| Factor | Score | Distribution | Value | Avg | Rank |
|---|---|---|---|---|---|
Valuation | 73 | — | 17.8x | Top tier | |
Growth | 53 | 2.4% | 7.1% | Around median | |
Quality | 21 | -4.5% | 4.5% | Bottom tier | |
Safety | 51 | 1.0x | 2.6x | Around median | |
Capital Return | 39 | — | 2.12% | Bottom tier | |
Momentum | 95 | 45.5% | 2.9% | Top tier | |
Sentiment | 44 | 5 | 3 | Around median |
Estimates — analyst targets and a simplified DCF, not investment advice.
Ten ratios that matter, each compared against its sector median and average — so you can see whether a number is rich or cheap relative to peers in the same sector.
Talos Energy Inc. is an independent offshore exploration and production company focused on building an oil portfolio in the Gulf of America, generating revenue from oil and gas production from offshore assets. In Q2 of fiscal 2026, oil production averaged approximately 69 thousand barrels per day, while total production approached 94 thousand barrels of oil equivalent per day; oil therefore represented approximately 73% of production volume. The company is also expanding its resources through the Na Kika and Coulomb assets, the Polok and Chinwol projects in Block 29 in Mexico, and the seismic survey program in Honduras.
The latest available EDGAR statements for Q1 of fiscal 2026 showed revenue of $472.3 million, compared with a net loss of $256.2 million and a loss per share of $1.52, and the data did not include a figure for gross profit or gross profit margin. On a trailing-twelve-month basis in fiscal 2026, revenue reached $1.7 billion and the net loss was $740.6 million, compared with revenue of $1.8 billion and a net loss of $494.3 million in fiscal 2025.
In Q2 of fiscal 2026, the call did not provide a revenue or net income figure, but reported adjusted EBITDA of approximately $402 million and record adjusted free cash flow of approximately $232 million. Management attributed this to production exceeding guidance, higher operational uptime, and improved crude oil realized prices relative to WTI. The company also exceeded two-thirds of its 2026 target under the Optimal Performance Plan during the first half of fiscal 2026.
Automated analysis for informational purposes only — not investment advice.
The average analyst price target is $17.5, within a narrow range of $17 to $18, with a consensus Buy rating; the average is approximately 5% below the 52-week range high of $18.44, while the range low is $8.87. There is no usable P/E ratio because of the trailing-twelve-month net loss of $740.6 million, so justification for the target depends on Talos's ability to convert record production, acquisitions, and offshore projects into sustainable cash flows while containing leverage and execution risks.
Figures in the text are as of 2026-08-31; the live price is shown at the top of the page.
Oil production averaged approximately 69 thousand barrels per day, while total production approached 94 thousand barrels of oil equivalent per day, both exceeding company guidance. Increased operational uptime, production optimization initiatives, and Cardona's performance helped generate adjusted EBITDA of approximately $402 million and record adjusted free cash flow of approximately $232 million. Genovesa also returned to production ahead of schedule, and the drilling program since the beginning of fiscal 2026 achieved non-productive time approximately 50% below the basin average.
The targeted assets produced approximately 18 thousand barrels of oil equivalent per day in Q2 of fiscal 2026, and management expects the transaction to result in approximately 20% growth in oil production. After BP did not exercise its preferential right, Talos said on August 5, 2026 that it would assume operatorship of Coulomb and become a partner in the Na Kika platform and associated fields upon completion. Management believes the assets' oil weighting, unit operating costs, and EBITDA margin will be accretive to the company's averages.
The company raised standalone business guidance to 64–68 thousand barrels of oil per day and total production of 87–91 thousand barrels of oil equivalent per day for fiscal 2026. This guidance includes the impact of the sale of non-core shelf assets but excludes the Gulf of America asset transaction, which had not closed as of August 5, 2026. Guidance for Q3 of fiscal 2026 is 61–65 thousand barrels of oil per day and total production of 81–85 thousand barrels of oil equivalent per day.
Block 29 is anchored by the existing Polok and Chinwol discoveries, both located entirely within the block, and Talos and Repsol are partners in the project. The two companies are targeting a final investment decision in 2027, alongside technical work supporting a potential exploration well in late 2027. Talos believes the proposed infrastructure for the two discoveries could later allow additional resources within the block or other discoveries in the area to be tied back.
The offshore acreage covers approximately four million acres, equivalent to approximately 700 Gulf of America blocks, and the company identified four to five exploration opportunities. Management said on August 5, 2026 that it would begin a three-dimensional seismic survey program before the end of fiscal 2026 while working on an environmental drilling permit that, once issued, begins a two-year timeframe. The opportunity remains at an early stage, and the drilling decision will depend on the survey results, seismic processing, and the potential introduction of a partner on terms Talos considers value-accretive.
Cash was approximately $578 million and total liquidity was approximately $1.2 billion in Q2 of fiscal 2026, with a leverage ratio of 0.5 times. Talos issued $800 million of 8% notes due in 2034 and redeemed $625 million of 9% notes due in 2029, while also securing an additional $150 million of bank commitments that become effective when the acquisition closes. Since Q2 of fiscal 2025, the company has repurchased approximately $135 million of shares and reduced shares outstanding by approximately 7%, despite pausing purchases in Q2 of fiscal 2026 during the acquisition-related blackout period.
