Vaalco Energy (NYSE:EGY) Shares Gap Up - Here's What Happened

Key Points

• Vaalco Energy shares gapped up pre-market and are trading up about 11.5% at roughly $6.04 on heavy volume (769,516 shares) after opening at $5.58 vs a prior close of $5.35.
• Analyst sentiment is mixed: MarketBeat shows a consensus rating of "Reduce" with a $7.30 target, while recent notes include Wall Street Zen upgrading to Hold and Zacks downgrading to Strong Sell.
• On fundamentals, Vaalco missed EPS (‑$0.02 vs $0.02 est.) but beat revenue ($91.0M vs $76.3M), and it pays a $0.25 annualized dividend (about a 4.2% yield) despite negative net margin and ROE.

Vaalco Energy Inc (NYSE:EGY - Get Free Report)'s stock price gapped up before the market opened on Tuesday . The stock had previously closed at $5.35, but opened at $5.58. Vaalco Energy shares last traded at $6.0430, with a volume of 769,516 shares.

Wall Street Analyst Weigh In

EGY has been the topic of a number of research analyst reports. Wall Street Zen raised Vaalco Energy from a "sell" rating to a "hold" rating in a report on Sunday, January 18th. Loop Capital set a $7.30 price target on Vaalco Energy in a report on Friday, January 16th. Zacks Research downgraded Vaalco Energy from a "hold" rating to a "strong sell" rating in a report on Wednesday, March 4th. Finally, Weiss Ratings raised Vaalco Energy from a "sell (d+)" rating to a "hold (c-)" rating in a report on Tuesday, January 13th. One investment analyst has rated the stock with a Hold rating and one has assigned a Sell rating to the stock. According to data from MarketBeat, the company currently has a consensus rating of "Reduce" and a consensus target price of $7.30.

Vaalco Energy Trading Up 11.5%

The firm has a market cap of $621.91 million, a P/E ratio of -14.96 and a beta of 0.19. The company has a debt-to-equity ratio of 0.26, a quick ratio of 0.68 and a current ratio of 0.69. The firm has a fifty day moving average of $5.58 and a 200-day moving average of $4.50.

Vaalco Energy (NYSE:EGY - Get Free Report) last announced its quarterly earnings results on Thursday, March 12th. The energy company reported ($0.02) earnings per share (EPS) for the quarter, missing the consensus estimate of $0.02 by ($0.04). The company had revenue of $91.04 million during the quarter, compared to the consensus estimate of $76.30 million. Vaalco Energy had a negative return on equity of 0.81% and a negative net margin of 11.52%. Equities research analysts forecast that Vaalco Energy Inc will post 0.13 earnings per share for the current year.

Vaalco Energy Dividend Announcement

The firm also recently announced a quarterly dividend, which was paid on Friday, March 27th. Shareholders of record on Friday, February 27th were paid a dividend of $0.0625 per share. The ex-dividend date of this dividend was Friday, February 27th. This represents a $0.25 annualized dividend and a yield of 4.2%. Vaalco Energy's payout ratio is presently -62.50%.

Institutional Trading of Vaalco Energy

Several hedge funds have recently added to or reduced their stakes in the business. RFG Advisory LLC bought a new stake in Vaalco Energy during the 1st quarter valued at $463,000. Values First Advisors Inc. raised its stake in Vaalco Energy by 3.5% during the 1st quarter. Values First Advisors Inc. now owns 354,860 shares of the energy company's stock valued at $2,250,000 after acquiring an additional 11,935 shares in the last quarter. Virtus Investment Advisers LLC bought a new stake in Vaalco Energy during the 4th quarter valued at $170,000. Wellington Management Group LLP acquired a new position in shares of Vaalco Energy during the 4th quarter valued at $141,000. Finally, Oxford Asset Management LLP acquired a new position in shares of Vaalco Energy during the 4th quarter valued at $84,000. Institutional investors own 50.32% of the company's stock.

About Vaalco Energy

Vaalco Energy, Inc is an independent energy company principally engaged in the exploration, development and production of crude oil and natural gas. Headquartered in Houston, Texas, Vaalco concentrates on offshore assets in West Africa, with a strategic emphasis on maintaining and optimizing cash-flow–generating properties. Founded in the mid-1980s, the company has built its reputation by focusing on high-impact drilling prospects and extending the productive life of its core fields through targeted infill wells and enhanced recovery techniques.

The company's primary producing asset is the Etame Marin block offshore Gabon, where Vaalco holds a majority interest and serves as operator.

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