Year-over-year, CPE stock has risen 98%. Meanwhile, peers SM Energy (SM), Sanchez Energy (SN), and Newfield Exploration (NFX) have risen 78%, 113%, and ~32%, respectively, during the same period.
Callon Petroleum’s (CPE) 3Q16 EV-to-adjusted EBITDA (earnings before interest, tax, depreciation, and amortization) ratio was ~25x.
A peer group comparison shows that Callon Petroleum’s forward EV-to-EBITDA multiple of ~11.6x is overvalued compared to its peer average of 8.6x.
Since 3Q14, Callon Petroleum’s (CPE) total debt has risen considerably. In 3Q16, the company’s total debt was $300 million compared to $102.2 million in 3Q14 and ~$399 million in 3Q15.
This series will focus on CPE’s key financial fundamentals. In 3Q16, CPE’s net debt dropped on a sequential basis and a YoY (year-over-year) basis.
CPE stock was trading above its 200-day moving average for most of 2016. On January 4, 2017, the stock was trading ~21% above its 200-day moving average.
CPE’s 2Q16 earnings release noted that it had hedged 48% of its oil volumes for 2016. The company has hedged its oil and gas volumes through 2017.
CPE’s total cash operating costs in 3Q16 averaged ~$11 per boe (barrels of oil equivalent), as compared to ~$15 per boe in 3Q15.
Callon Petroleum (CPE) expects its fiscal 2016 production to be between 15,250 Boepd and 15,550 Boepd. That’s ~60% more than the company’s 2015 production.
Callon Petroleum’s (CPE) proved reserves have increased considerably since 2011. At the end of 2015, CPE had proved reserves of ~54.3 million boe.
Crude oil represented 76% of CPE’s total production in 3Q16. Oil’s share as a percentage of its total production has mostly remained consistent since 3Q15.
In July 2016, Diamondback Energy purchased ~19,000 acres in the Delaware from Luxe Energy. In October, RSP Permian acquired Silver Hill Energy partners.
Callon Petroleum (CPE) has been focusing on strengthening its Permian position—specifically, on ramping up its rig count in 2016 and 2017.
Callon Petroleum (CPE) is an independent exploration and production company with operations focused entirely in the Permian—a pure-play Permian company.
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