Encana Corporation

2018 turned out to be a dismal year for hedge funds. Cohen’s Point72 also had a mediocre 2018 with gains of less than 1%. Cohen, however, still outperformed the broader markets.

As of July 25, Reuters reported that of the 32 analysts covering Southwestern Energy (SWN), ~3% of analysts have “strong buy” and ~13% of analysts have “buy” recommendations on the stock.

The median target price on CNX Resources stock is $20.50, which is ~21% higher than its July 26 closing price of $17.01.

On July 24, Reuters reported that 26 analysts had given recommendations on EOG Resources (EOG).

For the second quarter, EOG Resources expects total production in the range of 670.3–706.2 Mboepd (thousand barrels of oil equivalent per day).

For the second quarter, Wall Street analysts expect EOG Resources (EOG) to report revenue of ~$3.91 billion.

Of the seven analysts covering California Resources (CRC) on July 23, ~14% recommended “strong buy,” ~14% recommended “buy,” and ~72% recommended “hold.”

The median target price on Marathon Oil stock is $23.50, which is ~14% higher than its July 19 closing price of $20.54.

According to Noble’s latest fleet status report, the company has secured two contracts and one contract extension for its jackup rigs.

As of July 17, Reuters reported 33 analysts with recommendations on DVN. Of these, ~28% say “strong buy,” ~36% say “buy”, and ~36% say “hold” for DVN.

Devon Energy (DVN) beat consensus EPS estimates in Q2 2017 and Q3 2017 but missed consensus EPS estimate in Q4 2017 before meeting EPS estimates in Q1 2018.

For Q2 2018, Wall Street analysts expect Devon Energy (DVN) to report revenues of ~$3.90 billion. On a year-over-year basis, DVN’s Q2 2018 revenues expectations are ~24% higher compared with its Q2 2017 revenues of ~$3.15 billion.

In the last four quarters, COP beat the consensus EPS estimate 75.0% of the time and met its consensus EPS estimate 25.0% of the time.

PointLogic estimates that US natural gas consumption dropped ~1.4% to 56.7 Bcf per day on May 17–23.

PointLogic, a market intelligence company, estimates that US natural gas consumption increased ~4% to 57.5 Bcf per day on May 10–16.

In 1Q18, Encana reported adjusted revenues of ~$1.31 billion—better than analysts’ consensus of ~$1.22 billion.

As of April 24, Reuters reported 27 analysts having recommendations on MRO. Of these, ~15% have “strong buy” ratings, ~44% have “buy” ratings, and the remaining ~41% have “hold” ratings.

Wall Street analysts expect Marathon Oil (MRO) to report ~51% higher year-over-year operating cash flow of ~$759 million in 1Q18.

Encana (ECA) has not given any specific production guidance for 1Q18.

The median target price on Range Resources stock is $22.00, which is ~40% higher than its closing price of $15.74 on March 9, 2018.

Of the analysts, ~6% gave “strong buy,” ~13% gave “buy,” ~65% gave “hold,” and ~16% gave “sell” recommendations on Southwestern Energy.

As of March 1, 2018, a total of 34 analysts have made recommendations on EOG Resources (EOG) stock, according to Reuters.

In 4Q17, EOG Resources (EOG) reported operating cash flow of ~$1.3 billion, marginally higher than Wall Street analysts’ expectation.

Analyst recommendations for Range Resources Of the 32 analysts covering Range Resources (RRC) stock on February 28, 2018, Reuters reported that ~22% recommended “strong buy,” ~38% recommended “buy,” ~31% recommended “hold,” and ~9% recommended “sell” or “strong sell.” RRC’s median target price The median target price on Range Resources stock is $23.50, ~77% higher than its closing price of […]

Range Resources’ 4Q17 operating cash flow In 4Q17, Range Resources (RRC) reported operating cash flow of ~$216 million, missing Wall Street analysts’ expectation of ~$251 million but surpassing the ~$185 million it generated in 4Q16. Between 3Q17 and 4Q17, RRC’s 4Q17 operating cash flow rose ~14% from ~$189 million. Range Resources’ year-over-year increase in operating cash flow could be […]

The median target price on CRC stock is $25.50, which is ~24.0% higher than its February 26, 2018, closing price of $20.11.

