Street Smart Investor
Long-term horizon, energy, natural resources, micro-cap

Gastar Exploration: 30% Correction Is A Buy Opportunity

Initiation Summary

Gastar Exploration (NYSEMKT:GST), an independent energy company, has been among the many beneficiaries of the oil & gas boom in the United States. With a strong position in Marcellus Shale and initiation of operations in the Hunton Limestone horizontal oil play, Gastar Exploration has hit the right chord.

Backed by strong exploration and production development, Gastar Exploration has surged by 105% in the last one year even after the recent correction. Over the last one year, the stock has surged from $3.07 to current levels of $6.31.

However, after peaking out at $8.99 on June 23, 2014, the stock has corrected by 30% over the next two months and I believe that this correction was primarily...

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