Are Cimarex Energy Co. (XEC) Shares Headed For A Pullback?

On Wednesday, shares of Cimarex Energy Co. (NYSE:XEC) marked $16.76 per share versus a previous $16.11 closing price. With having a 4.03% gain, an insight into the fundamental values of Cimarex Energy Co., investors would also find a great ally in the technical patterns of the stock movements showed in stock charts. XEC showed a fall of -68.07% within its YTD performance, with highs and lows between $12.15 – $72.46 during the period of 52 weeks, compared to the simple moving average of -62.74% in the period of the last 200 days.

Barclays equity researchers changed the status of Cimarex Energy Co. (NYSE: XEC) shares from “Equal Weight” to a “Overweight” rating in the report published on March 24th, 2020. Other analysts, including BofA/Merrill, also published their reports on XEC shares. BofA/Merrill repeated the rating from the previous report, marking XEC under “Underperform” rating, in the report published on March 23rd, 2020. Additionally, XEC shares got another “Outperform” rating from Credit Suisse, setting a target price of $28 on the company’s shares, according to the report published in March 19th, 2020. On the other hand, BMO Capital Markets Upgrade the “Outperform” rating for XEC shares, as published in the report on March 16th, 2020. Cowen seems to be going bullish on the price of XEC shares, based on the price prediction for XEC, indicating that the shares will jump to $35, giving the shares “Outperform” rating based on their report from March 11th, 2020. Another “Hold” rating came from Stifel, providing a prediction for $35 price target according to the report published in March 9th, 2020.

Cimarex Energy Co. (XEC) Analysis

The present dividend yield for XEC owners is set at 0.05, marking the return investors will get regardless of the company’s performance in the upcoming period. However, in order for the company to be able to pay its dividends, just like it is the case with Cimarex Energy Co., the company needs to provide a healthy cash flow, currently at the value of 1.18. In addition, the growth of sales from quarter to quarter is recording 5.30%, hinting the company’s progress in the upcoming progress.

In order to gain a clear insight on the performance of Cimarex Energy Co. (XEC) as it may occur in the future, there are more than several well-rounded types of analysis and research techniques, while equity is most certainly one of the more important indicators into the company’s growth and performance. In this case, you want to make sure that the return on the present equity of -3.50% is enough for you to make a profit out of your investment. You may also count in the quick ratio of the company, currently set at 0.80 so you would make sure that the company is able to cover the debts it may have, which can be easily seen in annual reports of the company.

Set to affect the volatility of a given stock, the average volume can also be a valuable indicator, while XEC is currently recording an average of 3.15M in volumes. The volatility of the stock on monthly basis is set at 16.41%, while the weekly volatility levels are marked at 20.50%with 25.17% of gain in the last seven days. Additionally, long-term investors are predicting the target price of $43.48, indicating growth from the present price of $16.76, which can represent yet another valuable research and analysis points that can help you decide whether to invest in XEC or pass.

What to Look for When Analyzing Cimarex Energy Co. Shares?

Cimarex Energy Co. (XEC) is based in the USA and it represents one of the well-known company operating with Basic Materials sector. If you wish to compare XEC shares with other companies under Electronic Equipment and Consumer Goods, a factor to note is the P/E value of for Cimarex Energy Co., while the value 4.23 can represent an indicator in the future growth of the company in terms of investor’s expectations. The later value should have a steady growth rate, increasing and growing gradually, which serves the purpose of reliably showcasing the progress of the company. The value -0.91 is supported by the yearly ESP growth of -116.00%.

Besides from looking into the fundamentals, you should also note the number of people inside the company owning the shares, as the values should be in line with the expectations of investors. In that spirit, the present ownership of stocks inside the company is set at 1.20%, which can provide you with an insight of how involved executives are in owning shares of the company. In oppose to the executives’ share, the institutional ownership counts 97.60% of shares, carrying an equal significance as an indicator of value, as the presence of large investors may signal a strong company.

Are Institutional Investors Increasing Stakes in XEC Shares?

At the present, 97.60% of XEC shares are in the ownership of institutional investors.