Why Contango Oil & Gas Company [MCF] Stock Can Run Back to New Highs Quicker Than You Think

Over the past three months, Contango Oil & Gas Company [MCF] ended the trading day at $1.94 and exhibited a change of 3.74% with a 24 hour trading and reached upto the volume of 652.41K compared to its recorded trading volume of 1.1 million. MCF generated a 1 year amount change with -40.82%. Though for Principal markets a year is counted as a long time period. By having a look at the most recent performance of this stock, in the last week its amount moved by 14.02% with an amount shift of 49.60% over the last month.

On 30, November 2020, Contango Announces Private Equity Capital Raise. According to news published on Yahoo Finance, Contango Oil & Gas Company (NYSE American: MCF) (“Contango” or the “Company”) today 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.

Analyst Birdseye View:

The most recent analyst activity for Contango Oil & Gas Company [AMEX:MCF] stock was on August 09, 2018, when it was Downgrade with a Hold rating from Johnson Rice. On February 09, 2018, Ladenburg Thalmann Downgrade a Neutral rating. On December 19, 2017, Seaport Global Securities Upgrade a Buy rating. On November 13, 2017, RBC Capital Mkts Reiterated an Outperform rating and decreased its price target to $6. On July 12, 2017, ROTH Capital Initiated a Buy rating and boosted its amount on this stock to $10. On March 17, 2017, RBC Capital Mkts Reiterated an Outperform rating and decreased its target amount on this stock from $14 to $13.

In the past 52 weeks of trading, this stock has oscillated between a low of $0.84 and a peak of $4.79. Right now, according to Wall Street analyst the average 12-month amount target is $2.00. At the most recent market close, shares of Contango Oil & Gas Company [AMEX:MCF] were valued at $1.94.

FUNDAMENTAL ANALYSIS

Contango Oil & Gas Company [AMEX:MCF] most recently reported quarterly sales of 31.35 billion, which represented growth of 150.40%. This publicly-traded organization’s revenue is $617,032 per employee, while its income is -$1,288,677 per employee. This company’s Gross Margin is currently 40.30%, its Pretax Margin is -209.53, and its Net Margin is -208.85. Continuing to look at profitability, this corporation’s Return on Assets, Equity, Whole Principal & invested Principal is sitting at -51.27, -124.63, -16.02 and -96.27 respectively.

The Principal structure of this organization shows its whole liability to whole principal at 40.41 and the whole liability to whole assets at 22.22. It shows enduring liability to the whole principal at 38.80 and enduring liability to assets at 0.21 while looking for an extended time period.

Readers are usually of view to make a close observation to the indicators that support and make resistance before moving to any particular stock. As of now, the company’s stock is sitting at 1.7633 points at 1st support level, the second support level is making up to 1.6567. But as of 1st resistance point, this stock is sitting at 1.9233 and at 1.9767 for 2nd resistance point.

Contango Oil & Gas Company [MCF] reported its earnings at -$0.8 per share in the fiscal quarter closing of 3/30/2020. The Analysts for Wall Street were expecting to report its earnings at -$0.1/share signifying the difference of -0.7 and -700.00% surprise value. Comparing the previous quarter ending of 12/30/2019, the stated earnings were -$1.29 calling estimates for -$0.06/share with the difference of -1.23 depicting the surprise of -2,050.00%.

Important Ratio’s To Watch

Meanwhile, turning our focus to liquidity, the Current Ratio for Contango Oil & Gas Company [AMEX:MCF] is 0.50. Likewise, the Quick ratio is also the same, showing Cash ratio at 0.01. Now if looking for a valuation of this stock’s amount to sales ratio it’s 2.60 and it’s amount to book ratio is 4.08.