CRK removed from Sweet 16!!

[Fraser921]

CRK removed from Sweet 16!!

[dan_s]

CRK is a pure play on natural gas. It produces "dry" gas, which has very little NGL in the raw stream coming out of the ground. EQT and RRC produce more NGLs and they give us enough exposure to natural gas if dry gas prices do rebound. EOG, DVN and OVV will also get a big revenue boost if dry gas prices improve.

If the weather pattern does change to what Joe Bastardi is forecasting (4 weeks of much colder temperatures in the eastern half of the U.S. starting in mid-February) the outlook for natural gas prices could go positive.
Listen to Joe's forecast here: https://www.weatherbell.com/premium/

Take a look at the 10-day forecast for Chicago. It is starting to show colder air coming the end of the period. Our national weather service models have a bias to warmer forecasts, so they don't show the cold coming until it just a few days away.

I make several changes to the Sweet 16 each year. I needed to make room for TALO, which I now believe is way oversold.

[Fraser921]

Agreed!

[dan_s]

Comstock is going to report solid Q4 2023 results because HH natural gas average $3.00. It will give us an idea of how profitable the company can be when U.S. natural gas prices do move higher. They will EVENTUALLY go firmly over $3.00.