(EGY) Vaalco Energy - Overview
Sector: Energy | Industry: Oil & Gas E&P | Exchange: NYSE (USA) | Market Cap: 628m USD | Total Return: 87.4% in 12m
Avg Turnover: 7.26M
Qual. Beats: -1
Rev. Trend: 3.5%
Qual. Beats: -2
Warnings
High Debt/EBITDA (7.0) with thin interest coverage (-11.0)
High Debt while negative Cash Flow
Interest Coverage Ratio -11.0 is critical
Altman Z'' -0.96 < 1.0 - financial distress zone
Below Avwap Earnings
Tailwinds
Tailwind, Pullback 52w, Confidence
VAALCO Energy, Inc. is a Houston-based independent energy firm focused on the acquisition, exploration, and production of crude oil and natural gas. The company maintains a diversified international portfolio with operational footprints in West Africa (Gabon, Equatorial Guinea, Côte dIvoire, and Nigeria), Egypt, and Canada. Its primary assets include a majority interest in the offshore Etame Marin block in Gabon and multiple concessions across Egypt’s Eastern and Western Deserts.
As an upstream operator, VAALCOs business model relies on Production Sharing Contracts (PSCs) and working interests to extract value from hydrocarbon reserves. The exploration and production sector is characterized by high capital intensity and sensitivity to global commodity price fluctuations, requiring disciplined management of offshore and deepwater technical risks. For deeper insights into the companys valuation metrics, consider reviewing the latest data on ValueRay.
In addition to its African offshore operations, the company holds liquids-rich gas and light oil assets in the Western Canadian Sedimentary Basin. This geographical spread allows the company to balance mature production fields with undeveloped exploration blocks, such as those located in Equatorial Guinea.
- Fluctuations in global Brent crude prices directly impact operational cash flow and margins
- Gabon production levels remain primary driver of total revenue and asset valuation
- Strategic acquisitions in Egypt and Canada diversify geographical risk and production base
- Development of Block P in Equatorial Guinea offers significant future reserves growth
- Political instability in West African jurisdictions poses persistent regulatory and operational risks
| Net Income: -143.0m TTM > 0 and > 6% of Revenue |
| FCF/TA: -0.03 > 0.02 and ΔFCF/TA -0.71 > 1.0 |
| NWC/Revenue: -32.05% < 20% (prev 4.74%; Δ -36.79% < -1%) |
| CFO/TA 0.15 > 3% & CFO 140.7m > Net Income -143.0m |
| Net Debt (280.6m) to EBITDA (40.1m): 7.01 < 3 |
| Current Ratio: 0.51 > 1.5 & < 3 |
| Outstanding Shares: last quarter (104.3m) vs 12m ago 0.46% < -2% |
| Gross Margin: 20.40% > 18% (prev 0.34%; Δ 2.01k% > 0.5%) |
| Asset Turnover: 37.17% > 50% (prev 52.76%; Δ -15.59% > 0%) |
| Interest Coverage Ratio: -11.01 > 6 (EBITDA TTM 40.1m / Interest Expense TTM 5.25m) |
| A: -0.12 (Total Current Assets 116.1m - Total Current Liabilities 226.2m) / Total Assets 920.7m |
| B: 0.05 (Retained Earnings 41.4m / Total Assets 920.7m) |
| C: -0.06 (EBIT TTM -57.8m / Avg Total Assets 923.9m) |
| D: 0.09 (Book Value of Equity 53.7m / Total Liabilities 575.8m) |
| Altman-Z'' = -0.96 = CCC |
| DSRI: 0.39 (Receivables 34.8m/126.3m, Revenue 343.4m/489.2m) |
| GMI: 1.66 (GM 20.40% / 33.82%) |
| AQI: 1.11 (AQ_t 0.08 / AQ_t-1 0.07) |
| SGI: 0.70 (Revenue 343.4m / 489.2m) |
| TATA: -0.31 (NI -143.0m - CFO 140.7m) / TA 920.7m) |
| Beneish M = -3.40 (Cap -4..+1) = AA |
As of May 24, 2026, the stock is trading at USD 5.87 with a total of 1,231,512 shares traded.
Over the past week, the price has changed by -4.35%,
over one month by -5.45%,
over three months by +14.91% and
over the past year by +87.40%.
