Plug Power (PLUG) sold 22.6M shares - far more than the 15M it had filed to sell - at $5.50 each, in its biggest stock sale ever today, showing continuing investor demand for some smaller tech companies despite the fuel cell company's turbulent trading history.
The offering raised $124.3M before the potential sale of additional shares to underwriters; PLUG has conducted five stock offerings since the start of last year, each raising $30M at most.
PLUG brought in Morgan Stanley to lead the offering with Barclays while demoting Cowen & Co., the banker on its last three equity sales, to a passive role in favor of underwriters that rank among the top 10 by market share in arranging U.S. stock sales.
Weatherford (WFT) pushes ahead with its corporate downsizing, saying in its Q1 earnings report that it has so far identified more than 6,600 positions for elimination and completed ~56% of its planned workforce, with an estimated pretax annualized savings of $263M.
WFT also says it began the process of closing 20 underperforming operating locations in various countries.
Reaffirms guidance for FY 2014, seeing EPS of $1.10-$1.20 vs. $1.00 analyst consensus estimate.
Synergy Resources (SYRG) surged 7.6% today on news that its proved reserves rose 43% to 19.7M boe as of Feb. 28 from 13.8M boe at the end of its fiscal year on Aug. 31, 2013; the PV-10 value of the reserves rose to $326M from $236M.
SYRG attributed the increase to a successful horizontal drilling program which currently sports 11 wells; another 20-25 horizontal wells are planned for drilling before Aug. 31.
Northland Capital raised its price target to $15 from $13 following the report.
Core Labs (CLB -9.2%) shares plunge after Q1 results surprised investors with below-consensus earnings driven by weather disruptions in January and February, slower than expected international activity, and offshore project delays.
CLB is downgraded to Underweight from Overweight with a $200 price target, lowered from $220, at Morgan Stanley, but Cowen believes the company's challenges are largely transitory and maintain its respective 2014 and 2015 EPS estimates of $6.15 and $7.15 (Briefing.com).
Some analysts also have come to BTU's defense: Brean Capital's Lucas Pipes wrote that investors should be relieved by the company’s ability to continue to navigate the low price environment relatively well, Simmons' analysts said BTU's downside guidance was reasonable given lower benchmark met and thermal coal prices ahead, and Cowen said it would be buyers on share price weakness.
Most other coal names also are up: ANR +3.9%, ACI -1.5%, YZC +0.2%, CLD +0.4%, WLT +0.9%, CNX +2.8%.
Helmerich & Payne (HP -6%) shares are sharply lower after Q1 earnings came in lower than expected and the company’s international land operations business unit posted disappointing results.
Operating revenues in U.S. land operations totaled $742M (83% of total revenue), up 8.2% Y/Y; average rig revenue per operating day was ~$28K, down 0.8%, while average rig margin per day fell 1.4% to $14,957.
International land operations recorded revenues of $85.5M, down 9.1% Y/Y; average daily rig revenue was ~$37K, down 8.8%, while rig margin per day was $10,918, down 1.2%.
Signed multi-year deals with five E&P companies to build and operate nine additional FlexRigs to drill unconventional U.S. resource plays, bringing the total number of newbuild FlexRig commitments announced in FY 2014 to 44.
Cabot Oil & Gas (COG +5.2%) trades sharply higher, overcoming Q1 results that trailed analyst expectations, as earnings doubled and revenues rose 36% Y/Y to $510M.
Q1 total production grew 34% Y/Y to 119.9B cfe, driven by higher realized natural gas prices.
Total per unit costs fell 19% Y/Y to $2.66/Mcfe from $3.29/Mcfe; all operating expense categories fell on a per unit basis except for exploration expense, which was flat, and transportation and gathering, which rose due to slightly higher transportation rates and new transportation agreements in the Marcellus.
Tightened 2014 production guidance range to 530B-585B cfe from 519B-598B cfe, and 20%-30% output growth in 2015; raises its capital budget to $1.375B-$1.475B amid an increase in rig count and higher activity in the Eagle Ford.
Russia's Gazprom (OGZPY) has billed Ukraine's Naftogaz $11.4B for not importing the full amount of natural gas under a 2013 supply contract, adding pressure on the Ukraine government as the prospect of supply cuts looms.
Ukraine's ballooning debt could give Moscow the right to demand an early repayment of a loan, which could theoretically cause a domino effect on ~$20B of Ukraine sovereign and quasi-sovereign debt.
The latest figures from Ukraine put state debt at 804B hryvnia ($70B), or 52,7% of the GDP; if Gazprom's demand is met, the ratio would rise above a 60% threshold that would give Russia the right to demand an early redemption.