As of February 21, 2018, Reuters counts 32 analysts with recommendations on Southwestern Energy (SWN).

As of February 16, 2018, 29 analysts were covering Encana (ECA). Of these, ~31% have “strong buy” ratings, ~62% have “buy” recommendations, while the remaining ~7% of analysts have “hold” recommendations.

For 4Q17, Encana (ECA) reported total production of 335 Mboepd (thousand barrels of oil equivalent per day).

Encana (ECA) didn’t give any specific production guidance for 4Q17. But on its 3Q17 earnings conference call, Encana maintained its 2017 production guidance from July 2017.

As of January 26, 2018, 31.0% of the analysts have a “strong buy,” 51.7% have a “buy,” 13.8% have a “hold,” and 3.5% have a “sell” recommendation on Encana.

From the perspective of shares outstanding, the current short interest in Encana stock as a percentage of shares outstanding is at ~1.4%.

As of December 21, 2017, Encana (ECA) had an implied volatility of ~33.7%, which is lower than its implied volatility of ~39.6% at the end of 3Q17.

Encana (ECA) announced its 3Q17 earnings on November 8, 2017, before the market opened. It reported worse-than-expected profits of ~$24 million.

On a year-over-year basis, OXY’s 3Q17 operating cash flow was ~65% higher than the ~$650 million it generated in 3Q16.

For 4Q17, Occidental Petroleum expects total production of 633–641 Mboepd, ~5% higher than its 3Q16 production of 607 Mboepd.

For 3Q17, Devon Energy (DVN) reported operating cash flow of ~$776 million, which is higher by ~19% when compared with Wall Street analysts’ expectation for ~$653 million in cash flows for the quarter.

Wall Street analysts expect Marathon Oil (MRO) to report a higher cash flow of ~$490 million YoY (year-over-year) in 3Q17 from ~$366 million in 3Q16.

In 2Q17, 151 funds were “buyers” of Encana stock, while 144 funds were “sellers.” The total buying funds outnumbered the total selling funds by seven.

As of September 15, 2017, Encana’s (ECA) total shares shorted (or short interest) stood at ~21.51 million, while its average daily volume is ~10.49 million.

As of October 6, 2017, Encana (ECA) had an implied volatility of ~40.7%. It’s lower than its implied volatility of ~52.5% at the end of 2Q17.

Encana’s (ECA) stock price fell ~5% last week. Encana’s stock price was under pressure due to falling crude oil and natural gas prices.

As of April 28, 2017, ConocoPhillips’s (COP) total shares shorted (or short interest) stood at ~15.7 million.

On October 5, 2017, ~29.4% of analysts covering Southwestern Energy (SWN) gave “strong buy” or “buy” recommendations on the stock.

Despite a mixed price performance from crude oil (USO) and natural gas (UNG) prices last week, ConocoPhillips’s (COP) stock price rose.

For 2Q17, Pioneer Natural Resources (PXD) reported operating cash flow of ~$479 million, which is ~3% higher than Wall Street analysts’ expectation of ~$463 million.

For 2Q17, Gulfport Energy (GPOR) reported operating cash flow of ~$144 million, which is ~3% lower than Wall Street analysts’ expectation for ~$149 million in cash flows.

Andeavor’s (ANDV) net income from continuing operations (attributable to shareholders) dropped from $418 million in 2Q16 to $40 million in 2Q17.

Per Encana’s earnings press release, ECA reported better-than-expected profit of ~$180 million in 2Q17.

Year-to-date, Encana’s (ECA) stock has fallen ~19% to $9.53. The stock is trading below its 50-week and 200-week moving averages.

For 2Q17, Marathon Oil (MRO) reported revenues of ~$1.06 billion, which was higher than Wall Street analysts’ consensus for revenues of ~$1.02 billion.

For 2Q17, analysts expect Southwestern Energy to report revenues of ~$814 million. On a YoY basis, its 2Q17 revenue expectations are ~56% higher.