Vaalco Energy has received a consensus analysts rating of 5.00. Therefore, it is recommended to buy EGY.
- StrongBuy: 3
- Buy: 0
- Hold: 0
- Sell: 0
- StrongSell: 0
| Analysts Target Price | 9.5 | 62.4% |
P/S = 2.0163
P/B = 1.8213
P/EG = 3.9821
Revenue TTM = 343.4m USD
EBIT TTM = -57.8m USD
EBITDA TTM = 40.1m USD
Long Term Debt = 152.0m USD (from longTermDebt, last quarter)
Short Term Debt = 19.1m USD (from shortTermDebt, last quarter)
Debt = 328.7m USD (from shortLongTermDebtTotal, last quarter) + Leases 88.3m
Net Debt = 280.6m USD (calculated: Debt 328.7m - CCE 48.0m)
Enterprise Value = 908.8m USD (628.2m + Debt 328.7m - CCE 48.0m)
Interest Coverage Ratio = -11.01 (Ebit TTM -57.8m / Interest Expense TTM 5.25m)
EV/FCF = -33.66x (Enterprise Value 908.8m / FCF TTM -27.0m)
FCF Yield = -2.97% (FCF TTM -27.0m / Enterprise Value 908.8m)
FCF Margin = -7.86% (FCF TTM -27.0m / Revenue TTM 343.4m)
Net Margin = -41.63% (Net Income TTM -143.0m / Revenue TTM 343.4m)
Gross Margin = 20.40% ((Revenue TTM 343.4m - Cost of Revenue TTM 273.4m) / Revenue TTM)
Gross Margin QoQ = -10.20% (prev 18.77%)
Tobins Q-Ratio = 0.99 (Enterprise Value 908.8m / Total Assets 920.7m)
Interest Expense / Debt = 1.60% (Interest Expense 5.25m / Debt 328.7m)
Taxrate = 21.0% (US default 21%)
NOPAT = -45.7m (EBIT -57.8m * (1 - 21.00%)) [loss with tax shield]
Current Ratio = 0.51 (Total Current Assets 116.1m / Total Current Liabilities 226.2m)
Debt / Equity = 0.95 (Debt 328.7m / totalStockholderEquity, last quarter 344.9m)
Debt / EBITDA = 7.01 (Net Debt 280.6m / EBITDA 40.1m)
Debt / FCF = -10.40 (negative FCF - burning cash) (Net Debt 280.6m / FCF TTM -27.0m)
Total Stockholder Equity = 451.5m (last 4 quarters mean from totalStockholderEquity)
RoA = -15.48% (Net Income -143.0m / Total Assets 920.7m)
RoE = -31.67% (Net Income TTM -143.0m / Total Stockholder Equity 451.5m)
RoCE = -9.58% (EBIT -57.8m / Capital Employed (Equity 451.5m + L.T.Debt 152.0m))
RoIC = -6.75% (negative operating profit) (NOPAT -45.7m / Invested Capital 676.7m)
WACC = 5.39% (E(628.2m)/V(956.8m) * Re(7.55%) + D(328.7m)/V(956.8m) * Rd(1.60%) * (1-Tc(0.21)))
Discount Rate = 7.55% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: 0.0 | Cagr: -0.32%
[DCF] Fair Price = unknown (Cash Flow -27.0m)
EPS Correlation: N/A | EPS CAGR: N/A | SUE: -4.0 | # QB: -1
Revenue Correlation: 3.52 | Revenue CAGR: 0.68% | SUE: -1.00 | # QB: -2
EPS current Quarter (2026-06-30): EPS=0.08 | Chg30d=+100.00% | Revisions=N/A | Analysts=1
EPS next Quarter (2026-09-30): EPS=0.21 | Chg30d=+250.00% | Revisions=N/A | Analysts=1
EPS current Year (2026-12-31): EPS=0.02 | Chg30d=-90.91% | Revisions=-20% | GrowthEPS=+150.0% | GrowthRev=+15.4%
EPS next Year (2027-12-31): EPS=0.34 | Chg30d=+19.64% | Revisions=-20% | GrowthEPS=+1575.0% | GrowthRev=+20.4%
[Analyst] Revisions Ratio: -20%