We haven’t talked about some solid natural gas stocks in a little while, so I suppose its time to get you updated! There are three nat gas stocks that a ready to pop, and we have the need to know information. Lindsey Bell explains the important details about these three stocks.
Goodrich Petroleum
Goodrich (GDP) has shale drilling operations in Eagle Ford, one of the more profitable drilling areas. When the company released its 2012 growth and spending guidance, investors were pleasantly surprised by the reduction in per-well costs of $2.5 million. Goodrich also announced plans for oil production growth of 130 percent to 160 percent. The growth prospects for the company are solid, and the stock should see upside over the next few years.
EOG Resources
EOG is expected to see earnings grow an impressive 75 percent in the next five years, according to analysts’ estimates. Last week, the stock was upgraded to “buy” at Deutsche Bank on the back of strong production trends from Eagle Ford in the second half of 2011. Increased reserve potential at Eagle Ford is expected to continue as the company makes more efficient use of its space.
Exxon Mobil
Exxon(XOM) is a less-risky way to play the natural gas sector, given it has more diversified operations. Its XTO Energy subsidiary operates in the Marcellus Shale in the Appalachian basin and has success in extracting natural gas profitably. A dividend yield of over 2 percent also makes for a safe investment in the energy sector.
Some of these stocks are a bit more risky than others, as usual. So be sure to choose a stock that will fit your portfolio appropriately. This is what will give you the extra edge if you buy in on any of these stock picks.
Quotes taken from report by Lindsey Bell, Read the entire article here.
This is not an offer to buy or sell securities. Oil investment carries with it very high risks. The information contained within this site has not been nor will it be verified by Turn Key Oil and is subject to change at any time. We are not a United States Securities Dealer or Broker or United States Investment Adviser. Do your own due diligence and consult with a licensed professional before making any investment decisions. Please read our full disclaimer before making any decisions.
