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.
Canadian Natural (CNQ) Hardly Moves Despite Q1 Earnings Beat
Read MoreHide Full Article
Shares of Canadian Natural Resources Limited (CNQ - Free Report) have displayed no significant change in price performance since first-quarter 2021 earnings announcement on May 6.Despite the industry player’s impressive earnings and revenue results, and a solid production guidance for 2021, its stock shows no sign of growth.
Behind the Earnings Headlines
Canadian Natural reported first-quarter 2021 adjusted earnings per share of 81 cents, beating the Zacks Consensus Estimate of 67 cents. The bottom line also reversed the year-ago loss of 19 cents per share. This outperformance is attributable to increased output from North America, lower costs and higher commodity price realizations.
Total revenues of $5.22 billion surpassed the Zacks Consensus Estimate of $4.89 billion. Moreover, the top line improved from $3.36 billion a year ago.
During the quarter under review, the company, which is committed to adding shareholder value, returned C$503 million via dividends.
Canadian Natural declared a quarterly dividend of 47 Canadian cents a share, payable Jul 5, 2021 to its shareholders of record as of Jun 18, 2021.
Production & Prices
Canadian Natural reported quarterly production of 1,245,703 barrels of oil equivalent per day (BOE/d), up 5.7% from the prior-year quarter. Oil and NGLs output (accounting for more than 78.6% of total volumes) rose to 979,352 barrels per day (Bbl/d) from 938,676 Bbl/d a year ago. Crude oil and NGLs production from operations in North America including synthetic crude oil production of 468,803 Bbl/d and bitumen output of 267,530 Bbl/d totaled 736,333 Bbl/d, comparing favorably with the year-ago quarter’s 666,404 Bbl/d owing to a continued focus on effective and efficient operations.
Natural gas volumes recorded an 11% year-over-year rise from 1,440 million cubic feet per day (MMcf/d) to 1,598 MMcf/d in the quarter. Production in North America summed 1,585 MMcf/d compared with 1,407 MMcf/d in the prior year.
Canadian Natural’s realized natural gas price surged 54.1% to C$3042 per thousand cubic feet from the year-ago level of C$2.22. Moreover, realized oil and NGLs price jumped 103.4% to C$52.68 per barrel from C$25.90 in the first quarter of 2020.
Canadian Natural Resources Limited Price, Consensus and EPS Surprise
Total expenses incurred in the quarter were C$4,913 million, lower than C$5,941 million recorded a year ago. Decline in depletion, depreciation and amortization expenses along with foreign exchange gain reduced the overall costs. Further, Canadian Natural’s Oil Sands Mining and Upgrading operating expenses decreased 4.5% year over year to C$19.82 per barrel.
In the reported quarter, capital expenditure (including net acquisition costs) totaled C$808 million.
Balance Sheet
As of Mar 31, the company had C$166 million in cash and cash equivalents, and a long-term debt of C$18,237 million, representing total debt to total capital of 35.4%.
2021 Guidance
Canadian Natural’s 2021 capex is estimated at C$3.2 billion, indicating a production target of 1,190-1,260 MBOE/d range, the midpoint of which is expected to be up 5% from the prior-year levels.
A massive push to rebuild the crumbling U.S. infrastructure will soon be underway. It’s bipartisan, urgent, and inevitable. Trillions will be spent. Fortunes will be made.
The only question is “Will you get into the right stocks early when their growth potential is greatest?”
Zacks has released a Special Report to help you do just that, and today it’s free. Discover 7 special companies that look to gain the most from construction and repair to roads, bridges, and buildings, plus cargo hauling and energy transformation on an almost unimaginable scale.
Image: Bigstock
Canadian Natural (CNQ) Hardly Moves Despite Q1 Earnings Beat
Shares of Canadian Natural Resources Limited (CNQ - Free Report) have displayed no significant change in price performance since first-quarter 2021 earnings announcement on May 6.Despite the industry player’s impressive earnings and revenue results, and a solid production guidance for 2021, its stock shows no sign of growth.
