Section 1: Company Fundamentals

1.1 Summary Table

1.2 The Key Positives & Negatives

1.3 Key Metrics

Even throughout periods of rising inflation across all major economies, the firm was able to keep costs under control and maintain revenue constancy, which allowed it to earn larger net profit margins than its competitors.

1.4 Underlying Commodity Analysis:

WTI oil futures surged to an intraday high of USD 81.7 per barrel on Monday, the highest level since late January, before giving back some gains and circling about USD 79.8 as investors processed OPEC+'s unexpected decision to cut production by more than 1 million barrels per day. As investors had gambled that lessening price pressures would allow central banks flexibility to stop the current tightening cycle, this action complicates the outlook for inflation and interest rates. After a dispute involving Kurdish authorities prevented shipments of about 400,000 barrels per day from Turkey's Ceyhan port, an early deal has been struck to resume oil exports through Ceyhan this week. Investors are nevertheless confident about China's recovery on the demand side; lately, PetroChina and Cnooc stated that a strengthening home economy can help mitigate the effects of slower global growth.

Section 2: W&T Offshore Inc (“Buy” at USD 5.08, closing market price as of March 31, 2023)

2.1 Company Details

2.2 Valuation and Technical Guidance

Markets are trading in a highly volatile zone currently due to certain macroeconomic issues and geopolitical tensions prevailing. Therefore, it is prudent to follow a cautious approach while investing.

Note 1: Past performance is not a reliable indicator of future performance.

Note 2: The reference date for all price data, currency, technical indicators, support, and resistance levels is March 31, 2023. The reference data in this report has been partly sourced from REFINITIV.

Note 3: Investment decisions should be made depending on an individual's appetite for upside potential, risks, holding duration, and any previous holdings. An 'Exit' from the stock can be considered if the Target Price mentioned as per the Valuation and or the technical levels provided has been achieved and is subject to the factors discussed above.

Note 4: The report publishing date is as per the Pacific Time Zone.

Technical Indicators Defined: -

Support: A level at which the stock prices tend to find support if they are falling, and a downtrend may take a pause backed by demand or buying interest. Support 1 refers to the nearby support level for the stock and if the price breaches the level, then Support 2 may act as the crucial support level for the stock.

Resistance: A level at which the stock prices tend to find resistance when they are rising, and an uptrend may take a pause due to profit booking or selling interest. Resistance 1 refers to the nearby resistance level for the stock and if the price surpasses the level, then Resistance 2 may act as the crucial resistance level for the stock.

 Stop-loss: It is a level to protect against further losses in case of unfavorable movement in the stock prices.

Disclaimer

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