Wall Street analyst ratings
Currently, ~36% of Wall Street analysts rate Consol Energy (CNX) as a “buy” and ~59% of analysts rate it as a “hold.” Around 5% rate the stock a “sell.” The median price target from these recommendations is $11.44, or ~86% higher than the closing price of $6.16 for January 22, 2016. Based on the median price targets of recommendations from Wall Street analysts, upstream companies Murphy Oil (MUR), Occidental Petroleum (OXY), and EQT Corporation (EQT) have potential upsides of ~43%, ~17%, and ~29%, respectively, from their January 22 closing prices.
Additionally, The SPDR S&P Oil and Gas Exploration & Production ETF (XOP) tend to invest no less than 80% of its total assets in oil and gas exploration companies.
CNX’s individual recommendations
As you can see in the table above, the most recent recommendation of “Equalweight” comes from Morgan Stanley, issued on January 22, 2016.
Morgan Stanley assigned CNX the highest target price of $29. That’s ~470% higher than the closing price for January 22, 2016. Also, Morgan Stanley is expecting the target price to reach within the next 12 months from the date of recommendation.
UBS assigned CNX the lowest target price of $7, or ~14% higher than the January 22 closing price of $6.16. UBS issued the CNX recommendation on January 12, 2016, and is also expecting the target price to reach within the next 12 months from the date of recommendation.
Some of the concerns for CNX’s stock as noted by Wall Street analysts are the absence of a demand catalyst for the coal segment, a stressed balanced sheet, as well as falling earnings before interest, tax, depreciation, and amortization due to lower coal and natural gas realizations.