Noble Energy Hits 52-Week High - Analyst Blog
20 Maggio 2013 - 11:30PM
Zacks
On May 17, 2013 shares of
Noble Energy Inc. (NBL) soared to a new 52-week
high of $121.36. The company’s series of property sales and solid
exploration ventures thrust the stock to a new high.
The key earnings drivers for Noble
Energy were the Leviathan and Tamar prospect in the Eastern
Mediterranean and Galapagos in the Gulf of Mexico (GoM). The
15-year long-term natural gas supply commitment to meet rising
power demand in Israel proved to be a major turning point for Noble
Energy.
Further, the company accrued a
sizeable $1.15 billion from its Kansas, Dumbarton and Lochranza,
Permian and Mid-Continent asset sales. This allowed Noble Energy
the financial flexibility to invest in its growth-centric
projects.
Other noteworthy steps that acted
as a catalyst were the stake purchase in the Falkland Oil and Gas
Limited’s licensed areas of around 10 million acres. Exploration
companies like Noble Energy thrive on reserve accretion and
escalating exploration options. At the end of 2012, Noble Energy
discovered the Big Bend prospect in deepwater GoM.
Going forward, the company’s
investments in the new venture exploration program will generate
substantial returns.
The recent quarterly dividend
increase of 12% to 28 cents per share from 25 cents came on the
back of a favorable balance sheet position. This would certainly
arrest investors’ confidence in the stock.
The present valuation makes the
shares of Noble Energy look attractive. The forward price/earnings
(P/E) multiple of 17.9x is lower than the industry average of
19.7x, reflecting a discount of 9.1%. In addition, Return on Equity
("ROE") of the company is 10.8%, higher than the peer group average
of 7.1%.
Presently, Noble Energy carries a
Zacks Rank #3 (Hold). However, other exploration operators with a
Zacks Rank #1 are Abraxas Petroleum Corporation
(AXAS), EPL Oil & Gas, Inc. (EPL) and
Sandridge Mississippian Trust II (SDR). Based in
Houston, Texas, Noble Energy operates internationally and engages
in the acquisition, exploration, development, production, and
marketing of crude oil, natural gas and natural gas liquids.
ABRAXAS PETE/NV (AXAS): Free Stock Analysis Report
EPL OIL&GAS INC (EPL): Free Stock Analysis Report
NOBLE ENERGY (NBL): Free Stock Analysis Report
SANDRDG MS T II (SDR): Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
Grafico Azioni Energy Partners (NYSE:EPL)
Storico
Da Giu 2024 a Lug 2024
Grafico Azioni Energy Partners (NYSE:EPL)
Storico
Da Lug 2023 a Lug 2024