Loading...

VAALCO Energy

NYSE:EGY
Snowflake Description

Flawless balance sheet with outstanding track record.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
EGY
NYSE
$101M
Market Cap
  1. Home
  2. US
  3. Energy
Company description

VAALCO Energy, Inc., an independent energy company, acquires, explores for, develops, and produces crude oil and natural gas. The last earnings update was 70 days ago. More info.


Add to Portfolio Compare Print
  • VAALCO Energy has significant price volatility in the past 3 months.
EGY Share Price and Events
7 Day Returns
-0.6%
NYSE:EGY
-0.7%
US Oil and Gas
0.6%
US Market
1 Year Returns
-43.9%
NYSE:EGY
-16.4%
US Oil and Gas
4.1%
US Market
EGY Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
VAALCO Energy (EGY) -0.6% 15% -32.1% -43.9% 67.3% -78%
US Oil and Gas -0.7% 3.5% -6.9% -16.4% -6.3% -37.7%
US Market 0.6% 3.8% 2.8% 4.1% 37.3% 42.5%
1 Year Return vs Industry and Market
  • EGY underperformed the Oil and Gas industry which returned -16.4% over the past year.
  • EGY underperformed the Market in United States of America which returned 4.1% over the past year.
Price Volatility
EGY
Industry
5yr Volatility vs Market

EGY Value

 Is VAALCO Energy undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of VAALCO Energy to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for VAALCO Energy.

NYSE:EGY Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Extrapolated from most recent financials. See below
Discount Rate (Cost of Equity) See below 9.4%
Perpetual Growth Rate 10-Year US Government Bond Rate 2.7%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for NYSE:EGY
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year US Govt Bond Rate 2.7%
Equity Risk Premium S&P Global 6%
Oil and Gas Unlevered Beta Simply Wall St/ S&P Global 0.92
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.924 (1 + (1- 21%) (36.25%))
1.126
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
1.13
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 2.73% + (1.126 * 5.96%)
9.44%

Discounted Cash Flow Calculation for NYSE:EGY using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for VAALCO Energy is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.

NYSE:EGY DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (USD, Millions) Source Present Value
Discounted (@ 9.44%)
2020 40.37 Est @ 53.4% 36.88
2021 55.79 Est @ 38.2% 46.58
2022 71.16 Est @ 27.56% 54.28
2023 85.47 Est @ 20.11% 59.57
2024 98.20 Est @ 14.89% 62.54
2025 109.24 Est @ 11.25% 63.57
2026 118.73 Est @ 8.69% 63.14
2027 126.93 Est @ 6.9% 61.67
2028 134.10 Est @ 5.65% 59.54
2029 140.50 Est @ 4.77% 57.00
Present value of next 10 years cash flows $564.78
NYSE:EGY DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2029 × (1 + g) ÷ (Discount Rate – g)
= $140.50 × (1 + 2.73%) ÷ (9.44% – 2.73%)
$2,150.50
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= $2,150.50 ÷ (1 + 9.44%)10
$872.37
NYSE:EGY Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= $564.78 + $872.37
$1,437.15
Equity Value per Share
(USD)
= Total value / Shares Outstanding
= $1,437.15 / 59.80
$24.03
NYSE:EGY Discount to Share Price
Calculation Result
Value per share (USD) From above. $24.03
Current discount Discount to share price of $1.69
= -1 x ($1.69 - $24.03) / $24.03
93%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

Current Discount
Amount off the current price VAALCO Energy is available for.
Intrinsic value
>50%
Share price is $1.69 vs Future cash flow value of $24.03
Current Discount Checks
For VAALCO Energy to be considered undervalued it must be available for at least 20% below the current price. Less than 40% is even better.
  • VAALCO Energy's share price is below the future cash flow value, and at a moderate discount (> 20%).
  • VAALCO Energy's share price is below the future cash flow value, and at a substantial discount (> 40%).
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for VAALCO Energy's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are VAALCO Energy's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
NYSE:EGY PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2019-03-31) in USD $1.51
NYSE:EGY Share Price ** NYSE (2019-07-17) in USD $1.69
United States of America Oil and Gas Industry PE Ratio Median Figure of 101 Publicly-Listed Oil and Gas Companies 12.93x
United States of America Market PE Ratio Median Figure of 3,082 Publicly-Listed Companies 17.98x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of VAALCO Energy.

