Oasis Petroleum Inc (OAS): Today's Featured Basic Materials Laggard

Editor's Note: Any reference to TheStreet Ratings and its underlying recommendation does not reflect the opinion of TheStreet, Inc. or any of its contributors including Jim Cramer or Stephanie Link.

Oasis Petroleum ( OAS) pushed the Basic Materials sector lower today making it today's featured Basic Materials laggard. The sector as a whole closed the day up 1.6%. By the end of trading, Oasis Petroleum fell $1.12 (-2.6%) to $41.38 on heavy volume. Throughout the day, 2,925,403 shares of Oasis Petroleum exchanged hands as compared to its average daily volume of 1,485,000 shares. The stock ranged in price between $40.14-$42.58 after having opened the day at $42.08 as compared to the previous trading day's close of $42.50. Other companies within the Basic Materials sector that declined today were: Sibanye Gold Ltd ADR ( SBGL), down 43.4%, WSP Holdings ( WH), down 34.2%, Axiall ( AXLL), down 17.2% and Dominion Diamond ( DDC), down 17.2%.

Oasis Petroleum Inc., an independent exploration and production company, engages in the acquisition and development of oil and natural gas resources in the Montana and North Dakota regions of the Williston Basin. Its primary projects are located in West Williston, East Nesson, and Sanish. Oasis Petroleum has a market cap of $4.0 billion and is part of the energy industry. Shares are up 33.6% year to date as of the close of trading on Wednesday. Currently there are 14 analysts that rate Oasis Petroleum a buy, no analysts rate it a sell, and 4 rate it a hold.

TheStreet Ratings rates Oasis Petroleum as a buy. The company's strengths can be seen in multiple areas, such as its robust revenue growth, solid stock price performance, impressive record of earnings per share growth, compelling growth in net income and good cash flow from operations. We feel these strengths outweigh the fact that the company has had generally high debt management risk by most measures that we evaluated.

On the positive front, Iamgold ( IAG), up 16.6%, American Pacific Corporation ( APFC), up 15.7%, GMX Resources ( GMXRQ), up 15.2% and China Gengsheng Minerals ( CHGS), up 14.9% , were all gainers within the basic materials sector with Barrick Gold Corporation ( ABX) being today's featured basic materials sector leader.

For investors not wanting singular stock exposure, ETFs may be of interest. Investors who are bullish on the basic materials sector could consider Materials Select Sector SPDR ( XLB) while those bearish on the basic materials sector could consider ProShares Short Basic Materials Fd ( SBM).

STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12-months. Learn more.
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