Updates
Later, 1:50 pm CT: three related headlines:
- Goldman Sachs, initiates buy recommendation for CLR, target: $130
- Bakken oil production will surprise Wall Street -- Goldman Sachs (they must be reading my blog)(for regular readers: stay tuned for tomorrow's early morning link; it should be a good one)
- Bakken play boosts HAL, Varco's planned spinoff -- IBD
Of the 53 new highs today: BCEI, CLR, OAS, WLL, WMS.
Original Post
On an otherwise flat day for the market, and on a day when the price of oil is falling, all of a sudden, out of the blue, after hitting recent highs, OAS pops another $2.00, up almost 5%.
I don't see any Oasis headlines (I will keep looking) but any stock that pops 5% without an obvious reason ....
KOG is up a percent, so the surge in Oasis could simply be due to analyst's ratings. Last week Sanchez mentioned four companies "with top fundamentals." The only energy company of the four mentioned was Oasis.
Today, I see Goldman Sachs, in Barron's, names Oasis and Approach Resources as top picks for US shale prices.
Not all stocks are created equal, however, and the analysts expect some stocks to handily outperform others, and their top picks “are poised to deliver long-term, capital-efficient growth…while trading at attractive valuations that currently provide 20%+ upside to our price targets.” Their winners? Oasis Petroleum, Approach Resources, Bonanza Creek Energy, and Gulfport Energy, all of which are rated Buy with Oasis also added to Goldman’s conviction list. Investors, however, should avoid WPX Energy, which the analysts rate a Sell.So, now back-to-back, in less than a week, one article in Barron's and one article in IBD both name Oasis as a top pick.
I have followed the Bakken very closely since 2008. Your blog certainly helps in that regard. Throughout this process-I have less and less respect for Wall Street. I have owned Continental since it was $35. I may have owned it for less a few times prior-but I got in and out of a few Bakken Companies until I was comfortable with what I wanted,
ReplyDeleteNow we are supposed to be all respectful to Goldman Sachs-because they are just noticing the Bakken NOW when Continental is about $105. Triple what I am in at. Welcome to the party boys.
From Day 1-Something told me that the Bakken was real and that it was big. My Bakken investment strategy was always to buy and hold and watch the big boys come to the party. The fun part is they seem to be piling in lately.
That's interesting: I did the same thing. Either in and out, or nibbling at a few shares in a number of companies starting several years ago, adding to positions as often as possible, and, like you, always fine tuning to concentrate on certain companies that seemed to be the ones "we" were comfortable with.
DeleteI am not agile enough to trade stocks, so I buy and hold for the very long term, though I will trade on occasion, under certain circumstances.
I could write volumes about the Wall Street story in the post above and in response to your comments but perhaps in a stand-alone post; comment section not enough space.
I really appreciate your kind comments. I have been told there will be a very, very good link tomorrow to follow.