NYSE:EGY PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= NYSE:EGY Share Price ÷ EPS (both in USD)

= 1.69 ÷ 1.51

1.12x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • VAALCO Energy is good value based on earnings compared to the US Oil and Gas industry average.
  • VAALCO Energy is good value based on earnings compared to the United States of America market.
Price based on expected Growth
Does VAALCO Energy's expected growth come at a high price?
Raw Data
NYSE:EGY PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 1.12x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 0 Analysts
-25.4%per year
United States of America Oil and Gas Industry PEG Ratio Median Figure of 79 Publicly-Listed Oil and Gas Companies 0.41x
United States of America Market PEG Ratio Median Figure of 2,122 Publicly-Listed Companies 1.59x

*Line of best fit is calculated by linear regression .

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Unable to calculate PEG ratio for VAALCO Energy, we can't assess if its growth is good value.
Price based on value of assets
What value do investors place on VAALCO Energy's assets?
Raw Data
NYSE:EGY PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2019-03-31) in USD $1.95
NYSE:EGY Share Price * NYSE (2019-07-17) in USD $1.69
United States of America Oil and Gas Industry PB Ratio Median Figure of 196 Publicly-Listed Oil and Gas Companies 1.06x
United States of America Market PB Ratio Median Figure of 5,241 Publicly-Listed Companies 1.81x
NYSE:EGY PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= NYSE:EGY Share Price ÷ Book Value per Share (both in USD)

= 1.69 ÷ 1.95

0.87x

* Primary Listing of VAALCO Energy.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • VAALCO Energy is good value based on assets compared to the US Oil and Gas industry average.
X
Value checks
We assess VAALCO Energy's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Oil and Gas industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Oil and Gas industry average (and greater than 0)? (1 check)
  5. VAALCO Energy has a total score of 5/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

EGY Future Performance

 How is VAALCO Energy expected to perform in the next 1 to 3 years based on estimates from 0 analysts?

  • No analysts cover VAALCO Energy, future earnings growth has been estimated based on fundamentals.
The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
-25.4%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is VAALCO Energy expected to grow at an attractive rate?
  • VAALCO Energy's earnings are expected to decrease over the next 1-3 years, this is below the low risk savings rate of 2.7%.
Growth vs Market Checks
  • VAALCO Energy's earnings are expected to decrease over the next 1-3 years, this is below the United States of America market average.
  • Unable to compare VAALCO Energy's revenue growth to the United States of America market average as no estimate data is available.
Annual Growth Rates Comparison
Raw Data
NYSE:EGY Future Growth Rates Data Sources
Data Point Source Value (per year)
NYSE:EGY Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 0 Analysts -25.4%
United States of America Oil and Gas Industry Earnings Growth Rate Market Cap Weighted Average 11.9%
United States of America Oil and Gas Industry Revenue Growth Rate Market Cap Weighted Average 4.4%
United States of America Market Earnings Growth Rate Market Cap Weighted Average 14.1%
United States of America Market Revenue Growth Rate Market Cap Weighted Average 7.4%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
NYSE:EGY Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 0 Analyst Estimates (S&P Global) See Below
All numbers in USD Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
NYSE:EGY Future Estimates Data
Date (Data in USD Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
NYSE:EGY Past Financials Data
Date (Data in USD Millions) Revenue Cash Flow Net Income *
2019-03-31 97 36 90
2018-12-31 105 37 98
2018-09-30 94 42 91
2018-06-30 87 37 13
2018-03-31 83 20 14
2017-12-31 77 9 10
2017-09-30 75 0 3
2017-06-30 72 -3 5
2017-03-31 70 1 2
2016-12-31 60 0 -18
2016-09-30 62 1 -85
2016-06-30 65 14 -92

