W&T Offshore (WTI) AI Stock Analysis

• Market Cap: $284.81M
• Dividend Yield: 2.05%
• Average Volume (3M): 2.33M
• Price to Earnings (P/E): ―
• Beta (1Y): 0.80
• Revenue Growth: -6.92%
• EPS Growth: -126.24%
• Country: US
• Employees: 400
• Sector: Energy
• Sector Strength: 52
• Industry: Oil & Gas Exploration & Production
• EPS (TTM): -0.05
• Shares Outstanding: 148,339,040
• 10 Day Avg. Volume: 1,357,595
• 30 Day Avg. Volume: 2,326,974
• PEG Ratio: <0.01
• Price to Book (P/B): -4.65
• Price to Sales (P/S): 0.46
• P/FCF Ratio: -4.17
• Enterprise Value/Market Cap: 1.74
• Enterprise Value/Revenue: 0.99
• Enterprise Value/Gross Profit: 2.74
• Enterprise Value/Ebitda: 6.11
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): -0.25
• Revenue Forecast (FY): $548.81M

• Rating: 49 Neutral
• Price Target: $2.00 ▼(-7.41% Downside)

W&T Offshore's overall stock score is primarily impacted by its financial instability, with high leverage and negative equity posing significant risks. The earnings call provided some positive insights into operational improvements and cost management, but the technical indicators and valuation remain weak. The company's ability to sustain operational improvements and address financial challenges will be crucial for future performance.

W&T Offshore Business Overview & Revenue Model

Company Description

W&T Offshore, Inc. (WTI) is an independent oil and natural gas exploration and production company headquartered in Houston, Texas. The company primarily focuses on the acquisition, exploration, and development of oil and natural gas properties in the Gulf of Mexico. W&T Offshore operates in the energy sector and is engaged in both onshore and offshore operations, with a portfolio that includes producing fields and undeveloped properties, which are geared towards maximizing production and reserves.

How the Company Makes Money

W&T Offshore generates revenue primarily through the sale of crude oil, natural gas, and natural gas liquids produced from its properties. The company utilizes a revenue model where it sells its produced hydrocarbons at market prices, which can fluctuate based on global supply and demand, geopolitical events, and changes in energy policy. Key revenue streams include direct sales of oil and gas to refiners, marketers, and other end-users, often through long-term contracts or spot market transactions. Additionally, W&T Offshore may engage in joint ventures or partnerships with other energy companies to share resources, technology, and capital expenditures, which can enhance operational efficiency and reduce financial risk. The company's ability to manage production costs and optimize its asset portfolio also plays a significant role in its profitability.

W&T Offshore Financial Statement Overview

Summary

W&T Offshore is facing significant financial challenges. The income statement reveals declining revenue and profitability, with substantial net losses. The balance sheet shows high leverage and negative equity, indicating financial instability. Cash flow is under pressure, with declining free cash flow. The company must address these issues to improve its financial health and reduce risk.

Income Statement

The income statement shows a declining trend in revenue and profitability. The TTM data reveals a negative net profit margin of -29.25%, indicating significant losses. Gross profit margin has decreased to 36.24% from a high of 74.67% in 2021. Revenue growth is minimal at 1.24% TTM, following a decline in previous years. The EBIT and EBITDA margins are also under pressure, with EBIT margin at -12.28% and EBITDA margin at 16.25% TTM. Overall, the company is struggling with profitability and revenue growth.

Balance Sheet

The balance sheet reflects high financial risk with negative stockholders' equity of -$172.49 million TTM, resulting in a negative debt-to-equity ratio. The return on equity is extremely high at 142.53% TTM, but this is due to the negative equity base rather than strong performance. The equity ratio is negative, indicating that liabilities exceed assets. The company is highly leveraged, posing a significant risk to financial stability.

