We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
WPX Energy Exits San Juan, Focuses on Delaware & Williston
Read MoreHide Full Article
WPX Energy announced that it closed the agreement to sell its remaining holdings in San Juan Basin’s Gallup oil play to Enduring Resources IV, LLC for $700 million. This transaction marks the end of WPX Energy’s operations in the San Juan Basin. WPX Energy entered into this agreement during February 2018.
The company decided to exit from San Juan Basin after operating in the region for more than three decades, to concentrate on its assets in Delaware and Williston basins. In December 2017, the company sold natural gas assets in the northern San Juan basin for $169 million. (Read more: WPX Energy Sells San Juan Natural Gas Assets for $169M)
WPX Energy Changes Focus
WPX Energy has transformed itself from a natural gas focused company to an oil focused one. The company has been able to do so through nearly $8 billion of transactions.
In less than two years, WPX Energy has completed more than 10 major transactions, including $2.7 billion in divestitures. WPX Energy exited the Piceance Basin, Marcellus Shale, Powder River Basin and South America. The company sold several firm transportation agreements to focus on oil development in the Delaware and Williston Basin.
At present, nearly 80% production of the company is oil and the rest natural gas. It was simply the opposite five years ago. This transformation is a result of execution of the company’s plan to produce more liquids.
The company plans to utilize a major portion of the sell proceeds for lowering its existing debts and further strengthen balance sheet.
Oil Prices Recovering
Oil prices are recovering gradually from the historic low and expected to improve from the current levels. The upward revision in energy prices will have a positive impact on the performance of Chevron Corporation (CVX - Free Report) and Exxon Mobil Corporation (XOM - Free Report) . The companies are currently displaying a positive revision in earnings estimates for 2018 and 2019, in the last 60 days.
Price Movement
In a year’s time, shares of WPX Energy have gained 11.0%, outperforming its industry's decline of 9.4%.
Concho Resources delivered positive earnings surprise in last four quarters with an average of 48.89%. The company’s 2018 and 2019 earnings estimates increased 27.2% and 29.9%, respectively, in the last 60 days.
Can Hackers Put Money INTO Your Portfolio?
Earlier this year, credit bureau Equifax announced a massive data breach affecting 2 out of every 3 Americans. The cybersecurity industry is expanding quickly in response to this and similar events. But some stocks are better investments than others.
Zacks has just released Cybersecurity! An Investor’s Guide to help Zacks.com readers make the most of the $170 billion per year investment opportunity created by hackers and other threats. It reveals 4 stocks worth looking into right away.
Image: Bigstock
WPX Energy Exits San Juan, Focuses on Delaware & Williston
WPX Energy announced that it closed the agreement to sell its remaining holdings in San Juan Basin’s Gallup oil play to Enduring Resources IV, LLC for $700 million. This transaction marks the end of WPX Energy’s operations in the San Juan Basin. WPX Energy entered into this agreement during February 2018.
The company decided to exit from San Juan Basin after operating in the region for more than three decades, to concentrate on its assets in Delaware and Williston basins. In December 2017, the company sold natural gas assets in the northern San Juan basin for $169 million. (Read more: WPX Energy Sells San Juan Natural Gas Assets for $169M)
WPX Energy Changes Focus
WPX Energy has transformed itself from a natural gas focused company to an oil focused one. The company has been able to do so through nearly $8 billion of transactions.
In less than two years, WPX Energy has completed more than 10 major transactions, including $2.7 billion in divestitures. WPX Energy exited the Piceance Basin, Marcellus Shale, Powder River Basin and South America. The company sold several firm transportation agreements to focus on oil development in the Delaware and Williston Basin.
At present, nearly 80% production of the company is oil and the rest natural gas. It was simply the opposite five years ago. This transformation is a result of execution of the company’s plan to produce more liquids.
The company plans to utilize a major portion of the sell proceeds for lowering its existing debts and further strengthen balance sheet.
Oil Prices Recovering
Oil prices are recovering gradually from the historic low and expected to improve from the current levels. The upward revision in energy prices will have a positive impact on the performance of Chevron Corporation (CVX - Free Report) and Exxon Mobil Corporation (XOM - Free Report) . The companies are currently displaying a positive revision in earnings estimates for 2018 and 2019, in the last 60 days.
Price Movement
In a year’s time, shares of WPX Energy have gained 11.0%, outperforming its industry's decline of 9.4%.
Zacks Rank & Key Pick
WPX Energy carries a Zacks Rank #3 (Hold).
A better-ranked stock worth considering in the same space is Concho Resources Inc. , sporting a Zacks Rank #1 (Strong Buy). You can see the complete list of today's Zacks #1 Rank stocks here.
Concho Resources delivered positive earnings surprise in last four quarters with an average of 48.89%. The company’s 2018 and 2019 earnings estimates increased 27.2% and 29.9%, respectively, in the last 60 days.
Can Hackers Put Money INTO Your Portfolio?
Earlier this year, credit bureau Equifax announced a massive data breach affecting 2 out of every 3 Americans. The cybersecurity industry is expanding quickly in response to this and similar events. But some stocks are better investments than others.
Zacks has just released Cybersecurity! An Investor’s Guide to help Zacks.com readers make the most of the $170 billion per year investment opportunity created by hackers and other threats. It reveals 4 stocks worth looking into right away.
Download the new report now>>