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • VAALCO Energy's earnings are expected to decrease over the next 1-3 years, this is not considered high growth.
  • Unable to determine if VAALCO Energy is high growth as no revenue estimate data is available.
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
NYSE:EGY Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 0 Analyst Estimates (S&P Global) See Below

All data from VAALCO Energy Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NYSE:EGY Future Estimates Data
Date (Data in USD Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
NYSE:EGY Past Financials Data
Date (Data in USD Millions) EPS *
2019-03-31 1.51
2018-12-31 1.65
2018-09-30 1.54
2018-06-30 0.22
2018-03-31 0.25
2017-12-31 0.17
2017-09-30 0.06
2017-06-30 0.08
2017-03-31 0.03
2016-12-31 -0.31
2016-09-30 -1.46
2016-06-30 -1.58

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • Unable to establish if VAALCO Energy will efficiently use shareholders’ funds in the future without estimates of Return on Equity.
X
Future performance checks
We assess VAALCO Energy's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the United States of America market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the United States of America market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
VAALCO Energy has a total score of 0/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

EGY Past Performance

  How has VAALCO Energy performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare VAALCO Energy's growth in the last year to its industry (Oil and Gas).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • VAALCO Energy has delivered over 20% year on year earnings growth in the past 5 years.
  • VAALCO Energy's 1-year earnings growth exceeds its 5-year average (521.5% vs 39%)
  • VAALCO Energy's earnings growth has exceeded the US Oil and Gas industry average in the past year (521.5% vs 29.5%).
Earnings and Revenue History
VAALCO Energy's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from VAALCO Energy Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NYSE:EGY Past Revenue, Cash Flow and Net Income Data
Date (Data in USD Millions) Revenue Net Income * G+A Expenses R&D Expenses
2019-03-31 97.06 89.63 14.80
2018-12-31 104.94 97.50 11.34
2018-09-30 94.49 90.87 12.31
2018-06-30 87.41 12.86 12.08
2018-03-31 83.40 14.42 10.16
2017-12-31 77.03 10.21 10.84
2017-09-30 75.20 3.38 11.26
2017-06-30 71.65 4.55 10.49
2017-03-31 70.07 1.60 11.42
2016-12-31 59.78 -18.27 10.79
2016-09-30 61.98 -85.42 10.44
2016-06-30 64.89 -92.27 -5.66
2016-03-31 73.18 -96.98 -5.60
2015-12-31 80.45 -120.55 24.42
2015-09-30 85.95 -148.38 26.15
2015-06-30 92.90 -139.44 45.16
2015-03-31 117.86 -109.52 46.57
2014-12-31 127.69 -73.75 24.28
2014-09-30 162.94 47.16 32.10
2014-06-30 176.19 46.44 40.65
2014-03-31 153.21 28.85 42.00
2013-12-31 169.28 43.07 35.46
2013-09-30 164.55 -2.22 70.11
2013-06-30 164.44 -4.50 60.62
2013-03-31 194.14 -1.20 60.41
2012-12-31 195.29 0.63 54.44
2012-09-30 209.50 28.27 15.50

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • VAALCO Energy made outstanding use of shareholders’ funds last year (Return on Equity greater than 40%).
  • VAALCO Energy used its assets more efficiently than the US Oil and Gas industry average last year based on Return on Assets.
  • VAALCO Energy has significantly improved its use of capital last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess VAALCO Energy's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Oil and Gas industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
VAALCO Energy has a total score of 6/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

EGY Health

 How is VAALCO Energy's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up VAALCO Energy's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • VAALCO Energy is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • VAALCO Energy's cash and other short term assets cover its long term commitments.
Balance sheet
This treemap shows a more detailed breakdown of VAALCO Energy's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • High level of physical assets or inventory.
  • VAALCO Energy has no debt, it does not need to be covered by short term assets.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from VAALCO Energy Company Filings, last reported 3 months ago.

