Kosmos Energy (NYSE:KOS) Trading 4.1% Higher - Here's What Happened

Key Points

• Kosmos Energy shares rose 4.1% to $3.04, although trading volume was 92% below the average session volume.
• Analyst sentiment remains cautious: the stock carries an average “Reduce” rating and a consensus price target of $2.53, below its current price.
• The company beat quarterly expectations, reporting $0.11 in earnings per share versus the $0.09 consensus and revenue of $607.25 million versus $483.23 million expected.

Kosmos Energy Ltd. (NYSE:KOS - Get Free Report)'s stock price shot up 4.1% on Tuesday . The stock traded as high as $3.06 and last traded at $3.04. 1,607,821 shares changed hands during trading, a decline of 92% from the average session volume of 19,068,564 shares. The stock had previously closed at $2.92.

Wall Street Analyst Weigh In

A number of equities research analysts have commented on KOS shares. Weiss Ratings restated a "sell (d-)" rating on shares of Kosmos Energy in a research report on Monday, August 3rd. Royal Bank Of Canada downgraded Kosmos Energy to a "neutral" rating in a report on Wednesday, May 27th. Wall Street Zen upgraded shares of Kosmos Energy from a "buy" rating to a "strong-buy" rating in a report on Saturday, September 5th. Stephens lowered their price objective on shares of Kosmos Energy from $3.00 to $2.40 and set an "equal weight" rating on the stock in a research report on Tuesday, July 21st. Finally, Mizuho raised shares of Kosmos Energy to a "strong sell" rating in a research report on Friday, July 31st. Two equities research analysts have rated the stock with a Buy rating, three have given a Hold rating and four have given a Sell rating to the stock. Based on data from MarketBeat, Kosmos Energy currently has an average rating of "Reduce" and a consensus target price of $2.53.

Kosmos Energy Trading Up 5.1%

The stock has a market cap of $1.83 billion, a price-to-earnings ratio of -2.58, a PEG ratio of 0.20 and a beta of 0.73. The company has a quick ratio of 0.38, a current ratio of 0.59 and a debt-to-equity ratio of 3.58. The business has a 50-day moving average of $2.61 and a 200-day moving average of $2.65.

Kosmos Energy (NYSE:KOS - Get Free Report) last posted its quarterly earnings results on Monday, August 3rd. The oil and gas producer reported $0.11 earnings per share for the quarter, topping analysts' consensus estimates of $0.09 by $0.02. The company had revenue of $607.25 million during the quarter, compared to the consensus estimate of $483.23 million. Kosmos Energy had a negative return on equity of 17.73% and a negative net margin of 33.98%. As a group, research analysts forecast that Kosmos Energy Ltd. will post 0.51 earnings per share for the current year.

Insiders Place Their Bets

In other news, CFO Nealesh Shah sold 45,980 shares of the stock in a transaction on Thursday, July 2nd. The shares were sold at an average price of $2.05, for a total transaction of $94,259.00. Following the transaction, the chief financial officer owned 1,935,410 shares in the company, valued at $3,967,590.50. This represents a 2.32% decrease in their position. The sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, SVP Josh Marion sold 24,969 shares of the company's stock in a transaction on Thursday, July 2nd. The stock was sold at an average price of $2.05, for a total transaction of $51,186.45. Following the completion of the sale, the senior vice president owned 233,404 shares of the company's stock, valued at $478,478.20. This represents a 9.66% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Insiders sold 169,012 shares of company stock valued at $346,475 over the last ninety days. Corporate insiders own 1.90% of the company's stock.

Institutional Trading of Kosmos Energy

Large investors have recently made changes to their positions in the stock. Swiss Life Asset Management Ltd boosted its stake in Kosmos Energy by 12.2% during the 2nd quarter. Swiss Life Asset Management Ltd now owns 38,893 shares of the oil and gas producer's stock valued at $82,000 after purchasing an additional 4,215 shares during the period. Public Employees Retirement System of Ohio increased its position in Kosmos Energy by 10.2% in the 1st quarter. Public Employees Retirement System of Ohio now owns 46,938 shares of the oil and gas producer's stock worth $130,000 after buying an additional 4,361 shares during the period. GTS Securities LLC increased its position in Kosmos Energy by 23.8% in the 2nd quarter. GTS Securities LLC now owns 28,584 shares of the oil and gas producer's stock worth $60,000 after buying an additional 5,499 shares during the period. Pictet Asset Management Holding SA lifted its holdings in shares of Kosmos Energy by 7.8% during the second quarter. Pictet Asset Management Holding SA now owns 93,441 shares of the oil and gas producer's stock worth $197,000 after buying an additional 6,757 shares during the last quarter. Finally, SmartHarvest Portfolios LLC boosted its position in shares of Kosmos Energy by 73.0% in the first quarter. SmartHarvest Portfolios LLC now owns 23,814 shares of the oil and gas producer's stock valued at $66,000 after acquiring an additional 10,050 shares during the period. Institutional investors own 95.33% of the company's stock.

Kosmos Energy Company Profile

Kosmos Energy Ltd. is an independent oil and gas exploration and production company headquartered in Dallas, Texas. The company focuses on finding, developing and producing oil and natural gas resources, with an emphasis on offshore assets in emerging and established energy regions.

Kosmos has historically concentrated its operations along the Atlantic margins of West Africa, including interests in Ghana, Equatorial Guinea and the waters offshore Mauritania and Senegal. Its activities have included exploration, field development and production of crude oil and natural gas, as well as participation in projects designed to supply natural gas for liquefied natural gas (LNG) production and domestic markets.

Founded in 2003, Kosmos was involved in the discovery and development of major petroleum resources offshore Ghana, including the Jubilee and TEN fields.

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