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This week in the energy sector - Nov 21

Posted: Wed Nov 21, 2018 4:52 pm
by dan_s
It was a week where oil prices sank to the lowest finish of 2018, while natural gas futures hit more than four-year highs.

On the news front, shale producer Cimarex Energy (XEC) agreed to buy smaller rival Resolute Energy Corporation (REN) in a $1.6 billion deal, while contract driller Helmerich & Payne Inc. (HP) reported strong fiscal fourth-quarter 2018 results.

https://finance.yahoo.com/news/oil-gas- ... 04251.html


I took a hard look at the Cimarex + Resolute merger and posted my updated forecast/valuation model for Cimarex to the EPG website. The deal is definitely going to be accretive to Cimarex's earnings and cash flow from operations in 2019.