NYSE:EGY Past Debt and Equity Data
Date (Data in USD Millions) Total Equity Total Debt Cash & Short Term Investments
2019-03-31 116.30 0.00 46.20
2018-12-31 109.83 0.00 33.36
2018-09-30 99.30 0.00 33.72
2018-06-30 20.48 0.00 40.49
2018-03-31 19.10 6.95 32.21
2017-12-31 10.29 8.98 19.67
2017-09-30 6.72 10.98 18.86
2017-06-30 6.93 12.98 20.64
2017-03-31 4.08 14.95 24.25
2016-12-31 -0.36 14.44 20.47
2016-09-30 3.21 14.38 26.88
2016-06-30 19.33 14.34 13.68
2016-03-31 18.83 15.00 24.16
2015-12-31 26.08 15.00 25.36
2015-09-30 106.09 15.00 40.70
2015-06-30 139.07 15.00 61.05
2015-03-31 143.59 15.00 46.55
2014-12-31 180.46 15.00 69.05
2014-09-30 278.10 15.00 133.50
2014-06-30 271.23 0.00 118.57
2014-03-31 245.25 0.00 80.72
2013-12-31 250.87 0.00 130.53
2013-09-30 221.88 0.00 100.47
2013-06-30 227.87 0.00 78.71
2013-03-31 221.25 0.00 102.64
2012-12-31 212.53 0.00 130.80
2012-09-30 257.15 0.00 136.26
  • VAALCO Energy has no debt.
  • VAALCO Energy had no debt 5 years ago.
  • VAALCO Energy has no debt, it does not need to be covered by operating cash flow.
  • VAALCO Energy has no debt, therefore coverage of interest payments is not a concern.
X
Financial health checks
We assess VAALCO Energy's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. VAALCO Energy has a total score of 6/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

EGY Dividends

 What is VAALCO Energy's current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
0%
Current annual income from VAALCO Energy dividends.
If you bought $2,000 of VAALCO Energy shares you are expected to receive $0 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Unable to evaluate VAALCO Energy's dividend yield against the bottom 25% of dividend payers as the company has not reported any payouts.
  • Unable to evaluate VAALCO Energy's dividend against the top 25% market benchmark as the company has not reported any payouts.
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
NYSE:EGY Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 0 Analyst Estimates (S&P Global) See Below
United States of America Oil and Gas Industry Average Dividend Yield Market Cap Weighted Average of 67 Stocks 3.7%
United States of America Market Average Dividend Yield Market Cap Weighted Average of 2017 Stocks 2.4%
United States of America Minimum Threshold Dividend Yield 10th Percentile 0.8%
United States of America Bottom 25% Dividend Yield 25th Percentile 1.4%
United States of America Top 25% Dividend Yield 75th Percentile 3.7%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

NYSE:EGY Future Dividends Estimate Data
Date (Data in $) Dividend per Share (annual) Avg. No. Analysts

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Unable to perform a dividend volatility check as VAALCO Energy has not reported any payouts.
  • Unable to verify if VAALCO Energy's dividend has been increasing as the company has not reported any payouts.
Current Payout to shareholders
What portion of VAALCO Energy's earnings are paid to the shareholders as a dividend.
  • Unable to calculate sustainability of dividends as VAALCO Energy has not reported any payouts.
Future Payout to shareholders
  • Insufficient estimate data to determine if a dividend will be paid in 3 years and that it will be sustainable.
X
Income/ dividend checks
We assess VAALCO Energy's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 0.8%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can VAALCO Energy afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. VAALCO Energy has a total score of 0/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

EGY Management

 What is the CEO of VAALCO Energy's salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Cary Bounds
COMPENSATION $1,400,695
AGE 52
TENURE AS CEO 2.6 years
CEO Bio

