Rosetta Resources Inc.NASDAQ
The Noble/Rosetta Merger: Signs Of A Coming Flood, Or Just A Trickle?
Raw Energy • 10 Comments
Raw Energy • 10 Comments
Noble-Rosetta Deal: A Harbinger Of The Upstream Consolidation Wave?
Richard Zeits • 15 Comments
Richard Zeits • 15 Comments
Jul. 17, 2015, 12:58 PM
- Rosetta Resources (ROSE +1.2%) pumped 63K boe/day during Q2, 2% more than the same period last year and exceeding the high end of company estimates, the company said in its Q2 earnings report ahead of the expected close next Monday of its takeover by Noble Energy (NBL +1.2%).
- ROSE’s assets in the Eagle Ford Shale in South Texas and the Permian Basin in West Texas have been “under-appreciated,” and the Q2 results shed light on why NBL was eager to snap them up, Tudor Pickering analysts say.
- ROSE’s volumes are projected to add 66K boe/day to NBL’s portfolio, or ~18% of the company’s total output, and the Q2 results are "a positive read-through for Noble," Raymond James says.
- Even as ROSE pumped more oil, the company posted a $342M Q2 loss as it fetched a smaller price for its crude.
Jul. 17, 2015, 7:15 AM
- Rosetta Resources (NASDAQ:ROSE): Q2 EPS of $0.16 beats by $0.16.
- Revenue of $101.27M (-54.2% Y/Y) misses by $81.17M.
May 11, 2015, 11:27 AM
- Some analysts say Noble Energy’s (NBL -7.5%) acquisition of Rosetta Resources (ROSE +25.5%) is the deal that will finally open the floodgates of M&A activity in the oil patch.
- The premium for ROSE is below average for the sector over the past five years, suggesting there are more mergers to come, says Oppenheimer's Fadel Gheit, and the sale shows that M&A was “arguably” a cheaper option for growth than organic investment, according to Morgan Stanley's Martijn Rats.
- SunTrust's Neal Dingmann sees Matador Resources (MTDR -0.9%), Callon Petroleum (CPE -0.5%) and Carrizon Oil & Gas (CRZO -1.8%) as the most likely targets for acquisitive eyes.
May 11, 2015, 9:22 AM
May 11, 2015, 6:57 AM
- Noble Energy (NYSE:NBL) has agreed to acquire Rosetta Resources (NASDAQ:ROSE) for $2.1B in stock, giving the energy producer a position in two of the largest areas of shale production in the U.S. - Eagle Ford and Permian.
- Under the terms of the deal, Rosetta shareholders will receive 0.542 of a Noble share for each Rosetta share they hold. Noble will also assume Rosetta’s $1.8B in net debt.
- NBL +0.4% premarket
May 8, 2015, 11:57 AM
- Rosetta Resources (ROSE +0.2%) is upgraded to Hold from Reduce with a $19 price target, up from $18, at KLR Group after shares sank 10% in the three days following disappointing Q1 results.
- KLR says ROSE has depreciated by 20% and underperformed the sector by 15% since its April 20 downgrade, and is upgrading as the stock price reflects its target price; the firm's 2015 production expectation of ~62.3M boe/day is fractionally above company guidance of 58M-62M boe/day.
May 4, 2015, 4:51 PM
- Rosetta Resources (NASDAQ:ROSE): Q1 EPS of -$0.13
- Revenue of $173.14M (-19.3% Y/Y)
May 3, 2015, 5:35 PM
- ADEP, AEGR, AEIS, APC, APU, ATEN, BALT, BBRG, BKH, CAR, CDE, CGNX, CHUY, CKEC, CXO, DENN, DNB, DVA, ECOM, EGOV, ELNK, ENH, EOG, EOX, FBP, FN, FNF, HIL, IDTI, IM, ININ, INN, INVN, IRG, ITRI, KS, LMNX, LSCC, MATX, MCEP, MDU, MERU, MIC, MUSA, NLS, NUVA, ONDK, OTTR, PACD, PLOW, PPS, PQ, PTCT, QLYS, RAIL, RGR, ROSE, RWT, SGY, SHO, SNHY, STAG, THC, TXRH, UGI, VNO, XEC, XPO
Mar. 18, 2015, 3:43 PM
- Stifel analysts say oil prices could be headed even lower, but that investors should buy high quality E&P companies with strong assets and/or balance sheets before prices bottom.
- Stifel says the current cycle resembles previous patterns where large-cap E&P stocks lead the oil price, which in turn leads the rig count, thus the firm does not expect shares of the strong companies to track an oil price bottom; small-cap energy stocks, however, followed oil prices closely through the last cycle and even lagged the commodity’s recovery.
- The firm is favorably disposed to Anadarko Petroleum (APC +2.4%), Cabot Oil & Gas (COG +1%), EOG Resources (EOG +4.2%), Noble Energy (NBL +5.3%), Rosetta Resources (ROSE +5.3%) and Whiting Petroleum (WLL +8.6%).
Mar. 13, 2015, 5:40 PM
Mar. 10, 2015, 9:19 AM
Mar. 9, 2015, 4:27 PM
- Rosetta Resources (NASDAQ:ROSE) -2.2% AH after announcing a public offering of 12M common shares, with an underwriters option to purchase up to an additional 1.8M shares.
- ROSE says it will use the proceeds to repay outstanding borrowings under its revolving credit facility and for general corporate purposes.
Feb. 24, 2015, 12:45 PM
Feb. 24, 2015, 10:43 AM
- Rosetta Resources (ROSE -10.4%) is sharply lower after Q4 earnings miss expectations and the company drastically slashes its planned capital spending, prompting numerous analyst downgrades.
- ROSE says 2015 capex will total ~$350M, down 71% from $1.22B spent during 2014, as it targets cash flow neutrality in 2015 and 2016 and focuses on preserving resource inventory and defending production levels in the current commodity price environment.
- Q4 production averaged 73K boe/day, up 41% Y/Y but flat Q/Q; guides Q1 2015 production of 64K-67K boe/day and FY 2015 and 2016 output of 58K-62K boe/day; ROSE plans only 20 Eagle Ford and eight Permian wells this year.
- In its downgrade to Hold from Buy, Miller Tabak says ROSE's PDP reserves and undeveloped acreage have solid value, but the company lacks the balance sheet to develop these resources in a manner that can grow production (Briefing.com); at least four other firms issued downgrades today.
Feb. 24, 2015, 9:16 AM
Feb. 23, 2015, 5:42 PM
- Rosetta Resources (NASDAQ:ROSE): Q4 EPS of $0.25 misses by $0.03.
- Revenue of $238.6M (+16.5% Y/Y) misses by $14.36M.