Kosmos Energy (KOS) Misses Q3 Estimates, Analysts Split on Outlook

Kosmos Energy Ltd. (NYSE:KOS) is one of the cheap oil stocks under $10 to buy now. On December 5, Bank of America Securities analyst Matthew Smith cut his rating on Kosmos Energy Ltd. (NYSE:KOS) to Sell and set a price target of $1.

He said the move reflected a weaker outlook for Brent crude, which he expects to average $60 a barrel by 2026, along with lower production forecasts and doubts about the company’s ability to maintain steady cash flow. Smith also noted ongoing operational uncertainties and a heavy debt load of $2.9 billion compared with only about $500 million in equity, stressing that the company still lacks a clear plan to bring its debt down and faces serious challenges ahead.

Earlier on November 12, Benchmark’s Subash Chandra kept a Hold rating on Kosmos Energy Ltd. Just six days ago, on November 6, Goldman Sachs’s Neil Mehta had reiterated a similar rating on the stock and set the price target on the shares at $1.75.

Separately, Kosmos released its Q3 2025 earnings report on November 3, in which revenues totaled $311.23 million. This meant that the company’s performance missed analyst estimates, who were expecting at least $345.25 million. Management explained that they could not match the projection because of a net underlift position, which is to say that the actual oil lifted was below entitlement levels. This happened despite higher production volumes, as management explained during the earnings call.

Kosmos Energy Ltd. (NYSE:KOS) is a deepwater exploration and production company headquartered in Dallas, Texas. It focuses on the acquisition, development, and production of crude oil and natural gas, with its primary assets located offshore in Ghana, Equatorial Guinea, Mauritania, Senegal, and the Gulf of Mexico.

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Disclosure: None. This article is originally published at Insider Monkey.