Mr. Cary Bounds has been Chief Executive Officer of VAALCO Energy, Inc. since December 29, 2016. Mr. Bounds served as Interim Chief Executive Officer of Vaalco Energy Inc. from September 1, 2016 to December 29, 2016 and its Chief Operating Officer from June 2015 to December 29, 2016. He is a Petroleum Engineer and has almost 25 years of domestic and international asset management, business development, planning and technical engineering experience at large, multinational energy companies as well as at mid-sized and larger independent E&P companies. From 2010 until joining VAALCO, Mr. Bounds was employed with Noble Energy Equatorial Guinea Limited, where he held upstream positions in international assets management, including Vice President, Business Unit Manager, Equatorial Guinea Assets from May 2013 until July 2015 and Country Manager, North Sea from April 2010 until May 2013. Prior to Noble, Mr. Bounds was the Engineering and Planning Manager, Worldwide for Terralliance Technologies, Inc. and served as their Country Manager in Mozambique from 2007 to 2010. Mr. Bounds was with SM Energy from 2004 to 2007 and held the position of Engineering Manager for their Gulf Coast and Permian regions. Prior to Noble, he held a variety of management and engineering positions with companies including Dominion Energy & Minerals where he was Manager of Business Analysis and Corporate Development, Planning Manager and Reservoir Engineering Supervisor. He began his career at ConocoPhillips in 1991 as a production engineer. He served as the Chairman of Management Committee at Atlantic Methanol Production Company, LLC. He has been Director of VAALCO Energy, Inc. since December 29, 2016. Mr. Bounds holds a Bachelor of Science degree in Petroleum Engineering from Texas A&M University.

CEO Compensation
  • Cary's compensation has been consistent with company performance over the past year, both up more than 20%.
  • Cary's remuneration is higher than average for companies of similar size in United States of America.
Management Team Tenure

Average tenure of the VAALCO Energy management team in years:

0.5
Average Tenure
  • The average tenure for the VAALCO Energy management team is less than 2 years, this suggests a new team.
Management Team

Cary Bounds

TITLE
CEO & Director
COMPENSATION
$1M
AGE
52
TENURE
2.6 yrs

Elizabeth Prochnow

TITLE
Chief Financial Officer
COMPENSATION
$404K
AGE
60
TENURE
0.3 yrs

Jason Doornik

TITLE
Chief Accounting Officer & Controller
TENURE
0.1 yrs

Michael Silver

TITLE
Executive VP & General Counsel
TENURE
0.3 yrs

Dave DesAutels

TITLE
Executive Vice President of Corporate Development
TENURE
0.5 yrs

Thor Pruckl

TITLE
Executive Vice President of International Operations
TENURE
0.5 yrs

Julie Ray

TITLE
Vice President of Treasury
TENURE
2 yrs
Board of Directors Tenure

Average tenure and age of the VAALCO Energy board of directors in years:

3.6
Average Tenure
63
Average Age
  • The tenure for the VAALCO Energy board of directors is about average.
Board of Directors

