Magnolia Oil Gas may be sliding down financialy. It has an above-average risk of going through some form of financial distress next quarter. At this time, Magnolia Oil's Short Term Debt is fairly stable compared to the past year. Property Plant Equipment is likely to rise to about 1.6 B in 2025, whereas Total Assets are likely to drop slightly above 2.4 B in 2025. Key indicators impacting Magnolia Oil's financial strength include:
The financial analysis of Magnolia Oil is a critical element in measuring its lifeblood. Investors should not minimize Magnolia Oil's ability to pay suppliers or employees on time, ensuring interest payments are not accumulating.
Please note, the imprecision that can be found in Magnolia Oil's accounting process means that the reasonable investor should take a skeptical approach toward the financial statement analysis of Magnolia Oil Gas. Check Magnolia Oil's Beneish M Score to see the likelihood of Magnolia Oil's management manipulating its earnings.
Magnolia Oil Stock Summary
Magnolia Oil competes with SM Energy, Civitas Resources, Range Resources, Matador Resources, and Hess. Magnolia Oil Gas Corporation engages in the acquisition, development, exploration, and production of oil, natural gas, and natural gas liquids reserves in the United States. The company was incorporated in 2017 and is headquartered in Houston, Texas. Magnolia Oil operates under Oil Gas EP classification in the United States and is traded on New York Stock Exchange. It employs 192 people.
An income statement is very similar to a cash flow statement, but instead of showing net revenue minus expenses, it only includes earnings before interest and taxes (EBIT). This number does not have all of the same line items that are on a cash flow statement, but it leaves out non-cash expenses like depreciation and amortization. For example, if you bought $100 worth of goods from Walmart (WMT) using your debit card that has an interest rate of 20%, then paid off the balance at the end of the month with a credit card that charges 30% interest, you would have an income statement showing EBIT of $80 because your expenses are lower than the amount that went into your pocket.
Cash flow analysis captures how much money flows into and out of Magnolia Oil Gas. It measures of how well Magnolia is doing because it can show the actual money that comes into and out of the Company from sales instead of measuring expenses against revenue to determine earnings. You have to read the cash flow statement in three sections. The first section shows how much money Magnolia Oil brought in, usually known as net revenue or sales. This is different from earnings because it does not include expenses when determining net revenue for use on this part of the cash flow statement. Next, are operating activities, which show how much money Magnolia had leftover after paying for its expenses. This number can be calculated in two ways: by subtracting the total of all operating expenses from net revenue or by adding up changes to cash and other assets or liabilities on this part of the statement. The third section is about investing activities, which shows what Magnolia Oil has done with the money that it received from the sale of assets or what it spent to acquire new ones. This section can be broken down into two parts: investing in existing businesses (in other words, buying more stock) and investing in non-business activities like paying off debt or making acquisitions.
Comparative valuation techniques use various fundamental indicators to help in determining Magnolia Oil's current stock value. Our valuation model uses many indicators to compare Magnolia Oil value to that of its competitors to determine the firm's financial worth. You can analyze the relationship between different fundamental ratios across Magnolia Oil competition to find correlations between indicators driving Magnolia Oil's intrinsic value. More Info.
Magnolia Oil Gas is regarded fourth in return on equity category among its peers. It also is regarded fourth in return on asset category among its peers reporting about 0.56 of Return On Asset per Return On Equity. The ratio of Return On Equity to Return On Asset for Magnolia Oil Gas is roughly 1.80 . At this time, Magnolia Oil's Return On Equity is fairly stable compared to the past year. The reason why the comparable model can be used in almost all circumstances is due to the vast number of multiples that can be utilized, such as the price-to-earnings (P/E), price-to-book (P/B), price-to-sales (P/S), price-to-cash flow (P/CF), and many others. The P/E ratio is the most commonly used of these ratios because it focuses on the Magnolia Oil's earnings, one of the primary drivers of an investment's value.
Magnolia Oil Gas Systematic Risk
Magnolia Oil's systematic risk plays a vital role in portfolio allocation when considering its stock to be added to a well-diversified portfolio. Magnolia Oil volatility which cannot be eliminated through diversification, requires returns over the risk-free rate. Over the long run, a well-diversified portfolio provides returns that match its exposure to systematic risk. In this case, investors face a trade-off between expected returns and systematic risk and, therefore, can only reduce a portfolio's exposure to systematic risk by sacrificing expected returns on the portfolio.
The output start index for this execution was twenty with a total number of output elements of fourty-one. The Beta measures systematic risk based on how returns on Magnolia Oil Gas correlated with the market. If Beta is less than 0 Magnolia Oil generally moves in the opposite direction as compared to the market. If Magnolia Oil Beta is about zero movement of price series is uncorrelated with the movement of the benchmark. if Beta is between zero and one Magnolia Oil Gas is generally moves in the same direction as, but less than the movement of the market. For Beta = 1 movement of Magnolia Oil is generally in the same direction as the market. If Beta > 1 Magnolia Oil moves generally in the same direction as, but more than the movement of the benchmark.
Today, most investors in Magnolia Oil Stock are looking for potential investment opportunities by analyzing not only static indicators but also various Magnolia Oil's growth ratios. Consistent increases or decreases in fundamental ratios usually indicate a possible pattern that can be successfully translated into profits. However, when comparing two companies, knowing each company's growth growth rates may not be enough to decide which company is a better investment. That's why investors frequently use static breakdown of Magnolia Oil growth as a starting point in their analysis.
Along with financial statement analysis, the daily predictive indicators of Magnolia Oil help investors to analyze its daily demand and supply, volume, patterns, and price swings to determine the real value of Magnolia Oil Gas. We use our internally-developed statistical techniques to arrive at the intrinsic value of Magnolia Oil Gas based on widely used predictive technical indicators. In general, we focus on analyzing Magnolia Stock price patterns and their correlations with different microeconomic environment and drivers. We also apply predictive analytics to build Magnolia Oil's daily price indicators and compare them against related drivers.
When running Magnolia Oil's price analysis, check to measure Magnolia Oil's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Magnolia Oil is operating at the current time. Most of Magnolia Oil's value examination focuses on studying past and present price action to predict the probability of Magnolia Oil's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Magnolia Oil's price. Additionally, you may evaluate how the addition of Magnolia Oil to your portfolios can decrease your overall portfolio volatility.