COG is in the fourth spot
Cabot Oil & Gas (COG), a Marcellus region focused natural gas producer, is in the fourth spot in terms of least volatile E&P stocks. Cabot Oil & Gas is the least volatile gas-weighted E&P stock. COG’s 200-day volatility was 26.3% as of August 29, 2018. This is lower than that of the SPDR S&P Oil & Gas Exploration & Production ETF (XOP) at 27.5%. Peers Antero Resources (AR) and EQT (EQT) have a 200-day volatility of 31.5% and 34.4%, respectively.
COG’s relatively low volatility could be attributed to the company’s strong financial position, stable cash flow growth, and a strong hedging program. The company posted YoY (year-over-year) cash flow growth in the last five quarters. For a quick fundamental analysis of COG, read Poring Over Cabot Oil & Gas’s Key Fundamentals.
55.2% of analysts rate Cabot Oil & Gas a “buy,” 37.9% rate it as a “hold,” and the remaining 6.9% rate it as a “sell” as of August 29. Susquehanna last upgraded COG to “buy.” Overall, COG has seen six rating updates since the start of this year including two upgrades, two downgrades, and two new coverage initiations. COG’s average target price of $27.8 implies ~15% upside potential from the current price levels.