EOG
Posted: Mon Jul 29, 2013 11:50 am
I agree with the comments below. Assuming oil stays over $100/bbl I believe EOG is worth at least $200/share. In fact, just their stake in the Eagle Ford could be worth that in a bidding war. I also think EOG is going to announce some fantastic results in the Permian Basin when they release Q2 results next week. - Dan
Source: Yahoo Finance.
http://seekingalpha.com/article/1580062 ... urce=yahoo
Oil and Natural Gas
As more investors move into the market from cash positions, we continue to receive a bunch of questions about how to safely position retirement money or college education accounts. Usually the stipulation is how to do this utilizing some index funds, but to get a few "winning" stock picks into the mix. Everyone seems to have heard about fracking and the great wealth being creating in places such as Texas, North Dakota, Colorado, and a myriad of other states with shale plays that possess oil and NGLs.
We continue to think of EOG Resources (EOG) as one of the more compelling names when looking at the space, and believe that the pullback after failing to move above the $150/share level is a buying opportunity as the company continues to advance its acreage in the Bakken and Eagle Ford shales (among others). The shares are above where we initially highlighted them, although with the move in WTI we would argue that EOG has underperformed in relative terms. Thus, an opportunity to profit still exists from a move higher. We like averaging into this name over time, and that first purchase for those not yet owning shares could be made at current levels as this appears to be an attractive entry point.
As readers know, we have spent the past few months carefully picking names that underperformed peers in the oil and natural gas sector. But these next two names are much like EOG Resources in that they are trading very near their 52-week highs. We still continue to like the story out West as the shales with large amounts of liquids are developed. The two names at the front of the pack are Anadarko Petroleum (APC) and PDC Energy (PDCE).
Source: Yahoo Finance.
http://seekingalpha.com/article/1580062 ... urce=yahoo
Oil and Natural Gas
As more investors move into the market from cash positions, we continue to receive a bunch of questions about how to safely position retirement money or college education accounts. Usually the stipulation is how to do this utilizing some index funds, but to get a few "winning" stock picks into the mix. Everyone seems to have heard about fracking and the great wealth being creating in places such as Texas, North Dakota, Colorado, and a myriad of other states with shale plays that possess oil and NGLs.
We continue to think of EOG Resources (EOG) as one of the more compelling names when looking at the space, and believe that the pullback after failing to move above the $150/share level is a buying opportunity as the company continues to advance its acreage in the Bakken and Eagle Ford shales (among others). The shares are above where we initially highlighted them, although with the move in WTI we would argue that EOG has underperformed in relative terms. Thus, an opportunity to profit still exists from a move higher. We like averaging into this name over time, and that first purchase for those not yet owning shares could be made at current levels as this appears to be an attractive entry point.
As readers know, we have spent the past few months carefully picking names that underperformed peers in the oil and natural gas sector. But these next two names are much like EOG Resources in that they are trading very near their 52-week highs. We still continue to like the story out West as the shales with large amounts of liquids are developed. The two names at the front of the pack are Anadarko Petroleum (APC) and PDC Energy (PDCE).