Southwestern Energy (SWN) will report its 2Q17 earnings on August 3, 2017, after the market closes. It’s expected to report the fourth consecutive profit.

Devon Energy (DVN) is set to report its 2Q17 earnings on August 1, 2017, after the market closes. The current consensus net income estimate for 2Q17 is $169.0 million.

ConocoPhillips (COP) is set to report its 2Q17 earnings on July 27, 2017. On a year-over-year basis, ConocoPhillips is expected to turn its 2Q16 loss into a profit.

Short interest in Encana’s stock As of July 15, 2017, Encana’s (ECA) short interest stood at ~15.3 million, which was ~13% lower than a month prior. The short interest ratio in Encana’s stock is ~1.4. Its 52-week short interest ratio range is 0.7x–2.0x. The current short interest in Encana’s stock as a percentage of shares outstanding is […]

Due to rising crude oil (USO) and natural gas (UNG) prices last week, Encana’s stock price rose ~13% from $8.39 to $9.45. It outperformed crude oil and natural gas by a wide margin.

At the end of last week, crude oil (USO) prices sharply reversed and were unable to hold onto the gains they’d made earlier in the week.

Currently, ~72% of Wall Street analysts rate ConocoPhillips (COP) a “buy,” and ~28% rate it a “hold.”

As of May 26, 2017, Southwestern Energy’s (SWN) recommendations include five “strong buy,” five “buy,” 25 “hold,” two “sell,” and one “strong sell.”

Last week, Southwestern Energy’s (SWN) stock price fell. It underperformed natural gas (UNG) prices by a wide margin.

As of April 13, 2017, Cobalt’s (CIE) total shares shorted (or short interest) stood at ~78.5 million, as compared to its average daily volume of ~11.9 million.

OXY’s recommendations include three “strong buys,” four “buys,” 16 “holds,” and two “sells.” There is currently no “strong sell” recommendation on the stock.

Encana’s 13F statistics In 4Q16, 181 funds were “buyers” of Encana’s (ECA) stock, and 172 funds were “sellers.” Buying funds outnumbered selling funds by nine. As of December 31, 2016, 350 13F filers held Encana in their portfolio, and 11 of those filers held Encana in their top ten holdings. In 4Q16, 13F filers increased their […]

Production guidance Encana (ECA) did not give any specific production guidance for 1Q17. However, during its 4Q16 earnings conference call, it gave fiscal 2017 production guidance. For 2017, Encana expects total production of 320 Mboepd[1.thousand barrels of oil equivalent per day]–330 Mboepd, which represents a midpoint decrease of ~8% from 2016. Encana expects to return to […]

Encana (ECA) is set to report its 1Q17 earnings on May 1, 2017, after the market closes. This series will look at what we can expect from Encana.

On March 31, 2017, Cobalt International Energy’s (CIE) total shares shorted (or short interest) stood at ~72.1 million, whereas its average daily volume was ~11.7 million.

Excluding hedges, Marathon Oil (MRO) reported a positive cash margin and a negative total margin in 4Q16.

In 1Q17, the stock of Appalachian natural gas (UNG) producer Southwestern Energy (SWN) underperformed natural gas, falling from $10.82 to $8.17.

As of March 23, 2017, Cobalt International Energy’s (CIE) total shares shorted (or short interest) was ~66.3 million. Its average daily volume was ~9.4 million.

Excluding hedges, ConocoPhillips (COP) reported a positive cash margin as well as a positive total margin in 4Q16.

As of March 15, 2017, Devon Energy’s (DVN) short interest stood at ~7.95 million, while its average daily volume is ~4.73 million.

As of March 15, 2017, ConocoPhillips’s (COP) total shares shorted (or short interest) stood at ~15.9 million, whereas its average daily volume was ~7.7 million.

As of March 15, 2017, Marathon Oil’s (MRO) short interest stood at ~46.02 million, while its average daily volume is ~14.8 million.

All the stocks we’ve looked at in this series are trading below their Wall Street analyst targets and have upside potentials of 28.0%–48.0%.

For 2017, Encana’s (ECA) capital spending program will be $1.6 billion–$1.8 billion. That represents a midpoint rise of ~55.0% compared to 2016.

