TALOS ENERGY INC (TALO) Stock Fundamental Analysis

USA • New York Stock Exchange • NYSE:TALO • US87484T1088

13.39 USD
+0.6 (+4.69%)
At close: Feb 11, 2026
13.36 USD
-0.03 (-0.22%)
After Hours: 2/11/2026, 5:05:00 PM
Overview Stock Chart Technical Analysis Fundamental Analysis Analyst Ratings Earnings Estimates Financials Ownership News
Fundamental Rating

3

We assign a fundamental rating of 3 out of 10 to TALO. TALO was compared to 206 industry peers in the Oil, Gas & Consumable Fuels industry. The financial health of TALO is average, but there are quite some concerns on its profitability. TALO has a expensive valuation and it also scores bad on growth.


Dividend Valuation Growth Profitability Health

3

1. Profitability

1.1 Basic Checks

  • TALO had negative earnings in the past year.
  • TALO had a positive operating cash flow in the past year.
  • In multiple years TALO reported negative net income over the last 5 years.
  • TALO had a positive operating cash flow in each of the past 5 years.
TALO Yearly Net Income VS EBIT VS OCF VS FCFTALO Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 500M

1.2 Ratios

  • TALO's Return On Assets of -6.25% is on the low side compared to the rest of the industry. TALO is outperformed by 77.18% of its industry peers.
  • The Return On Equity of TALO (-14.96%) is worse than 76.21% of its industry peers.
  • With a Return On Invested Capital value of 0.00%, TALO is not doing good in the industry: 73.79% of the companies in the same industry are doing better.
  • TALO had an Average Return On Invested Capital over the past 3 years of 10.34%. This is significantly below the industry average of 22.01%.
  • The last Return On Invested Capital (0.00%) for TALO is well below the 3 year average (10.34%), which needs to be investigated, but indicates that TALO had better years and this may not be a problem.
Industry RankSector Rank
ROA -6.25%
ROE -14.96%
ROIC 0%
ROA(3y)5.05%
ROA(5y)-1.58%
ROE(3y)12.9%
ROE(5y)-7.12%
ROIC(3y)10.34%
ROIC(5y)N/A
TALO Yearly ROA, ROE, ROICTALO Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 -1K -2K

1.3 Margins

  • TALO's Operating Margin of 0.00% is on the low side compared to the rest of the industry. TALO is outperformed by 75.24% of its industry peers.
  • TALO's Operating Margin has declined in the last couple of years.
  • The Gross Margin of TALO (72.82%) is better than 83.50% of its industry peers.
  • In the last couple of years the Gross Margin of TALO has remained more or less at the same level.
Industry RankSector Rank
OM 0%
PM (TTM) N/A
GM 72.82%
OM growth 3Y-44.48%
OM growth 5Y-25.79%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-2.53%
GM growth 5Y-0.5%
TALO Yearly Profit, Operating, Gross MarginsTALO Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 50 -50

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ROAROEROICOperating and Profit MarginShow most profitable peers

5

2. Health

2.1 Basic Checks

  • The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so TALO is still creating some value.
  • The number of shares outstanding for TALO has been increased compared to 1 year ago.
  • The number of shares outstanding for TALO has been increased compared to 5 years ago.
  • Compared to 1 year ago, TALO has an improved debt to assets ratio.
TALO Yearly Shares OutstandingTALO Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 2024 50M 100M 150M
TALO Yearly Total Debt VS Total AssetsTALO Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 2023 2024 2B 4B 6B

2.2 Solvency

  • Based on the Altman-Z score of 0.58, we must say that TALO is in the distress zone and has some risk of bankruptcy.
  • TALO has a worse Altman-Z score (0.58) than 62.62% of its industry peers.
  • The Debt to FCF ratio of TALO is 2.36, which is a good value as it means it would take TALO, 2.36 years of fcf income to pay off all of its debts.
  • The Debt to FCF ratio of TALO (2.36) is better than 81.55% of its industry peers.
  • TALO has a Debt/Equity ratio of 0.55. This is a neutral value indicating TALO is somewhat dependend on debt financing.
  • With a Debt to Equity ratio value of 0.55, TALO perfoms like the industry average, outperforming 44.17% of the companies in the same industry.
  • Even though the debt/equity ratio score it not favorable for TALO, it has very limited outstanding debt, so we won't put too much weight on the DE evaluation.
Industry RankSector Rank
Debt/Equity 0.55
Debt/FCF 2.36
Altman-Z 0.58
ROIC/WACC0
WACC8.58%
TALO Yearly LT Debt VS Equity VS FCFTALO Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 500M 1B 1.5B 2B 2.5B

