Last Week’s Weakest Exploration and Production Stocks

HighPoint Resources

HighPoint Resources (HPR), which is primarily based in the Denver-Julesburg and Uintah basins, was the weakest E&P (exploration and production) stock last week, falling 21.6%. It fell sharply after the company’s second-quarter earnings missed analysts’ estimate—HPR posted EPS of -$0.22, while analysts had expected it to see a marginal profit. Moreover, the company lowered its natural gas and NGL (natural gas liquid) production guidance for this year due to pipeline constraints. However, the company maintained its 2019 production guidance.

Last Week’s Weakest Exploration and Production Stocks

Extraction Oil & Gas

Extraction Oil & Gas (XOG) was the second-weakest E&P stock last week, falling 19.2%. Like HPR stock, XOG stock plunged following the company’s second-quarter earnings announcement. The partnership missed its earnings estimate of $0.07, reporting EPS of $0.03. Moreover, the company has raised concerns over a “challenging midstream environment,” which could affect the company’s 2018 guidance. XOG has fallen 14.3% this year.

Bonanza Creek Energy

Bonanza Creek Energy (BCEI), the third-weakest E&P stock last week, fell 14.6%, primarily in reaction to the company’s earnings results. Despite last week’s decline, BCEI has risen 17.4% this year.

Other underperformers

WildHorse Resource Development (WRD), PDC Energy (PDCE), Earthstone Energy (ESTE), Northern Oil and Gas (NOG), SRC Energy (SRCI), Carrizo Oil & Gas (CRZO), and Diversified Gas & Oil (DGOC) were among the ten weakest E&P stocks last week. In the next article, we’ll look at which E&P stocks were the strongest last week.