Breaking Down Talos Energy: 4 Analysts Share Their Views

4 analysts have expressed a variety of opinions on Talos Energy TALO over the past quarter, offering a diverse set of opinions from bullish to bearish.

The following table encapsulates their recent ratings, offering a glimpse into the evolving sentiments over the past 30 days and comparing them to the preceding months.

In the assessment of 12-month price targets, analysts unveil insights for Talos Energy, presenting an average target of $18.38, a high estimate of $20.00, and a low estimate of $16.50. Highlighting a 14.51% decrease, the current average has fallen from the previous average price target of $21.50.

Diving into Analyst Ratings: An In-Depth Exploration

A clear picture of Talos Energy's perception among financial experts is painted with a thorough analysis of recent analyst actions. The summary below outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.

Key Insights:

• Action Taken: Analysts frequently update their recommendations based on evolving market conditions and company performance. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their reaction to recent developments related to Talos Energy. This information provides a snapshot of how analysts perceive the current state of the company.
• Rating: Delving into assessments, analysts assign qualitative values, from 'Outperform' to 'Underperform'. These ratings communicate expectations for the relative performance of Talos Energy compared to the broader market.
• Price Targets: Analysts navigate through adjustments in price targets, providing estimates for Talos Energy's future value. Comparing current and prior targets offers insights into analysts' evolving expectations.

Navigating through these analyst evaluations alongside other financial indicators can contribute to a holistic understanding of Talos Energy's market standing. Stay informed and make data-driven decisions with our Ratings Table.

Stay up to date on Talos Energy analyst ratings.

Get to Know Talos Energy Better

Talos Energy Inc is an independent oil and gas company predominantly involved in offshore exploration and production. The company has operations in the United States, the Gulf of Mexico, and offshore Mexico. The company's operating segments are; exploration and production of oil, natural gas and NGLs, and the CCS segment. The revenue is generated from the sale of oil, natural gas, and NGL quantities sold to purchasers.

Financial Insights: Talos Energy

Market Capitalization Analysis: The company's market capitalization is below the industry average, suggesting that it is relatively smaller compared to peers. This could be due to various factors, including perceived growth potential or operational scale.

Positive Revenue Trend: Examining Talos Energy's financials over 3 months reveals a positive narrative. The company achieved a noteworthy revenue growth rate of 12.5% as of 31 December, 2023, showcasing a substantial increase in top-line earnings. As compared to its peers, the company achieved a growth rate higher than the average among peers in Energy sector.

Net Margin: The company's net margin is below industry benchmarks, signaling potential difficulties in achieving strong profitability. With a net margin of 22.31%, the company may need to address challenges in effective cost control.

Return on Equity (ROE): Talos Energy's ROE falls below industry averages, indicating challenges in efficiently using equity capital. With an ROE of 4.07%, the company may face hurdles in generating optimal returns for shareholders.

Return on Assets (ROA): Talos Energy's ROA is below industry standards, pointing towards difficulties in efficiently utilizing assets. With an ROA of 1.8%, the company may encounter challenges in delivering satisfactory returns from its assets.

Debt Management: Talos Energy's debt-to-equity ratio is below the industry average at 0.49, reflecting a lower dependency on debt financing and a more conservative financial approach.

How Are Analyst Ratings Determined?

Analysts work in banking and financial systems and typically specialize in reporting for stocks or defined sectors. Analysts may attend company conference calls and meetings, research company financial statements, and communicate with insiders to publish "analyst ratings" for stocks. Analysts typically rate each stock once per quarter.

Analysts may supplement their ratings with predictions for metrics like growth estimates, earnings, and revenue, offering investors a more comprehensive outlook. However, investors should be mindful that analysts, like any human, can have subjective perspectives influencing their forecasts.

This article was generated by Benzinga's automated content engine and reviewed by an editor.