Oasis Petroleum (OAS) Q4 Results - Feb 26
Posted: Wed Feb 26, 2020 5:03 pm
Stifel's Take:
Oasis Petroleum Inc. (OAS, $1.77, Buy; Target $8.70)
Announces 2020 budget focused on free cash flow generation and debt reduction - Derrick Whitfield
We view the release as neutral. The positives include: i) a quarterly EBITDA beat, ii) lower than expected 2020 capex, iii) higher than expected Q420 exit rate oil production guidance, and iv) a 2020 budget that is E&P free cash flow positive above $50/bbl WTI. The only negative was lower than expected Q120 and 2020 production guidance. Net-net, we believe the free cash flow-focused 2020 budget with a higher than expected 2020 exit rate will offset the negative revisions to 2020 production expectations
Oasis Petroleum Inc. (OAS, $1.77, Buy; Target $8.70)
Announces 2020 budget focused on free cash flow generation and debt reduction - Derrick Whitfield
We view the release as neutral. The positives include: i) a quarterly EBITDA beat, ii) lower than expected 2020 capex, iii) higher than expected Q420 exit rate oil production guidance, and iv) a 2020 budget that is E&P free cash flow positive above $50/bbl WTI. The only negative was lower than expected Q120 and 2020 production guidance. Net-net, we believe the free cash flow-focused 2020 budget with a higher than expected 2020 exit rate will offset the negative revisions to 2020 production expectations