THE NOBLE ENERGY INC. DOWNGRADE?
To Our Readers (Disclosure Statement and Explanation):
This article should in no way be interpreted or misinterpreted to view it as a recommendation with respect to the purchase or sale of shares of stock in any company. It is not a market analysis or a ratings analysis in the traditional sense. We leave that to the experts.
However in light of our respect for the experts, we believe that the volatility and the changes in ratings, upgrades and downgrades simply don’t make any logical sense as one reviews these shares (NBL) in terms of the energy sector as a whole and gas and oil in the micro sense. Moreover, we have highlighted insider trading information in the final document in the thread which make absolutely no sense if we are to believe what the institutional investors are saying about the shares.
Having said that, please accept this article as a screenshot view of a stock that we believe is being manipulated to make it more or less palatable on any given day, in a coordinated effort to entice investors (a quasi reverse pump and dump); and in so doing to change the geopolitical bargaining of players across the world in the Middle East and others along the Mediterranean, including Greece, Cyprus all heavily involved in gas and oil exploration. We question the shares’ movement by the insiders, particularly given the timing of those sales; though we are not even hinting that the insiders behaved nefariously in their decision-making. We are only maintaining that something in the movement of the shares does not follow a logical pattern.
In simpler terms, we believe that the shares and market sentiment are being manipulated; and once the dust settles, it will be very interesting to see who owns the largest percentages in the company and at what point and price they got there. It will be most interesting to see who will have final control over the company in the coming year, particularly given the geopolitical current in the Middle East.
Please see the articles below for what we believe to be most important points. We have highlighted some of the dots that we connected.
NBL has been the topic of several other reports. Piper Jaffray Companies reaffirmed an overweight rating on shares of Noble Energy in a report on Friday, September 28th. Raymond James raised shares of Noble Energy from a market perform rating to an outperform rating in a report on Wednesday, November 7th. Morgan Stanley set a $38.00 price target on shares of Noble Energy and gave the company a hold rating in a report on Friday, October 12th.
Cowen initiated coverage on shares of Noble Energy in a report on Thursday, November 29th. They set an outperform rating on the stock. Finally, Mizuho set a $28.00 price target on shares of Noble Energy and gave the company a hold rating in a report on Wednesday, November 28th.
Two research analysts have rated the stock with a sell rating, eight have assigned a hold rating and twenty have assigned a buy rating to the company’s stock. The stock presently has a consensus rating of Buy and a consensus target price of $41.46.
Shares of Noble Energy stock opened at $18.17 on Thursday. The company has a market cap of $9.03 billion, a P/E ratio of 58.61, a P/E/G ratio of 1.92 and a beta of 1.10. The company has a debt-to-equity ratio of 0.58, a quick ratio of 0.81 and a current ratio of 0.81. Noble Energy has a 1 year low of $18.05 and a 1 year high of $37.76.
Noble Energy (NYSE:NBL) last announced its quarterly earnings results on Thursday, November 1st. The oil and gas development company reported $0.27 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.18 by $0.09. The company had revenue of $1.27 billion for the quarter, compared to analyst estimates of $1.16 billion. Noble Energy had a net margin of 25.09% and a return on equity of 4.82%.
The firm’s revenue was up 32.6% on a year-over-year basis. During the same period in the previous year, the firm posted ($0.02) EPS. Equities research analysts forecast that Noble Energy will post 0.98 EPS for the current year.
In other Noble Energy news, major shareholder Nbl Midstream, Llc sold 14,137,198 shares of the business’s stock in a transaction that occurred on Wednesday, September 26th. The shares were sold at an average price of $17.75, for a total transaction of $250,935,264.50. The transaction was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Insiders own 1.96% of the company’s stock.
Several hedge funds and other institutional investors have recently modified their holdings of NBL. Raymond James Financial Services Advisors Inc. acquired a new position in shares of Noble Energy in the 2nd quarter worth approximately $207,000. Cognios Capital LLC acquired a new position in shares of Noble Energy in the 2nd quarter worth approximately $1,054,000. CIBC World Markets Inc. lifted its position in shares of Noble Energy by 50.0% in the 2nd quarter. CIBC World Markets Inc. now owns 19,206 shares of the oil and gas development company’s stock worth $678,000 after purchasing an additional 6,404 shares during the period. Nissay Asset Management Corp Japan ADV lifted its position in shares of Noble Energy by 7.2% in the 2nd quarter. Nissay Asset Management Corp Japan ADV now owns 32,976 shares of the oil and gas development company’s stock worth $1,163,000 after purchasing an additional 2,221 shares during the period. Finally, Russell Investments Group Ltd. lifted its position in shares of Noble Energy by 27.1% in the 2nd quarter. Russell Investments Group Ltd. now owns 92,174 shares of the oil and gas development company’s stock worth $3,245,000 after purchasing an additional 19,657 shares during the period. Hedge funds and other institutional investors own 98.69% of the company’s stock.
Noble Energy Company Profile
Noble Energy, Inc, an independent energy company, engages in the acquisition, exploration, development, and production of crude oil, natural gas, and natural gas liquids worldwide. It owns, operates, develops, and acquires domestic midstream infrastructure assets in the DJ and Delaware Basins. It principal projects are primarily located in the US unconventional basins and various global offshore conventional basins.