Key Energy Services (NYSE: KEG ) reported earnings on April 25. Here are the numbers you need to know.
The 10-second takeaway
For the quarter ended March 31 (Q1), Key Energy Services missed estimates on revenues and missed estimates on earnings per share.
Compared to the prior-year quarter, revenue shrank. Non-GAAP earnings per share dropped significantly. GAAP earnings per share dropped to zero.
Margins shrank across the board.
Revenue details
Key Energy Services reported revenue of $428.4 million. The 13 analysts polled by S&P Capital IQ wanted to see a top line of $443.8 million on the same basis. GAAP reported sales were 12% lower than the prior-year quarter's $486.8 million.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.
10 Best Energy Stocks To Invest In 2014: Noble Corp (NE)
Noble Corporation is an offshore drilling contractor for the oil and gas industry. The Company performs contract drilling services with its fleet of 79 mobile offshore drilling units and one floating production storage and offloading unit (FPSO) located globally. As of December 31, 2011, its fleet consisted of 14 semisubmersibles, 14 drillships, 49 jackups and two submersibles. Its fleet includes 11 units under construction, which include five ultra-deepwater drillships, and six jackup rigs. As of February 15, 2012, approximately 84% of its fleet was located outside the United States in areas, which included Mexico, Brazil, the North Sea, the Mediterranean, West Africa, the Middle East, India and the Asian Pacific. During the year ended December 31, 2011, it completed construction on the Noble Bully I, a drillship, owned through a joint venture with a subsidiary of Royal Dutch Shell plc; completed construction on the Noble Bully II, a drillship, and it completed construction of Globetrotter-class drillship. As of February 15, 2012, it had 10 rigs under contract in Mexico with Pemex Exploracion y Produccion (Pemex).
During 2011, the Company conducted offshore contract drilling operations, which accounted for over 98% of its operating revenues. It conducts its contract drilling operations in the United States Gulf of Mexico, Mexico, Brazil, the North Sea, the Mediterranean, West Africa, the Middle East, India and the Asian Pacific. During 2011, revenues from Shell and its affiliates accounted for approximately 24% of its total operating revenues. During 2011, revenues from Petroleo Brasileiro S.A. (Petrobras) accounted for approximately 18% and 19% of its total operating revenues. Revenues from Pemex accounted for approximately 15%, 20% and 23% of its total operating revenues.
Semisubmersibles
Semisubmersibles are floating platforms which, by means of a water ballasting system, can be submerged to a predetermined depth so that a substantial portion of the hull is b! elow the water surface during drilling operations. As of December 31, 2011, the semisubmersible fleet consisted of 14 units, including five Noble EVA-4000 semisubmersibles; three Friede & Goldman 9500 Enhanced Pacesetter semisubmersibles; two Pentagone 85 semisubmersibles; two Bingo 9000 design unit submersibles; one Aker H-3 Twin Hull S1289 Column semisubmersible, and one Offshore Co. SCP III Mark 2 semisubmersible.
Drillships
The Company�� drillships are self-propelled vessels. These units maintain their position over the well through the use of either a fixed mooring system or a computer controlled dynamic positioning system. Its drillships are capable of drilling in water depths from 1,000 to 12,000 feet. The maximum drilling depth of its drillships ranges from 20,000 feet to 40,000 feet. As of December 31, 2011, the drillship fleet consisted of 14 units, including four drillships under construction with Hyundai Heavy Industries Co. Ltd. (HHI); three Gusto Engineering Pelican Class drillships; two Bully-class drillships to be operated by it through a 50% joint venture with a subsidiary of Shell; one dynamically positioned Globetrotter-class drillship that left the shipyard during the fourth quarter of 2011; one Globetrotter-class drillship under construction; one moored Sonat Discoverer Class drillship capable of drilling in Arctic environments; one NAM Nedlloyd-C drillship, and one moored conversion class drillship.
Jackups
As of December 31, 2011, the Company had 49 jackups in its fleet, including six jackups under construction. The rig hull includes the drilling rig, jacking system, crew quarters, loading and unloading facilities, storage areas for bulk and liquid materials, helicopter landing deck and other related equipment. All of its jackups are independent leg and cantilevered. Its jackups are capable of drilling to a maximum depth of 30,000 feet in water depths up to 400 feet.
Submersibles
The Company has two su! bmersible! s in the fleet, which are cold-stacked. Submersibles are mobile drilling platforms, which are towed to the drill site and submerged to drilling position by flooding the lower hull until it rests on the sea floor, with the upper deck above the water surface. Its submersibles are capable of drilling to a depth of 25,000 feet in water depths up to 70 feet.
