Stephen Simpson, CFA
Long only, growth at reasonable price, value, research analyst

Bonanza Creek Another Interesting Second-Chance Story

Investors are getting a little spoiled for choice when it comes to E&P companies with impressive production growth outlooks, attractive internal economics, and discounted valuations. The same sector-wide pullback that has hit names like PDC Energy (NASDAQ:PDCE) and Noble (NYSE:NBL) has also taken Bonanza Creek (NYSE:BCEI) with it. While the possibility of lower oil prices or regulations that impact fracking are a sector-wide risk, Bonanza looks pretty appealing at today's prices.

A Five-Way Play On The Niobrara?

Bonanza Creek controls close to 55,000 net acres in the DJ Basin, with a strong core of just over 30,000 acres in the Wattenberg field in Weld County. This is popular real estate, with PDC Energy, Noble,...

Join Seeking Alpha PRO to read this archived article and 11,574 other archived articles
IDEA GENERATORXExclusive access to 10 PRO ideas every day
INVESTING IDEAS LIBRARYXExclusive access to PRO library of more than 15,000 ideas
SECTOR EXPERT NETWORKXExclusive access to all sector experts for direct consultation
PERFORMANCE TRACKINGXTrack performance of all PRO stock ideas
PROFESSIONAL TOOLSXProfessional Idea Filters to zero-in based on industry, market cap and more
PRO Top long ideas returned 21.7% in 2016**
"As a PRO member, we get uniquely valuable perspective that go beyond our quantiative analysis... We rely on PRO to get beyond the numbers quickly and add much needed perspective. It keeps me ahead of the next big thing. - Mark Choate, Malaga Cove Capital"
Mark Choate, Malaga Cove Capital
"Contributors (writers and commentators), often have a long history in the secuirities they opine on and some are clearly well positioned industry participants with detailed industry views that can help provide color on where the skeletons are buried in a particular secuirity and/or industry."
Jim Roumell, Roumell Asset Management
You may cancel at any time for any reason, and receive a prompt refund for membership on months paid and not used (max. 6 months). Details