Energean Oil & Gas Share Price (ENOG)

Shorts reducing, coming up fast.

Shame the share price doesn't reflect the company fundamentals.

Fallen every day this week.

Huge profits following ramp up of production to 123,000 boed average in 2023.

Forecast 155,000 to 175,000 boed in 2024!

2023 revenues climbed 93% to $1.4bn. Underlying adjusted earnings jumped 121% to $931m. Operating profits surged 158% to $598m.

"Since the year end, the start-up of Karish North and the second gas export riser mean we are now able to utilise the FPSO’s (floating production storage and offloading) maximum gas capacity and our production guidance illustrates the next step towards our near-term target of 200 kboed."

Energean plc posted audited full-year results for the year ended 31 December 2023 this morning. The first major step up in Group production has been achieved with FY23 production of 123 kboed (83% gas), up 200% year-on-year, primarily as a result of a full-year of production from Karish (Israel). Management also reconfirmed that day-to-day production in Israel continues to be unimpacted by the ongoing geopolitical developments. Financial performance was commensurately strong. 2023 sales and other revenues were up 93% to $1,420 million. 2023 profit after tax was $185 million up from $17 million in 2022. The Group’s balance sheet was strengthened considerably with Group cash at 31 December 2023 of $372 million and a 50% reduction in Group leverage to 3x. A Q4 2023 dividend of 30 US$cents/share was also declared on 22 February 2024. Valuation remains very attractive with forward PE ratio at just 3.9x and dividend yield over 10%. The share price lacks positive momentum and geopolitical risks remain to the forefront, but the strength of distributions alone makes this an appealing share to own. And management guided for another uptick in production to 155 - 175 kboed in 2024. BUY....

...from WealthOracle

wealthoracle.co.uk/detailed-result-full/ENOG/835

Agree, for me, this is one undiscovered gem with sound management on board and enormous potential. A resolution to the Israeli situation alone should add c40-50p on the SP - exciting times to be inversted in ENOG!