Back to top

Press Releases

Zacks Equity Research

The Zacks Analyst Blog Highlights: CONE Midstream Partners, Premier Oil, Antero Resources and Tullow Oil

CNNX PMOIY AR TUWOY

Trades from $3

For Immediate Release

Chicago, IL – October 13, 2016 – Zacks.com announces the list of stocks featured in the Analyst Blog. Every day the Zacks Equity Research analysts discuss the latest news and events impacting stocks and the financial markets. Stocks recently featured in the blog include CONE Midstream Partners L.P. (NYSE:(CNNX - Free Report) -Free Report),Premier Oil plc (OTCMKTS:(PMOIY - Free Report) -Free Report),Antero Resources Corp. (NYSE(AR - Free Report) -Free Report) andTullow Oil plc (OTCMKTS:(TUWOY - Free Report) -Free Report).

Today, Zacks is promoting its ''Buy'' stock recommendations. Get #1Stock of the Day pick for free.

Here are highlights from Wednesday’s Analyst Blog:

4 Energy Value Stocks That Can Grow Earnings 20%

 

Oil prices held above the $50 threshold as government figures continue to show large drawdowns, while investors bet on commitments by OPEC and non-OPEC players to slash production targets.

Encouraging Trends

OPEC Agreement: The Organization of Petroleum Exporting Countries (OPEC), whose member nations supply around 40% of the world's crude, said it would cut production by as much as 750,000 barrels a day starting in November in order to keep oil prices from falling further. Most industry observers didn’t have high expectations from the meeting.

OPEC's decision to cut oil production – made in a meeting in Algiers last Wednesday, Sep 28 – took most analysts by surprise. The move, led by Saudi Arabia, aims to trim output to 32.5-33.0 million barrels per day from the current 33.5 million barrels per day.

The group, which includes member countries from the Middle East, Africa and Latin America, also claims to have firm commitments from non-OPEC biggies like Russia to participate in a collective effort to cut the supply glut.

Bullish EIA Numbers: The U.S. Energy Department's inventory release showed that crude stockpiles declined for the fifth straight week, continuing to drag down the overall surplus.

The federal government’s EIA report revealed that crude inventories fell by 2.98 million barrels for the week ending Sep 30, 2016, following a decline of 1.88 million barrels in the previous week.

The analysts surveyed by S&P Global Platts – the leading independent commodities and energy data provider – had expected crude stocks to go up some 2 million barrels. A drop in imports and production led to the surprise stockpile draw with the world's biggest oil consumer even as refinery activity slowed.

Following the fifth straight inventory reduction, the year-over-year storage surplus has narrowed down considerably.

Energy Stocks Gain

Year-to-date, ‘The Energy Select Sector SPDR’ has gained an impressive 17.54%, easily outperforming the broad-based Dow Jones Industrial Average and the S&P 500 index, which gained just 4.04% and 4.54%, respectively. Most major oil stocks relocated in the green.

Upbeat Outlook

It's true that record high inventories and tepid demand growth could still push the commodity to the depths of multiyear lows. But signs are emerging that oil prices are likely to stabilize and gradually pick up. Not only is global demand expanding but energy companies have significantly scaled back on plans to explore for and bring out more oil. This should lead to lower future production and supply/demand rebalancing.

Secondly, while analysts remain deeply skeptical that the OPEC output curb would be carried through, the early reaction in energy stocks has been positive. Oil prices have jumped more than 10% since the members’ meeting in Algeria, and should the ministers agree on production levels in Nov, even higher prices are a likely outcome.

Even as we cannot run down the chances of the market moving sideways and seeing high volatility, many analysts are not too bearish about oil in the remainder of 2016. In fact, some industry observers are of the view that crude prices would break through $55-per-barrel before then year-end.

Opt for Value Picks with Earnings Growth

Since the long-term landscape holds well for energy stocks, despite certain bottlenecks, it will be a wise decision to invest in value stocks.

Value investing offers an opportunity to enter the market and grab stocks that have otherwise been overlooked by a majority of investors, and are thus trading at cheap multiples.

Thanks to our new style score system, we have been able to identify value stocks which have incredible potential in the near term. Our research shows that stocks with Value Style Scores of ‘A’ or ‘B’ when combined with Zacks Rank #1 (Strong Buy) or 2 (Buy) offer great investment opportunities. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here .Further, we have chosen those value stocks that have an estimated growth rate of more than 20% this year.

4 Stocks to Invest In

CONE Midstream Partners L.P. (NYSE:(CNNX - Free Report) -Free Report) : Headquartered in Canonsburg, PA, CONE Midstream Partners is a master limited partnership focused on natural gas and condensate gathering in the Marcellus Shale in Pennsylvania, Ohio and West Virginia.