Andrew Fawthrop

TITLE
Chairman of the Board
COMPENSATION
$206K
AGE
67
TENURE
3.6 yrs

Cary Bounds

TITLE
CEO & Director
COMPENSATION
$1M
AGE
52
TENURE
2.6 yrs

Bobby Gerry

TITLE
Chairman Emeritus
COMPENSATION
$552K
AGE
81
TENURE
5.1 yrs

Steven Pully

TITLE
Director
COMPENSATION
$171K
AGE
59
TENURE
4 yrs

Bill Thomas

TITLE
Director
TENURE
0.3 yrs
Who owns this company?
Recent Insider Trading
  • More shares have been bought than sold by VAALCO Energy individual insiders in the past 3 months.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price ($) Value ($)
29. May 19 Buy Andrew Fawthrop Individual 24. May 19 24. May 19 2,000 $1.68 $3,360
28. May 19 Buy David DesAutels Individual 24. May 19 24. May 19 11,764 $1.72 $20,234
24. May 19 Buy Cary Bounds Individual 22. May 19 22. May 19 6,000 $1.68 $10,080
23. May 19 Sell Kornitzer Capital Management, Inc. Company 25. Mar 19 21. May 19 -1,362,220 $2.63 $-3,582,502
22. May 19 Buy William Thomas Individual 22. May 19 22. May 19 2,237 $1.66 $3,713
20. May 19 Buy Alfred Knapp Individual 17. May 19 17. May 19 20,000 $1.80 $36,000
20. May 19 Buy William Thomas Individual 17. May 19 17. May 19 20,000 $1.82 $36,400
17. May 19 Buy William Thomas Individual 14. May 19 15. May 19 37,763 $1.73 $64,947
16. May 19 Buy Alfred Knapp Individual 14. May 19 14. May 19 100,000 $1.68 $168,000
16. May 19 Buy Cary Bounds Individual 15. May 19 16. May 19 5,622 $1.80 $10,118
16. May 19 Buy Cary Bounds Individual 14. May 19 14. May 19 6,000 $1.63 $9,780
15. May 19 Buy Elizabeth Brumley Individual 14. May 19 14. May 19 8,600 $1.70 $14,620
29. Apr 19 Sell Kornitzer Capital Management, Inc. Company 25. Feb 19 24. Apr 19 -1,216,837 $2.63 $-3,200,160
03. Apr 19 Sell Kornitzer Capital Management, Inc. Company 25. Feb 19 02. Apr 19 -569,219 $2.47 $-1,404,263
25. Feb 19 Sell Kornitzer Capital Management, Inc. Company 26. Dec 18 22. Feb 19 -120,605 $2.48 $-271,119
25. Feb 19 Buy Kornitzer Capital Management, Inc. Company 03. Jan 19 04. Feb 19 5,005 $1.87 $8,698
X
Management checks
We assess VAALCO Energy's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. VAALCO Energy has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

EGY News

Simply Wall St News

Is Now The Time To Put VAALCO Energy (NYSE:EGY) On Your Watchlist?

If, on the other hand, you like companies that have revenue, and even earn profits, then you may well be interested in VAALCO Energy (NYSE:EGY). … It's good to see VAALCO Energy insiders walking the walk, by spending US$377k on shares in just twelve months. … So if you like the sound of VAALCO Energy, you'll probably love this free list of growing companies that insiders are buying.

Simply Wall St -

Did VAALCO Energy, Inc. (NYSE:EGY) Insiders Buy Up More Shares?

For example, a Harvard University study found that 'insider purchases earn abnormal returns of more than 6% per year.' Check out our latest analysis for VAALCO Energy The Last 12 Months Of Insider Transactions At VAALCO Energy Over the last year, we can see that the biggest insider purchase was by Alfred Knapp for US$168k worth of shares, at about US$1.68 per share. … In the last twelve months VAALCO Energy insiders were buying shares, but not selling. … We would certainly prefer see higher levels of insider ownership but analysis of the insider transactions suggests that VAALCO Energy insiders are expecting a bright future.

Simply Wall St -

Did Changing Sentiment Drive VAALCO Energy's (NYSE:EGY) Share Price Down A Painful 76%?

(NYSE:EGY) during the five years that saw its share price drop a whopping 76%. … See our latest analysis for VAALCO Energy While markets are a powerful pricing mechanism, share prices reflect investor sentiment, not just underlying business performance. … Dive deeper into the earnings by checking this interactive graph of VAALCO Energy's earnings, revenue and cash flow.

Simply Wall St -

VAALCO Energy, Inc. (NYSE:EGY) Delivered A Better ROE Than Its Industry

Our data shows VAALCO Energy has a return on equity of 78% for the last year. … The formula for ROE is: Return on Equity = Net Profit ÷ Shareholders' Equity Or for VAALCO Energy: 78% = US$90m ÷ US$116m (Based on the trailing twelve months to March 2019.) Most readers would understand what net profit is, but it’s worth explaining the concept of shareholders’ equity. … Does VAALCO Energy Have A Good Return On Equity?

Simply Wall St -

Should VAALCO Energy, Inc. (NYSE:EGY) Be Your Next Stock Pick?