Cash Flow

Cash flow analysis shows mixed results. Operating cash flow is positive at $46.99 million TTM, but free cash flow has decreased significantly. The free cash flow to net income ratio is 0.70, indicating some ability to cover net losses with free cash flow. However, the free cash flow growth rate is negative, suggesting declining cash generation capabilities. The company needs to improve its cash flow management to support operations and reduce financial risk.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	500.09M	525.26M	532.66M	921.00M	558.01M	346.63M
Gross Profit	181.26M	354.06M	391.73M	778.75M	439.57M	227.92M
EBITDA	81.24M	118.72M	222.33M	487.88M	133.96M	189.38M
Net Income	-146.30M	-87.14M	15.60M	231.15M	-41.48M	37.79M
Balance Sheet
Total Assets	960.63M	1.10B	1.11B	1.43B	1.19B	940.58M
Cash, Cash Equivalents and Short-Term Investments	126.35M	109.00M	173.34M	461.36M	245.80M	43.73M
Total Debt	350.44M	394.75M	402.86M	705.59M	743.24M	637.04M
Total Liabilities	1.13B	1.15B	1.08B	1.42B	1.44B	1.15B
Stockholders Equity	-172.49M	-52.58M	31.19M	7.63M	-247.18M	-208.29M
Cash Flow
Free Cash Flow	11.04M	-58.64M	34.25M	246.34M	100.94M	87.43M
Operating Cash Flow	46.99M	59.54M	115.33M	339.53M	133.67M	108.51M
Investing Cash Flow	17.49M	-118.18M	-81.61M	-95.08M	-27.44M	-47.62M
Financing Cash Flow	-69.09M	-8.56M	-321.74M	-28.89M	100.27M	-49.60M

W&T Offshore Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 2.16
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For WTI, the sentiment is Positive. The current price of 2.16 is above the 20-day moving average (MA) of 2.13, above the 50-day MA of 1.98, and above the 200-day MA of 1.68, indicating a neutral trend. The MACD of >-0.01 indicates Positive momentum. The RSI at 49.00 is Neutral, neither overbought nor oversold. The STOCH value of 27.71 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for WTI.

W&T Offshore Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
REI	66 Neutral	$195.20M	―	8.08%	―	-15.44%	-113.21%
Sector *	65 Neutral	$15.17B	7.61	4.09%	5.20%	3.87%	-62.32%
PNRG	62 Neutral	$226.86M	9.25	18.75%	―	22.97%	-19.37%
EPM	57 Neutral	$149.81M	131.33	1.50%	10.79%	-0.04%	-71.98%
BRY	54 Neutral	$255.33M	―	-13.25%	3.63%	-15.69%	-207.52%
AMPY	53 Neutral	$182.10M	12.21	-6.90%	―	-9.46%	-144.89%
WTI	49 Neutral	$284.81M	―	―	2.05%	-6.92%	-126.24%

W&T Offshore Corporate Events

W&T Offshore Reports Q3 2025 Results Amid Strategic Growth

W&T Offshore, Inc. is an independent oil and natural gas producer operating primarily in the Gulf of Mexico, known for its strategic acquisitions and development of offshore assets. In its third quarter of 2025, W&T Offshore reported a net loss of $71.5 million, significantly impacted by a non-cash valuation allowance against its deferred tax assets. Despite this, the company achieved a production increase to 35.6 thousand barrels of oil equivalent per day, near the high end of its guidance, and an 11% growth in Adjusted EBITDA to $39.0 million. Key financial metrics highlighted include a reduction in lease operating expenses per barrel by 8% to $23.27, and an increase in unrestricted cash to $124.8 million, with total debt reported at $350.4 million. The company continues to focus on strategic acquisitions, as evidenced by the positive impact of the Cox acquisition on production growth. Looking forward, W&T Offshore remains committed to its strategic vision, focusing on enhancing production through acquisitions and maintaining a strong cash position to capitalize on future opportunities.

W&T Offshore’s Earnings Call: Strong Performance Amid Challenges

W&T Offshore’s recent earnings call painted a picture of robust operational performance, marked by increased production and cost reduction, leading to EBITDA growth. Despite reporting a GAAP net loss due to noncash adjustments and increased capital expenditures, the company remains financially and operationally well-positioned.

W&T Offshore Amends Equity Distribution Agreement

On August 28, 2025, W&T Offshore, Inc. amended its At-The-Market Equity Distribution Agreement to include Virtu Americas LLC as a sales agent and remove Stifel, Nicolaus & Company, Incorporated. This amendment allows the company to offer and sell its common stock, with an aggregate gross sales price of up to $83,001,247, under a new prospectus supplement filed with the SEC, potentially impacting its market operations and stakeholder interests.

The most recent analyst rating on (WTI) stock is a Hold with a $1.50 price target. To see the full list of analyst forecasts on W&T Offshore stock, see the WTI Stock Forecast page.