To say that the energy sector has made for some tricky trading in the past couple of years would be quite an understatement, but Canaccord analysts have found four energy stocks that they love: Earthstone Energy Inc ESTE 2.22%, Abraxas Petroleum Corp. AXAS 0.69%, Canadian Solar Inc. CSIQ 0.57% and Ring Energy Inc REI 3.99%.
Abraxas Petroleum
Abraxas has a presence in the Williston, Permian and Powder River Basins, as well as the Eagle Ford Shale. The company has been divesting non-core assets to shore up its balance sheet, and analyst Stephen Berman believes it will have plenty of liquidity and financial flexibility to weather the commodity slump.
Canaccord has a Buy rating and $2 price target on the stock.
Canadian Solar
Analyst Jed Dorsheimer has lowered Canaccord’s price target for Canadian Solar from $30 to $29, but maintains a Buy rating on the stock. He believes that near-term market confusion surrounding revenue recognition and timing of asset sales has resulted in the stock trading at a significant discount relative to the value of its assets.
Earthstone Energy
Berman believes that Earthstone has excellent positioning in the Eagle Ford Shale and possesses one of the better balance sheets among small cap U.S. E&P stocks. Canaccord has lowered its price target from $17 to $16 but maintains its Buy rating.
Ring Energy
Out of all four names, Canaccord analyst Sam Burwell is…
Click here to continue reading
Want to learn more about how to profit off the stock market? Or maybe you just want to be able to look sophisticated in front of your coworkers when they ask you what you are reading on your Kindle, and you’d prefer to tell them “Oh, I’m just reading a book about stock market analysis,” rather than the usual “Oh, I’m just looking at pics of my ex-girlfriend on Facebook.” For these reasons and more, check out my book, Beating Wall Street with Common Sense. I don’t have a degree in finance; I have a degree in neuroscience. You don’t have to predict what stocks will do if you can predict what traders will do and be one step ahead of them. I made a 400% return in the stock market over five years using only basic principles of psychology and common sense. Beating Wall Street with Common Sense is now available on Amazon, and tradingcommonsense.com is always available on your local internet!
