EOG Resources Inc

In terms of profitability, OXY has the highest profit margins amongst its peers at 24.2%. OXY also has one of the highest dividend yields at 2.85%.

Last week, the Baker Hughes oil rig count increased from 1,423 to 1,425, reaching the highest level since 2014 began.

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).

Along with its 4Q15 earnings, Murphy Oil announced the divestiture of its Montney midstream assets located in Canada. The transaction includes the sale of existing infrastructure capable of processing up to 320 million cubic feet per day.

Marathon Oil (MRO) has seen a strong rally in the past month. The company has risen ~15% from its lows of $19 in August.

Devon Energy (DVN) has a forward EV-to-EBITDA (enterprise value to earnings before interest, tax, depreciation, and amortization) ratio of ~13x.

According to the U.S. Energy Information Administration (or EIA), the Permian Basin is the largest crude oil–producing region in the US.

The U.S. total rig count decreased by 17 rigs—from 1,913 to 1,896—during the week ending August 22. This marked the first rig count decline in the past five weeks. The decline was also the largest since late September 2013.

The price of natural gas (UNG) rose ~5% last week. It rose from $2.92 per mmBtu (million British thermal units) to $3.07 per mmBtu. ConocoPhillips’s production volume mix contains ~40% natural gas.

In this environment of crude oil prices declining sharply and staying low, investors continue to favor stocks that are increasing investments.

For the past month, Energen had the highest correlation of ~0.94 with WTI crude oil (USO) prices. Occidental Petroleum had the lowest correction coefficient.

Natural gas prices started the week by falling ~2.4% to $3.67 MMBtu (million British thermal units) on Monday. This was the lowest close in 11 months.

Rising refinery utilization and declining US output will support crude oil prices. This is positive for crude oil prices.

Crude oil prices have remained buoyant lately, with last week’s rally mostly driven by higher-than-expected U.S. GDP growth.

In 3Q15, Occidental Petroleum production mix was 63% crude oil, 25% natural gas, and 12% NGLs. This means that it is more tilted toward liquids production.

Record-high production levels have ensured that adequate supply of natural gas is available before the winter starts. The EIA anticipates that inventory levels will be 3,532 bcf by the end of this month.

So far in 2016, Consol Energy (CNX) has been outperforming bigger upstream companies in the S&P 500 (SPY). CNX has risen by ~64%.

In the last two months, Range Resources’ stock price has increased by ~68%.

In 3Q15, EOG has continued to improve cost efficiency by reducing its primary cost heads including lease and well costs, measured on a per barrel of oil equivalent basis.

Let’s see which energy company stands out as the most efficient in reducing debt loads and improving leverage ratios and which ones are laggards.

In its Short-Term Energy Outlook (or STEO) report, the U.S. Energy Information Administration (or EIA) forecasted higher natural gas prices this winter.

On November 2–9, the SPDR S&P Oil & Gas Exploration & Production ETF (XOP) rose 0.6%—the least among major energy ETFs.

Falling again from levels close to $4, natural gas prices retreated to $3.93 MMBtu after the EIA reported higher than expected inventory increases.

On November 12–19, the SPDR S&P Oil & Gas Exploration & Production ETF (XOP) fell 1.6%—the largest decline among major energy ETFs.

As of November 12, Brent crude oil active futures had fallen 18.3% from their almost four-year high of $86.29 per barrel on October 3.

Southwestern Energy’s implied volatility rose 3.5% on February 24. The stock fell ~12%. On February 23, the company reported a net loss of $0.08 per share.

NYMEX-traded WTI (West Texas Intermediate) crude oil futures contracts for August delivery rose by 1.10% and settled at $53.04 per barrel on July 14, 2015.

Natural gas compression is essential for transporting natural gas. Compression is used several times during the natural gas production and transportation cycle.

In 3Q15, Occidental Petroleum production was 689,000 BOE per day, which is higher by almost 16% than its 595,000 BOE per day in 3Q14.

Apache stock (APA) has fallen 6.6% year-over-year driven by lackluster first-quarter earnings and increasing price differentials in the Permian.

Natural gas April futures contracts closed near the day’s high—up by 0.99% on February 27, 2015. The total volume for the day was at 107,303 contracts.

On August 20, US crude oil October futures closed ~$3.1 above the October 2019 futures contract.

US crude oil September futures closed at $68.69 per barrel on July 27—the fifth straight closing below $70.00 per barrel.

On November 15, Cobalt International Energy (CIE) had the highest implied volatility among the upstream stocks that are part of XOP. Its stock fell ~75.4% on a YTD (year-to-date) basis.

