Why Centennial Resource Development Jumped 14% in Early Trading Today

Shares of U.S. onshore exploration and production company Centennial Resource Development (NASDAQ: CDEV) were higher by 14% at 11 a.m. EDT on Sept. 28. There wasn't any material news out about the driller, but there was some other industry news that might have gotten a few investors excited here.

One of the big headlines in the energy industry today is that WPX Energy and Devon Energy are merging. Both are onshore U.S. drillers, like Centennial. And the fact that the pair has agreed to combine suggests that consolidation in the U.S. oil patch is still a very real trend. It's not unrealistic that investors might be thinking that Centennial could end up a target at some point as well.

Image source: Getty Images.

Source Fool.com