Here's Why Pengrowth Energy Corp's Stock Is Sinking Today

Pengrowth Energy (NYSE: PGH) slumped on Friday, with its stock falling more than 13% by 11:15 a.m. EST. Driving the downdraft was the company's third-quarter results and the glimpse it provided on what lies ahead.

Pengrowth reported that funds flow, which is a common metric Canadian energy companies use to measure cash flow, was a negative 0.3 million Canadian dollars ($0.24 million) in the third quarter. That's significantly less than the CA$122.7 million ($96.7 million) in funds flow the company produced in the year-ago period. The culprit was the nearly CA$1 billion ($790 million) in assets it sold over the past year as well as a reduction in gains from commodity price hedges.

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Source: Fool.com