Inside This Year’s Permian E&P Stock Performances



Key Permian players

In this part of our series, we’ll assess the YTD (year-to-date) stock performances of the key Permian Basin E&P (exploration and production) players: Pioneer Natural Resources (PXD), Apache (APA), Chevron (CVX), Concho Resources (CXO), Occidental Petroleum (OXY), Cimarex Energy (XEC), ExxonMobil (XOM), and Parsley Energy (PE).

We’ll compare these performances with the Energy Select Sector SPDR ETF (XLE), the broader energy sector ETF, as well as to S&P 500 SPDR ETF (SPY), which represents the broader market.

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After Pioneer’s latest well results announcement, its stock fell 12%. On August 2, 2017. On the same day, Apache (APA) fell 1.5%, while Concho Resources’ and Parsley Energy’s stock fell 1.6% and 6.3%, respectively. Occidental Petroleum and Chevron fell marginally by 0.2% and 0.3%, respectively, on the same day.

Apache appears to be the underperformer in the group, having returned around -35% YTD, followed by Parsley Energy and Cimarex Energy, which have returned -31% and -30.4% in the same period. Pioneer Resources has fallen by 28% YTD.

Along with Occidental and Concho Resources, which YTD have fallen 16% and ~19%, respectively, most companies have underperformed XLE, which has fallen ~16.6% YTD. ExxonMobil and Chevron both have outperformed XLE, returning -14% and -8% since January 2017. SPY has risen 9.4% YTD.

In the next part, we’ll discuss the recent operational performances of these companies in the Permian Basin.


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