Tullow Oil hits new 12-month high ahead of full-year earnings
Having survived a tough year, can Tullow lay out a path to future profitability in its full-year results?
When does Tullow Oil report earnings?
Tullow reports earnings on 10 March, covering its full year.
Tullow Oil earnings – what does the City expect?
Tullow is expected to see a 21% fall in revenues to $1.3 billion, while suffering a pre-tax loss of $861 million, compared to last year’s $434 million profit.
The bounce in the oil price will have come as a huge relief for Tullow, but the group is not out of the woods yet. High levels of debt mean it will be constrained in its ability to take advantage of higher oil prices, but at least its cashflow is more secure. OPEC’s decision to leave output unchanged has provided a further boost for oil, and will help Tullow to weather the next few months.
How to trade Tullow earnings
Tullow’s stock is covered by 16 analysts, of which two have ‘buy’ recommendations, with six ‘holds’ and eight ‘sells’.
Tullow Oil share price – technical analysis
Tullow shares have been on a tear since the beginning of February, emboldened by the rising oil price. The price is back to levels not seen since February 2020, but shows no sign of slowing down. So far the price has continued to climb, going without a down day since the middle of February. However, it is beginning to look overextended from trendline support and from the 50-day simple moving average (SMA), having more than doubled since the beginning of February.
Tullow pins its hopes on continued oil price rise
Having survived 2020, Tullow will be guardedly optimistic about the future. But there is still much work to be done. The shares have rallied from the lows of last year, and have been powered higher by the rally in the oil price, but if that begins to fade the shares may find the going much harder in the rest of 2021.
This information has been prepared by IG, a trading name of IG Markets Ltd and IG Markets South Africa Limited. In addition to the disclaimer below, the material on this page does not contain a record of our trading prices, or an offer of, or solicitation for, a transaction in any financial instrument. IG accepts no responsibility for any use that may be made of these comments and for any consequences that result. No representation or warranty is given as to the accuracy or completeness of this information. Consequently any person acting on it does so entirely at their own risk. Any research provided does not have regard to the specific investment objectives, financial situation and needs of any specific person who may receive it. It has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such is considered to be a marketing communication. Although we are not specifically constrained from dealing ahead of our recommendations we do not seek to take advantage of them before they are provided to our clients. See full non-independent research disclaimer and quarterly summary.
Seize a share opportunity today
Go long or short on thousands of international stocks.
- Increase your market exposure with leverage
- Get spreads from just 0.1% on major global shares
- Trade CFDs straight into order books with direct market access
Live prices on most popular markets
- Forex
- Shares
- Indices
Prices above are subject to our website terms and agreements. Prices are indicative only
