Contango Oil & Gas Company [AMEX: MCF] gained 11.98% on the last trading session, reaching $1.87 price per share at the time. The company report on November 30, 2020 that Contango Announces Private Equity Capital Raise.
Contango Oil & Gas Company (NYSE American: MCF) (“Contango” or the “Company”) announced the execution of an agreement with a select group of institutional and accredited investors to sell approximately 14.2 million shares of common stock in a private placement. The Company expects to receive gross proceeds from the equity capital raise of approximately $22.0 million, which it intends to use to fund the purchase price of the Company’s concurrently-announced acquisition of assets in the Big Horn, Permian, and Powder River Basins from an undisclosed seller, and general corporate purposes. The closing is expected to occur on December 1, 2020.
This press release is neither an offer to sell nor a solicitation of an offer to buy any securities, nor shall there be any sale of any such securities in any state or jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction. The shares of common stock to be sold in the private placement have not been registered under the Securities Act of 1933, as amended (the “Securities Act”), or under any state securities laws and, unless so registered may not be offered or sold in the United States except pursuant to an exemption from, or in a transaction not subject to, the registration requirements of the Securities Act and applicable state securities laws.
Contango Oil & Gas Company represents 131.69 million in outstanding shares, while the company has a total market value of $309.05 million with the latest information. MCF stock price has been found in the range of $1.71 to $1.87.
If compared to the average trading volume of 631.43K shares, MCF reached a trading volume of 1475028 in the most recent trading day, which is why market watchdogs consider the stock to be active.
Here is what top equities market gurus are saying about Contango Oil & Gas Company [MCF]:
Seaport Global Securities have made an estimate for Contango Oil & Gas Company shares, keeping their opinion on the stock as Neutral, with their previous recommendation back on September 07, 2018. The new note on the price target was released on August 09, 2018, representing the official price target for Contango Oil & Gas Company stock.
The Average True Range (ATR) for Contango Oil & Gas Company is set at 0.15, with the Price to Sales ratio for MCF stock in the period of the last 12 months amounting to 3.02. Price to Free Cash Flow for MCF in the course of the last twelve months was 7.97 with Quick ratio for the last quarter at 0.50.
Trading performance analysis for MCF stock
Contango Oil & Gas Company [MCF] gain into the green zone at the end of the last week, gaining into a positive trend and gaining by 14.02. With this latest performance, MCF shares gained by 49.60% in over the last four-week period, additionally sinking by -36.39% over the last 6 months – not to mention a drop of -40.82% in the past year of trading.
Overbought and oversold stocks can be easily traced with the Relative Strength Index (RSI), where an RSI result of over 70 would be overbought, and any rate below 30 would indicate oversold conditions. An RSI rate of 50 would represent a neutral market momentum. The current RSI for MCF stock in for the last two-week period is set at 66.69, with the RSI for the last a single of trading hit 71.61, and the three-weeks RSI is set at 61.92 for Contango Oil & Gas Company [MCF]. The present Moving Average for the last 50 days of trading for this stock 1.4166, while it was recorded at 1.7120 for the last single week of trading, and 2.0147 for the last 200 days.
Contango Oil & Gas Company [MCF]: A deeper dive into fundamental analysis
Operating Margin for any stock indicates how profitable investing would be, and Contango Oil & Gas Company [MCF] shares currently have an operating margin of -41.35 and a Gross Margin at -8.76. Contango Oil & Gas Company’s Net Margin is presently recorded at -208.85.
Return on Total Capital for MCF is now -16.02, given the latest momentum, and Return on Invested Capital for the company is -96.27. Return on Equity for this stock declined to -124.63, with Return on Assets sitting at -51.27. When it comes to the capital structure of this company, Contango Oil & Gas Company [MCF] has a Total Debt to Total Equity ratio set at 67.80. Additionally, MCF Total Debt to Total Capital is recorded at 40.41, with Total Debt to Total Assets ending up at 22.22. Long-Term Debt to Equity for the company is recorded at 65.17, with the Long-Term Debt to Total Capital now at 38.80.
Reflecting on the efficiency of the workforce at the company, Contango Oil & Gas Company [MCF] managed to generate an average of -$1,288,677 per employee. Receivables Turnover for the company is 2.99 with a Total Asset Turnover recorded at a value of 0.25.Contango Oil & Gas Company’s liquidity data is similarly interesting compelling, with a Quick Ratio of 0.50 and a Current Ratio set at 0.50.
Contango Oil & Gas Company [MCF]: An earnings per share (EPS) analysis
With the latest financial reports released by the company, Contango Oil & Gas Company posted -0.15/share EPS, while the average EPS was predicted by analysts to be reported at -0.14/share. When compared, the two values demonstrate that the company fail the estimates by a Surprise Factor of -7.10%. The progress of the company may be observed through the prism of EPS growth rate, while Wall Street analysts are focusing on predicting the 5-year EPS growth rate for MCF.
An analysis of insider ownership at Contango Oil & Gas Company [MCF]
There are presently around $87 million, or 29.30% of MCF stock, in the hands of institutional investors. The top three institutional holders of MCF stocks are: PRICE T ROWE ASSOCIATES INC /MD/ with ownership of 10,365,869, which is approximately -4.322% of the company’s market cap and around 0.30% of the total institutional ownership; BLACKROCK INC., holding 5,920,049 shares of the stock with an approximate value of $11.07 million in MCF stocks shares; and KING LUTHER CAPITAL MANAGEMENT CORP, currently with $10.26 million in MCF stock with ownership of nearly 0% of the company’s market capitalization.
Positions in Contango Oil & Gas Company stocks held by institutional investors increased at the end of November and at the time of the November reporting period, where 31 institutional holders increased their position in Contango Oil & Gas Company [AMEX:MCF] by around 2,595,260 shares. Additionally, 33 investors decreased positions by around 4,295,058 shares, while 17 investors held positions by with 39,566,139 shares. The mentioned changes placed institutional holdings at 46,456,457 shares, according to the latest SEC report filing. MCF stock had 8 new institutional investments in for a total of 124,228 shares, while 13 institutional investors sold positions of 2,748,523 shares during the same period.