Eog Resources $EOG rose more than 7% on August 5, 2022, after the company reported EPS and revenueThe income statement provides a summary of a company's revenue and expenses over a specified period of time, typically a year or a quarter. It shows the company's total revenue, th... beats, which resulted in an upgrade from TD Securities.
Bullish Options Flow Detected In $EOG Stock
GuerillaStockTrading detected bullish option flow in $EOG stock on August 5, 2022.
Make sure to review this lesson on option flow so that you understand the image above.
The September 16, 2022, $125 call contract volume exploded higher, favoring the bulls.
EOG Resources Reports Second Quarter 2022 Results
On August 4, 2022, EOG Resources $EOG reported second quarter 2022 results. EOG Resources reported Q2 adjusted EPS of $2.74 versus the consensus estimate of $2.67. The company reported Q2 revenue of $7.4B versus the consensus estimate of $6.14B.
Second Quarter 2022 Highlights
- Declared special dividend of $1.50 per share
- Earned adjusted net income of $1.6 billion, or $2.74 per share
- Generated $1.3 billion of free cash flowThe cash flow statement provides a detailed overview of the cash inflows and outflows of a company over a specified period of time. It includes cash received from operations, inves...
- Oil, NGL, and natural gas production above guidance midpoints
- Capital expenditures below the low end of the guidance range
- Total per-unit cash operating costs below guidance midpoint
- Deployed in-house developed continuous leak detection system
“EOG delivered another quarter of outstanding operating execution. Our second quarter performance is attributable to the dedication and persistence of our employees and the power of our high-quality inventory across our multi-basin portfolio.
“We are adding reserves at lower finding costs and, in turn, lowering the overall cost base of the company. The Delaware Basin remains the largest area of activity in the company and is delivering exceptional returns. Eagle Ford also continues to deliver top-tier results while operating at a steady pace. Our emerging South Texas Dorado dry gas play and Powder River Basin Mowry and Niobrara combo plays are contributing to EOG’s success today while laying the groundwork for years of future high-return investment. And our robust exploration pipeline of potential new plays promises to further raise the bar on our performance.
“Our performance this year proves that we have emerged from the downturn better than ever. The company is positioned to deliver significant value to shareholders with our low-cost structure and increased exposure to oil and natural gas prices with the recent reductions in our hedge position. This is supported by an industry-leading balance sheetThe balance sheet is a snapshot of a company's financial position at a specific point in time. It shows the company's assets, liabilities, and equity. and a regular dividend that allow EOG to deliver significant value through the cycle.
“We are well positioned to carry this momentum into 2023. We have offset a significant portion of inflation this year and are working on plans to identify further cost savings next year. We continue to advance new technology and innovative projects to further lower our environmental footprint, such as an EOG-developed continuous leak detection system that is being deployed at our Delaware Basin facilities. Throughout the year and as we begin to plan for 2023, we remain focused on disciplined capital allocation. Our long-term vision is to be among the lowest cost, highest return, and lowest emissions producers, playing a significant role in the long-term future of energy.”
$EOG stock upgraded to Buy from Hold at TD Securities
On August 5, 2022, TD Securities analyst Menno Hulshof upgraded EOG Resources to Buy from Hold with an unchanged price target of $135. TD Securities analyst Menno Hulshof upgraded EOG Resources after the company declared a fourth consecutive special dividend. While this was largely expected, EOG continues to guide to a 60% annual return of free cash flow, and he is confident that EOG will “easily achieve its 60% target,” Hulshof tells investors.
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📈 $EOG Stock Chart Technical Analysis
Even though $EOG stock had a huge up day on August 5, 2022, one day does not a market make. The stock is still in a technical downtrend. The stock is in a wedgeThe wedge chart pattern is a technical analysis tool used by traders to identify potential buying or selling opportunities. It consists of three converging trend lines, which meet ... pattern and is testing upper resistance. A wedge breakout would be a significant technical victory for bulls.