Apache Corporation (APA): Today's Featured Energy Laggard

Editor's Note: TheStreet ratings do not represent the views of TheStreet's staff or its contributors. Ratings are established by computer based on metrics for performance (which includes growth, stock performance, efficiency and valuation) and risk (volatility and solvency). Companies with poor cash flow or high debt levels tend to earn lower ratings in our model.

Apache Corporation ( APA) pushed the Energy industry lower today making it today's featured Energy laggard. The industry as a whole closed the day down 0.3%. By the end of trading, Apache Corporation fell $1.35 (-1.7%) to $76.38 on average volume. Throughout the day, 3.4 million shares of Apache Corporation exchanged hands as compared to its average daily volume of 2.9 million shares. The stock ranged in price between $75.82-$77.45 after having opened the day at $77.16 as compared to the previous trading day's close of $77.73. Other companies within the Energy industry that declined today were: Torch Energy Royalty ( TRU), down 10.2%, Abraxas Petroleum Corporation ( AXAS), down 10.1%, Global Geophysical Services ( GGS), down 6.3%, and Memorial Production Partners ( MEMP), down 5.9%.
  • EXCLUSIVE OFFER: Jim Cramer's Protégé, Dave Peltier, only buys Stocks Under $10 that he thinks could potentially double. See what he's trading today with a 14-day FREE pass.

Apache Corporation, an independent energy company, explores for, develops, and produces natural gas, crude oil, and natural gas liquids. Apache Corporation has a market cap of $29.84 billion and is part of the basic materials sector. The company has a P/E ratio of 12.2, below the S&P 500 P/E ratio of 17.7. Shares are down 14.2% year to date as of the close of trading on Wednesday. Currently there are 18 analysts that rate Apache Corporation a buy, no analysts rate it a sell, and five rate it a hold.

TheStreet Ratings rates Apache Corporation as a hold. The company's strengths can be seen in multiple areas, such as its reasonable valuation levels and expanding profit margins. However, as a counter to these strengths, we also find weaknesses including deteriorating net income, disappointing return on equity and weak operating cash flow.

On the positive front, Sonde Resources ( SOQ), up 17.2%, BMB Munai ( BMBM), up 15.7%, Ivanhoe Energy ( IVAN), up 13.9%, and New Concept Energy ( GBR), up 11.4%, were all gainers within the energy industry with Valero Energy Corporation ( VLO) being today's featured energy industry leader.

For investors not wanting singular stock exposure, ETFs may be of interest. Investors who are bullish on the energy industry could consider Energy Select Sector SPDR ( XLE) while those bearish on the energy industry could consider Proshares Short Oil & Gas ( DDG).

Holiday Special: Subscribe to Action Alerts PLUS to see how Jim Cramer trades his $2.5 Million+ portfolio for 51% off the list price. Your first 14-days are FREE: Sign up today to get e-mail alerts before every trade.
null

If you liked this article you might like

Apache Needs a Rally Above $44 to Chase the Bear Away

Apache Needs a Rally Above $44 to Chase the Bear Away

How I'm Playing Infrastructure, Oil and Defense Stocks Right Now

How I'm Playing Infrastructure, Oil and Defense Stocks Right Now

Logic Is Our Weapon; Emotion Is Our Enemy: Market Recon

Logic Is Our Weapon; Emotion Is Our Enemy: Market Recon

A Regular Winning Trade Becomes Roadkill in Market Meltdown

A Regular Winning Trade Becomes Roadkill in Market Meltdown

Why I Like Amazon, Apple and These Other Stocks for February

Why I Like Amazon, Apple and These Other Stocks for February