gas producer reported ($0.19) earnings per share (EPS) for the quarter, missing the consensus estimate of ($0.06) by ($0.13). The business had revenue of $393.52 million for the quarter, compared to analysts' expectations of $444.26 million. Kosmos Energy had a negative return on equity of 14.16% and a negative net margin of 10.74%. As a group, sell-side analysts anticipate that Kosmos Energy Ltd. will post 0.42 earnings per share for the current year.

Insider Activity at Kosmos Energy

In related news, Director John Douglas Kelso Grant sold 27,923 shares of Kosmos Energy stock in a transaction that occurred on Thursday, June 5th. The stock was sold at an average price of $1.81, for a total transaction of $50,540.63. Following the completion of the transaction, the director directly owned 29,921 shares in the company, valued at $54,157.01. The trade was a 48.27% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available at this hyperlink. 2.02% of the stock is owned by corporate insiders.

Hedge Funds Weigh In On Kosmos Energy

Several institutional investors and hedge funds have recently modified their holdings of KOS. Charles Schwab Investment Management Inc. lifted its stake in shares of Kosmos Energy by 11.7% during the 1st quarter. Charles Schwab Investment Management Inc. now owns 7,784,911 shares of the oil and gas producer's stock worth $17,750,000 after purchasing an additional 815,582 shares during the period. Russell Investments Group Ltd. increased its stake in shares of Kosmos Energy by 26.8% during the 1st quarter. Russell Investments Group Ltd. now owns 5,319,520 shares of the oil and gas producer's stock valued at $12,129,000 after acquiring an additional 1,125,724 shares during the last quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC lifted its holdings in shares of Kosmos Energy by 23.2% during the 4th quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC now owns 2,097,622 shares of the oil and gas producer's stock worth $7,174,000 after acquiring an additional 395,283 shares during the period. Millennium Management LLC lifted its holdings in shares of Kosmos Energy by 78.2% during the 4th quarter. Millennium Management LLC now owns 2,665,589 shares of the oil and gas producer's stock worth $9,116,000 after acquiring an additional 1,170,074 shares during the period. Finally, Jefferies Financial Group Inc. acquired a new stake in shares of Kosmos Energy in the first quarter worth approximately $3,749,000. Hedge funds and other institutional investors own 95.33% of the company's stock.

About Kosmos Energy

Kosmos Energy Ltd., together with its subsidiaries, engages in the exploration, development, and production of oil and gas along the Atlantic Margins in the United States. The company's primary assets include production projects located in offshore Ghana, Equatorial Guinea, and the U.S. Gulf of Mexico, as well as gas projects located in offshore Mauritania and Senegal.

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