Natural gas prices are in a long-term downward trend, driven by estimates of a huge supply outweighing demand from mid-November 2014.

In the week ending on May 31, US crude oil inventories were 6% higher than their five-year average.

Apache (APA) stock hasn’t risen as much as its peers this year. On a YoY (year-over-year) basis, Apache stock has declined 6.85%.

Smithwood Advisers was among the hedge funds that sold their stakes in SandRidge Energy in 1Q15. Hancock Holding was one of the firms that sold stakes in Vaalco Energy.

Crude oil prices continued to rally, as a sharper-than-expected decrease in distillates helped to support prices. Oil prices have remained relatively high and stable.

Stock performance In this article, we’ll discuss the year-to-date (YTD) stock performance of ConocoPhillips (COP), Devon Energy (DVN), Occidental Petroleum (OXY), Anadarko Petroleum (APC), and EOG Resources (EOG), which reported the highest revenue among upstream companies in fiscal 2017. Outliers and underperformers The above image shows that ConocoPhillips (COP) is the outlier among peers. YoY […]

As of June 30, 2016, ConocoPhillips’s total debt stood at ~$28.7 billion. With ~$4.2 billion in cash and cash equivalents, its net debt was ~$24.5 billion.

A bull-bear battle in February 2015 has caused natural gas prices to rise and fall repeatedly. The bull isn’t out of fight yet.

On December 23, 2016, Occidental Petroleum (OXY) had the lowest implied volatility among upstream stocks that are part of XOP.

As of May 27, 2016, Range Resource’s dividend yield, which measures the amount of cash flow an investor can get for each dollar invested in an equity position, stood at ~0.34%.

Global crude oil surplus concerns drove crude oil prices lower in yesterday’s trading. And declining demand from refineries added to the fall in oil prices.

On December 19, 2016, Cobalt International Energy (CIE) stock fell 79.1% YTD, the steepest YTD fall among upstream stocks with the highest implied volatilities.

It’s important to note that ~69% of analysts tracking EOG Resources rate it a “buy” or some equivalent, while ~24% rate the company a “hold.”

Houston-based Apache Corporation is an oil and gas exploration and production company with operations in the United States, Canada, Egypt, the United Kingdom, and Australia.

Cobalt International Energy stock fell ~77.4% on a YTD basis—the steepest YTD fall among upstream stocks with the highest implied volatilities.

Carl Icahn mentions the use of credit default swaps as a form of protection against credit events. He implies that investors should possess sophisticated knowledge of the fixed income markets to enter that playing field.

Over the past two months, Pioneer Natural Resources stock price has dropped by about 19%. But XOP has been down ~27% during same period.

In 4Q17, 470 funds were “buyers” of EOG Resources (EOG) stock, and 450 funds were “sellers” of EOG stock.

Wall Street’s forecasts for EOG Resources had 68% of analysts rate it as “buy,” 29% rate it as “hold,” and 3% recommend as “sell”.

Hess Corp. is one of the largest companies to operate in the Bakken, and it has stated that the area will be the primary driver of its production growth for 2013–2017.

On October 16, the U.S. Energy Information Administration (or EIA) reported a 94 billion cubic feet (or bcf) natural gas inventory build for the week ending October 10. Inventories increased to 3,299 bcf.

The high correlation indicates a stronger positive relationship between oil-weighted stocks and US crude oil prices.

Bearish natural gas traders will likely bet on mild weather and could raise their short positions as demand could drop during the peak period from November to March.

On September 30, MRO’s total debt was ~$7.3 billion. With ~$1.95 billion in cash and cash equivalents, MRO’s net debt was ~$5.3 billion at the end of 3Q16.

On February 4, US crude oil prices fell 1.3% and settled at $54.56 per barrel. US crude oil active futures made an intraday high of $55.75.

So far in 2018, US crude oil prices have fallen 25%. Crude oil prices are in the red on a year-to-date basis for the first time since 2016.

Continental Resources’ net debt-to-EBITDA multiple of 1.6x is one of the highest among its peers. This could indicate a potential liquidity crunch, or insufficient cash to repay debt, particularly when crude oil prices are falling.

On December 5, 2016, Occidental Petroleum (OXY) had the lowest implied volatility among upstream stocks that are part of XOP.

ONEOK Partners’ (OKS) natural gas gathering and processing segment provides natural gas gathering, compression, treatment, and processing services to natural gas producers.

Cobalt International Energy stock fell ~76.3% on a YTD (year-to-date) basis, the steepest YTD fall among upstream stocks with the highest implied volatilities.

Now that export sanctions have lifted, the global crude oil markets are ready to be flooded with Iranian crude oil of around 1 MMbpd in the first quarter of 2016.