Behind the Earnings Headlines
Canadian Natural reported first-quarter 2021 adjusted earnings per share of 81 cents, beating the Zacks Consensus Estimate of 67 cents. The bottom line also reversed the year-ago loss of 19 cents per share. This outperformance is attributable to increased output from North America, lower costs and higher commodity price realizations.
Total revenues of $5.22 billion surpassed the Zacks Consensus Estimate of $4.89 billion. Moreover, the top line improved from $3.36 billion a year ago.
During the quarter under review, the company, which is committed to adding shareholder value, returned C$503 million via dividends.
Canadian Natural declared a quarterly dividend of 47 Canadian cents a share, payable Jul 5, 2021 to its shareholders of record as of Jun 18, 2021.
Production & Prices
Canadian Natural reported quarterly production of 1,245,703 barrels of oil equivalent per day (BOE/d), up 5.7% from the prior-year quarter. Oil and NGLs output (accounting for more than 78.6% of total volumes) rose to 979,352 barrels per day (Bbl/d) from 938,676 Bbl/d a year ago. Crude oil and NGLs production from operations in North America including synthetic crude oil production of 468,803 Bbl/d and bitumen output of 267,530 Bbl/d totaled 736,333 Bbl/d, comparing favorably with the year-ago quarter’s 666,404 Bbl/d owing to a continued focus on effective and efficient operations.
Natural gas volumes recorded an 11% year-over-year rise from 1,440 million cubic feet per day (MMcf/d) to 1,598 MMcf/d in the quarter. Production in North America summed 1,585 MMcf/d compared with 1,407 MMcf/d in the prior year.
Canadian Natural’s realized natural gas price surged 54.1% to C$3042 per thousand cubic feet from the year-ago level of C$2.22. Moreover, realized oil and NGLs price jumped 103.4% to C$52.68 per barrel from C$25.90 in the first quarter of 2020.
Canadian Natural Resources Limited Price, Consensus and EPS Surprise
Canadian Natural Resources Limited price-consensus-eps-surprise-chart | Canadian Natural Resources Limited Quote
Costs & Capital Expenditure
Total expenses incurred in the quarter were C$4,913 million, lower than C$5,941 million recorded a year ago. Decline in depletion, depreciation and amortization expenses along with foreign exchange gain reduced the overall costs. Further, Canadian Natural’s Oil Sands Mining and Upgrading operating expenses decreased 4.5% year over year to C$19.82 per barrel.
In the reported quarter, capital expenditure (including net acquisition costs) totaled C$808 million.
Balance Sheet
As of Mar 31, the company had C$166 million in cash and cash equivalents, and a long-term debt of C$18,237 million, representing total debt to total capital of 35.4%.
2021 Guidance
Canadian Natural’s 2021 capex is estimated at C$3.2 billion, indicating a production target of 1,190-1,260 MBOE/d range, the midpoint of which is expected to be up 5% from the prior-year levels.
Zacks Rank & Other Key Picks
Canadian Natural sports a Zacks Rank #1 (Strong Buy), currently. Other top-ranked players in the energy space include SilverBow Resources Inc. (SBOW - Free Report) , Matador Resources Company (MTDR - Free Report) and Continental Resources, Inc. , each presently flaunting a Zacks Rank of 1. You can see the complete list of today’s Zacks #1 Rank stocks here.
Infrastructure Stock Boom to Sweep America
A massive push to rebuild the crumbling U.S. infrastructure will soon be underway. It’s bipartisan, urgent, and inevitable. Trillions will be spent. Fortunes will be made.
The only question is “Will you get into the right stocks early when their growth potential is greatest?”
Zacks has released a Special Report to help you do just that, and today it’s free. Discover 7 special companies that look to gain the most from construction and repair to roads, bridges, and buildings, plus cargo hauling and energy transformation on an almost unimaginable scale.
Download FREE: How to Profit from Trillions on Spending for Infrastructure >>