Help shape the future of investing tools and you could win a $250 gift card! … As an investor, I look for investments which does not compromise one fundamental factor for another. … By this I mean, I look at stocks holistically, from their financial health to their future outlook.

Simply Wall St -

Are VAALCO Energy, Inc.’s (NYSE:EGY) High Returns Really That Great?

To be precise, we'll consider its Return On Capital Employed (ROCE), as that will inform our view of the quality of the business. … Understanding Return On Capital Employed (ROCE). … ROCE is a metric for evaluating how much pre-tax income (in percentage terms) a company earns on the capital invested in its business.

Simply Wall St -

What Does VAALCO Energy Inc's (NYSE:EGY) PE Ratio Tell You?

VAALCO Energy Inc (NYSE:EGY) trades with a trailing P/E of 10.2x, which is lower than the industry average of 13.8x. … While EGY might seem like an attractive stock to buy, it is important to understand the assumptions behind the P/E ratio before you make any investment decisions. … I will break down what the P/E ratio is, how to interpret it and what to watch out for

Simply Wall St -

Should You Be Concerned About VAALCO Energy Inc's (NYSE:EGY) Investors?

I am going to take a deep dive into VAALCO Energy Inc’s (NYSE:EGY) most recent ownership structure, not a frequent subject of discussion among individual investors. … Ownership structure has been found to have an impact on shareholder returns in both short- and long-term. … NYSE:EGY Ownership Summary July 18th 18

Simply Wall St -

Can VAALCO Energy Inc (NYSE:EGY) Continue To Outperform Its Industry?

and want to better understand how you can grow your money by investing in VAALCO Energy Inc (NYSE:EGY). … With an ROE of 76.18%, VAALCO Energy Inc (NYSE:EGY) outpaced its own industry which delivered a less exciting 11.36% over the past year. … Sustainability can be gauged by a company’s financial leverage – the more debt it has, the higher ROE is pumped up in the short term, at the expense of long term interest payment burden

Simply Wall St -

Is VAALCO Energy Inc (NYSE:EGY) A Financially Sound Company?

How does EGY’s operating cash flow stack up against its debt? … On top of this, EGY has generated US$6.66M in operating cash flow during the same period of time, resulting in an operating cash to total debt ratio of 74.19%, signalling that EGY’s debt is appropriately covered by operating cash. … For EGY, the ratio of 18.19x suggests that interest is comfortably covered, which means that lenders may be less hesitant to lend out more funding as EGY’s high interest coverage is seen as responsible and safe practice.Next Steps: EGY has demonstrated its ability to generate sufficient levels of cash flow, while its debt hovers at an appropriate level.

Simply Wall St -

EGY Company Info

Description

VAALCO Energy, Inc., an independent energy company, acquires, explores for, develops, and produces crude oil and natural gas. The company holds Etame production sharing contract related to the Etame Marin block located offshore the Republic of Gabon in West Africa. It also owns interests in an undeveloped block offshore Equatorial Guinea, West Africa. VAALCO Energy, Inc. was founded in 1984 and is headquartered in Houston, Texas.

Details
Name: VAALCO Energy, Inc.
EGY
Exchange: NYSE
Founded: 1984
$101,056,015
59,796,459
Website: http://www.vaalco.com
Address: VAALCO Energy, Inc.
9800 Richmond Avenue,
Suite 700,
Houston,
Texas, 77042,
United States
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
NYSE EGY Common Stock New York Stock Exchange US USD 22. Apr 1998
DB VAW Common Stock Deutsche Boerse AG DE EUR 22. Apr 1998
Number of employees
Current staff
Staff numbers
108
VAALCO Energy employees.
Industry
Oil and Gas Exploration and Production
Energy
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/07/17 23:45
End of day share price update: 2019/07/17 00:00
Last estimates confirmation: 2019/03/07
Last earnings filing: 2019/05/08
Last earnings reported: 2019/03/31
Last annual earnings reported: 2018/12/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.