Oil & Gas Exploration & Production
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TALO vs WTI
Revenue, margins, valuation, and 5-year total return — side by side.
Oil & Gas Exploration & Production
TALO vs WTI — Key Financials
Market cap, revenue, margins, and valuation side-by-side.
| Company Snapshot | ||
|---|---|---|
| Industry | Oil & Gas Exploration & Production | Oil & Gas Exploration & Production |
| Market Cap | $2.49B | $568M |
| Revenue (TTM) | $1.74B | $522M |
| Net Income (TTM) | $-743M | $-142M |
| Gross Margin | 2.3% | 2.9% |
| Operating Margin | -24.9% | -5.7% |
| Total Debt | $1.24B | $351M |
| Cash & Equiv. | $363M | $141M |
TALO vs WTI — Long-Term Stock Performance
Price return indexed to 100 at period start. Dividends excluded.
| Stock | May 20 | May 26 | Return |
|---|---|---|---|
| Talos Energy Inc. (TALO) | 100 | 122.8 | +22.8% |
| W&T Offshore, Inc. (WTI) | 100 | 146.4 | +46.4% |
Price return only. Dividends and distributions are not included.
Quick Verdict: TALO vs WTI
Each card shows where this stock fits in a portfolio — not just who wins on paper.
TALO is the clearest fit if your priority is income & stability.
- Dividend streak 2 yrs, beta 0.06
- Better valuation composite
- -13.2% ROA vs WTI's -14.6%, ROIC -2.3% vs -32.5%
WTI carries the broadest edge in this set and is the clearest fit for growth exposure and long-term compounding.
- Rev growth -4.5%, EPS growth -71.2%, 3Y rev CAGR -18.3%
- 73.5% 10Y total return vs TALO's -59.0%
- Lower volatility, beta 0.01, current ratio 1.02x
See the full category breakdown
| Category | Winner | Why |
|---|---|---|
| Growth | -4.5% revenue growth vs TALO's -9.8% | |
| Value | Better valuation composite | |
| Quality / Margins | -27.2% margin vs TALO's -42.7% | |
| Stability / Safety | Beta 0.01 vs TALO's 0.06 | |
| Dividends | 1.1% yield; 2-year raise streak; the other pay no meaningful dividend | |
| Momentum (1Y) | +208.8% vs TALO's +100.7% | |
| Efficiency (ROA) | -13.2% ROA vs WTI's -14.6%, ROIC -2.3% vs -32.5% |
TALO vs WTI — Revenue Breakdown by Segment
How each company's revenue is distributed across its business units
TALO vs WTI — Financial Metrics
Side-by-side numbers across 2 stocks — who leads on profitability, valuation, growth, and risk.
Income & Cash Flow (Last 12 Months)
WTI leads this category, winning 5 of 6 comparable metrics.
Income & Cash Flow (Last 12 Months)
TALO is the larger business by revenue, generating $1.7B annually — 3.3x WTI's $522M. WTI is the more profitable business, keeping -27.2% of every revenue dollar as net income compared to TALO's -42.7%. On growth, WTI holds the edge at +15.5% YoY revenue growth, suggesting stronger near-term business momentum.
| Metric | ||
|---|---|---|
| RevenueTrailing 12 months | $1.7B | $522M |
| EBITDAEarnings before interest/tax | $437M | $89M |
| Net IncomeAfter-tax profit | -$743M | -$142M |
| Free Cash FlowCash after capex | $489M | $58M |
| Gross MarginGross profit ÷ Revenue | +2.3% | +2.9% |
| Operating MarginEBIT ÷ Revenue | -24.9% | -5.7% |
| Net MarginNet income ÷ Revenue | -42.7% | -27.2% |
| FCF MarginFCF ÷ Revenue | +28.1% | +11.1% |
| Rev. Growth (YoY)Latest quarter vs prior year | -7.9% | +15.5% |
| EPS Growth (YoY)Latest quarter vs prior year | -29.4% | +28.6% |
Valuation Metrics
TALO leads this category, winning 3 of 4 comparable metrics.
