Why VAALCO Energy (EGY) is an Attractive Dividend Play Under $20

VAALCO Energy, Inc. (NYSE:EGY) is included among the 13 Best Dividend Stocks to Buy Under $20.

An oil rig surrounded by the expanse of sea, the pumping operations in progress.

In its first quarter earnings, VAALCO Energy, Inc. (NYSE:EGY) secured a new reserves-based revolving credit facility with an initial commitment of $190 million, which has the potential to expand to $300 million and is backed by select Vaalco assets. In addition, it lowered its full-year capital spending forecast by approximately 10% while maintaining its production and sales targets for the year.

VAALCO Energy, Inc. (NYSE:EGY) reported revenue of $110.3 million in the first quarter of 2025, up 10% from the same period last year. The revenue also beat analysts’ estimates by $5.19 million. The company’s sales came in near the upper end of the company’s forecast, while NRI production exceeded expectations, resulting in strong financial performance, including net income of $0.07 per diluted share and Adjusted EBITDAX of $57.0 million. VAALCO Energy remains focused on advancing its strategic goals, having achieved several milestones in the first quarter that support its plans for profitable expansion in 2025 and the years ahead.

VAALCO Energy, Inc. (NYSE:EGY) ended the quarter with nearly $41 million in cash and cash equivalents. The company’s operating cash flow came in at $32.7 million, compared with $21.8 million in the prior-year period. It offers a quarterly dividend of $0.0625 per share and has a dividend yield of 7.08%, as of July 21.

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Disclosure: None.