Zacks Rank: #1

Value Score: ‘A’

Estimated growth rate for this year: 28.89%

Premier Oil plc (OTCMKTS:(PMOIY - Free Report) -Free Report) : One of the oldest exploration and production companies in Europe, Premier Oil has assets spread over Africa, Brazil, Falkland Islands, Pakistan, Southeast Asia and the North Sea.

Zacks Rank: #2

Value Score: ‘A’

Estimated growth rate for this year: 110.63%

Antero Resources Corp. (NYSE(AR - Free Report) -Free Report) : Founded in 2002, Denver, CO-based Antero Resources is an independent oil and natural gas company with focus on liquids-rich natural gas in the Appalachian Basin in West Virginia, Ohio and Pennsylvania.

Zacks Rank: #2

Value Score: ‘B’

Estimated growth rate for this year: 42.54%

Tullow Oil plc (OTCMKTS:(TUWOY - Free Report) -Free Report) : Headquartered in London, U.K., Tullow Oil is a European upstream player with main focus on Africa - Ghana, Uganda and Kenya. Additionally, the company holds licenses in the North Sea and South America.

Zacks Rank: #2

Value Score: ‘B’

Estimated growth rate for this year: 216.67%

Bottom Line

Despite the volatility in the energy markets, we suggest these top-ranked stocks – with a good value score and solid earnings growth forecast – as attractive bets for investors.

Zacks' Best Investment Ideas for Long-Term Profit

Today you can gain access to long-term trades with double and triple-digit profit potential rarely available to the public. Starting now, you can look inside our stocks under $10, home run and value stock portfolios, plus more. Want a peek at this private information? Click here >>

Today, Zacks is promoting its ''Buy'' stock recommendations. Get #1Stock of the Day pick for free.

About Zacks Equity Research

Zacks Equity Research provides the best of quantitative and qualitative analysis to help investors know what stocks to buy and which to sell for the long-term.

Continuous coverage is provided for a universe of 1,150 publicly traded stocks. Our analysts are organized by industry which gives them keen insights to developments that affect company profits and stock performance. Recommendations and target prices are six-month time horizons.

Zacks "Profit from the Pros" e-mail newsletter provides highlights of the latest analysis from Zacks Equity Research. Subscribe to this free newsletter today.

About Zacks

Zacks.com is a property of Zacks Investment Research, Inc., which was formed in 1978. The later formation of the Zacks Rank, a proprietary stock picking system; continues to outperform the market by nearly a 3 to 1 margin. The best way to unlock the profitable stock recommendations and market insights of Zacks Investment Research is through our free daily email newsletter; Profit from the Pros. In short, it's your steady flow of Profitable ideas GUARANTEED to be worth your time! Register for your free subscription to Profit from the Pros.

Get the full Report on CNNX - FREE

Get the full Report on PMOIY - FREE

Get the full Report on AR - FREE

Get the full Report on TUWOY - FREE

Follow us on Twitter: https://twitter.com/zacksresearch

Join us on Facebook: https://www.facebook.com/home.php#/pages/Zacks-Investment-Research/57553657748?ref=ts

Zacks Investment Research is under common control with affiliated entities (including a broker-dealer and an investment adviser), which may engage in transactions involving the foregoing securities for the clients of such affiliates.

Media Contact
Zacks Investment Research

800-767-3771 ext. 9339

support@zacks.com

https://www.zacks.com

Past performance is no guarantee of future results. Inherent in any investment is the potential for loss. This material is being provided for informational purposes only and nothing herein constitutes investment, legal, accounting or tax advice, or a recommendation to buy, sell or hold a security. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. It should not be assumed that any investments in securities, companies, sectors or markets identified and described were or will be profitable. All information is current as of the date of herein and is subject to change without notice. Any views or opinions expressed may not reflect those of the firm as a whole. Zacks Investment Research does not engage in investment banking, market making or asset management activities of any securities. These returns are from hypothetical portfolios consisting of stocks with Zacks Rank = 1 that were rebalanced monthly with zero transaction costs. These are not the returns of actual portfolios of stocks. The S&P 500 is an unmanaged index. Visit https://www.zacks.com/performance for information about the performance numbers displayed in this press release.
 


In-Depth Zacks Research for the Tickers Above

Normally $25 each - click below to receive one report FREE:

CONE MIDSTREAM (CNNX) - free report >>

PREMIER OIL-ADR (PMOIY) - free report >>

ANTERO RESOURCE (AR) - free report >>

TULLOW OIL PLC (TUWOY) - free report >>