NEW YORK (TheStreet) -- Shares of Oasis Petroleum (OAS) are falling by 2.88% to $16.20 in late afternoon trading on Thursday, as oil prices took a tumble today, dragging some energy related stocks along with it.
Crude oil (WTI) is slipping by 2.68% to $58.04 per barrel and Brent crude is down by 2.62% to $62.13 per barrel this afternoon, according to the CNBC.com index.
The decline in prices is the result of expectations that the Organization of the Petroleum Exporting Countries will announce its decision to maintain its current production levels at tomorrow's meeting, despite the global oversupply.
The oversupply of crude oil is due mostly to a robust production from some OPEC countries and the U.S., The Wall Street Journal says. Adding that the glut is keeping prices more than 40% lower than their highs from June 2014.
"We expect crude oil prices will [move] to the downside after OPEC officials announce that the group will keep production quotas unchanged, or potentially increase, thereby confirming the oil glut oversupply will endure," TD Securities analyst Michael Loewen said, The Journal noted.
Oasis Petroleum is a Houston, TX-based exploration and production company.
Separately, TheStreet Ratings team rates OASIS PETROLEUM INC as a Hold with a ratings score of C. TheStreet Ratings Team has this to say about their recommendation:
"We rate OASIS PETROLEUM INC (OAS) 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 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."