Gulfport Energy’s year-to-date stock performance
Year-to-date, Gulfport Energy’s (GPOR) stock price has fallen ~46% from $21.64 to $11.77. On a weekly basis, GPOR’s stock price is in a steep downtrend and forming a pattern of lower highs and lower lows since the start of fiscal 2017. GPOR’s stock is trading below its 50-week and 200-week moving averages. On August 28, 2017, GPOR’s stock price closed at $11.77, whereas its 50-week and 200-week moving averages stand at $12.99 and $17.64, respectively. Currently, GPOR’s stock price is ~9% below its 50-week moving average.
GPOR outperforming natural gas but lagging crude oil prices
Gulfport Energy’s production mix contains ~88% natural gas and ~12% liquids. Thus, GPOR’s stock price is more sensitive to changes in natural gas (UNG) than crude oil (USO) prices. Since the start of fiscal 2017, natural gas prices have fallen ~20%. Natural gas prices decreased from $3.73 per MMBtu (million British thermal units) to $2.96 per MMBtu.
Crude oil (USO) prices also fell from $53.72 per barrel to $46.57 per barrel, a decrease of almost 13% during the same period. Thus, GPOR’s stock is underperforming both natural gas and crude oil prices in fiscal 2017.
Gulfport Energy’s peers
Gulfport Energy primarily operates in the Utica Shale in the US. GPOR’s peers like Southwestern Energy (SWN), CONSOL Energy (CNX), and Range Resources (RRC), which also operate in the Utica Shale, have fallen ~50%, ~21%, and ~49% in fiscal 2017, respectively.
In general, year-to-date, the natural gas (UNG) exploration and production companies (FCG) have underperformed the S&P 500 ETF (SPY) by a wide margin. FCG has fallen ~26%, whereas SPY is up ~10% in fiscal 2017. According to the SPDR S&P 500 ETF Trust prospectus, “The Trust seeks to provide investment results that, before expenses, correspond generally to the price and yield performance of the S&P 500® Index.”
In this series, we’ll look at GPOR’s key financial details in subsequent parts. Specifically, we’ll study GPOR’s earnings per share, revenues, production, and cash flows. We’ll also take a look at GPOR’s short interest and Wall Street ratings.
Let’s start with GPOR’s most recent earnings.