Monday, May 4, 2015

Updates

May 5, 2015: see note regarding Einhorn below. Now this update from Seeking Alpha:

Analyst pokes holes in Einhorn's critique of Pioneer Natural, frackers

• David Einhorn's critical presentation pushed Pioneer Natural Resources 5% lower over the past two days, but Wolfe Research's Paul Sankey is out in defense of PXD and fracking companies generally, in large part because of their “takeover attractiveness."
• "Pioneer is the single most attractive takeover target to Exxon Mobil, and the entire group Einhorn listed as short candidates based on a value-destructive business model, has takeover merits," Sankey writes, adding the potential for a takeout is at least part of why the market is overvaluing PXD.
• Einhorn said investors in PXD and fracking companies overall - he also mentioned CXO, EOG, WLL, and CLR - have been willing to largely ignore their high capital expenditures, but Sankey believes the U.S. energy revolution "is in its every early stages, and efficiency and operational performance continues to grow at high pace,” making long-term projections for both expenditures and production challenging.
• Previous: Pioneer Natural sinks 2.5% as Einhorn slams PXD, other frackers

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Original Post

Active rigs:

	5/4/2015	05/04/2014	05/04/2013	05/04/2012	05/04/2011
Active Rigs	84	185	192	211	177

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This is hyperbole, of course, but if Whiting is a Bakken survivor, one can argue that its purchase of KOG was the reason. See the IPs of wells coming off confidential list today.

This is not an investment site. Do not make any investment or financial decisions based on anything you read here or think you may have read here.

Whiting Petroleum Corp. was raised to Overweight from Equal Weight with a price target of $48 (versus a $37.68 close) at Morgan Stanley. Whiting also received positive coverage from other analysts late last week as well.

PXD rom Seeking Alpha:

Pioneer Natural sinks 2.5% as Einhorn slams PXD, other frackers

• Pioneer Natural Resources plunges following negative comments on PXD and other fracker by Greenlight Capital's David Einhorn
• Einhorn calls for shoritng PXD, which he dubs "the motherfracker" of the sector; says fracking companies offer an "almost infinite supply of negative return investment opportunities"