Hot Stock under Review: Oasis Petroleum Inc. (NYSE: OAS)

On Tuesday, Shares of Oasis Petroleum Inc. (NYSE: OAS) showed the bullish trend with a higher momentum of 1.56% and ended its trading session at $12.34. The company traded total volume of 8,112,731 shares as contrast to its average volume of 10.87M shares. The company has a market value of $4.08B and about 330.63M shares outstanding. During the 52-week trading session, the minimum price at which share price traded was registered at $6.69 and reached the max level of $13.13.

Oasis Petroleum Inc. (OAS) recently declared financial results for the quarter ended March 31, 2018 and offered an operational update.

Operational and Financial Update:

G&A totaled $27.90M in the first quarter of 2018, $23.20M in the first quarter of 2017 and $24.60M in the fourth quarter of 2017. Amortization of equity-based compensation, which is included in G&A, was $6.80M, or $0.98 per Boe, in the first quarter of 2018 as contrast to $6.70M, or $1.18 per Boe, in the first quarter of 2017 and $6.10M, or $0.90 per Boe, in the fourth quarter of 2017. G&A for the Company’s E&P segment totaled $23.50M in the first quarter of 2018, $20.10M in the first quarter of 2017 and $19.70M in the fourth quarter of 2017.

Interest expense was $37.10M for the first quarter of 2018 as contrast to $36.30M for the first quarter of 2017 and $36.30M for the fourth quarter of 2017. Capitalized interest totaled $4.50M for the first quarter of 2018, $2.80M for the first quarter of 2017 and $4.00M for the fourth quarter of 2017. Cash Interest totaled $37.20M for the first quarter of 2018, $35.10M for the first quarter of 2017 and $35.90M for the fourth quarter of 2017.

For the three months ended March 31, 2018, the Company recorded an income tax expense of $0.80M, resulting in an 18.2% effective tax rate as a percentage of its pre-tax income for the quarter. The Company recorded an income tax benefit of $202.80M, resulting in a 271.5% effective tax rate as a percentage of its pre-tax loss for the three months ended December 31, 2017.

For the first quarter of 2018, the Company stated net income of $0.60M, or $0.00 per diluted share, as contrast to a net income of $23.80M, or $0.10 per diluted share, for the first quarter of 2017. Excluding certain non-cash items and their tax effect, Adjusted Net Income Attributable to Oasis (non-GAAP) was $30.20M, or $0.10 per diluted share, in the first quarter of 2018, as contrast to Adjusted Net Loss Attributable to Oasis of $11.50M, or $0.05 per diluted share, in the first quarter of 2017.

Capital Expenditures:

The Company’s CapEx totaled $1,167.20M for the three months ended March 31, 2018, of which $890.90M was related to acquisitions. Excluding acquisitions, Oasis continues to expect total CapEx to be about $1,0900M and $1,1700M for the full year 2018.

The Company offered net profit margin of 7.30% while its gross profit margin was 69.70%. ROE was recorded as 3.10% while beta factor was 2.11. The stock, as of recent close, has shown the weekly downbeat performance of -4.86% which was maintained at 46.73% in this year.