Valuation Metrics
On an enterprise value basis, TALO's 3.1x EV/EBITDA is more attractive than WTI's 8.0x.
| Metric | ||
|---|---|---|
| Market CapShares × price | $2.5B | $568M |
| Enterprise ValueMkt cap + debt − cash | $3.4B | $779M |
| Trailing P/EPrice ÷ TTM EPS | -5.29x | -3.78x |
| Forward P/EPrice ÷ next-FY EPS est. | — | — |
| PEG RatioP/E ÷ EPS growth rate | — | — |
| EV / EBITDAEnterprise value multiple | 3.13x | 8.03x |
| Price / SalesMarket cap ÷ Revenue | 1.40x | 1.13x |
| Price / BookPrice ÷ Book value/share | 1.20x | — |
| Price / FCFMarket cap ÷ FCF | 5.48x | 20.47x |
Profitability & Efficiency
TALO leads this category, winning 4 of 7 comparable metrics.
Profitability & Efficiency
On the Piotroski fundamental quality scale (0–9), TALO scores 5/9 vs WTI's 4/9, reflecting solid financial health.
| Metric | ||
|---|---|---|
| ROE (TTM)Return on equity | -33.2% | — |
| ROA (TTM)Return on assets | -13.2% | -14.6% |
| ROICReturn on invested capital | -2.3% | -32.5% |
| ROCEReturn on capital employed | -2.0% | -6.7% |
| Piotroski ScoreFundamental quality 0–9 | 5 | 4 |
| Debt / EquityFinancial leverage | 0.57x | — |
| Net DebtTotal debt minus cash | $879M | $210M |
| Cash & Equiv.Liquid assets | $363M | $141M |
| Total DebtShort + long-term debt | $1.2B | $351M |
| Interest CoverageEBIT ÷ Interest expense | -2.36x | -1.10x |
Total Returns (Dividends Reinvested)
Evenly matched — TALO and WTI each lead in 3 of 6 comparable metrics.
Total Returns (Dividends Reinvested)
A $10,000 investment in TALO five years ago would be worth $11,884 today (with dividends reinvested), compared to $10,950 for WTI. Over the past 12 months, WTI leads with a +208.8% total return vs TALO's +100.7%. The 3-year compound annual growth rate (CAGR) favors TALO at 4.3% vs WTI's -3.2% — a key indicator of consistent wealth creation.
| Metric | ||
|---|---|---|
| YTD ReturnYear-to-date | +32.6% | +137.9% |
| 1-Year ReturnPast 12 months | +100.7% | +208.8% |
| 3-Year ReturnCumulative with dividends | +13.3% | -9.3% |
| 5-Year ReturnCumulative with dividends | +18.8% | +9.5% |
| 10-Year ReturnCumulative with dividends | -59.0% | +73.5% |
| CAGR (3Y)Annualised 3-year return | +4.3% | -3.2% |
Risk & Volatility
Evenly matched — TALO and WTI each lead in 1 of 2 comparable metrics.
Risk & Volatility
WTI is the less volatile stock with a 0.01 beta — it tends to amplify market swings less than TALO's 0.06 beta. A beta below 1.0 means the stock typically moves less than the S&P 500.
| Metric | ||
|---|---|---|
| Beta (5Y)Sensitivity to S&P 500 | 0.06x | 0.01x |
| 52-Week HighHighest price in past year | $17.00 | $4.49 |
| 52-Week LowLowest price in past year | $7.27 | $1.15 |
| % of 52W HighCurrent price vs 52-week peak | +87.7% | +85.1% |
| RSI (14)Momentum oscillator 0–100 | 49.5 | 54.0 |
| Avg Volume (50D)Average daily shares traded | 2.3M | 9.6M |
Analyst Outlook
Insufficient data to determine a leader in this category.
