Encana Corp (ECA): Today's Featured Energy Winner

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.

Encana ( ECA) pushed the Energy industry higher today making it today's featured energy winner. The industry as a whole closed the day down 1.0%. By the end of trading, Encana rose $0.25 (1.2%) to $20.89 on average volume. Throughout the day, 6,297,601 shares of Encana exchanged hands as compared to its average daily volume of 5,241,500 shares. The stock ranged in a price between $20.59-$20.90 after having opened the day at $20.67 as compared to the previous trading day's close of $20.64. Other companies within the Energy industry that increased today were: Double Eagle Petroleum Company ( DBLE), up 13.4%, U.S. Energy ( USEG), up 6.0%, PrimeEnergy ( PNRG), up 5.2% and Pembina Pipeline ( PBA), up 4.0%.

Encana Corporation, together with its subsidiaries, is engaged in exploration for, development, production, and marketing of natural gas, oil, and natural gas liquids in Canada and the United States. Encana has a market cap of $15.2 billion and is part of the basic materials sector. Shares are up 14.3% year to date as of the close of trading on Tuesday. Currently there are 7 analysts that rate Encana a buy, no analysts rate it a sell, and 9 rate it a hold.

TheStreet Ratings rates Encana as a hold. The company's strengths can be seen in multiple areas, such as its expanding profit margins and notable return on equity. However, as a counter to these strengths, we also find weaknesses including unimpressive growth in net income, weak operating cash flow and relatively poor performance when compared with the S&P 500 during the past year.

On the negative front, KiOR ( KIOR), down 21.3%, Constellation Energy Partners ( CEP), down 12.0%, Solazyme ( SZYM), down 11.8% and Saratoga Resources ( SARA), down 10.0% , were all laggards within the energy industry with Phillips 66 ( PSX) being today's energy industry laggard.

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).

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