- Barclays backs EOG Resources (EOG) and Continental Resources (CLR) among its top oil and gas recommendations.
- EOG is targeting sustained double-digit peer-group leading crude oil growth in 2013-17 if WTI prices were to remain at or above $85/bbl., the firm says, seeing "very little risk to these stated goals, with the company continuing to focus on the Eagle Ford and the Bakken... Capital efficiency and corporate level returns should continue to improve over the next several years as infrastructure and exploration spending slows."
- CLR's production has grown ~45% annually for the past three years, and will "likely continue to deliver top-tier, low-risk production growth rates for years to come. We are forecasting growth rates of ~20% annually beyond 2015 vs. a peer-group average of 5-10%... Shares trade at a modest 9% premium to the group on 2015 estimates, and over a 10% discount on 2018 estimates."
EOG, Continental rank among top oil and gas picks at Barclays
Jan 13 2014, 17:49 ET