Analyst Outlook
Wall Street rates TALO as "Buy" and WTI as "Hold". WTI is the only dividend payer here at 1.06% yield — a key consideration for income-focused portfolios.
| Metric | ||
|---|---|---|
| Analyst RatingConsensus buy/hold/sell | Buy | Hold |
| Price TargetConsensus 12-month target | $13.75 | — |
| # AnalystsCovering analysts | 13 | 15 |
| Dividend YieldAnnual dividend ÷ price | — | +1.1% |
| Dividend StreakConsecutive years of raises | 2 | 2 |
| Dividend / ShareAnnual DPS | — | $0.04 |
| Buyback YieldShare repurchases ÷ mkt cap | +4.8% | 0.0% |
TALO leads in 2 of 6 categories (Valuation Metrics, Profitability & Efficiency). WTI leads in 1 (Income & Cash Flow). 2 tied.
TALO vs WTI: Frequently Asked Questions
8 questions · data-driven answers · updated daily
01Is TALO or WTI a better buy right now?
For growth investors, W&T Offshore, Inc.
(WTI) is the stronger pick with -4. 5% revenue growth year-over-year, versus -9. 8% for Talos Energy Inc. (TALO). Analysts rate Talos Energy Inc. (TALO) a "Buy" — based on 13 analyst ratings — the highest consensus in this comparison. The "better buy" depends entirely on your goals: growth investors should weight revenue trajectory, value investors should weight P/E and PEG, and income investors should weight dividend yield and streak.
02Which is the better long-term investment — TALO or WTI?
Over the past 5 years, Talos Energy Inc.
(TALO) delivered a total return of +18. 8%, compared to +9. 5% for W&T Offshore, Inc. (WTI). Over 10 years, the gap is even starker: WTI returned +73. 5% versus TALO's -59. 0%. Past returns do not guarantee future results, and the stock with the higher historical return may already have its best growth priced in.
03Which is safer — TALO or WTI?
By beta (market sensitivity over 5 years), W&T Offshore, Inc.
(WTI) is the lower-risk stock at 0. 01β versus Talos Energy Inc. 's 0. 06β — meaning TALO is approximately 423% more volatile than WTI relative to the S&P 500.
04Which is growing faster — TALO or WTI?
By revenue growth (latest reported year), W&T Offshore, Inc.
(WTI) is pulling ahead at -4. 5% versus -9. 8% for Talos Energy Inc. (TALO). On earnings-per-share growth, the picture is similar: W&T Offshore, Inc. grew EPS -71. 2% year-over-year, compared to -555. 8% for Talos Energy Inc.. Over a 3-year CAGR, TALO leads at 2. 5% annualised revenue growth. Higher growth typically commands a higher valuation multiple — check whether the premium P/E or P/S is justified by the growth rate using the PEG ratio.
05Which has better profit margins — TALO or WTI?
Talos Energy Inc.
(TALO) is the more profitable company, earning -27. 9% net margin versus -29. 9% for W&T Offshore, Inc. — meaning it keeps -27. 9% of every revenue dollar as bottom-line profit. Operating margin tells a similar story: TALO leads at -5. 9% versus -10. 5% for WTI. At the gross margin level — before operating expenses — WTI leads at 5. 4%, reflecting greater pricing power or product mix advantage. Stronger margins indicate durable pricing power, lower cost of revenue, or higher mix of software/services. They are one of the clearest signs of business quality.
06Which pays a better dividend — TALO or WTI?
In this comparison, WTI (1.
1% yield) pays a dividend. TALO does not pay a meaningful dividend and should not be held primarily for income.
07Is TALO or WTI better for a retirement portfolio?
For long-horizon retirement investors, W&T Offshore, Inc.
(WTI) is the stronger choice — it scores higher on the combination of lower volatility, dividend reliability, and long-term compounding (low volatility (β 0. 01), 1. 1% yield). Both have compounded well over 10 years (WTI: +73. 5%, TALO: -59. 0%), confirming both are viable long-term holds — but the lower-volatility option typically results in less emotional selling during corrections. Retirement portfolios generally favour predictability over maximum returns. Consult a financial advisor before making allocation decisions.
08What are the main differences between TALO and WTI?
Both stocks operate in the Energy sector, making this a peer-level intra-sector comparison — the same macro tailwinds and headwinds will affect both.
WTI pays a dividend while TALO does not, making them suitable for different income and tax situations. These fundamental differences mean investors should not choose between them on a single metric — the "better stock" depends entirely on which of these characteristics aligns with your investment strategy.
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