Newfield Exploration: Growing Under Wall Street's Radar

Excerpt from our One Page Barron's Summary (receive it weekly by email by signing up here):

Emboldened Explorer by Robin Goldwyn Blumenthal

Highlighted companies: Newfield Exploration (NFX)
Summary: Wall Street seems to have missed the fact that gas and oil E&P company Newfield has diversified its operations away from the Gulf of Mexico and into the American heartland, in the process boosting its expected production 20-25% in the coming year. Hurricanes Katrina and Rita damaged Newfield's offshore infrastructure in 2005, causing the company to miss production targets for two quarters, but successful horizontal drilling in the promising Woodford Shale area of southeast Oklahoma should ensure more stable onshore growth for years to come. Trading at a 15% discount to its peers and at a multiple of 4.5 times expected 2007 cash flow, "this is a cheap stock."
Related: The Long Case for Newfield Energy, all Seeking Alpha coverage of Exploration & Production stocks