Last year turned out to be a quite brutal one for all commodities, and energy commodities are no exception. Crude oil was down by ~30% in 2015, whereas natural gas saw a decline of ~19% during the same period.

In this series, we’ll dissect the performance and constituents of the Energy Select Sector SPDR Fund (XLE).

As of August 5, ~49% of Wall Street analysts rate EOG Resources as a “buy,” and ~49% of analysts rate it as a “hold.” About 2% rate the stock as a “sell.”

Natural gas, crude oil, and NGL (or natural gas liquid) supply is affected by several factors that could be supply related or demand related.

Although crude oil prices have rallied ~78% from their lows in February 2016, crude is still trading ~57% lower than its high two years ago.

On December 9, 2016, Occidental Petroleum (OXY) had the lowest implied volatility among upstream stocks that are part of XOP.

The consensus of massive production from the US, Russia, and OPEC also led to the decline in crude oil prices. They declined for the seventh time in the last ten days.

Prices have been fluctuating over the last month. The rising natural gas inventory and warm weather estimates continue to influence natural gas prices.

Sanchez Energy’s implied volatility rose 4.6% on February 13, 2017. On the same day, the stock fell 0.8%. It provided an update on the Comanche acquisition.

The U.S. Energy Information Administration reported a 112 Bcf natural gas inventory build for the week ending September 26.

US crude oil inventories fell 9.2 MMbbls (million barrels) to 421.4 MMbbls from June 15–22.

The U.S. Energy Information Administration’s “Short-Term Energy Outlook” forecasts that total natural gas consumption will average 76.3 Bcf per day in 2015 and 75.8 Bcf per day in 2016.

Consumption declined across all sectors. Residential and commercial consumption led the decline, falling 23.3% compared to last week.

WTI (West Texas Intermediate) crude oil futures for June delivery fell marginally by 0.41% and settled at $60.50 per barrel on Wednesday, May 13, 2015.

As of September 30, 2016, ConocoPhillips’s (COP) total debt stood at ~$28.7 billion.

On November 19, ConocoPhillips (COP) confirmed to CNBC that it has been engaged in talks with Jim Ratcliffe.

Natural gas futures for December delivery rose by 4.5% on November 5. Natural gas prices rose due to a lower rise in the natural gas inventory data.

Cobalt International Energy’s stock has fallen ~81.9% on a YTD basis—the steepest YTD fall among upstream stocks with the highest implied volatilities.

Last week, the Baker Hughes oil rig count dropped by three, from 1,531 to 1,528. Since the beginning of 2014, oil rig counts have risen by ~11% (+150).

As the Venezuela 2007 examples demonstrate, major upstream companies with huge international exposure, such as Exxon Mobil and ConocoPhillips, are subject to many risks.

NYMEX-traded WTI crude oil futures contracts for August delivery fell slightly by 0.08% and settled at $52.74 per barrel on July 10, 2015.

WTI crude oil prices continued to slide as U.S. crude inventories continued to grow, with domestic production surging.

When the worst of the recession hit, U.S. oil rig counts fell from over 400 to nearly 175.

On October 29, 2015, Genscape reported that the crude oil inventory at Cushing, Oklahoma, continued to fall. The inventory fell for the second straight week.

From August to November, returns on drilling wells in shale plays such as the Eagle Ford dropped from more than 20% to the 15% range.

Vertical rigs are on a long-term declining trend. Vertical rigs are currently down 63% from around 990 in the beginning of 2007.

Upstream energy stocks saw strong buying in the week ending September 14 amid sharp gains in crude oil prices. US crude oil went above $70 per barrel.

First quarter results beat estimates despite a decline in earnings and revenue.

As of January 12, 2016, the 100-day moving averages of most upstream companies’ stocks showed strong resistance.

The company missed on 4Q13 earnings and revenue back in February.

Clearly, crude oil is a key driver behind movements in XEC’s stock price. Both XEC’s stock price and crude oil are showing a decline of ~40% and ~70%, respectively, since their peaks in June 2014.

In September, U.S. crude oil production averaged an estimated 8.7 MMbbl per day. According to the EIA, this marked the highest annual production since 1970.

NYMEX-traded July natural gas futures show the emergence of a symmetrical triangle pattern. Prices broke below the trend line support of this pattern on June 22.

Producers in the Permian had suffered in the past when takeaway capacity was not sufficient for the growth of West Texas oi production. However, at present it seems that these issues have been resolved.

Currently, ~77% of Wall Street analysts rate Pioneer Natural Resources as a “buy” and ~19% of analysts rate it as a “hold.” Only ~6% rate the stock a “sell.”