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Upstream Stocks Outperformed the Energy Space

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Energy stocks

In the week ending March 22, upstream stock Denbury Resources (DNR) rose the most among the energy stocks under review in this series, which include the following ETFs:

  • the Alerian MLP ETF (AMLP)
  • the Energy Select Sector SPDR ETF (XLE)
  • the VanEck Vectors Oil Services ETF (OIH)
  • the VanEck Vectors Oil Refiners ETF (CRAK)
  • the SPDR S&P Oil & Gas Exploration & Production ETF (XOP)

In addition to US energy companies, a few foreign-headquartered integrated energy companies listed in the United States are also under review including Imperial Oil (IMO) and China Petroleum & Chemical (SNP).

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Other strong performers

Laredo Petroleum (LPI), California Resources (CRC), and EOG Resources (EOG) were the second, third, and fifth-largest gainers among the energy stocks in the past five trading sessions. All of these upstream stocks are oil-weighted stocks. They operate with production mixes of at least 60.0% in liquids based on their latest quarterly production data. Liquids include crude oil, condensates, and natural gas liquids. XOP rose the most among major energy subsector ETFs. Last week, US crude oil futures rose 0.4%.

Oilfield service stock, Nabors Industries (NBR) was the fourth-highest gainer among energy stocks. OIH fell the least among major energy subsector ETFs during this period.

For oilfield services stocks, the contraction in the US oil rig count might be a concern for investors. Last week, the oil rig count fell by nine to 824—the lowest level since April 20, 2018.

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