Stock to Watch: Callon Petroleum Company (NYSE: CPE)

Callon Petroleum Company (NYSE: CPE) has been recently spotted trading -14.81% off of the 52-week high price. On the other end, company shares have been noted 33.62% away from the low price over the last 52-weeks. 52 week range of the stock remained $ 9.34 – 14.65. Switching over to some distances from popular moving averages, we see that the stock has been recorded -5.10% away from the 50 day moving average and 7.37% away from the 200 day moving average. Moving closer, we can see that shares have been trading -9.47% off of the 20-day moving average. 169 employees work in the Company. It has market cap of $2.62B.

The USA based company Callon Petroleum Company closed with change of -5.02% to $12.48 with the total traded volume of 6411563 shares versus to an average volume of 4.25M. The stock was negative in the 5 days activity -11.43%. The one month performance of stock was -10.92%. CPE shares are at 12.84% for the quarter and driving a 3.23% return over the course of the past year and is now at 2.72% since this point in 2018.  Right now CPE beta is 1.18. The average volatility for the week and month was at 4.07% 3.52% respectively. There are 209.70M shares outstanding and 200.79M shares are floated in market.

Callon Petroleum Company (NYSE: CPE) reported that its wholly owned subsidiary, Callon Petroleum Operating Company, has entered into a definitive agreement to acquire certain producing oil and gas properties and undeveloped acreage for total consideration of $570 million in cash from Cimarex Energy Co. The Company intends to fund the cash purchase price with the net proceeds of an equity offering announced concurrently with the announcement of this acquisition, cash on hand and/or incurrence of long-term indebtedness.

Key attributes of the acquisition include:

  • the addition of approximately 28,657 net surface acres to our Spur operating area in the Delaware Basin, over 90% held by production, that is directly adjacent and highly complementary to our existing position;
  • current net production of approximately 6,831 barrels of oil equivalent per day (approximately 73% oil) for the first quarter of 2018, based on information provided by the seller;
  • estimated delineated base inventory of 212 net identified horizontal drilling locations targeting the Third Bone Spring, Wolfcamp A and Wolfcamp B zones, with approximately 86% to be operated by Callon. Over 60% of the inventory is comprised of well locations with laterals of 7,500 feet or more;
  • meaningful opportunities for enhanced development efficiencies from increased scale, integration of infrastructure and multi-well pad development; and
  • additional potential horizontal drilling locations from emerging prospective zones in the Second Bone Spring and Wolfcamp C formations.
  • On a pro forma basis, assuming the closing of the acquisition, Callon’s aggregate Permian Basin position will include approximately 86,000 net surface acres concentrated in four core operating areas within both the Midland and Delaware Basins.

Category – Business

Brandon Debolt has an experience in Content Writing, Journalism and love writing stories full of efficient language and accurate content. He is a graduate of University of Sydney and has two years’ experience of Wall Street Investor. Brandon covers Business category. His articles are published on Seeking Alpha, The Street, and The Motley Fool. Brianna has over 4 year experience as a news writer. Previously, he worked as a tech news reporter.

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