Oil stocks, gas stocks, oil drilling stocks

Cabot Oil & Gas matures July 28th with profits

Cabot Oil & Gas Corporation (NYSE: COG) is an independent oil and gas company engaged in the exploration, development and production of natural gas properties in the United States. Cabot Oil & Gas is engaged in hydrocarbon exploration and controls approximately 13.7 trillion cubic foot equivalents of proven reserves. This afternoon COG was last traded 1.6% at $ 16.65.

Cabot Oil & Gas is expected to release its results on Wednesday July 28th. COG has exceeded all profit expectations in its last four earnings reports. Wall Street analysts expect Cabot Oil & Gas stock to post earnings of $ 0.31 per share in its upcoming earnings announcement, a slight decrease from the previous quarter.

For the second quarter of 2020, Cabot Oil & Gas beat analyst estimates by a margin of $ 0.03 and reported earnings per share (EPS) of $ 0.05. For the third quarter of 2020, the company’s earnings per share rose to $ 0.09, and COG beat expectations with a margin of $ 0.03. For the fourth quarter of 2020, Cabot Oil & Gas posted another surge in earnings, rising to $ 0.26 per share, also beating estimates by $ 0.05. For the first quarter of this year, Cabot Oil & Gas reported earnings per share of $ 0.38, again beating expectations by $ 0.03.

Cabot Oil & Gas stock is down 7% year over year, just days off its June 18 low of $ 15.28. In the short term, the share remains just above the break-even mark of the previous year. Cabot Oil & Gas stock also has a forward dividend of $ 0.44 and a dividend yield of 2.66%.

From a fundamental perspective, Cabot Oil & Gas has shown extremely mixed growth. The company has seen consecutive years of declining sales in both 2019 and 2020. Additionally, COG’s revenues are currently down 19% since 2017. Overall, after some short-term gains, Cabot Oil & Gas stocks could mature a longer bearish period. Although COG is currently trading at a price to earnings ratio of 23.60, its forward price to earnings ratio is estimated at 10.89.

Declining optimism in the option pits could put the stock under pressure. Rite Aid stock’s put / call volume ratio (SOIR) of 0.23 is in the lowest percentile of the 12-month range, meaning short-term options traders have rarely been more call-biased.


Please enter your comment!
Please enter your name here