Unsafe At Current Price? – W&T Offshore Inc. (WTI), Phunware Inc. (PHUN)

W&T Offshore Inc. (NYSE: WTI) shares are -49.82% down in the year-to-date (YTD) period and have moved -0.72% or -$0.02 lower in the latest trading session. However, stock’s trailing 12-month performance remains nearly +158.88% lower. Comparatively, the stock is -54.59% down YTD and -35.42% over the trailing 3-month period. If we look at the shorter duration, its week performance is 17.72% and 80.00% over the month.

Analyst Recommendations

On March 09, 2020, Stifel recommended the WTI stock is a Hold, while earlier, ROTH Capital had Upgrade the stock as a Buy on April 17, 2020. 3 analysts offering the recommendations for the stock have a consensus rating of 2.70 to suggest that the WTI stock is a “Moderate Sell. 0 of the 3 analysts rate the stock as a “Sell”, while 1 has rated it as “Underweight”. 1 recommend buying, with 0 rating it as an Overweight.

The stock currently trades at $2.77 and analysts tracking its performance over the next 12 months have a consensus estimate price target of $3.70. The forecasts give the W&T Offshore Inc. stock a price target range of $3.80 on the higher side while at least one analyst think the stock could plunge to a low of $1.00. The two limits represent an upside potential of 27.11% or -177.0%.

Earnings Forecast

Analysts estimate the earnings to increase 250.00% in the current quarter to $0.03, up from the -$0.34 reported in the same quarter a year ago. For the current year, earnings should grow to an average of -$0.57, down -23.20% from $0.52 reported last year. Analysts also offered guidance for the next financial quarter, with their average projected EPS at between -$0.4 and -$0.13. Wall Street estimates earnings per share to be at an average of -$0.71 for the next year.

Insider Transactions Summary

According to SEC data, total insider shares purchases at the company stands at 25 over the last 12 months, while SEC filings reveal that there have been 6 insider sales over the same period. Insiders have purchases 1,414,856 shares while those sold by company executives and officers stand at 373,788. The last 3 months have seen insiders trade a total of 40,567 and 0 in purchases and sales respectively.

KATZ STUART B, a Director at the company, bought 22,000 shares worth $41331.0 at $1.88 per share on Mar 10. The insider had earlier bought another 567 WTI shares valued at $1199.0 on Apr 13. The shares were bought at $2.12 per share. BOULET VIRGINIA (Director) bought 18,000 shares at $1.69 per share on Mar 09 for a total of $30418.0 while BOULET VIRGINIA, (Director) bought 3,200 shares on Nov 14 for $14144.0 with each share fetching $4.42.

Phunware Inc. (NASDAQ:PHUN), on the other hand, is trading around $0.73 with a market cap of $28.62M and analyst research firms have a positive stance on its shares.

Let us briefly look at the Phunware Inc. (PHUN) financials, with a focus on its operating details as indicated in its earnings report for the last quarter.

Company balance sheet and cash flow

PHUN’s operating expenses over the recent quarter were at $5.47 million. This represented a -103.65% of the company’s total revenues which amounted $2.69 million. With this in place, we can see that the company’s diluted EPS declined -$0.09 on the year-over-year period, growing to $0.05 as given in the last earnings report.

The cash flow from operating activities totaled -$6.19 million, significantly higher than the -$6.59 million reported in the year-ago quarter. The company’s free cash flow for the quarter was -$6.21 million.

Insider activity

Insiders have transacted a total of 0 times at Phunware Inc. over the last 6 months, with insider purchases undertaken 0 times and accounting for 0 shares. Insider sales totaled 0 shares over the same period, with these deals completed in 0 transactions. Looking at these numbers, we realize that net purchases over that period are 0.0 shares. Insiders now hold a total of 19.17M shares after the latest sales, with -10.90% net shares purchased.

Major holders

Insiders own 4.20% of the company shares, while shares held by institutions stand at 27.50% with a share float percentage of 21.20M. Investors are also buoyed by the number of investors in a company, with Phunware Inc. having a total of 57 institutions that hold shares in the company. The top two institutional holders are TCTC Holdings, LLC with over 1.55 million shares worth more than $1.84 million. As of Dec 30, 2019, TCTC Holdings, LLC held 3.81% of shares outstanding.

The other major institutional holder is Blackrock Inc., with the investment firm holding over 1.47 million shares as of Dec 30, 2019. The firm’s total holdings are worth over $1.75 million and represent 3.62% of shares outstanding.