Technically, the MACD (12, 26, 9) indicator is showing a bullish trend with diverging MACD difference. RSI (14) is indicating a strong buying momentum at 70.43. EOG is currently trading above its 50-day MA of $123.54 and 200-day MA of $109.56. EOG is approaching its resistance of $133.38, the R2 pivot point, as seen from the chart below.
Source: StockCharts.com
Pioneer Natural Resources
Pioneer Natural Resources Company is an independent oil and gas exploration and production company with operations in the United States and South Africa, selling homogeneous oil, natural gas liquid and gas units. Pioneer closed at $128.55 with 0.33% loss on Feb. 11, 2013. Pioneer had been trading in the range of $77.41-$129.26 in the past 52 weeks. Pioneer has a beta of 1.81. The company had a daily call volume ratio of 4.15 on Feb. 11, 2013, where unusual option activities can be an indicator or precursor of major movement for the underlying stock.
On Feb. 13, 2013, Pioneer reported net income of $29M or $0.22 per diluted share. The adjusted income for Q4 was $107M after tax, or $0.83 per diluted share. The company is forecasting annual production growth of 12%-16% from 2012 to 2013 and targeting 13%-18% compound annual production growth for 2013 to 2015. As reported, the company is also “increasing the Company’s estimated net resource potential from 6.7 billion barrels oil equivalent (BBOE) to greater than 8.0 BBOE, which includes 1.6 BBOE from the southern horizontal Wolfcamp Shale joint interest area and 3.0 BBOE from Pioneer’s northern Wolfcamp/Spraberry acreage.” On the same day, Pioneer announced that it is commencing a public offering of 8 million shares of its common stock. According to the report,
the net proceeds from this offering will be used for general corporate purposes, including the acceleration of horizontal appraisal drilling in the northern portion of the Company’s highly prospective Wolfcamp/Spraberry acreage position in West Texas. Pending such use, a portion of the net proceeds will be used to repay the outstanding borrowings under the Company’s credit facility, with the remaining proceeds to be invested in money-market funds or U.S. treasuries.
Fundamentally, Pioneer has an enterprise value of $19.12 billion with a market cap of $15.84 billion. Pioneer has a total cash of $333.89 million with a total debt of $3.56 billion. Pioneer has a book value of $45.64 per share. Pioneer generates an operating cash flow of $1.86 billion with a levered free cash flow of -1.32 billion. Pioneer has a profit margin of 1.90% and an operating margin of 23.40%, and its ROE is 5.78%.
Technically, the MACD (12, 26, 9) indicator is showing a bullish trend with diverging MACD difference. RSI (14) is indicating a strong buying momentum at 76.70, where above 70 is considered as overbought. PXD is currently trading above its 50-day MA of $111.25 and 200-day MA of $101.91. The next resistance is $132.80, the R2 pivot point, as seen in the chart below.
Source: StockCharts.com
In short, these 4 stocks are on the run with bullish momentum. Pioneer and Concho Resources are currently in over-bought condition based on the RSI (14) indicator. Fundamentally, investors can review Anadarko as it has the highest profit margin (17.97%) and ROE (11.97%) with the largest enterprise value of $53.07 billion (market cap of $41.74 billion). With the positive earnings report, Anadarko will continue to be a great holding for 2013.
Conservative investors may want to wait for a safer, lower entry point to establish a long-term position, where credit put spread options positions can then be reviewed.
Note: All prices are quoted from the closing of Feb. 11, 2013. Investors and traders are recommended to do their own due diligence and research before making any trading/investing decisions.
The article 4 Large-Cap Energy Stocks Outperforming The Market With Strong Momentum originally appeared on Fool.com and is written by Nick Chiu.
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