The Zacks Analyst Blog Highlights: Range Resources, Rice Energy, Chesapeake Energy, Southwestern Energy and EQT

For Immediate Release

Chicago, IL – August 16, 2017 – Zacks.com announces the list of stocks featured in the Analyst Blog. Every day the Zacks Equity Research analysts discuss the latest news and events impacting stocks and the financial markets. Stocks recently featured in the blog include Range Resources Corp. (NYSE:RRC – Free Report), Rice Energy Inc. (NYSE:RICE – Free Report), Chesapeake Energy Corp. (NYSE:CHK – Free Report), Southwestern Energy Co. (NYSE:SWN – Free Report) and EQT Corp. (NYSE:EQT – Free Report).  

Today, Zacks is promoting its ''Buy'' stock recommendations. Get #1Stock of the Day pick for free.

Here are highlights from Tuesday’s Analyst Blog:

Natural Gas Rides High on Bullish Inventory

The U.S. Energy Department's weekly inventory release showed a smaller-than-expected increase in natural gas supplies following which the commodity traded up to its highest level since Jul 28.

About the Weekly Natural Gas Storage Report

The Weekly Natural Gas Storage Report – brought out by the Energy Information Administration (EIA) every Thursday since 2002 – includes updates on natural gas market prices, the latest storage level estimates, recent weather data and other market activities or events.

The report provides an overview of the level of reserves and their movements, thereby helping investors understand the demand/supply dynamics of natural gas. It is an indicator of current gas prices and volatility that affect businesses of natural gas-weighted companies and related support plays.

Analysis of the Data: A Smaller-than-Expected Rise in Storage

Stockpiles held in underground storage in the lower 48 states rose by 28 billion cubic feet (Bcf) for the week ended Aug 4, 2017, below the guidance (of 34 Bcf gain) as per the analysts surveyed by S&P Global Platts, a leading independent commodities and energy data provider.

While the increase was higher than last year’s addition of 24 Bcf, it was well under the 5-year (2012-2016) average injection of 54 Bcf for the reported week. This caused the current storage level – at 3.038 trillion cubic feet (Tcf) – narrow its surplus to the five-year average to 61 Bcf (2.0%). Moreover, total stocks are 275 Bcf (8.3%) lower than last year’s levels at this time.

The lower-than-expected build in natural gas inventories instilled optimism and prompted spurts of buying. As a result, the commodity spiked 7.5% for the week to end Friday at $2.983 per MMBtu – a 3-week high.

Positive Long-Term Thesis

Despite occasional hiccups, the natural gas demand situation looks promising with hot conditions set to prevail in most U.S. pockets in the later part of August and power generators burning more gas to meet intensifying cooling demand.

In any case, long-term fundamentals for the commodity continue to be supportive on the back of structural imbalances. While domestic natural gas production is expected to rebound this year, the growing use of liquefied natural gas (or LNG), booming exports to Mexico, replacing coal-fired power plants and higher demand from industrial projects will likely take care of the increased output. The resulting effect will ensure natural gas storage keeping pace with the 5-year average in the near future, with deficits piling up later on.

Over the summer, these secular tailwinds are likely to support natural gas sentiment and price.

The perceived price strength augurs well for natural gas-heavy upstream companies like Range Resources Corp. (NYSE:RRC – Free Report), Rice Energy Inc. (NYSE:RICE – Free Report), Chesapeake Energy Corp. (NYSE:CHK – Free Report), Southwestern Energy Co. (NYSE:SWN – Free Report) and EQT Corp. (NYSE:EQT – Free Report).

Zacks' 10-Minute Stock-Picking Secret

Since 1988, the Zacks system has more than doubled the S&P 500 with an average gain of +25% per year. With compounding, rebalancing, and exclusive of fees, it can turn thousands into millions of dollars.

But here's something even more remarkable: You can master this proven system without going to a single class or seminar. And then you can apply it to your portfolio in as little as 10 minutes a month. Learn the secret >>

About Zacks Equity Research

Zacks Equity Research provides the best of quantitative and qualitative analysis to help investors know what stocks to buy and which to sell for the long-term.

Continuous coverage is provided for a universe of 1,150 publicly traded stocks. Our analysts are organized by industry which gives them keen insights to developments that affect company profits and stock performance. Recommendations and target prices are six-month time horizons.

Strong Stocks that Should Be in the News

Many are little publicized and fly under the Wall Street radar. They're virtually unknown to the general public. Yet today's 220 Zacks Rank #1 "Strong Buys" were generated by the stock-picking system that has nearly tripled the market from 1988 through 2015. Its average gain has been a stellar +26% per year.See these high-potential stocks free >>.

Get the full Report on RRC - FREE

Get the full Report on EQT - FREE

Get the full Report on RICE - FREE

Get the full Report on CHK - FREE

Get the full Report on SWN - FREE

Follow us on Twitter: https://twitter.com/zacksresearch

Join us on Facebook: https://www.facebook.com/home.php#/pages/Zacks-Investment-Research/57553657748?ref=ts

Zacks Investment Research is under common control with affiliated entities (including a broker-dealer and an investment adviser), which may engage in transactions involving the foregoing securities for the clients of such affiliates.

Media Contact

Zacks Investment Research

800-767-3771 ext. 9339

support@zacks.com

https://www.zacks.com/

 

Past performance is no guarantee of future results. Inherent in any investment is the potential for loss.This material is being provided for informational purposes only and nothing herein constitutes investment, legal, accounting or tax advice, or a recommendation to buy, sell or hold a security. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. It should not be assumed that any investments in securities, companies, sectors or markets identified and described were or will be profitable. All information is current as of the date of herein and is subject to change without notice. Any views or opinions expressed may not reflect those of the firm as a whole. Zacks Investment Research does not engage in investment banking, market making or asset management activities of any securities. These returns are from hypothetical portfolios consisting of stocks with Zacks Rank = 1 that were rebalanced monthly with zero transaction costs. These are not the returns of actual portfolios of stocks. The S&P 500 is an unmanaged index. Visit https://www.zacks.com/performancefor information about the performance numbers displayed in this press release.

Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
 
Southwestern Energy Company (SWN) : Free Stock Analysis Report
 
EQT Corporation (EQT) : Free Stock Analysis Report
 
Range Resources Corporation (RRC) : Free Stock Analysis Report
 
Chesapeake Energy Corporation (CHK) : Free Stock Analysis Report
 
Rice Energy Inc. (RICE) : Free Stock Analysis Report
 
To read this article on Zacks.com click here.
 
Zacks Investment Research