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.
Cimarex Energy (XEC) Beats Q2 Earnings & Revenue Estimates
Read MoreHide Full Article
Upstream firm Cimarex Energy Co. reported second-quarter 2017 earnings of $1.06 per share beat the Zacks Consensus Estimate of 95 cents. The earnings also increased from 22 cents reported in the year-ago quarter. The improvement is mainly attributable to increase in production and higher oil and gas price realizations.
Total Revenue
In the second quarter, Cimarex Energy’s total revenue of $456.4 million surpassed the Zacks Consensus Estimate of $443.5 million. Revenues also increased from $298.9 million a year ago.
Cimarex Energy Co Price, Consensus and EPS Surprise
In the quarter under review, total production averaged 1,156.3 million cubic feet equivalent (MMcfe) per day, up 18.7% year over year. Oil volumes increased 30.3% to 57.9 thousand barrels per day (MBbls/d) and natural gas volumes inched up 11.9% to 516.7 MMcf, both on a year-over-year basis. Natural gas liquids (NGL) volumes jumped 19% year over year to 48.7 MBbls/d.
Realized prices for natural gas, crude oil and NGL displayed year-over-year increase of 55%, 10% and 31% to $2.82 per thousand cubic feet, $44.14 per barrel and $18.24 per barrel, respectively, in the reported quarter.
The company brought 51 gross (18 net) wells onstream during the quarter. The company added that a total of 98 gross (29 net) wells were pending completion as of Jun 30.
Financial Condition
As of Jun 30, Cimarex Energy had cash and cash equivalents of $519.6 million compared with $652.9 million as of Dec 31, 2016. Net long-term debt was $1.5 billion, which represents a debt-to-capitalization ratio of 39.1%.
Cimarex Energy's net cash from operating activities during the quarter was $255.3 million compared with $132.4 million in the prior-year period. The company spent $296 million for exploration and development during the second quarter, of which 53% was allocated to the Permian Basin and 45% was allotted for the Mid-Continent. This was primarily funded with cash flow from operations and cash in hand.
Second-Quarter Price Performance
The company’s shares have underperformed the industry during the second quarter of this year. During the period, the stock has lost 21.4% compared with the industry’s 17% decrease.
Guidance
Total production for the third quarter of 2017 is projected to average 1,100–1140 MMcfe per day, slightly down from second-quarter level.
Full-year 2017 production has been increased to the range of 1,120-1,140 MMcfe from earlier guidance.
Capital investment for exploration and development has been reiterated at $1.1–$1.2 billion for 2017. Of the total, 62% is allocated for the Permian, while 37% is allocated for the Mid-Continent.
Global Partners delivered a positive earnings surprise of 1200.00% in the preceding quarter. The company beat estimates in three of the trailing four quarters with an average positive earnings surprise of 415.30%.
Braskem delivered a positive earnings surprise of 107.79% in the quarter ending September 2016.
TransCanada delivered a positive earnings surprise of 12.00% in the preceding quarter. It surpassed estimates in two of the trailing four quarters with an average positive earnings surprise of 4.06%.
More Stock News: Tech Opportunity Worth $386 Billion in 2017
From driverless cars to artificial intelligence, we've seen an unsurpassed growth of high-tech products in recent months. Yesterday's science-fiction is becoming today's reality. Despite all the innovation, there is a single component no tech company can survive without. Demand for this critical device will reach $387 billion this year alone, and it's likely to grow even faster in the future.
Zacks has released a brand-new Special Report to help you take advantage of this exciting investment opportunity. Most importantly, it reveals 4 stocks with massive profit potential. See these stocks now>>
Unique Zacks Analysis of Your Chosen Ticker
Pick one free report - opportunity may be withdrawn at any time
Image: Bigstock
Cimarex Energy (XEC) Beats Q2 Earnings & Revenue Estimates
Upstream firm Cimarex Energy Co. reported second-quarter 2017 earnings of $1.06 per share beat the Zacks Consensus Estimate of 95 cents. The earnings also increased from 22 cents reported in the year-ago quarter. The improvement is mainly attributable to increase in production and higher oil and gas price realizations.
Total Revenue
In the second quarter, Cimarex Energy’s total revenue of $456.4 million surpassed the Zacks Consensus Estimate of $443.5 million. Revenues also increased from $298.9 million a year ago.
Cimarex Energy Co Price, Consensus and EPS Surprise
Cimarex Energy Co Price, Consensus and EPS Surprise | Cimarex Energy Co Quote
Operational Highlights
In the quarter under review, total production averaged 1,156.3 million cubic feet equivalent (MMcfe) per day, up 18.7% year over year. Oil volumes increased 30.3% to 57.9 thousand barrels per day (MBbls/d) and natural gas volumes inched up 11.9% to 516.7 MMcf, both on a year-over-year basis. Natural gas liquids (NGL) volumes jumped 19% year over year to 48.7 MBbls/d.
Realized prices for natural gas, crude oil and NGL displayed year-over-year increase of 55%, 10% and 31% to $2.82 per thousand cubic feet, $44.14 per barrel and $18.24 per barrel, respectively, in the reported quarter.
The company brought 51 gross (18 net) wells onstream during the quarter. The company added that a total of 98 gross (29 net) wells were pending completion as of Jun 30.
Financial Condition
As of Jun 30, Cimarex Energy had cash and cash equivalents of $519.6 million compared with $652.9 million as of Dec 31, 2016. Net long-term debt was $1.5 billion, which represents a debt-to-capitalization ratio of 39.1%.
Cimarex Energy's net cash from operating activities during the quarter was $255.3 million compared with $132.4 million in the prior-year period. The company spent $296 million for exploration and development during the second quarter, of which 53% was allocated to the Permian Basin and 45% was allotted for the Mid-Continent. This was primarily funded with cash flow from operations and cash in hand.
Second-Quarter Price Performance
The company’s shares have underperformed the industry during the second quarter of this year. During the period, the stock has lost 21.4% compared with the industry’s 17% decrease.
Guidance
Total production for the third quarter of 2017 is projected to average 1,100–1140 MMcfe per day, slightly down from second-quarter level.
Full-year 2017 production has been increased to the range of 1,120-1,140 MMcfe from earlier guidance.
Capital investment for exploration and development has been reiterated at $1.1–$1.2 billion for 2017. Of the total, 62% is allocated for the Permian, while 37% is allocated for the Mid-Continent.
Zacks Rank & Other Stocks
Cimarex Energy currently carries a Zacks Rank #3 (Hold). Some better-ranked stocks in the same space include Global Partners LP (GLP - Free Report) , Braskem S.A. (BAK - Free Report) and TransCanada Corp. (TRP - Free Report) . All of these stocks sport a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
Global Partners delivered a positive earnings surprise of 1200.00% in the preceding quarter. The company beat estimates in three of the trailing four quarters with an average positive earnings surprise of 415.30%.
Braskem delivered a positive earnings surprise of 107.79% in the quarter ending September 2016.
TransCanada delivered a positive earnings surprise of 12.00% in the preceding quarter. It surpassed estimates in two of the trailing four quarters with an average positive earnings surprise of 4.06%.
More Stock News: Tech Opportunity Worth $386 Billion in 2017
From driverless cars to artificial intelligence, we've seen an unsurpassed growth of high-tech products in recent months. Yesterday's science-fiction is becoming today's reality. Despite all the innovation, there is a single component no tech company can survive without. Demand for this critical device will reach $387 billion this year alone, and it's likely to grow even faster in the future.
Zacks has released a brand-new Special Report to help you take advantage of this exciting investment opportunity. Most importantly, it reveals 4 stocks with massive profit potential. See these stocks now>>