Major Trends Point to Higher Crude Prices: Statoil to Benefit [View article]
STO reported 4Q2011 adjusted earnings after tax of $0.79 per share, which beats the street estimate of $0.72, and my estimate (see above) of $0.71. However, the beat was mostly attributed to a much lower tax rate of 68% vs. 73% a year ago and much better performance from non-core businesses. Management reiterated its long term goal of growing production at a CAGR of 3%. STO's 2011 production was down 2% from 2010 due to temporary operational issues. It remains to be seen if it can execute in 2012 on management's guidance of growing production by 3% from the 2010 level.
Major Trends Point to Higher Crude Prices: Statoil to Benefit [View article]
My EPS estimate for 4Q11 of $0.71 is slightly below the street average (based on Yahoo! Finance), but my EPS estimate for FY 2012 of $3.08 is above the street expectation of $2.79. My price target for the stock is $30. STO will report earnings next week on February 8th.
Wall Street Breakfast: Must-Know News [View article]
IEA sees weaker oil demand GROWTH, and cuts its forecast for this year's demand growth to 1M barrels per day. The delta, not the absolute numbers, is being referred to. The world is now consuming about 90M barrels of oil per day.
Apache: Undervalued Gem Or Hopeless Investment? [View article]
1Q2013 earnings and production volumes are broadly positive. The production mix is slightly more towards NGL and less towards oil compared to my forecast. The proposed share buyback would be a significant driver for increasing EPS. Overall, I am lowering my EPS estimate slightly to $9.33.
Major Trends Point to Higher Crude Prices: Statoil to Benefit [View article]
Eni (E), a competitor of Statoil, is due to report 1Q2012 earnings tomorrow afternoon. I am forecasting an EPS of 0.47 euro per share. will soon publish an article on this investment idea.
Look For Apache To Benefit From Rising Domestic Oil Production [View article]
APA just reported adjusted earnings per share of $2.94 vs. my estimate of $3.05. It beats the street consensus of $2.87 by 8 cents. Revenue and production are in line with my estimate, but expenses and income tax are a little higher than my expectations, and this result in the 5.7% miss from my estimate in the bottom line. We will await the company's earnings call this afternoon to adjust our expectations for 2012.
Look For Apache To Benefit From Rising Domestic Oil Production [View article]
Last night APC reported the 4Q2011 adjusted EPS of $0.85 which beats the street estimate of $0.62 by $0.23, and my estimate of $0.64 by $0.21. The beat was mainly attributed to higher than expected revenues (higher than expected realized prices and slightly better than expected production) and lower than expected expenses. APC is up today more than the major market indexes.
Look For Apache To Benefit From Rising Domestic Oil Production [View article]
As a peer of APA APC is due to report earnings next week on February 7. I am forecasting its 4Q11 EPS of $0.64 vs. the street consensus EPS of $0.62. My forecast of its EPS for the fiscal year 2012 is $3.55 vs. the street expectation of $3.33. At $81 APC is trading at an earning multiple of 24 vs. the earning multiple of 8 for APA even though both companies have similar business operations.
Look For Apache To Benefit From Rising Domestic Oil Production [View article]
APA reported 3Q EPS of $2.95 vs. my prediction of $3.00 as opposed to the consensus prediction of $2.78 (Yahoo Finance). I am forecasting 4Q EPS of $3.05 and 2012 EPS of $13.42 vs. the consensus forecast of $2.74 and $12.26. Even applying a below-peer multiple of 9 to the EPS would value the stock at $121. Given the current market turmoil from the European sovereign debt crisis, the investor should seek entry point at below $90.
Major Trends Point to Higher Crude Prices: Statoil to Benefit [View article]
Major Trends Point to Higher Crude Prices: Statoil to Benefit [View article]
Major Trends Point to Higher Crude Prices: Statoil to Benefit [View article]
Wall Street Breakfast: Must-Know News [View article]
Apache: Undervalued Gem Or Hopeless Investment? [View article]
Major Trends Point to Higher Crude Prices: Statoil to Benefit [View article]
Look For Apache To Benefit From Rising Domestic Oil Production [View article]
Look For Apache To Benefit From Rising Domestic Oil Production [View article]
Look For Apache To Benefit From Rising Domestic Oil Production [View article]
Look For Apache To Benefit From Rising Domestic Oil Production [View article]