10 Best Energy Stocks To Invest In 2014: S&P 500/Barra Value(SU)
Suncor Energy Inc., together with its subsidiaries, operates as an integrated energy company. The company involves in the development of petroleum resource basins in Canada's Athabasca oil sands; acquisition, exploration, development, production, and marketing of crude oil and natural gas in Canada and internationally; transportation and refining of crude oil; and marketing of petroleum and petrochemical products primarily in Canada. Its Oil Sands segment produces bitumen recovered from oil sands through mining and in-situ technology, and upgrades it into refinery feedstock, diesel fuel, and by-products. This segment?s products include gasoline and distillates. The company?s Natural Gas segment acquires, explores, develops, and produces natural gas, natural gas liquids, oil, and by-products from reserves located primarily in western Canada, the Northwest Territories, Alaska, and the Arctic Islands. Its International and Offshore segment engages in the exploration and pro duction of oil and gas in offshore Newfoundland and Labrador, in the North Sea, and in Libya and Syria. The company?s Refining and Marketing segment refines crude oil at Suncor's refineries in Edmonton, Alberta; Montreal, Quebec; and Sarnia, Ontario in Canada, as well as in Commerce City, Colorado into a range of petroleum and petrochemical products for sale to retail, commercial, and industrial customers. It also transports crude oil through pipelines in eastern and western Canada, as well as through wholly-owned pipelines in Wyoming and Colorado; and produces specialty lubricants and waxes. In addition, this segment operates retail sites in Canada under the Petro-Canada brand; and in Colorado under Phillips 66 and Shell brands. Suncor Energy Inc. also engages in third-party energy trading activities. The company was formerly known as Suncor Inc. and changed its name to Suncor Energy Inc. in April 1997. Suncor Energy Inc. was founded in 1953 and is headquartered in Calgary , Canada.
Advisors' Opinion: - [By Lowell]
Suncor produces conventional and unconventional oil and owns the PetroCanada and Sunoco brands in Canada. It recently successfully completed the acquisition and integration of the old Petro Canada – and now manages all of Petro Canada’s assets. It took some time for the markets to react favorably to the integration, but Suncor is finally back in the game. The shares have already run up a good 20% over the past six months. Expect them to continue to do so if oil prices climb into the high nineties. Trust me, you don’t want to be caught in the cold when this train takes off again.
- [By Stephen]
Suncor Energy (SU, $26.61). Largest energy producer in Canada's oil sands has very good cost structure, production upside and is cheap vs. earnings.
- [By Sam Collins]
The recent merger with Petro-Canada made Suncor Energy (NYSE: SU) one of Canada’s largest oil and gas producers. It is focused on Alberta’s vast Athabasca oil sands, making it independent of operations outside of North America.
Compared with other international oil companies, SU is not only safe from problems in the Middle East, but its profit margins increase greatly when oil rises above $80 per barrel, making it a hedge against rising prices due to Middle East tensions.?
Technically, SU broke from a saucer formation on Friday, with a long-term target of $50 and a trading target of $45.?
Chevron Corporation, through its subsidiaries, engages in petroleum, chemicals, mining, power generation, and energy operations worldwide. It operates in two segments, Upstream and Downstream. The Upstream segment involves in the exploration, development, and production of crude oil and natural gas; processing, liquefaction, transportation, and regasification associated with liquefied natural gas; transportation of crude oil through pipelines; and transportation, storage, and marketing of natural gas, as well as holds interest in a gas-to-liquids project. The Downstream segment engages in the refining of crude oil into petroleum products; marketing of crude oil and refined products primarily under the Chevron, Texaco, and Caltex brand names; transportation of crude oil and refined products by pipeline, marine vessel, motor equipment, and rail car; and manufacture and marketing of commodity petrochemicals, plastics for industrial uses, and fuel and lubricant additives. It a lso produces and markets coal and molybdenum; and holds interests in 13 power assets with a total operating capacity of approximately 3,100 megawatts, as well as involves in cash management and debt financing activities, insurance operations, real estate activities, energy services, and alternative fuels and technology business. Chevron Corporation has a joint venture agreement with China National Petroleum Corporation. The company was formerly known as ChevronTexaco Corp. and changed its name to Chevron Corporation in May 2005. Chevron Corporation was founded in 1879 and is based in San Ramon, California.
