This week the landslide of second-quarter earnings results will start pouring in, and many on Wall Street are expecting some solid numbers across the board. One sector that has had strong pricing support through the quarter has been energy. With West Texas Intermediate holding at or above $100 per barrel for an extended period, some oil and gas company earnings could come in much higher than anticipated.
A new research report from Stifel highlights six oil and gas stocks that may have the ability to report second-quarter earnings that are higher than current Wall Street expectations. Investors looking for solid energy ideas to add to their portfolios may want to look at names that can surprise to the upside.
Anadarko Petroleum Corp. (NYSE: APC) is one of the biggest independent oil and gas producers in the country, with exploration or production work in all major domestic drilling areas as well as in South America, Africa, Asia and New Zealand. Worldwide, natural gas makes up just over half of Anadarko’s reserves, but 87% of the new wells it drilled in the United States last year were gas wells. The company has daily production over 2.6 billion cubic feet. Investors are paid a 1% dividend. The Thomson/First Call consensus price target for the stock is $120. Anadarko closed Friday at $104.78.
Canadian Natural Resources Ltd. (NYSE: CNQ) is quickly becoming a Wall Street favorite and is considered one of the top Canadian oil stocks with the largest reserve base among their peers. The company also recently purchased Devon Energy’s conventional properties in Canada for more than $3 billion Canadian. Investors are paid a 1.8% dividend. The consensus price target is $50.76. The stock closed Friday at $44.34 a share.