What Analysts Recommend for Noble Energy
Approximately 63% of analysts rate Noble Energy (NBL) a “buy” and 37% rate it a “hold.”
Noble Energy (NBL) announced the initial public offering of Noble Midstream Partners (NBLX) in early September 2016.
On September 26, 2016, Noble Energy (NBL) announced that it had executed a gas sales and purchase agreement with Jordan’s National Electric Power Company.
Noble Energy (NBL) sold net volumes of 252 million cubic feet per day of natural gas in 2015, generating net pretax income of $318 million in 2015.
In December 2010, Noble Energy (NBL) announced a major natural gas discovery at Leviathan, off the shore of Israel.
On November 16, 2016, Noble Energy (NBL) provided its long-term outlook from 2016–2020. It also provided an update on its US onshore operations.
The valuation multiples of all the major US steel players have increased in the last few months, fueled most recently by Trump’s surprise election win.
As the world’s largest steel producer and exporter, China steel prices are vital to watch. Chinese steel prices set the price floor internationally.
While iron ore prices have remained firm YTD (year-to-date), not many market participants are too optimistic about the longevity of this rally.
After Trump’s election win, most analysts are turning optimistic on the US steel sector, given his stance on protectionism and infrastructure focus.
For the first time in two years, in November, iron ore prices crossed the $80 per ton level, and YTD gains for the steel-making commodity have reached 82%.
The construction sector is the leading steel consumer in the US (SPY). It accounts for ~40% of the total steel demand.
US steel production is one of the very important drivers for the Cliffs Natural Resources’ (CLF) US Iron Ore division’s volumes.
US steel has seen a change in fortunes this year. Trump’s win has been a positive catalyst for the industry.
Cliffs CEO Laurenco Goncalves mentioned during the Goldman Sachs conference on November 16 that the percentage of domestic steel on the market is ~70%.
Cliffs Natural Resources (CLF) was trading at $9.24 on December 1, 2016, which represents a 70% rise in the last one month alone.
According to 21 analysts surveyed by Reuters, the median price target for PotashCorp over the next 12 months stood at $17, which is about 6.5% below the current market price.
PotashCorp is trading at an EV-to-EBITDA multiple of 12.8x. Mosaic and Agrium are trading at multiples of 11.2x and 10.6x, respectively.
For PotashCorp (POT), declining sales growth has also translated into a decline in EBITDA (earnings before interest, tax, depreciation, and amortization) margins.
Wall Street analysts estimate PotashCorp’s gross margin as a percentage of total sales will contract slightly in the next four quarters from 22.2% to 21.9%.