Advisors' Opinion: - [By Hawkinvest]
Chevron Corporation (CVX) is a leading integrated energy company with exposure to oil, natural gas, refining, etc. This could be one of the most undervalued stocks in the market. Chevron pays a dividend that beats many other stock and bond yields, plus it has a below market price to earnings ratio of about 8 times earnings. The average stock in the S&P 500 Index currently trades for over 12 times earnings. If oil prices continue to rise, the already healthy profit estimates for Chevron might be too low. With oil prices showing strength this early in the season, Chevron could be poised to beat earnings in the coming months. However, the stock is trading at the upper end of the recent trading range. Recently, it has been possible to buy this stock at about $102 per share, so waiting for dips could pay off.
Here are some key points for CVX:
Current share price: $104.25
The 52 week range is $85.63 to $110.01
Earnings estimates for 2012: $12.66 per share
Earnings estimates for 2013: $13.20 per share
Annual dividend: $3.42 per share which yields 3.1%
10 Best Energy Stocks To Invest In 2014: First Solar Inc.(FSLR)
First Solar, Inc. manufactures and sells solar modules using a thin-film semiconductor technology. It also designs, constructs, and sells photovoltaic solar power systems. The company?s solar modules employ a thin layer of semiconductor material to convert sunlight into electricity. Its integrated solar power systems activities include the project development; engineering, procurement, and construction services; operating and maintenance services; and project finance. The company sells solar modules to project developers, system integrators, and operators of renewable energy projects; and solar power systems to investor owned utilities, independent power developers and producers, and commercial and industrial companies, as well as other system owners. It operates in the United States, Germany, France, Canada, and internationally. The company was formerly known as First Solar Holdings, Inc. and changed its name to First Solar, Inc. in 2006. First Solar was founded in 1999 a nd is headquartered in Tempe, Arizona.
Advisors' Opinion: - [By Hawkinvest]
First Solar (FSLR) is a U.S.-based solar company that was once the darling of Wall Street. A couple of years ago, this stock traded for over $250 per share, but due to challenging business conditions and a change in investor psychology, the stock now trades below book value, which is $46.61 per share. There is still plenty to like with this company. It has a technological edge over other companies, a strong balance sheet, and it is one of the few solar firms that have been able to remain solidly profitable during an extremely difficult period for the industry.
First Solar expects revenues to range from $3.7 to $4.0 billion, and earnings to come in somewhere between $3.75 to $4.25 per share for 2012. The company is expected to report fourth quarter earnings on February 28, 2012, so it could make sense to wait for a financial update before making a large investment. However, the stock is trading below book value, and for less than 10 times earnings. Investors who like buying low should consider this industry leader, while the stock is still trading at depressed levels.
10 Best Energy Stocks To Invest In 2014: Vantage Drilling Company(VTG)
Vantage Drilling Company, through its subsidiaries, provides offshore contract drilling services to oil and natural gas companies in the United States and internationally. The company offers drilling units, related equipment, and work crews under contract to drill oil and natural gas wells; construction supervision services; and operates and manages drilling units owned by others. Its customers primarily include multinational oil and natural gas companies, government owned oil and natural gas companies, and independent oil and natural gas producers. The company owns and manages four jackup rigs and three drillships. Vantage Drilling Company was founded in 2007 and is based in Houston, Texas.
Advisors' Opinion: - [By Fabian]
Vantage Drilling Company (AMEX:VTG): This equity had 10,232,975 shares sold short as of Aug 31st, as compared to 9,547,345 on Aug 15th, which represents a change of 685,630 shares, or 7.2%. Days to cover for this company is 6 and average daily trading volume is 1,640,644. About the equity: Vantage Drilling Company offers offshore oil and natural gas well drilling services.
10 Best Energy Stocks To Invest In 2014: Worthington Energy Inc (WGAS)
Worthington Energy, Inc. (Worthington), formerly Paxton Energy, Inc., incorporated July 30, 2004, is an oil and gas exploration and production company with assets in Texas and in the Gulf of Mexico. Worthington�� assets in Texas consist of a minority working interest in limited production and drilling prospects in the Cooke Ranch area of La Salle County, Texas, and Jefferson County, Texas, all operated by Bayshore Exploration L.L.C. (Bayshore). The Company�� assets in the Gulf of Mexico consist of a leasehold working interests in certain oil and gas leases located offshore from Louisiana, upon which no drilling or production has commenced as of December 31, 2011, and a 10.35% interest in the recently drilled I-1 well and a 2% royalty interest in 14,400 acres in the Mustang Island Tract 818. On March 27, 2012, it acquired certain assets from Black Cat Exploration & Production, LLC.
