VAALCO Energy, Inc. (NYSE:EGY)

Very cheap and growing like crazy. Revenue growth and margins are incredible!

This baby's growing before our very eyes. Target $10 EASY

MFI stats from MagicDiligence.com:

Results for ticker 'EGY' (VAALCO Energy, Inc.):
Earnings Yield: 40.6%
MFI Return on Capital: 74.3%

MagicDiligence Research for 'EGY':

Research Available for EGY! (full membership required - upgrade here)

Instant Diligence:

The Earnings Yield of 40.6% is Suspiciously High (needs additional research).

The MFI Return on Capital of 74.3% is High.

Near-term Financial Health appears to be Excellent. The current ratio is 9.98.

Calculations:

(for quarter ended 2011-03-31)
Market Cap = Stock_Price * Shares
= 5.66 * 58.26
= 329.74

Excess Cash = Cash - MAX(0; (Current Liabilities - Current Assets + Cash))
= 104.00 - MAX(0; (14.70 - 146.77 + 104.00))
= 104.00

Enterprise Value = Market Cap + Total Debt - Excess Cash
= 329.74 + 0.00 - 104.00
= 225.75

MFI Invested Capital = Total Assets - Goodwill - Intangibles - Current Liabilities + Short Term Debt - Excess Cash
= 241.93 - 0.00 - 0.00 - 14.70 + 0.00 - 104.00
= 123.24

Earnings Yield = Operating Earnings / Enterprise Value
= 91.59 / 225.75
= 0.406 (40.6%)

MFI Return on Capital = Operating Earnings / MFI Invested Capital
= 91.59 / 123.24
= 0.743 (74.3%)

EGY at 6 to 7X's 2011 EPS coupled with NO debt & close to 100 Million in Cash & will generate 70 million+ in Cash from operations this year fully funding their expansion/diversification plans seems like EGY is dirt cheap considering small cap oil peers trading at 20X's or more.

VAALCO is a small, independent oil driller, operating 4 fields offshore of Gabon, Africa. Several new Gabon wells were drilled in 2010 that should allow the company to start increasing production after several years of stagnation. The recent acquisition of 640 acres on the Granite Wash formation in Texas are expected to be drilled this year. Higher production and higher crude prices are a good combination for higher stock prices, and VAALCO's strong balance sheet provides protection in the event of a downturn in oil.

This Company has great management

EGY

crude oil and natural gas.. everyone needs it in america.

Oil going up.

VAALCO VAALCO!!

muy dinero!

low debt and low price vs historic prices

EGY never stays below $4 for long, and when it does dip below, it bounces back quickly. Oil has gone up in the last quarter, so look for increased revs and earnings. Sell at $4.50 to $4.60. Posted 6/20/09

becon800

low debt

Oh come on, it's got to bounce back, way oversold. Also, I have been wanting to get in small cap energy, so this looks particularly good off the recent dip. With a target (granted, that's not a guarantee by any means) of $8/share, may be time to make the trade. Again, performing research on this stock and anticipating trade

A outstanding small cap energy company with working interest in various parts of Africa, UK, Texas Gulf, and Gulf of Mexico. Great management with the experience to guide through todays murky waters. Looking to expand its production facilities. Various new leads, including 2 major prospects, first will begin to be drilled in December with an estimated 20 million barrel surplus as well as 1 off the coast of Gamba with an estimated 10 million barrel surplus. Near its 52 week low, with oil prices steadly begining to increase. Great time to get in.

Great Management team with tons of experience. Near 52 week low... value play with tons of potential.

TheBank

Inevitable

more oil

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