Northern Oil and Gas (NOG) Outpaces Stock Market Gains: What You Should Know

In the latest trading session, Northern Oil and Gas (NOG) closed at $2.85, marking a +1.79% move from the previous day. This change outpaced the S&P 500's 0.22% gain on the day. Elsewhere, the Dow gained 0.49%, while the tech-heavy Nasdaq lost 0.15%.

Coming into today, shares of the independent oil and gas company had lost 20.9% in the past month. In that same time, the Oils-Energy sector lost 7.66%, while the S&P 500 lost 0.57%.

Investors will be hoping for strength from NOG as it approaches its next earnings release, which is expected to be February 28, 2019. The company is expected to report EPS of $0.17, up 70% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $171.50 million, up 363.51% from the year-ago period.

For the full year, our Zacks Consensus Estimates are projecting earnings of $0.55 per share and revenue of $407.40 million, which would represent changes of +292.86% and +95.45%, respectively, from the prior year.

Investors might also notice recent changes to analyst estimates for NOG. These recent revisions tend to reflect the evolving nature of short-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.

Research indicates that these estimate revisions are directly correlated with near-term share price momentum. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.

The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 0.61% lower. NOG currently has a Zacks Rank of #3 (Hold).

Investors should also note NOG's current valuation metrics, including its Forward P/E ratio of 5.12. This represents a discount compared to its industry's average Forward P/E of 14.77.

The Oil and Gas - Exploration and Production - United States industry is part of the Oils-Energy sector. This group has a Zacks Industry Rank of 85, putting it in the top 33% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

You can find more information on all of these metrics, and much more, on Zacks.com.

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