Earnings Preview For Talos Energy
Talos Energy (NYSE:TALO) is set to give its latest quarterly earnings report on Wednesday, 2025-08-06. Here's what investors need to know before the announcement.
Analysts estimate that Talos Energy will report an earnings per share (EPS) of $-0.29.
Talos Energy bulls will hope to hear the company announce they've not only beaten that estimate, but also to provide positive guidance, or forecasted growth, for the next quarter.
New investors should note that it is sometimes not an earnings beat or miss that most affects the price of a stock, but the guidance (or forecast).
Performance in Previous Earnings
Last quarter the company beat EPS by $0.16, which was followed by a 4.38% increase in the share price the next day.
Here's a look at Talos Energy's past performance and the resulting price change:
| Quarter | Q1 2025 | Q4 2024 | Q3 2024 | Q2 2024 |
|---|---|---|---|---|
| EPS Estimate | -0.10 | -0.06 | -0.06 | -0.02 |
| EPS Actual | 0.06 | 0.08 | -0.14 | 0.03 |
| Price Change % | 4.0% | 5.0% | 2.0% | 17.0% |
Talos Energy Share Price Analysis
Shares of Talos Energy were trading at $7.81 as of August 04. Over the last 52-week period, shares are down 24.88%. Given that these returns are generally negative, long-term shareholders are likely unhappy going into this earnings release.
Insights Shared by Analysts on Talos Energy
Understanding market sentiments and expectations within the industry is crucial for investors. This analysis delves into the latest insights on Talos Energy.
The consensus rating for Talos Energy is Outperform, based on 1 analyst ratings. With an average one-year price target of $11.0, there's a potential 40.85% upside.
Analyzing Ratings Among Peers
The analysis below examines the analyst ratings and average 1-year price targets of Sitio Royalties, BKV and Mach Natural Resources, three significant industry players, providing valuable insights into their relative performance expectations and market positioning.
- Analysts currently favor an Neutral trajectory for Sitio Royalties, with an average 1-year price target of $25.5, suggesting a potential 226.5% upside.
- Analysts currently favor an Outperform trajectory for BKV, with an average 1-year price target of $28.33, suggesting a potential 262.74% upside.
- Analysts currently favor an Buy trajectory for Mach Natural Resources, with an average 1-year price target of $22.0, suggesting a potential 181.69% upside.
Summary of Peers Analysis
The peer analysis summary presents essential metrics for Sitio Royalties, BKV and Mach Natural Resources, unveiling their respective standings within the industry and providing valuable insights into their market positions and comparative performance.
| Company | Consensus | Revenue Growth | Gross Profit | Return on Equity |
|---|---|---|---|---|
| Talos Energy | Outperform | 19.33% | $104.42M | -0.36% |
| Sitio Royalties | Neutral | 8.01% | $86.04M | 0.68% |
| BKV | Outperform | 48.57% | $187.73M | -5.17% |
| Mach Natural Resources | Buy | -5.18% | $62.54M | 1.23% |
Key Takeaway:
Talos Energy ranks at the bottom for Revenue Growth and Gross Profit, while it is in the middle for Return on Equity.
All You Need to Know About Talos Energy
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.
Breaking Down Talos Energy's Financial Performance
Market Capitalization Analysis: Falling below industry benchmarks, the company's market capitalization reflects a reduced size compared to peers. This positioning may be influenced by factors such as growth expectations or operational capacity.
Positive Revenue Trend: Examining Talos Energy's financials over 3 months reveals a positive narrative. The company achieved a noteworthy revenue growth rate of 19.33% as of 31 March, 2025, showcasing a substantial increase in top-line earnings. As compared to competitors, the company surpassed expectations with a growth rate higher than the average among peers in the Energy sector.
Net Margin: Talos Energy's net margin is below industry averages, indicating potential challenges in maintaining strong profitability. With a net margin of -1.92%, the company may face hurdles in effective cost management.
Return on Equity (ROE): Talos Energy's ROE falls below industry averages, indicating challenges in efficiently using equity capital. With an ROE of -0.36%, the company may face hurdles in generating optimal returns for shareholders.
Return on Assets (ROA): Talos Energy's ROA lags behind industry averages, suggesting challenges in maximizing returns from its assets. With an ROA of -0.16%, the company may face hurdles in achieving optimal financial performance.
Debt Management: Talos Energy's debt-to-equity ratio is below the industry average at 0.45, reflecting a lower dependency on debt financing and a more conservative financial approach.
To track all earnings releases for Talos Energy visit their earnings calendar on our site.
This article was generated by Benzinga's automated content engine and reviewed by an editor.
