The stock is trading at a higher than average volume of 428,514, compared to the energy company's three month average of 298,206 shares.
Today, Montclair Energy LLC published a proposal to maximize shareholder value at Equal Energy, through a recapitalization of the company.
The proposal from Montclair gives a detailed analysis of the superiority of Equal Energy conducting a recapitalization, instead of going through with the pending sale to Petroflow Energy Corporation.
The Montclair analysis came to the conclusion that the Petroflow offer undervalues Equal Energy, the sale of the company would keep investors from being a part of the company's future potential and a levered share repurchase would give investors an immediate capital return.
TheStreet Ratings team rates EQUAL ENERGY LTD as a Hold with a ratings score of C-. TheStreet Ratings Team has this to say about their recommendation:
"We rate EQUAL ENERGY LTD (EQU) a HOLD. The primary factors that have impacted our rating are mixed some indicating strength, some showing weaknesses, with little evidence to justify the expectation of either a positive or negative performance for this stock relative to most other stocks. The company's strengths can be seen in multiple areas, such as its increase in stock price during the past year, largely solid financial position with reasonable debt levels by most measures and expanding profit margins. However, as a counter to these strengths, we also find weaknesses including feeble growth in the company's earnings per share and deteriorating net income."