We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Cabot (COG) Beats on Earnings, Revenue Estimates in Q1
Read MoreHide Full Article
Domestic energy explorer Cabot Oil & Gas Corp. reported first quarter earnings per share – adjusted for special items – of 19 cents, surpassing the Zacks Consensus Estimate of 16 cents. Further, it compares favorably with the year-ago quarter’s adjusted loss of 15 cents.
Better results were driven by improvement in the commodity pricing environment that led to higher realized natural gas prices. Reduced expenses and increased revenues also led to improved results.
Houston, TX-based Cabot’s quarterly revenues improved 83.6% year over year to $316.5 million and was above the Zacks Consensus Estimate of $472 million.
Volume Analysis
Cabot’s overall production during the quarter totaled 170.1 billion cubic feet equivalent (Bcfe) – 96.2% gas – up 6% from the prior-year quarter volume of 160.3 Bcfe. Natural gas output was 163.8 Bcf, while crude oil production came in at 921 thousand barrels (MBbl) and natural gas liquids came at 123.5 thousand barrels (MBbl).
Realized Prices
The average realized natural gas price improved 77% from the year-ago quarter to $2.64 per thousand cubic feet, while average crude/condensate price realization rose 14% to $46.73 per barrel. Meanwhile, natural gas liquids fetched $20.71 per barrel, an increase of 187% compared to the first quarter of 2016.
Costs & Expenses
Total operating expenses were 4% lower than the first quarter of 2016, rising to $756.2 million. In particular general and administrative expenses were down 10% to $15.4 million. Further, Cabot’s depreciation, depletion and amortization expenses were down by 16.5% from the year-ago period to $135.1 million.
Drilling Statistics, Capital Expenditure & Balance Sheet
Cabot drilled 21 net wells and completed 24 during the quarter. Operating cash flows were $269.3 million for the quarter as against $67.1 million in the prior-year quarter. Capital expenditures totaled $208.4 million (up 126%). As of Dec 31, 2016, the company had $1,520.9 million in long-term debt with a debt-to-capitalization ratio of 36%.
Share Performance: Shares rallied 3.3% year to date, while the Zacks categorized Oil & Gas - U.S. Exploration & Production industry lost 15.14% over the same period.
Cabot Oil & Gas Corporation Price, Consensus and EPS Surprise
Cabot is independent oil and gas exploration company with producing properties mainly in the continental U.S. Cabot focuses on high-impact natural gas-focused drilling in the Marcellus Shale and supplements it with Eagle Ford-based liquids program in Texas. The company currently carries a Zacks Rank #3 (Hold).
Penn Virginia posted a positive average surprise of 36.67% in the last four quarters.
Bellatrix posted a positive average surprise of 58.54% in the last four quarters.
Cenovus posted a positive average surprise of 74.89% in the last four quarters.
Zacks' Hidden Trades
While we share many recommendations and ideas with the public, certain moves are hidden from everyone but selected members of our portfolio services. Would you like to peek behind the curtain today and view them?
Starting now, for the next month, I invite you to follow all Zacks' private buys and sells in real time from value to momentum... from stocks under $10 to ETF to option movers... from insider trades to companies that are about to report positive earnings surprises (we've called them with 80%+ accuracy). You can even look inside portfolios so exclusive that they are normally closed to new investors.
Image: Bigstock
Cabot (COG) Beats on Earnings, Revenue Estimates in Q1
Domestic energy explorer Cabot Oil & Gas Corp. reported first quarter earnings per share – adjusted for special items – of 19 cents, surpassing the Zacks Consensus Estimate of 16 cents. Further, it compares favorably with the year-ago quarter’s adjusted loss of 15 cents.
Better results were driven by improvement in the commodity pricing environment that led to higher realized natural gas prices. Reduced expenses and increased revenues also led to improved results.
Houston, TX-based Cabot’s quarterly revenues improved 83.6% year over year to $316.5 million and was above the Zacks Consensus Estimate of $472 million.
Volume Analysis
Cabot’s overall production during the quarter totaled 170.1 billion cubic feet equivalent (Bcfe) – 96.2% gas – up 6% from the prior-year quarter volume of 160.3 Bcfe. Natural gas output was 163.8 Bcf, while crude oil production came in at 921 thousand barrels (MBbl) and natural gas liquids came at 123.5 thousand barrels (MBbl).
Realized Prices
The average realized natural gas price improved 77% from the year-ago quarter to $2.64 per thousand cubic feet, while average crude/condensate price realization rose 14% to $46.73 per barrel. Meanwhile, natural gas liquids fetched $20.71 per barrel, an increase of 187% compared to the first quarter of 2016.
Costs & Expenses
Total operating expenses were 4% lower than the first quarter of 2016, rising to $756.2 million. In particular general and administrative expenses were down 10% to $15.4 million. Further, Cabot’s depreciation, depletion and amortization expenses were down by 16.5% from the year-ago period to $135.1 million.
Drilling Statistics, Capital Expenditure & Balance Sheet
Cabot drilled 21 net wells and completed 24 during the quarter. Operating cash flows were $269.3 million for the quarter as against $67.1 million in the prior-year quarter. Capital expenditures totaled $208.4 million (up 126%). As of Dec 31, 2016, the company had $1,520.9 million in long-term debt with a debt-to-capitalization ratio of 36%.
Share Performance: Shares rallied 3.3% year to date, while the Zacks categorized Oil & Gas - U.S. Exploration & Production industry lost 15.14% over the same period.
Cabot Oil & Gas Corporation Price, Consensus and EPS Surprise
Cabot Oil & Gas Corporation Price, Consensus and EPS Surprise | Cabot Oil & Gas Corporation Quote
Zacks Rank & Key Picks
Cabot is independent oil and gas exploration company with producing properties mainly in the continental U.S. Cabot focuses on high-impact natural gas-focused drilling in the Marcellus Shale and supplements it with Eagle Ford-based liquids program in Texas. The company currently carries a Zacks Rank #3 (Hold).
Better-ranked players in the broader industry include Penn Virginia Corp. , Bellatrix Exploration Ltd and Cenovus Energy Inc. (CVE - Free Report) . All the three companies sport a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
Penn Virginia posted a positive average surprise of 36.67% in the last four quarters.
Bellatrix posted a positive average surprise of 58.54% in the last four quarters.
Cenovus posted a positive average surprise of 74.89% in the last four quarters.
Zacks' Hidden Trades
While we share many recommendations and ideas with the public, certain moves are hidden from everyone but selected members of our portfolio services. Would you like to peek behind the curtain today and view them?
Starting now, for the next month, I invite you to follow all Zacks' private buys and sells in real time from value to momentum... from stocks under $10 to ETF to option movers... from insider trades to companies that are about to report positive earnings surprises (we've called them with 80%+ accuracy). You can even look inside portfolios so exclusive that they are normally closed to new investors.
Click here for Zacks' secret trade>>