Diversified Gas & Oil
Diversified Gas & Oil (DGOC), which owns and operates natural gas and crude oil producing wells in the Appalachian Basin, was the strongest upstream stock in the week ending September 14. Diversified Gas & Oil rose 12.4% last week. Overall, the company has gained 53.9% since the beginning of 2018. The company’s strong YTD returns could be attributed to its strong earnings growth and the recent “acquisition of EQT Corporation’s southern Appalachian producing gas and oil and midstream assets,” as noted in the related press release. The company expects to double its production from the acquisition.
QEP Resources (QEP), a Williston Basin, Permian Basin, and Haynesville Shale focused E&P company, was the second-highest upstream gainer in the week ending September 14. QEP Resources rallied 11.6% last week. Last week, the strong gains could be attributed to the narrowing of the WTI spreads and the gain in crude oil prices. Overall, QEP Resources has gained 10.3% in 2018.
Resolute Energy (REN), a Delaware Basin focused E&P company, was the third-highest upstream gainer last week. Resolute Energy ended the week 10.7% higher. Similar to QEP Resources, Resolute Energy’s strong gains last week could be attributed to the gains in crude oil prices and the narrowing of the spread. Last week, the gains took Resolute Energy into the green for 2018. Resolute Energy has risen 7.8% YTD (year-to-date).
Other top upstream gainers
Callon Petroleum (CPE), Centennial Resource Development (CDEV), Cimarex Energy (XEC), SM Energy (SM), Antero Resources (AR), Energen (EGN), and Kosmos Energy (KOS) were among the top ten upstream gainers last week.
Next, we’ll discuss the worst-performing upstream stocks last week.