CXO’s moving averages
On February 26, 2016, Concho Resources crossed its 50-day moving average for the first time in 2016. It continues to trade above its 50-day moving average. On May 23, 2016, CXO stock was trading ~7.3% above its 50-day moving average.
CXO also broke above its 200-day moving average in mid-March 2016, and it continues to move higher. The fact that the company’s 50-day moving average crossed above its 200-day moving average was a bullish sign.
A quick earnings review and peer comparison
Concho Resources reported its 1Q16 earnings results on May 4, 2016. The company announced adjusted revenue of ~$541.5 million. Wall Street analysts’ consensus estimate for the company’s revenue was ~$544 million.
CXO’s 1Q16 revenue was ~6.7% lower than its 1Q15 revenue of ~$580.7 million. Its 1Q16 adjusted earnings per share (or EPS) were -$0.05, lower than analysts’ consensus estimate of $0.10.
In comparison, CXO’s upstream peers EP Energy (EPE), Newfield Exploration (NFX), and Cimarex Energy (XEC) reported 1Q16 adjusted EPS of $0.19, $0.09, and -$0.40, respectively. Together, NFX, CXO, and XEC make up 7.7% of the Guggenheim S&P 500 Equal Weight Energy ETF (RYE).