What Should We Expect from EOG Resources in Its 3Q15 Earnings?
(Continued from Prior Part)
Wall Street’s forecasts for EOG Resources
So far in this series, we’ve seen what Wall Street expects from EOG Resources’ (EOG) 3Q15 earnings. Now let’s look at recent Wall Street analysts’ forecasts for EOG Resources’ stock.
Consensus rating for EOG Resources
Approximately 68% of analysts tracking EOG Resources rate it as “buy” or some equivalent. Approximately 29% rate the company as “hold” or an equivalent, while 3% recommend as “sell”. EOG Resources is 4.2% of the Energy Select Sector SPDR Fund (XLE).
In comparison, about 59% of analysts tracking WPX Energy (WPX) rate it as “buy” or some equivalent, while approximately 41% of analysts tracking WPX rate it as “hold”, and none recommended it as “sell”.
Analysts’ recommendations for EOG Resources
When it comes to individual recommendations, Tudor, Pickering, Holt & Co., an investment firm specializing in energy, gave EOG Resources a target price of $104. This is one of the highest target prices. EOG currently trades near $86, implying a ~21% return over the next 12 months.
RBC Capital Markets, Royal Bank of Canada’s investment banking arm, gave EOG a target price of $80, one of the lowest target prices. This implies a negative 7% return over the next year. Scotia Howard Weil, an investment firm specializing in energy, gave EOG Resources a $91 one-year target price. This implies a 6% return over the next one year.
BMO Capital Markets, the investment banking subsidiary of Canadian Bank of Montreal, gave EOG a $100 target price. This implies a 17% return over the next year.
Investment bank Credit Suisse (CS) gave EOG a 12-month target of ~$84. This implies a negative ~2% return from EOG Resources over the next 12 months.
Learn more about the oil & gas industry on Market Realist’s Energy and Power page. You can also read about ExxonMobil’s earnings preview here in What Investors Should Look for in ExxonMobil’s 3Q15 Results.
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