TransGlobe Energy Corporation (NASDAQ:TGA) could be among the worst stocks to invest in right now as the company shares are trading 3.45% or 0.05 points down from last closing price of $1.45, reaching $1.4 at last check. Any clue why there is so much of action in the TGA stock? The share price has dropped in 2 of the last 5 days and is down -32.24% over the past week. It will be exciting to see whether the stock manages to continue decreasing or take a minor break for the next few days. The move came on solid volume too with far more shares changing hands than in a normal session. Trading activity as of this writing strengthened by 73,841 shares, and in total 133141 shares valued at $186397 were seen changing hands compared with 59300 shares valued at $85985 recorded at the previous session. You should take into consideration that a greater volume on lower prices causes the situation where nobody wants to continue with their long position and wants to exit from the TGA stock.
TransGlobe Energy Corporation (TGA) shares have notched a 3-month decline of about -32.24%, but has still tumbled -22.46% year to date. By comparison, the stock sank -35.27% over the past 12 months, while it slipped -16.18% over the 1 month. The company’s market cap is around $108.65M, with its short interest ratio standing at 0.38%.
In the current trading session for TGA, the stock witnessed two major price actions, it rose to a high of $1.48 and was down as much as $1.39 at one point. The high recorded is very low when compared to their 52-week high which is $1.38. The 52-week high is now at -66.18 distance from current price. Their recent low of $4.13 represents a 1.22% recovery. This data is quite important for investors who look to benefit from the recent rise of the company’s stock. The price target currently for TGA is $2.17, this is below the recent high that the stock attained. Taking a look at the overall sentimental views of financial analysts, the trading pattern of this stock recently is very clear.
The stock of TransGlobe Energy Corporation earned $0.23 per share in the trailing 12 months and has a P/E ratio of 6.09. You can compare it with that of similar companies in its industry to get a sense of whether the stock you’re looking to purchase is overvalued or undervalued. Its current price to earnings ratio is higher than the ones recorded by the industry which is 4.27 and lower compared to the sector’s average of 10.05. When the P/E ratio is low let’s say below 1.0, then the stock price is considered a good value. TGA also has P/S multiple of 0.55. This is smaller versus the 12 month P/S ratios of other companies in the same indutry. The peer average price to sales ratio is 92.49x.
TGA‘s last price was down -35.66% as compared to the average trading price of 50 days recorded at $2.18 while enlarging the period to 200 trading days, the average closing price was $1.72. At present, there are 74.93 million in the total number of common shares owned by the public and among those 59.46 million shares have been available to trade. The percentage of shares being held by the company management was 6.3% while institutions stake was 38%. The company has generated positive returns on equity over the last 12 months (8.2%). It managed to keep its gross profit margin at 71.4% over the past 12 months.
When assessing the full upside of the TGA stock, there is another set of technicals that should be looked into and considered. Its -7.12% decline from moving average of $1.51 has brought about a negative sentiment when calculated over the last 20 days. The market has allocated a beta of 1.24 to the stock. With the beta been greater than one, this implies that the company shares are theoretically more volatile than the market, something that the traders definitely are keeping an eye on.
In the last five years, the EPS of the company has been roughly -21.3%. Though the percentage looks disappointing, extra headwinds are emerging as looking out over a next 5-year period, with analysts estimating that their earnings will decrease annually by -13.14%. The revenue of the company has retreated at an average annualized rate of about -10.9 over the last five years. The company recently recorded an increase of 51.2%, but this figure is rather attractive.