Time To Be Bullish Or Bearish On Oasis Petroleum Inc. (OAS)?

Analysts at Stephens, assumed coverage of Oasis Petroleum Inc. (NYSE:OAS) with Equal-Weight recommendation, according to their opinion released on December 06. Analysts at Susquehanna issued an upgrade from Neutral to Positive for the stock, in a research note that dated back to November 15.

By watching the trading activity of corporate insiders, it will become easier to get a sense of Oasis Petroleum Inc. (NYSE:OAS)’s prospects. The earliest insider trade took place on 11/19/2018. Reid Taylor L parted with a total of 30 thousand shares of company at average share price of $8.04. The total for the sales was set at $241.2 thousand. After this transaction, the President and COO account balance stood at 1.74 million shares. The stock lost -7.96 percent since that insider sale. On 05/16/2018, Lou Michael H, Executive VP and CFO, sold 16 thousand shares at a price per share of $12.27. This removed 196.32 thousand shares from the insider’s fortune and the stock saw a -39.69 percent retreat in value since the news became public. This transaction left 418.96 thousand shares in the Executive VP and CFO account. On 05/16/2018, President and COO Reid Taylor L performed a sale transaction worth $366.6 thousand. This sale at $12.22 each has eliminated 30 thousand shares from the insider’s portfolio position. Meanwhile, shares have recorded -39.44 percent decrease since the transaction was reported. The insider now is left with 1.73 million shares remaining in the account. Lorentzatos Nickolas J, who performs the Executive VP, GC & Corp. Sec. job, sold 19.18 thousand shares for $228.25 thousand. The disposal occurred on 05/05/2018 was priced at $11.9 per share. The share price plunged -37.82 percent since the reporting date. Lorentzatos Nickolas J now left with a stake of 257.63 thousand OAS stock worth $1.77 million after the insider selling.

Oasis Petroleum Inc. (OAS) is expected to jump by 125.95 percent over the next 12 months, according to price target estimates compiled by finviz. Meanwhile, they have set a $26.9-month high price target. This represents a whopping 292.13 percent increase from where shares are trading today. The 12-month median price target assigned by the analysts stands at $14, which represents a return potential of 104.08 percent when compared to the closing price of the stock of $6.86 on Thursday, December 06. The lowest price target for the stock is $8 — slightly more than 16.62 percent from OAS’s current share price.

The shares are currently floating around the first support level of $6.48. Below this, the next support is placed in the zone of $6.11. Till the time, the OAS stock trades above this level, bulls have nothing to fear. On momentum oscillators front, ‘RSI’ has touched 29.81 on daily chart, which may remain a cause for comfort. If the price breaks below $6.11 level on closing basis, then we may see more profit booking and the stock may show further weakness. On the flipside, hitting the $7.2 mark may result into a pull-back move towards $7.55 level.

OAS shares dropped -0.54 points or -7.3 percent on Thursday to $6.86 with a heavy trade volume of 17.356 million shares. After opening the session at $7.14, the shares went as high as $7.17 and as low as $6.4475, the range within which the stock’s price traded throughout the day. The firm is left with a market cap of $2.3 billion and now has 334.93 million shares outstanding. Oasis Petroleum Inc. (OAS) stock has lost -32.81 percent of market value in 21 trading days.

OAS stock has a trailing 3-year beta of 2.27, offering the possibility of a higher rate of return, but also posing more risk. The portion of a company’s profit allocated to each outstanding share of common stock was -$1.01 a share in the trailing twelve months. The stock’s value has fallen -18.43 percent year to date (YTD) against a decline of -31.74 percent in 12 month’s time. The company’s shares still trade -52.92 percent away from its 1-year high of $14.57 and -2.14 percent down from 52-week low of $7.01. The average consensus rating on the company is 2.1, on a scale where 5 equates to a unanimous sell rating. In short, the mean analyst recommendations are calling this stock a sell.

Shares of Oasis Petroleum Inc. (OAS) are trading at a P/E ratio of 0 times earnings reported for the past 12 months. The industry OAS operates in has an average P/E of 16.71. Its P/E ratio went as low as 3.28X and as high as 19.25 over the 5-year span. Further, it is sporting a 1.23 on the Price-to-Sales ratio. Compare this with the industry average P/S of 99.8. 70.9 percent is the gross profit margin for Oasis Petroleum Inc. and operating margin sits at 6.5 percent. Along with this, the net profit margin is -7.1 percent.

OAS will be showing off its Q4 earnings on February 26. Analysts are forecasting revenue to climb 15.5 percent to $467M in the next fiscal quarter, while earnings are seen soaring by nearly 0 percent to $0.12 per share. History has shown that shares in Oasis Petroleum Inc. have gone up on 17 different earnings reaction days and are predicted to add 0.03 percent when the company reports upcoming earnings. In last reported earnings results, it earned $0.08 per share, worse than the $0.13, adjusted, expected by Thomson Reuters consensus estimate. Revenue was $546M, better than the $446M analysts expected. Earnings are estimated to increase by 84.7 percent this year, 113.2 percent next year and continue to increase by 0 percent annually for the next 5 years.