Kosmos Energy Ltd. (KOS) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

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Comparison

Company

Score

Quality

Valuation

Financial

Technical

Chesapeake Energy Corp.

California Resources Corp.

Matador Resources Co.

Chord Energy Corp.

CNX Resources Corp.

Permian Resources Corp.

Civitas Resources, Inc.

National Fuel Gas Co.

Southwestern Energy Co.

Kosmos Energy Ltd.

Denbury, Inc.

Why is Kosmos Energy Ltd. ?

High Debt company with Weak Long Term Fundamental Strength

High Debt Company with a Debt to Equity ratio (avg) at times

With a fall in Operating Profit of -27.66%, the company declared Very Negative results in Jun 25

The company has declared negative results for the last 3 consecutive quarters
INTEREST(HY) At USD 105.14 MM has Grown at 309.37%
PRE-TAX PROFIT(Q) At USD -78.55 MM has Fallen at -336.23%
NET PROFIT(Q) At USD -102.53 MM has Fallen at -18,085.33%

Risky -

The stock is trading risky as compared to its average historical valuations
Over the past year, while the stock has generated a return of -71.39%, its profits have fallen by -99.4%

Consistent Underperformance against the benchmark over the last 3 years

Along with generating -71.39% returns in the last 1 year, the stock has also underperformed S&P 500 in each of the last 3 annual periods

Real-Time Research Report

Verdict Report

How much should you sell?

All quantity irrespective of whether you are making profits or losses

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Oil)

When to re-enter? - We will constantly monitor the company and review our call based on new data

Is Kosmos Energy Ltd. for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

Kosmos Energy Ltd.

-70.84%

-1.01

80.09%

S&P 500

13.22%

0.64

20.20%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

6.17%

EBIT Growth (5y)

26.16%

EBIT to Interest (avg)

5.37

Debt to EBITDA (avg)

3.03

Net Debt to Equity (avg)

2.55

Sales to Capital Employed (avg)

0.48

Tax Ratio

100.00%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

100.00%

ROCE (avg)

17.12%

ROE (avg)

32.97%

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

435

Industry P/E

Price to Book Value

0.90

EV to EBIT

15.11

EV to EBITDA

5.15

EV to Capital Employed

0.97

EV to Sales

2.45

PEG Ratio

Dividend Yield

ROCE (Latest)

6.44%

ROE (Latest)

0.21%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

RSI

No Signal

Bollinger Bands

Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Dow Theory

Mildly Bearish

OBV

Mildly Bearish

Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned

Technical Movement

Analyse All Technical Factors

Financial Trend

Financial Trend Scorecard

Financial Trend scale:

Very Negative, Negative, Flat, Positive, Very Positive, Outstanding

1What is working for the Company

INVENTORY TURNOVER RATIO(HY)

Highest at 8.59 times

-34What is not working for the Company

INTEREST(HY)

At USD 105.14 MM has Grown at 309.37%

PRE-TAX PROFIT(Q)

At USD -78.55 MM has Fallen at -336.23%

NET PROFIT(Q)

At USD -102.53 MM has Fallen at -18,085.33%

OPERATING CASH FLOW(Y)

Lowest at USD 308.31 MM

NET SALES(HY)

At USD 690.38 MM has Grown at -20.66%

ROCE(HY)

Lowest at -14.81%

RAW MATERIAL COST(Y)

Grown by 101.8% (YoY

CASH AND EQV(HY)

Lowest at USD 101.48 MM

DEBT-EQUITY RATIO (HY)

Highest at 275 %

Here's what is working for Kosmos Energy Ltd.

Inventory Turnover Ratio

Highest at 8.59 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

Depreciation

At USD 151.27 MM has Grown at 25.36%

period on period (QoQ)

MOJO Watch

The expenditure on assets done by the company has gone into productive use which should positively reflect in the future sales

Depreciation (USD MM)

Here's what is not working for Kosmos Energy Ltd.

Interest

At USD 105.14 MM has Grown at 309.37%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (USD MM)

Pre-Tax Profit

At USD -78.55 MM has Fallen at -336.23%

over average net sales of the previous four periods of USD 33.25 MM

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (USD MM)

Net Profit

At USD -102.53 MM has Fallen at -18,085.33%

over average net sales of the previous four periods of USD 0.57 MM

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (USD MM)

Net Sales

At USD 690.38 MM has Grown at -20.66%

Year on Year (YoY)

MOJO Watch

Near term sales trend is negative

Net Sales (USD MM)

Operating Cash Flow

Lowest at USD 308.31 MM

in the last three years

MOJO Watch

The company's cash revenues from business operations are falling

Operating Cash Flows (USD MM)

Cash and Eqv

Lowest at USD 101.48 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents

Debt-Equity Ratio

Highest at 275 %

in the last five Semi-Annual periods

MOJO Watch

The company is borrowing more to fund its operations; it's liquidity situation may be stressed

Debt-Equity Ratio

Raw Material Cost

Grown by 101.8% (YoY)

MOJO Watch

The company's ability to pass on the cost of raw materials to customers has deteriorated; this may lead to a fall in profit margin

Raw Material Cost as a percentage of Sales