Stocks to Buy based on the Best Stock Market Research
Kodiak Oil & Gas (KOG) is one of the best small/mid cap oil stocks you can buy. The company drills for oil in the Bakken Shale located in North Dakota ( http://oilshalegas.com/bakkenshale.html ) where it currently has 155,000 acres.
Kodiak Oil & Gas (KOG) stock recently hit a 52 week high located at $10.41. Since that high, the stock has pulled back to $9 per share. While the chart doesn't look so good in the short term, KOG is a strong buy from here on out for the long term. I am hoping to get a pullback to around $7 or less by the summer of 2012. Historically, between August -September has been a great time to buy the stock. This doesn't mean the same will happen in 2012 so you might want to get your feet wet if we see the low $8's.
Kodiak Oil & Gas (KOG) is a volatile stock so you do have to be able to stomach the swings. Volatility can help you accumulate more shares though if you plan to trade it.
Here is a list of past, present, and future earnings
2010 - $0.03 EPS
2011 - $0.23 EPS Expected - $0.12 of that is expected 2/28/12
2012 - $1.09 EPS Expected
Revenue is expected to grow from $136 million in 2011 to $675 million in 2012.
With a stock price of $9.04. Kodiak Oil & Gas (KOG) is trading at 8.3 times 2012 earnings. I expect earnings to grow at a fast pace in 2013 and 2014 but not as fast as they did from 2011 to 2012.
By 2013-2014, Oil should be $120-$140 if not higher. Even if oil remains between $90-$100, I am sticking by my price target due to earnings growth alone.
KOG 2013/2014 Price Target - $20-$30 per share
I spoke about this in chat the other day but I wanted to put this on a forum thread for everyone to look at.
Replies to This Discussion
yeppers been acumalating shares for a while now
I bought this around 9.50 a few weeks ago (before it hit the 10.50 high) and am still holding. I am afraid to sell it because I feel this company has massive buyout potential with the amount of land it has
Great information,will keep it on ticker and watch it, thanks for doing the homework!
TPLM SSN KOG 3 bakken stocks. I THINK these 3 stocks are a buy for long term.
Triangle Petroleum (TPLM) is a very interest company as well. They have a nice position in the Bakken as well but are in the early stages of drilling. The problem is, they only own a fraction of their wells. They are kind of like a Norther Oil & Gas (NOG). They own 25% here, 5% there.
Yea I'd let it go down a bit. If the trend is the same from the past two years, we will see a choppy sideways pattern for awhile followed by a late year end surge again. No promises but that's the way I am playing it. I might have to make my first long term purchase on KOG this week. Will update here and in the long term group.
Maybe this gives us that buying opportunity, KOG had some problems drilling 6 wells - During fourth quarter 2011 completion operations, Kodiak incurred mechanical issues with liners in the horizontal leg of six separate wells. As a result, remediation work is underway to patch the liners and, once remediated, completion operations will continue. The delay will have the effect of causing production from these six wells to come on line during the first half of 2012, as opposed to the fourth quarter 2011 as projected. To expedite the completion work, the Company has secured additional completion days from its pressure pumping company, beginning February 2012.
looks like people buying KOG at dip...
Yea, holding up very strong, the production guidance was very strong
KOG is starting a good run, it is up to 9.30, in positive territory very quickly. Someone is buying.
that was a crazy swing just now back in mid 9's
Hey tim what do you think of Hyperdynamics (HDY) i have 1,500 shares from prices between 2.20-3.00
im thinking of buying some more for now and selling later in summer and then dumping around $35,000 that i should have from everything into KOG if it hits $8