In Texas, the Company has working interests ranging from 4% to 31.75% (net revenue interests ranging from 3% to 23.8125%) in the various wells. In the Gulf of Mexico it has a 70% leasehold working interest, with a net revenue interest of 51.975%, of certain oil and gas leases in the Vermillion 179 tract and 10.35% interest in the recently drilled I-1 well and a 2% royalty interest in 14,400 acres in the Mustang Island Tract 818. As of December 31, 2011, it had one producing well that generated average total monthly net revenue.
The Mustang Island 818-L Field, located in the Kleberg County waters of the Gulf of Mexico, is a field re-habilitation project targeting bypassed or only partially produced gas-condensate. Total production from the wells within the seismic coverage was 125.6 billion cubic feet. In January 2011, the Hercules Offshore 205 jack-up rig was contracted to re-enter the I-Well on the Mustang License Area. The oil and gas leases are located in the VM 179, which is in the shallow waters of the Gulf of Mexico offshore from Louisiana. VM 179 is at 85 inches water depth approximately ! 46 miles offshore Louisiana in the Gulf of Mexico.
10 Best Energy Stocks To Invest In 2014: GMX Resources Inc.(GMXR)
GMX Resources Inc. operates as an independent oil and natural gas exploration and production company primarily in the United States. It has interests in two oil shale resources, including the Williston Basin that targets the Bakken/Sanish-Three Forks in North Dakota/Montana; and the DJ Basin, which targets the Niobrara Formation in Wyoming. The company also holds interests in natural gas resources comprising the Haynesville/Bossier Formation and the Cotton Valley Sand Formation in the East Texas Basin. As of December 31, 2010, it had proved reserves of 319.3 billion cubic feet of natural gas equivalent; and 264 net producing wells in east Texas. The company was founded in 1998 and is headquartered in Oklahoma City, Oklahoma.
Advisors' Opinion: - [By Putnam]
GMX Resources Inc. is a pure play independent oil and natural gas exploration and production company. The Company is focused on the development of Haynesville/Bossier Shale and Cotton Valley Sands in the Sabine Uplift of the Carthage, North Field of Harrison and Panola counties of East Texas. Its EPS forecast for the current year is 0.19 and next year is 0.55. According to consensus estimates, its topline is expected to grow 43.52% current year and 41.52% next year. It is trading at a forward P/E of 11.04. Out of 15 analysts covering the company, six are positive and have buy recommendations, two have sell ratings and seven have hold ratings.
10 Best Energy Stocks To Invest In 2014: Atlas Resource Partners LP (ARP)
Atlas Resource Partners, L.P. (Atlas Resource Partners), incorporated on October 13, 2011, is an independent developer and producer of natural gas, crude oil and natural gas liquids (NGL), with operations in basins across the United States. The Company is a sponsor and manager of investment partnerships, in which it co-invests, to finance a portion of its natural gas and oil production activities. During the year ended December 31, 2012, its average daily net production was approximately 77.2 million cubic feet equivalent. On December 20, 2012, it completed the acquisition of DTE Gas Resources, LLC from DTE Energy Company. On September 24, 2012, the Company acquired Equal Energy, Ltd.�� (Equal) remaining 50% interest in approximately 8,500 net undeveloped acres included in the joint venture. On July 26, 2012, it completed the acquisition of Titan Operating, L.L.C. On April 30, 2012, it acquired certain oil and natural gas assets from Carrizo Oil & Gas, Inc. In April 2012, it acquired a 50% interest in approximately 14,500 net undeveloped acres in the oil and NGL area of the Mississippi Lime play in northwestern Oklahoma.
