Concho Resources (NYSE:CXO) was upgraded by Zacks Investment Research from a “hold” rating to a “strong-buy” rating in a research note issued on Monday. The brokerage presently has a $143.00 target price on the oil and natural gas company’s stock. Zacks Investment Research‘s price target points to a potential upside of 8.59% from the company’s previous close.
According to Zacks, “Concho Resources' core operations are focused in the prolific Permian basin, providing this large-cap E&P with an enviable acreage of low-risk top-tier assets and a multiyear drilling inventory. With the recently announced $9.5 billion RSP Permian acquisition, the company will be able to further bolster its scale and leadership position in the region. And while Concho's track record of production growth remains strong, it has been achieved at a competitive cost structure. Concho Resources also maintains a robust balance sheet, while following a prudent investment approach. Consequently, we think Concho Resources offers substantial upside potential from the current price levels and view it as an attractive investment.”
Other equities research analysts also recently issued research reports about the company. Williams Capital began coverage on Concho Resources in a report on Monday, June 18th. They issued a “buy” rating and a $178.00 price objective for the company. Stifel Nicolaus set a $196.00 price objective on Concho Resources and gave the company a “buy” rating in a report on Tuesday, April 24th. JPMorgan Chase & Co. set a $180.00 price objective on Concho Resources and gave the company a “buy” rating in a report on Tuesday, May 15th. ValuEngine downgraded Concho Resources from a “buy” rating to a “hold” rating in a report on Thursday, May 17th. Finally, Stephens set a $217.00 price objective on Concho Resources and gave the company a “buy” rating in a report on Tuesday, April 24th. Eight investment analysts have rated the stock with a hold rating, sixteen have issued a buy rating and one has issued a strong buy rating to the stock. The stock presently has an average rating of “Buy” and an average target price of $171.64.
Concho Resources (NYSE:CXO) last released its quarterly earnings data on Tuesday, May 1st. The oil and natural gas company reported $1.00 EPS for the quarter, beating the consensus estimate of $0.81 by $0.19. The company had revenue of $947.00 million during the quarter, compared to the consensus estimate of $808.60 million. Concho Resources had a return on equity of 4.34% and a net margin of 39.06%. The firm’s revenue for the quarter was up 54.7% compared to the same quarter last year. During the same quarter in the prior year, the firm posted $0.49 EPS. sell-side analysts forecast that Concho Resources will post 4.41 earnings per share for the current year.
A number of institutional investors have recently made changes to their positions in CXO. Private Advisor Group LLC lifted its holdings in Concho Resources by 25.6% during the 4th quarter. Private Advisor Group LLC now owns 2,739 shares of the oil and natural gas company’s stock valued at $426,000 after purchasing an additional 559 shares during the last quarter. American International Group Inc. lifted its holdings in shares of Concho Resources by 18.6% during the fourth quarter. American International Group Inc. now owns 54,724 shares of the oil and natural gas company’s stock worth $8,221,000 after buying an additional 8,599 shares in the last quarter. Suntrust Banks Inc. lifted its holdings in shares of Concho Resources by 26.8% during the fourth quarter. Suntrust Banks Inc. now owns 11,287 shares of the oil and natural gas company’s stock worth $1,694,000 after buying an additional 2,385 shares in the last quarter. Brown Advisory Inc. acquired a new stake in shares of Concho Resources during the fourth quarter worth $439,000. Finally, OppenheimerFunds Inc. lifted its holdings in shares of Concho Resources by 3,704.2% during the fourth quarter. OppenheimerFunds Inc. now owns 297,754 shares of the oil and natural gas company’s stock worth $44,729,000 after buying an additional 289,927 shares in the last quarter. 97.14% of the stock is owned by institutional investors and hedge funds.
Concho Resources Company Profile
Concho Resources Inc, an independent oil and natural gas company, engages in the acquisition, development, and exploration of oil and natural gas properties in the United States. The company's principal operating areas are located in the Permian Basin of southeast New Mexico and west Texas. As of December 31, 2017, its total estimated proved reserves were 840 million barrels of oil equivalent.
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