Jim Cramer Looked At These 7 Stocks Recently

4. Chord Energy Corporation (NASDAQ:CHRD)

Number of Hedge Fund Holders: 50

Chord Energy Corporation (NASDAQ:CHRD) is a U.S.-based independent exploration and production company. It focuses on acquiring, exploring, developing, and producing crude oil, natural gas, and natural gas liquids, primarily in the Williston Basin. In response to a viewer’s question about the company, Cramer clarified:

“Well, not an oil guy here. I mean, you know that in the club, we know we’re selling our Coterra now that it’s hit $30. We think it goes still higher, but we don’t want an add, Jeff Marks and I talked to the club, we’re not adding any more oils.”

During the announcement of its Q3 2024 results, Danny Brown, Chord Energy’s (NASDAQ:CHRD) President and Chief Executive Officer, shared a new three-year outlook for the company, highlighting a significant capital expenditure plan. According to the company’s projections, it plans to allocate $1.4 billion annually in capital expenditures for the years 2025 through 2027, aimed at maintaining flat pro-forma FY24 oil production levels of 152,000 to 153,000 barrels of oil per day.

Brown emphasized that this capital spending plan reflects improved capital efficiency, driven by the company’s high-quality inventory, better operational practices, and over $200 million in synergies resulting from its merger with Enerplus.

It should be noted that on January 22, Morgan Stanley increased its price target on Chord Energy (NASDAQ:CHRD) to $160 from $158 while maintaining an Equal Weight rating on the stock. The firm updated its price deck based on Q4 actual results and the latest forward strip, noting that its 2025 EBITDA projections for the North American exploration and production sector are rising by an average of 11%.

The firm continues to favor gas over oil and, within the oil sector, prefers Majors and exploration and production companies that show a positive rate of change, according to an analyst note ahead of Q4.