Through December 31, 2012, the Company owned production positions in the areas of the Barnett Shale and Marble Falls play in the Fort Worth Basin in northern Texas; the Appalachia basin, including the Marcellus Shale and the Utica Shale; the Mississippi Lime and Hunton plays in northwestern Oklahoma, and the Chattanooga Shale in northeastern Tennessee, the Niobrara Shale in northeastern Colorado, the New Albany Shale in southwestern Indiana and the Antrim Shale in Michigan. During 2012, the Company had ownership interests in over 525 wells in the Barnett Shale and Marble Falls play and 569.3 billion cubic feet equivalent of total proved reserves with average daily production of 31.9 million cubic feet equivalent. During 2012, the Company had ownership interests in over 10,200 wells in the Appalachian basin, including approximately 270 wells in the Marcellus Shale and 1! 12.6 billion cubic feet equivalent of total proved reserves with average daily production of 35.6 million cubic feet equivalent. During 2012, it owned 21 billion cubic feet equivalent of total proved reserves with average daily production of 1.9 million cubic feet equivalent in the Mississippi Lime and Hunton plays in northwestern Oklahoma. During 2012, the Company had average daily production of 7.8 million cubic feet equivalent in the Chattanooga Shale in northeastern Tennessee, the Niobrara Shale in northeastern Colorado, the New Albany Shale in southwestern Indiana, and the Antrim Shale in Michigan.
10 Best Energy Stocks To Invest In 2014: Hanwha SolarOne Co. Ltd.(HSOL)
Hanwha Solarone Co., Ltd., an investment holding company, engages in the manufacture and sale of silicon ingots, silicon wafers, and PV cells and modules. The company also offers mono crystalline and multi crystalline silicon cells; and provides PV module processing services. It sells its products to solar power system integrators and distributors primarily in Germany, Italy, Australia, the United States, the Czech Republic, Spain, and China. The company was formerly known as Solarfun Power Holdings Co., Ltd. and changed its name to Hanwha SolarOne Co., Ltd. in December 2010. Hanwha Solarone Co., Ltd. was founded in 2004 and is based in Qidong, the People?s Republic of China.
Advisors' Opinion: - [By Sherry Jim]
Hanwha SolarOne Co., Ltd.(NASDAQ: HSOL) closing price in the stock market Tuesday, Jan. 3, was $1.06. HSOL is trading -15.30% below its 50 day moving average and -67.04% below its 200 day moving average. HSOL is -89.16% below its 52-week high of $9.78 and 16.48% above its 52-week low of $0.99. HSOL‘s PE ratio is 1.64 and its market cap is $89.18M.
Hanwha SolarOne Co., Ltd. is an investment holding company which engages in the manufacture and sale of silicon ingots, silicon wafers, and PV cells and modules. HSOL also offers mono crystalline and multi crystalline silicon cells; and provides PV module processing services.
10 Best Energy Stocks To Invest In 2014: Ecopetrol S.A.(EC)
Ecopetrol S.A. operates as an integrated oil company in Colombia, Peru, Brazil, and the U.S. Gulf Coast. The company engages in the exploration, development, and production of crude oil and natural gas. As of December 31, 2010, its proved reserves of crude oil and natural gas consisted of 1,714.0 million barrels of oil equivalent. The company also transports crude oil, motor fuels, fuel oil, and other refined products, as well as mixture of diesel and palm oil. It owns transportation network consisting of 3,003 kilometers of crude oil pipeline directly, as well as an additional 2,178 kilometers of crude oil pipeline with its business partners; and 3,017 kilometers of multi-purpose pipelines for transportation of refined products from refinery to wholesale distribution points. As of the above date, Ecopetrol S.A. owned 58 stations with a nominal storage capacity of 19 million barrels of crude oil and 6 million barrels of refined products. In addition, the company owns and o perates refineries that produce a range of refined products, including gasoline, diesel, kerosene, jet fuel, aviation fuel, liquefied petroleum gas, sulfur, heavy fuel oils, motor fuels, and petrochemicals, including paraffin waxes, lube base oils, low-density polyethylene, aromatics, asphalts, alkylates, cyclohexane and aliphatic solvents, and refinery grade propylene, as well as provides industrial services to third parties. Further, it markets various refined and feed stock products, including regular and high octane gasoline, diesel fuel, jet fuel, natural gas, and petrochemical products. The company was formerly known as Empresa Colombiana de Petroleos and changed its name to Ecopetrol S.A. in June 2003. Ecopetrol S.A. was founded in 1948 and is based in Bogota, Colombia.
Advisors' Opinion: - [By Dave Friedman]
Institutional investors bought 8,091,790 shares and sold 1,263,000 shares, for a net of 6,828,790 shares. This net represents 0.02% of common shares outstanding. The number of shares outstanding is 40,472,512,590. The shares recently traded at $40.59 and the company’s market capitalization is $82,710,853,874.47. About the company: Ecopetrol SA is an integrated oil company. The Company owns interests in oil producing fields in the central area, south, west and north of Colombia as well as refineries, ports for fuel exports and imports on both coasts and the transportation network of pipelines and polyducts throughout the Colombian territory.