Tullow Oil (CHIX:TLWL) Financial Strength: 2 (As of Dec. 2025) — Near Median

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CHIX:TLWL Tullow Oil PLC CHIX:TLWL
35 GF Score
Price £0.25
GF Value £0.14
Valuation Significantly Overvalued
! 8 Warning Signs
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What is Tullow Oil Financial Strength?

Tullow Oil CHIX:TLWL +7.46% 35 Financial Strength is 2 as of Dec. 2025, which is at its 10-year median of 2.00. GuruFocus rates CHIX:TLWL with a GF Score™ of 35/100 and a GF Value™ of £0.14 (Significantly Overvalued). The stock has 8 warning signs investors should review.

Tullow Oil has the Financial Strength Rank of 2. It displays poor financial strength and is likely in financial distress. Usually this is caused by too much debt for the company.

Warning Sign:

Tullow Oil PLC displays poor financial strength. Usually, this is caused by too much debt for the company.

GuruFocus Financial Strength Rank measures how strong a company's financial situation is. It is rated on a scale of 1 to 10 and is based on these factors:

1. The debt burden that the company has as measured by its Interest Coverage (current year). The higher, the better.
2. Debt to revenue ratio. The lower, the better.
3. Altman Z-Score.
4. Other debt related ratios.

A higher score indicates a stronger financial position, with companies rated 7 or above considered financially stable and unlikely to face distress. Conversely, a score of 3 or below suggests potential financial difficulties, indicating a higher risk of distress.

Tullow Oil's Interest Coverage for the quarter that ended in Dec. 2025 was 0.46. Tullow Oil's debt to revenue ratio for the quarter that ended in Dec. 2025 was 2.59. As of today, Tullow Oil's Altman Z-Score is -0.74.


Tullow Oil  (CHIX:TLWl) Financial Strength Explanation

The rank is rated on a scale of 1 to 10. A higher score indicates a stronger financial position, with companies rated 7 or above considered financially stable and unlikely to face distress. Conversely, a score of 3 or below suggests potential financial difficulties, indicating a higher risk of distress.

Tullow Oil has the Financial Strength Rank of 2. It displays poor financial strength and is likely in financial distress. Usually this is caused by too much debt for the company.


Tullow Oil Financial Strength Related Terms


CHIX:TLWL vs COP, EOG, OXY: Financial Strength Comparison

For the Oil & Gas E&P subindustry, Tullow Oil's Financial Strength, along with its competitors' market caps and Financial Strength data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Tullow Oil Financial Strength vs Oil & Gas Industry

For the Oil & Gas industry and Energy sector, Tullow Oil's Financial Strength distribution charts can be found below:

* The bar in red indicates where Tullow Oil's Financial Strength falls into.


CHIX:TLWL
35GF Score
Tullow Oil PLC CHIX:TLWL
Financial Strength is just one metric. See GF Score™, valuation, warning signs, and more.
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Tullow Oil Financial Strength Calculation

GuruFocus Financial Strength Rank measures how strong a company's financial situation is. It is based on these factors

A company ranks high with financial strength is likely to withstand any business slowdowns and recessions.

1. The debt burden that the company has as measured by its Interest Coverage (current year). The higher, the better.

Note: If both Interest Expense and Interest Income are empty, while Net Interest Income is negative, then use Net Interest Income as Interest Expense.

Interest Coverage is a ratio that determines how easily a company can pay interest expenses on outstanding debt. It is calculated by dividing a company's Operating Income (EBIT) by its Interest Expense:

Tullow Oil's Interest Expense for the months ended in Dec. 2025 was £-111.6 Mil. Its Operating Income for the months ended in Dec. 2025 was £51.4 Mil. And its Long-Term Debt & Capital Lease Obligation for the quarter that ended in Dec. 2025 was £611.0 Mil.

Tullow Oil's Interest Coverage for the quarter that ended in Dec. 2025 is

Interest Coverage=-1*Operating Income (Q: Dec. 2025 )/Interest Expense (Q: Dec. 2025 )
=-1*51.394/-111.602
=0.46

The higher the ratio, the stronger the company's financial strength is.

Warning Sign:

Ben Graham prefers companies' interest coverage to be at least 5. Tullow Oil PLCs earnings cannot cover its interest expense. If the situation continues, the company may have to issue more debt.

