KOS stock: buy or sell?

KOS stock price: $5.58 0.54% At close on October 18th, 2019

Updated on:
October 18th, 2019

1

Kosmos Energy gained a slightly good 0.54% and closed at $5.58. Oct 18th was the 3rd climbing session in a row, marking 1.79%.

Kosmos Energy Ltd. explores for and produces oil and gas in Africa and South America. Its asset portfolio includes production and other development projects in offshore Ghana and Equatorial Guinea; and exploration potential in offshore Mauritania and Senegal, as well as exploration licenses in offshore Cote d'Ivoire, Equatorial Guinea, Morocco, Sao Tome and Principe, and Suriname.

Should I buy KOS stock?

Trading stocks requires experience and discipline, and your buying and selling decisions must come following a methodology. Having a trading strategy helps to make decisions easier, quicker and with less hesitations. There are thousands of trading strategies for you to choose, but at Stocks2.com we prefer those that are simple but successful.

None of our preferred buy setups matches with Kosmos Energy stock situation right now, therefore this is not a suitable entry point.

Buy setupElegible
New all-time highNo
New 52 week highNo
Price crossing up 200d MANo
100d MA crossing up 200d MANo
This is not a selling recommendation at all, just it's not the best moment to buy if you follow any of these trading strategies.

Is Kosmos Energy stock a buy?

Everyday, hundreds of stock ratings are posted by financial analysts to indicate a particular stock's attractiveness. At Stocks2.com, we gathered 4 ratings published for KOS stock in the last month.

The general sentiment of these ratings is bullish for KOS stock, with 4 positive ratings.
Is KOS a good stock to buy?
DateAnalyst / BrokerPrevious ratingCurrent rating
2019-4-5Barclaysn/aBuy
2019-4-5Barclaysn/aBuy
2019-3-6Barclaysn/aBuy
2019-1-4Sanford C. BernsteinMarket PerformOutperform

KOS stock analysis

Daily outlook

Shares of Kosmos Energy ended on October/18 at $5.58 and gained a slightly good 0.54%.

Kosmos Energy ended on October 18th at $5.58 and gained a slightly good 0.54%. Since price and SMA200d lines crossed down on October/2, KOS fell $-0.44 per share (-7.31%). Since last July when SMA100d and SMA200d crossed up, KOS price slipped $-0.64 per share (-10.29%).

KOS stock chart (daily)

Weekly outlook

Kosmos Energy shares remained constant -0.36% this week, ending at $5.58. Late September KOS plummed a frightening -15.60% in just one week. By mid September KOS rocketed an astounding 5.71% in just one week.

Since price and 40-weeks moving average lines crossed down late September, KOS fell $-0.72 per share (-11.43%). Trading stocks that are under the 40-weeks (that is, 200-days) moving average mark is not recommended by many experts, as it indicates that the stock has not enough institutional support. Since mid June when SMA20w and SMA40w crossed up, KOS price slipped $-0.17 per share (-2.96%).

KOS stock chart (weekly)

KOS stock price history

KOS stock went public on May 11th, 2011 with a price of $19.081. Since then, KOS stock lost a -70.80%, with a yearly average of -8.90%.

1: Adjusted price after possible price splits or reverse-splits.

KOS stock historical price chart

KOS stock reached 52-week highs at $8.23, and all-time highs 2011-05-11 with a price of 19.27.

KOS stock price target is $9.80

Predicting the price evolution of a stock or any financial instrument in a reliable and repeatable way is probably impossible. However, banks and other financial institutions analysts, with the help of lots of data and algorithms do their best to predict the stock prices movement. You should not follow the analysts' KOS stock price predictions in the hope that they will be met as they may be wrong and not met. For the last month we found 3 price predictions for KOS stock:
KOS stock price predictions
DateAnalyst / BrokerActionPrevious targetCurrent targetDiff
2019-4-5BarclaysSet Price Targetn/a$10.00-
2019-4-5BarclaysReiteratesn/a$9.50-
2019-3-6BarclaysReiteratesn/a$10.00-
(in average)$0.00$9.800.0%
Moving in a range from $10.00 and $9.50, the price target for KOS stock is $9.80. In average, analysts' outlook on KOS price forecast is stable from previous estimations.

