How Will 2Q17 Earnings Impact Noble Energy Stock?
Noble Energy’s stock performance
Noble Energy (NBL) stock has shown a marked downtrend this year. Several energy stocks and energy prices have shown a downtrend.
Since the beginning of the year, Noble Energy stock has fallen ~23%. Meanwhile, crude oil prices (DBO) (USO) have fallen ~10%, while natural gas prices (UGAZ) (UNG) have fallen ~8% during the same period.
Interested in NBL? Don't miss the next report.
Receive e-mail alerts for new research on NBL
Noble Energy has also underperformed the broader energy sector—the Energy Select Sector SPDR ETF (XLE). As the above graph notes, XLE has fallen ~13% since January 2017. It has also underperformed the S&P 500 SPDR ETF (SPY), which has risen ~10% during the same period. The energy sector makes up ~7% of SPY.
Key updates and goals this year
Earlier this year, Noble Energy sanctioned the initial phase of the Leviathan natural gas project in Israel. For the initial phase of the Leviathan project, Noble Energy expects its gross capital to be ~$2 billion. The company is targeting first gas at the end of 2019.
Noble Energy is targeting over $1 billion in portfolio proceeds. It’s already generated over $2.2 billion in proceeds year-to-date, most of which have come from selling its Marcellus assets. The company plans to focus on “low capital” and “long-term opportunities.”