The falling trend in crude oil (USO) and natural gas (UNG) prices from June 2014 to February 2016 caused their values to fall ~76.0% and ~75.0%, respectively.

On February 28, 2017, Encana’s (ECA) short interest stood at ~18.2 million, and its average daily volume was ~11.4 million. The short interest ratio for ECA stock is ~1.6x.

In 4Q16, Encana (ECA) reported operating netback of ~$12.24 per boe, which is ~82% higher than in 4Q15.

A profit of $0.07 per boe on crude oil (USO) and natural gas (UNG) hedges increased Encana’s cash margin and total margin by $0.07 per boe.

In 4Q16, Encana (ECA) reported a lifting cost of ~$11.57 per boe, which is ~9% lower than in 4Q15.

According to Encana’s (ECA) form 10Q for 4Q16, the company reported a total profit of ~$2 million on its commodity derivative instruments.

For 1Q17, Encana (ECA) has a swaption on NYMEX crude oil for 10,000 barrels per day. In its swaption strategy, ECA can extend 1Q17 fixed price swaps to June 30, 2017, at a strike price of $50.86.

For 4Q16, Encana’s (ECA) average realized price for natural gas (UNG) production increased ~21% to $2.58 per Mcf compared to $2.13 for the same period in 2015.

Encana’s (ECA) production cash cost has increased on a year-over-year basis. For 4Q16, Encana’s production cash cost was $17.92 per boe, higher than $17.74 per boe in 4Q15.

Almost ~51% of Encana’s (ECA) operating revenues from product sales came from crude oil and condensate sales alone.

Encana’s (ECA) 4Q16 production came in better than expected at ~311 Mboepd (thousand barrels of oil equivalent per day).

Since January 26, 2017, crude oil prices have dropped from $53.78 per barrel to $47.72 per barrel. Encana (ECA) stock also fell from $13.83 to $10.32 during this period.

For 4Q16, Southwestern Energy’s realized price, excluding hedging profits, was $2.07 per Mcfe—much better than $1.55 per Mcfe in 4Q15.

On February 28, 2017, Marathon Oil’s (MRO) total shares shorted stood at ~43.1 million, whereas its average daily volume was ~11.6 million.

As of February 17, 2017, Encana (ECA) had an implied volatility of ~41.16%, which is ~36.25% below its 260-trading day historical price volatility of ~64.56%.

Currently, 27 analysts provide recommendations on Encana (ECA). These recommendations include four “Strong Buy,” 11 “Buy,” nine “Hold,” and three “Sell” recommendations.

For 4Q16, Encana (ECA) reported operating cash flow of $199 million, ~56% less than its ~$448 million in 4Q15.

For 2017, Encana’s (ECA) capital program will be in the range of $1.6 billion–$1.8 billion, which represents a mid-point increase of ~55% compared with capital expenditures of ~$1.1 billion in 2016.

By year-end 2017, Encana (ECA) plans to increase its corporate margin to more than $10 per boe (barrel of oil equivalent) from year-end 2016’s corporate margin of ~$6.4 per boe.

For fiscal 2016, Encana (ECA) reported production of 352.7 Mboepd (thousand barrels of oil equivalent per day), which is above the mid-point of its production guidance range of 340–360 Mboepd.

Encana (ECA) announced its 4Q16 earnings on February 16, 2017, before the market opened. It reported better-than-expected profits of ~$85 million.

On January 31, 2017, Marathon Oil’s (MRO) total shares shorted, or its short interest, stood at ~45.3 million. Its average daily volume was ~8.9 million on the same day.

As of January 31, 2017, ConocoPhillips’s (COP) total shares shorted (or short interest) stood at ~14.3 million. Its average daily volume was ~6.0 million.

Recommendations Currently, 30 analysts cover Marathon Oil (MRO). They’ve given six “strong buy,” six “buy,” 17 “hold,” and one “sell” recommendation on the stock. There were no “strong sell” recommendations. Target price Analysts’ median target price for MRO is $20, which is ~25% higher than the closing price of $16.05 on February 9, 2017. The mean […]