Financials and fundamental analysis

Earnings date and Earnings per Share

Kosmos Energy let down analysts on February when it reported an Earnings per Share (EPS) of $-0.09 when the analysts' forecast was $0.05.
KOS earnings date and EPS evolution
QuarterReporting dateEstimated EPSActual EPSSurprise
2017-Q1-n/a-0.07n/a
2017-Q2-n/a-0.02n/a
2017-Q32017-11-06-0.1-0.09n/a
2017-Q42018-02-26-0.11-0.1n/a
2018-Q12018-05-07-0.13-0.06n/a
2018-Q22018-08-06n/a-0.09n/a
2018-Q32018-11-05-0.14-0.23n/a
2018-Q42019-02-250.05-0.09n/a
2019-Q1-n/an/an/a
2019-Q2-n/an/an/a

Annual financial results

In 2018, Kosmos Energy annual revenues rocketed an outstanding 53.37% to $886.67 M dollars from $578.14 marked in 2017. When comparing 2018 vs 2017, similarly, profit margin (that is, the net income divided by revenues) climbed a 27.94% to -10.60%.

KOS annual Sales and Income evolution
YearSalesYoYIncome/(margin)YoY
2013$858 M-$-91.04 M-10.6%-
2014$856 M-0.29%$279 M32.6%-406.87%
2015$447 M-47.81%$-69.84 M-15.6%-125.00%
2016$310 M-30.52%$-283.78 M-91.4%306.35%
2017$578 M86.27%$-222.79 M-38.5%-21.49%
2018$887 M53.37%$-93.99 M-10.6%-57.81%

Quarterly financial results

Kosmos Energy posted $301.45 M in sales for 2018-Q4, a 24.14% up compared to previous quarter. Reported quarter earnings marked $185.57 M with a profit margin of 61.56%. Profit margin skyrocketed a 113.47% compared to previous quarter when profit margin was -51.91%. When comparing sales to same quarter last year, Kosmos Energy sales marked an extraordinary increase and climbed a 61.11%. Looking back to recent quarterly results, Kosmos Energy posted 3 positive quarters in a row.
KOS quarterly Sales and Income evolution
QuarterSales1QoQ2Income1/(margin)QoQ2
2017-Q1$103 M-$-28.84 M-27.9%-
2017-Q2$141 M36.23%$-8.47 M-6.0%-70.63%
2017-Q3$151 M7.32%$-63.41 M-41.9%648.58%
2017-Q4$187 M23.71%$-122.08 M-65.2%92.54%
2018-Q1$127 M-32.02%$-50.23 M-39.5%-58.86%
2018-Q2$215 M69.18%$-103.27 M-48.0%105.62%
2018-Q3$243 M12.85%$-126.06 M-51.9%22.06%
2018-Q4$301 M24.14%$185.57 M61.6%-247.21%

Kosmos Energy ownership

When you are planning to buy shares of a company, it's always worth to review its ownership structure.

Management staff in all public traded companies that hold equity is required to report every transaction to the SEC. For Kosmos Energy, 3.86% of all outstanding shares are owned by its staff.

Bearish positions for KOS stock account 0.00%, no big difference from last month.

The following table compares ownership indicators for other stocks related to Kosmos Energy:

KOS
Market cap$2.2 B
Total shares401.5 M
Float shares376.5 M
  - Institutional holdings (%)93.1%
  - Insider holdings (%)3.9%
Shares in short selling0.0%

KOS summary

Friday, October 18th, 2019
Open$5.57
Close$5.58
Day range$5.53 - $5.63
Previous close$5.55
Session gain0.54%
Average true range$0.24
50d mov avg$6.11
100d mov avg$6.00
200d mov avg$5.94
Daily patternlt03a
Weekly pattern

Kosmos Energy performance

To measure stock performance is always good to compare with competitors or related stocks. We compared Kosmos Energy against in the following table:
Stock3m6m12m
KOSKosmos Energy-1.76%-17.09%-25.80%

Kosmos Energy competitors

Unfortunately, we could not find any public company that could be defined as Kosmos Energy competitor. This doesn't mean Kosmos Energy does not have any competitor in the market, it's just we could not detected it.