EOG Resources (EOG) Update - Mar 20
Posted: Fri Mar 20, 2020 1:35 pm
I will finish my review of the EOG profile today and we will send it out this afternoon.
EOG is the largest company in the Sweet 16 and is followed closely by a lot of analysts. Since the company's press release on Monday, March 16 five analysts have published new reports on EOG. Two of them rate it a HOLD and three rate it a BUY. Their price targets range from $42 to $55. At the time of this post, EOG is trading for $36/share.
EOG is a "Core Holding" quality company with an EXTREMELY STRONG balance sheet. If EOG can't make it, then just about every upstream company will fail. Therefore, with just a bit less FEAR in the market, this stock will draw attention from lots of fund managers.
They did layer on some hedges at year-end.
> ~42.5% of their 1H 2020 oil is hedged at $59.40/bbl
> ~24% of their Q3 2020 oil is hedged at $58.94/bbl
EOG believes that oil prices will rebound in 2H 2020 and so do I (assuming a zillion people don't die from COVID-19)
Plus, EOG has a great marketing group that gets premium prices for most of their production. Their Q4 2019 realized prices were $57.13 for oil, $3.06 for natural gas and $16.23 for NGLs.
EOG is the largest company in the Sweet 16 and is followed closely by a lot of analysts. Since the company's press release on Monday, March 16 five analysts have published new reports on EOG. Two of them rate it a HOLD and three rate it a BUY. Their price targets range from $42 to $55. At the time of this post, EOG is trading for $36/share.
EOG is a "Core Holding" quality company with an EXTREMELY STRONG balance sheet. If EOG can't make it, then just about every upstream company will fail. Therefore, with just a bit less FEAR in the market, this stock will draw attention from lots of fund managers.
They did layer on some hedges at year-end.
> ~42.5% of their 1H 2020 oil is hedged at $59.40/bbl
> ~24% of their Q3 2020 oil is hedged at $58.94/bbl
EOG believes that oil prices will rebound in 2H 2020 and so do I (assuming a zillion people don't die from COVID-19)
Plus, EOG has a great marketing group that gets premium prices for most of their production. Their Q4 2019 realized prices were $57.13 for oil, $3.06 for natural gas and $16.23 for NGLs.