2. Debt to revenue ratio. The lower, the better.

Tullow Oil's Debt to Revenue Ratio for the quarter that ended in Dec. 2025 is

Debt to Revenue Ratio=Total Debt (Q: Dec. 2025 ) / Revenue
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / Revenue
=(1075.381 + 610.971) / 651.982
=2.59

3. Altman Z-Score.

Z-Score model is an accurate forecaster of failure up to two years prior to distress. It can be considered the assessment of the distress of industrial corporations.

The zones of discrimination were as such:

When Z-Score is less than 1.81, it is in Distress Zones.
When Z-Score is greater than 2.99, it is in Safe Zones.
When Z-Score is between 1.81 and 2.99, it is in Grey Zones.

Tullow Oil has a Z-score of -0.74, indicating it is in Distress Zones. This implies bankrupcy possibility in the next two years.

Warning Sign:

Altman Z-score of -0.74 is in distress zone. This implies bankruptcy possibility in the next two years.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Frequently Asked Questions Learn more about Financial Strength →
What does a Financial Strength of 2 mean?
Tullow Oil (CHIX:TLWL) has a Financial Strength of 2 as of Dec. 2025. The financial strength rank measures the strength of a company's balance sheet based on revenue and debt. View historical data on Tullow Oil and its competitors. This is near median its historical median of 2.00. Over the past decade, Tullow Oil's Financial Strength has ranged from 2.00 to 3.00.
Is Tullow Oil's Financial Strength too high?
Tullow Oil's current Financial Strength of 2 is near median its 10-year median of 2.00. Over the past 10 years, this metric has ranged from a low of 2.00 to a high of 3.00. Overall, Tullow Oil has a GF Score™ of 35/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Tullow Oil's Financial Strength compare to COP and EOG?
Tullow Oil's Financial Strength of 2 can be compared against companies in the Oil & Gas industry. Historically, Tullow Oil's own Financial Strength has ranged from 2.00 to 3.00 over the past decade. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Financial Strength for an Oil & Gas company?
A good Financial Strength depends on the Oil & Gas industry context. However, Financial Strength should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Financial Strength mean?
A high Financial Strength can signal that a stock is expensive relative to its fundamentals. The financial strength rank measures the strength of a company's balance sheet based on revenue and debt. View historical data on Tullow Oil and its competitors. Tullow Oil's current Financial Strength is 2, which is near median its own 10-year median of 2.00. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Tullow Oil stock overvalued right now?
Based on GuruFocus' analysis, Tullow Oil (CHIX:TLWL) is currently considered Significantly Overvalued. The stock's GF Value™ is £0.14, compared to a current price of £0.25 — trading 75% above its estimated fair value. The current Financial Strength is 2, which is near median its 10-year median of 2.00. Tullow Oil's overall GF Score™ is 35/100 with 8 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Financial Strength calculated?
Financial Strength is calculated from a company's financial statements. For Tullow Oil (CHIX:TLWL), the current Financial Strength is 2 as of Dec. 2025. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is Tullow Oil (CHIX:TLWL) Overvalued in 2026?

Based on GuruFocus' analysis, Tullow Oil stock appears to be overvalued. The current stock price of £0.25 is trading 75% above its estimated GF Value™ of £0.14. GuruFocus considers Tullow Oil to be Significantly Overvalued.

Key valuation signals for CHIX:TLWL:

  • Financial Strength: 2 (near median its 10-year median of 2.00)
  • GF Value™: £0.14 vs. price of £0.25 (75% above fair value)
  • GF Score™: 35/100 with 8 warning signs

No single metric tells the full story. See the CHIX:TLWL stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Tullow Oil Business Description

Industry EnergyOil & Gas
Address 566 Chiswick High Road, Building 9 Chiswick Park, London, GBR, W4 5XT
Tullow Oil PLC is an independent oil and gas exploration and production company. The company conducts exploration, appraisal, and development activities in the African and Atlantic regions. The majority of revenue is derived from West African assets, with a focus on offshore fields. Assets used in oil and gas production are acquired through licenses. The company generates revenue from natural gas and crude oil sales. Its reportable segments are: Ghana, which generates key revenue, and the other segment.
35GF Score

Get the complete analysis for CHIX:TLWL

Financial Strength is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

£0.25
Price
£0.14
GF Value