2.3 Liquidity

  • A Current Ratio of 1.27 indicates that TALO should not have too much problems paying its short term obligations.
  • TALO has a Current ratio (1.27) which is in line with its industry peers.
  • A Quick Ratio of 1.27 indicates that TALO should not have too much problems paying its short term obligations.
  • With a decent Quick ratio value of 1.27, TALO is doing good in the industry, outperforming 63.59% of the companies in the same industry.
Industry RankSector Rank
Current Ratio 1.27
Quick Ratio 1.27
TALO Yearly Current Assets VS Current LiabilitesTALO Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 2023 2024 200M 400M 600M

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WACCDebt/EquityHow to determine the health of a companyAltman-Z scoreShow peers with great health

1

3. Growth

3.1 Past

  • TALO shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -28.00%.
  • TALO shows a decrease in Revenue. In the last year, the revenue decreased by -0.02%.
  • Measured over the past years, TALO shows a quite strong growth in Revenue. The Revenue has been growing by 16.79% on average per year.
EPS 1Y (TTM)-28%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-35.71%
Revenue 1Y (TTM)-0.02%
Revenue growth 3Y16.61%
Revenue growth 5Y16.79%
Sales Q2Q%-11.63%

3.2 Future

  • The Earnings Per Share is expected to decrease by -54.77% on average over the next years. This is quite bad
  • TALO is expected to show a decrease in Revenue. In the coming years, the Revenue will decrease by -1.64% yearly.
EPS Next Y-593.76%
EPS Next 2Y-235.05%
EPS Next 3Y-107.77%
EPS Next 5Y-54.77%
Revenue Next Year-7.14%
Revenue Next 2Y-7.87%
Revenue Next 3Y-4.15%
Revenue Next 5Y-1.64%

3.3 Evolution

  • When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
TALO Yearly Revenue VS EstimatesTALO Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 500M 1B 1.5B 2B
TALO Yearly EPS VS EstimatesTALO Yearly EPS VS EstimatesYearly EPS VS Estimates 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 0 2 -2

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Find the best growth stocksShow best growing peers

2

4. Valuation

4.1 Price/Earnings Ratio

  • The Price/Earnings Ratio is negative for TALO. In the last year negative earnings were reported.
  • Also next year TALO is expected to report negative earnings again, which makes the also the Forward Price/Earnings Ratio negative.
Industry RankSector Rank
PE N/A
Fwd PE N/A
TALO Price Earnings VS Forward Price EarningsTALO Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 0 20 -20 -40

4.2 Price Multiples

  • Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of TALO indicates a rather cheap valuation: TALO is cheaper than 97.09% of the companies listed in the same industry.
  • Based on the Price/Free Cash Flow ratio, TALO is valued cheaply inside the industry as 96.12% of the companies are valued more expensively.
Industry RankSector Rank
P/FCF 4.01
EV/EBITDA 2.54
TALO Per share dataTALO EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 0 5 10

4.3 Compensation for Growth

  • A cheap valuation may be justified as TALO's earnings are expected to decrease with -107.77% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-235.05%
EPS Next 3Y-107.77%

More info and screens

Price/EarningsPrice/FCFFCF per shareEV/EBITDAPEG RATIOShow best valued peers

0

5. Dividend

5.1 Amount

  • TALO does not give a dividend.
Industry RankSector Rank
Dividend Yield 0%

More info and screens

Find the best dividend stocksShow peers with best dividend

TALOS ENERGY INC

NYSE:TALO (2/11/2026, 5:05:00 PM)

After market: 13.36 -0.03 (-0.22%)

13.39

+0.6 (+4.69%)

Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)11-05
Earnings (Next)02-24
Inst Owners73.64%
Inst Owner Change0.46%
Ins Owners0.63%
Ins Owner Change0.13%
Market Cap2.28B
Revenue(TTM)1.87B
Net Income(TTM)-356.22M
Analysts80
Price Target14.43 (7.77%)
Short Float %9.21%
Short Ratio5.67
Dividend
Industry RankSector Rank
Dividend Yield 0%
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)29.52%
Min EPS beat(2)7.74%
Max EPS beat(2)51.29%
EPS beat(4)4
Avg EPS beat(4)163.37%
Min EPS beat(4)7.74%
Max EPS beat(4)430.93%
EPS beat(8)5
Avg EPS beat(8)65.57%
EPS beat(12)5
Avg EPS beat(12)25.46%
EPS beat(16)7
Avg EPS beat(16)28.15%
Revenue beat(2)1
Avg Revenue beat(2)-0.79%
Min Revenue beat(2)-4.65%
Max Revenue beat(2)3.07%
Revenue beat(4)2
Avg Revenue beat(4)-0.97%
Min Revenue beat(4)-4.65%
Max Revenue beat(4)3.07%
Revenue beat(8)4
Avg Revenue beat(8)0.07%
Revenue beat(12)5
Avg Revenue beat(12)-1.43%
Revenue beat(16)9
Avg Revenue beat(16)4.77%
PT rev (1m)3.85%
PT rev (3m)10.26%
EPS NQ rev (1m)-12.85%
EPS NQ rev (3m)7.59%
EPS NY rev (1m)-8.24%
EPS NY rev (3m)-0.79%
Revenue NQ rev (1m)-2.35%
Revenue NQ rev (3m)0.53%
Revenue NY rev (1m)-0.58%
Revenue NY rev (3m)1.79%
Valuation
Industry RankSector Rank
PE N/A
Fwd PE N/A
P/S 1.22
P/FCF 4.01
P/OCF 2.1
P/B 0.96
P/tB 0.96
EV/EBITDA 2.54
EPS(TTM)-0.32
EYN/A
EPS(NY)-1.8
Fwd EYN/A
FCF(TTM)3.34
FCFY24.96%
OCF(TTM)6.37
OCFY47.6%
SpS11.02
BVpS14
TBVpS14
PEG (NY)N/A
PEG (5Y)N/A
Graham NumberN/A
Profitability
Industry RankSector Rank
ROA -6.25%
ROE -14.96%
ROCE 0%
ROIC 0%
ROICexc 0%
ROICexgc 0%
OM 0%
PM (TTM) N/A
GM 72.82%
FCFM 30.33%
ROA(3y)5.05%
ROA(5y)-1.58%
ROE(3y)12.9%
ROE(5y)-7.12%
ROIC(3y)10.34%
ROIC(5y)N/A
ROICexc(3y)10.62%
ROICexc(5y)N/A
ROICexgc(3y)10.62%
ROICexgc(5y)N/A
ROCE(3y)13.08%
ROCE(5y)N/A
ROICexgc growth 3Y-52.56%
ROICexgc growth 5Y-27.88%
ROICexc growth 3Y-52.56%
ROICexc growth 5Y-27.88%
OM growth 3Y-44.48%
OM growth 5Y-25.79%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-2.53%
GM growth 5Y-0.5%
F-Score6
Asset Turnover0.33
Health
Industry RankSector Rank
Debt/Equity 0.55
Debt/FCF 2.36
Debt/EBITDA 1.09
Cap/Depr 42.53%
Cap/Sales 27.51%
Interest Coverage 0
Cash Conversion 89.4%
Profit Quality N/A
Current Ratio 1.27
Quick Ratio 1.27
Altman-Z 0.58
F-Score6
WACC8.58%
ROIC/WACC0
Cap/Depr(3y)63.27%
Cap/Depr(5y)68.41%
Cap/Sales(3y)28.24%
Cap/Sales(5y)34.26%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-28%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-35.71%
EPS Next Y-593.76%
EPS Next 2Y-235.05%
EPS Next 3Y-107.77%
EPS Next 5Y-54.77%
Revenue 1Y (TTM)-0.02%
Revenue growth 3Y16.61%
Revenue growth 5Y16.79%
Sales Q2Q%-11.63%
Revenue Next Year-7.14%
Revenue Next 2Y-7.87%
Revenue Next 3Y-4.15%
Revenue Next 5Y-1.64%
EBIT growth 1Y-99.99%
EBIT growth 3Y-35.26%
EBIT growth 5Y-13.32%
EBIT Next Year721.78%
EBIT Next 3Y90.96%
EBIT Next 5Y48.61%
FCF growth 1Y1326.84%
FCF growth 3Y56.61%
FCF growth 5YN/A
OCF growth 1Y110.94%
OCF growth 3Y32.76%
OCF growth 5Y19.58%

TALOS ENERGY INC / TALO FAQ

What is the fundamental rating for TALO stock?

ChartMill assigns a fundamental rating of 3 / 10 to TALO.


What is the valuation status of TALOS ENERGY INC (TALO) stock?

ChartMill assigns a valuation rating of 2 / 10 to TALOS ENERGY INC (TALO). This can be considered as Overvalued.


How profitable is TALOS ENERGY INC (TALO) stock?

TALOS ENERGY INC (TALO) has a profitability rating of 3 / 10.


What is the earnings growth outlook for TALOS ENERGY INC?

The Earnings per Share (EPS) of TALOS ENERGY INC (TALO) is expected to decline by -593.76% in the next year.