Magnolia Oil & Gas Corp
NYSE:MGY
Intrinsic Value
Magnolia Oil & Gas Corp. engages in oil and gas exploration and production business. [ Read More ]
The intrinsic value of one MGY stock under the Base Case scenario is 26.09 USD. Compared to the current market price of 25.95 USD, Magnolia Oil & Gas Corp is Undervalued by 1%.
Valuation Backtest
Magnolia Oil & Gas Corp
Run backtest to discover the historical profit from buying and selling MGY stocks based on their intrinsic value.
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Fundamental Analysis
Magnolia Oil & Gas Touts Strong Growth
2023-Q4 Earnings Call
In concluding 2023, Magnolia Oil & Gas reported robust fourth-quarter production, achieving 16% year-over-year growth with 85,400 barrels of oil equivalent per day (BOE/d), while the full-year volume increased by over 9% to 82,300 BOE/d. The company managed D&C capital of $91 million for the quarter, garnering free cash flow of $413 million, which equates to approximately 10% of the current enterprise value. Shareholders were rewarded with 74% of this free cash flow through dividends and share repurchases, as Magnolia continued to strengthen its balance sheet for strategic bolt-on acquisitions. The firm prides itself on exceptional returns on capital employed, maintaining low leverage and high operating margins compared to peers. Looking ahead, Magnolia anticipates a high single-digit growth of 7%-9% for 2024, with a capital budget of $450 million to $480 million, under 55% of expected EBITDAX. Though impacted by severe winter weather in January, first-quarter production estimates stand at 84,000 to 85,000 BOE/d, with full recovery and confidence in achieving the full-year growth target.
Balance Sheet Decomposition
Magnolia Oil & Gas Corp
Current Assets | 591.3m |
Cash & Short-Term Investments | 401.1m |
Receivables | 189.7m |
Other Current Assets | 447k |
Non-Current Assets | 2.2B |
PP&E | 2.1B |
Other Non-Current Assets | 112.9m |
Current Liabilities | 314.9m |
Accounts Payable | 193.2m |
Accrued Liabilities | 34.1m |
Other Current Liabilities | 87.5m |
Non-Current Liabilities | 749.7m |
Long-Term Debt | 392.8m |
Other Non-Current Liabilities | 356.8m |
Earnings Waterfall
Magnolia Oil & Gas Corp
Revenue
|
1.2B
USD
|
Cost of Revenue
|
-199.8m
USD
|
Gross Profit
|
1B
USD
|
Operating Expenses
|
-472.2m
USD
|
Operating Income
|
554.9m
USD
|
Other Expenses
|
-166.6m
USD
|
Net Income
|
388.3m
USD
|
Free Cash Flow Analysis
Magnolia Oil & Gas Corp
What is Free Cash Flow?
MGY Profitability Score
Profitability Due Diligence
Magnolia Oil & Gas Corp's profitability score is 81/100. The higher the profitability score, the more profitable the company is.
Score
Magnolia Oil & Gas Corp's profitability score is 81/100. The higher the profitability score, the more profitable the company is.
MGY Solvency Score
Solvency Due Diligence
Magnolia Oil & Gas Corp's solvency score is 79/100. The higher the solvency score, the more solvent the company is.
Score
Magnolia Oil & Gas Corp's solvency score is 79/100. The higher the solvency score, the more solvent the company is.
Wall St
Price Targets
MGY Price Targets Summary
Magnolia Oil & Gas Corp
According to Wall Street analysts, the average 1-year price target for MGY is 25.8 USD with a low forecast of 18.18 USD and a high forecast of 34.65 USD.
Ownership
MGY Insider Trading
Buy and sell transactions by insiders
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Shareholder Return
MGY Price
Magnolia Oil & Gas Corp
Average Annual Return | 37.83% |
Standard Deviation of Annual Returns | 94.51% |
Max Drawdown | -76% |
Market Capitalization | 5.3B USD |
Shares Outstanding | 204 280 000 |
Percentage of Shares Shorted | 15.21% |
Company Profile
Country
Industry
Market Cap
Dividend Yield
Description
Magnolia Oil & Gas Corp. engages in oil and gas exploration and production business. The company is headquartered in Houston, Texas and currently employs 192 full-time employees. The company went IPO on 2017-06-26. The company is engaged in the acquisition, development, exploration, and production of oil, natural gas, and natural gas liquid (NGL) reserves. Its oil and natural gas properties are located primarily in Karnes County and the Giddings area in South Texas, where it targets the Eagle Ford Shale and Austin Chalk formations. The Company’s assets consist of a total leasehold position of approximately 683,145 gross (471,263 net) acres, including 43,511 gross (23,785 net) acres in the Karnes area and 639,634 gross (447,478 net) acres in the Giddings area. The Karnes County Assets are located in Karnes, Gonzales, DeWitt, and Atascosa Counties, Texas, in the core of the Eagle Ford Shale. The acreage comprising the Karnes County Assets also includes the Austin Chalk formation overlying the Eagle Ford Shale. The Giddings Assets are located in Austin, Brazos, Burleson, Fayette, Lee, Grimes, Montgomery, and Washington Counties, Texas.
Contact
IPO
Employees
Officers
The intrinsic value of one MGY stock under the Base Case scenario is 26.09 USD.
Compared to the current market price of 25.95 USD, Magnolia Oil & Gas Corp is Undervalued by 1%.