Trade-Ideas LLC identified
) as a strong on high relative volume candidate. In addition to specific proprietary factors, Trade-Ideas identified Energen as such a stock due to the following factors:
- EGN has an average dollar-volume (as measured by average daily share volume multiplied by share price) of $72.5 million.
- EGN has traded 87,150 shares today.
- EGN is trading at 2.58 times the normal volume for the stock at this time of day.
- EGN is trading at a new high 4.14% above yesterday's close.
'Strong on High Relative Volume' stocks are worth watching because major volume moves tend to indicate underlying activity such as M&A events, material stock news, analyst upgrades, insider buying, buying from 'superinvestors,' or that hedge funds and momentum traders are piling into a stock ahead of a catalyst. Regardless of the impetus behind the price and volume action, when a stock moves with strength and volume it can indicate the start of a new trend on which early investors can capitalize. In the event of a well-timed trading opportunity, combining technical indicators with fundamental trends and a disciplined trading methodology should help you take the first steps towards investment success.
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More details on EGN:
Energen Corporation, through its subsidiary Energen Resources Corporation, explores for, develops, and produces oil, natural gas, and natural gas liquids in the Permian Basin in west Texas and the San Juan Basin in New Mexico. The stock currently has a dividend yield of 0.3%. Currently there are 11 analysts that rate Energen a buy, no analysts rate it a sell, and 4 rate it a hold.
The average volume for Energen has been 1.9 million shares per day over the past 30 days. Energen has a market cap of $4.3 billion and is part of the basic materials sector and energy industry. The stock has a beta of 1.90 and a short float of 7.3% with 2.98 days to cover. Shares are up 10% year-to-date as of the close of trading on Tuesday.
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rates Energen as a
. The company's weaknesses can be seen in multiple areas, such as its deteriorating net income, disappointing return on equity, poor profit margins, weak operating cash flow and generally disappointing historical performance in the stock itself.
Highlights from the ratings report include:
- The company, on the basis of change in net income from the same quarter one year ago, has significantly underperformed when compared to that of the S&P 500 and the Oil, Gas & Consumable Fuels industry. The net income has significantly decreased by 1217.2% when compared to the same quarter one year ago, falling from -$15.42 million to -$203.12 million.
- Return on equity has greatly decreased when compared to its ROE from the same quarter one year prior. This is a signal of major weakness within the corporation. Compared to other companies in the Oil, Gas & Consumable Fuels industry and the overall market, ENERGEN CORP's return on equity significantly trails that of both the industry average and the S&P 500.
- The gross profit margin for ENERGEN CORP is currently lower than what is desirable, coming in at 27.78%. It has decreased from the same quarter the previous year. Along with this, the net profit margin of -165.45% is significantly below that of the industry average.
- Net operating cash flow has significantly decreased to $21.27 million or 85.12% when compared to the same quarter last year. In addition, when comparing the cash generation rate to the industry average, the firm's growth is significantly lower.
- Despite any intermediate fluctuations, we have only bad news to report on this stock's performance over the last year: it has tumbled by 37.06%, worse than the S&P 500's performance. Consistent with the plunge in the stock price, the company's earnings per share are down 1014.28% compared to the year-earlier quarter. Turning toward the future, the fact that the stock has come down in price over the past year should not necessarily be interpreted as a negative; it could be one of the factors that may help make the stock attractive down the road. Right now, however, we believe that it is too soon to buy.
- You can view the full Energen Ratings Report.