28 Nov

Integrated Energy Losers Last Week: CVE, IMO

WRITTEN BY Nicholas Chapman

Integrated energy stocks

After concluding our coverage of the biggest movers in the energy sector, let’s look now at the top losers from the integrated energy sector in the United States for the week that started November 20, 2017.

Integrated Energy Losers Last Week: CVE, IMO

Cenovus Energy: The top integrated energy loser

Cenovus Energy (CVE) was the leading losing stock as of the middle of last week from the integrated energy sector. It fell from the previous week’s close of $10.16 to $9.71 on November 22, 2017, or by 4.4%. CVE fell significantly on the first two days of the holiday-shortened week and was trading just above its 200-day moving average at the mid-point of the week, which could act as a strong support. As of November 22, 2017, CVE closed at $9.71, whereas its 200-day moving average was $9.65.

Last week’s fall for CVE was part of its downtrend that started on November 13, 2017, after the company announced its plan to divest its EOR (enhanced oil recovery) operations in Saskatchewan for cash proceeds of $940 million. The sale was part of CVE’s strategy to optimize its portfolio and deleverage its balance sheet. Since the announcement of the Saskatchewan divestiture, CVE stock has fallen significantly by ~14% in eight trading sessions.

The other integrated energy laggard last week was Imperial Oil (IMO), which fell marginally. IMO has been on an uptrend since the first week of June 2017 and has risen 13% since then. As of the middle of last week, IMO was finding support at its 50-day moving average and consolidating for the last nine weeks. As of November 22, IMO closed at $31.23, whereas its 50-day moving average was $30.68.

The Vanguard Energy ETF (VDE) rose 0.57% as of the middle of last week. VDE has exposure to integrated heavyweights such as Exxon Mobil (XOM) and Chevron (CVX). In comparison, the SPDR S&P 500 ETF (SPY) rose 0.74% at the mid-point of last week.

Latest articles

German chip maker Infineon Technologies has reportedly raised 1.55 billion euros (~$1.74 billion) in capital by selling its shares to fund its acquisition of Cypress Semiconductor (CY). Infineon has sold ~113 million new shares at 13.70 euros each.

As of June 18, Dunkin’ Brands (DNKN) was trading at $80.07, an 8.9% rise since reporting its first-quarter earnings on May 2. Also, DNKN was trading at a premium of 29.8% from its 52-week low of $61.69 and a discount of 1.6% from its 52-week high of $81.40.

19 Jun

Are Lower Oil Prices Weighing on ExxonMobil Stock?

WRITTEN BY Maitali Ramkumar

ExxonMobil (XOM) stock has fallen 7.1% in the second quarter so far. Let's review ExxonMobil's stock performance in comparison to oil price changes and equity market movements in the quarter.

19 Jun

As Facebook Unveils Libra, MSFT and CRM Join a Blockchain Group

WRITTEN BY Mayur Sontakke, CFA, FRM

On June 18, Facebook (FB) launched Libra, its own cryptocurrency. On the same day, CoinDesk published another piece of blockchain news that didn’t receive as much fanfare as Facebook’s Libra news. Was the timing a coincidence? We think not.

Uber Technologies (UBER) has picked Melbourne as another test site for its flying taxi service known as UberAir. The Australian city is the first international test site Uber has chosen for its flying taxi service. The addition of Melbourne brings the number of test locations Uber has picked for its UberAir service to three.

Lyft (LYFT) and Uber Technologies (UBER) are pushing back against California legislation that would require them to recognize their drivers as employees rather than independent contractors. The legislation would require companies like Lyft to give their drivers the compensation and benefits spelled out under California’s employment regulations.

172.31.16.229