Vaalco Energy (NYSE:EGY) Shares Gap Up – Should You Buy?

Vaalco Energy Inc (NYSE:EGY)’s stock price gapped up prior to trading on Wednesday . The stock had previously closed at $5.23, but opened at $5.45. Vaalco Energy shares last traded at $5.4330, with a volume of 90,414 shares traded.

Analyst Ratings Changes

A number of brokerages recently weighed in on EGY. Weiss Ratings cut shares of Vaalco Energy from a “hold (c-)” rating to a “sell (d+)” rating in a research note on Tuesday, May 12th. Zacks Research upgraded shares of Vaalco Energy from a “strong sell” rating to a “hold” rating in a research report on Friday, May 1st. Finally, Wall Street Zen lowered shares of Vaalco Energy from a “hold” rating to a “sell” rating in a research note on Saturday, May 16th. One equities research analyst has rated the stock with a Hold rating and one has issued a Sell rating to the stock. According to MarketBeat.com, Vaalco Energy presently has a consensus rating of “Reduce” and an average target price of $7.30.

Vaalco Energy Price Performance

The company has a 50 day moving average of $5.61 and a two-hundred day moving average of $5.23. The firm has a market cap of $571.86 million, a P/E ratio of -3.99 and a beta of 0.09. The company has a quick ratio of 0.47, a current ratio of 0.51 and a debt-to-equity ratio of 0.60.

Vaalco Energy (NYSE:EGY) last issued its quarterly earnings results on Thursday, May 7th. The energy company reported ($0.45) EPS for the quarter, missing the consensus estimate of ($0.01) by ($0.44). Vaalco Energy had a negative return on equity of 12.74% and a negative net margin of 45.86%.The business had revenue of $62.60 million during the quarter, compared to the consensus estimate of $78.20 million. Sell-side analysts expect that Vaalco Energy Inc will post 0.11 EPS for the current year.

Vaalco Energy Dividend Announcement

The firm also recently announced a quarterly dividend, which was paid on Friday, June 26th. Investors of record on Friday, May 22nd were issued a $0.0625 dividend. This represents a $0.25 dividend on an annualized basis and a dividend yield of 4.6%. The ex-dividend date was Friday, May 22nd. Vaalco Energy’s payout ratio is presently -18.25%.

Institutional Trading of Vaalco Energy

A number of large investors have recently added to or reduced their stakes in EGY. Vanguard Group Inc. increased its holdings in shares of Vaalco Energy by 1.2% in the third quarter. Vanguard Group Inc. now owns 7,093,682 shares of the energy company’s stock valued at $28,517,000 after buying an additional 81,203 shares in the last quarter. American Century Companies Inc. boosted its stake in shares of Vaalco Energy by 7.2% during the 3rd quarter. American Century Companies Inc. now owns 4,740,856 shares of the energy company’s stock worth $19,058,000 after acquiring an additional 316,570 shares in the last quarter. Dimensional Fund Advisors LP grew its holdings in shares of Vaalco Energy by 10.7% in the 1st quarter. Dimensional Fund Advisors LP now owns 4,028,909 shares of the energy company’s stock worth $25,545,000 after acquiring an additional 389,058 shares during the last quarter. Kornitzer Capital Management Inc. KS raised its position in shares of Vaalco Energy by 4.7% during the first quarter. Kornitzer Capital Management Inc. KS now owns 3,378,835 shares of the energy company’s stock worth $21,422,000 after purchasing an additional 150,175 shares during the period. Finally, UBS Group AG raised its position in shares of Vaalco Energy by 154.9% during the fourth quarter. UBS Group AG now owns 1,326,729 shares of the energy company’s stock worth $4,829,000 after purchasing an additional 806,283 shares during the period. 50.32% of the stock is currently owned by institutional investors.

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.