Why Shares of Centennial Resource, Core Labs, and Peabody Energy Are on Fire Today
Oil stocks across the board are flying higher today thanks to the sharp reversal in oil prices, but small-cap stocks are shining the brightest, with Centennial Resource Development (NASDAQ: CDEV) and Core Laboratories (NYSE: CLB) leading from the front. Soaring gas prices are also sending stocks of coal producer Peabody Energy (NYSE: BTU) higher. Here's how the stocks are faring as of 2:10 p.m. EDT:
The double-digit price tumble in shares of Centennial Resource and Core Labs last week has presented investors in oil and gas stocks with the perfect opportunity to scoop up some shares today.
Crude oil prices are reversing today after a week-long decline and are up more than 5% this morning. Profitability for upstream oil and gas stocks depends entirely on oil prices, which explains today's surge in Centennial Resource shares. To give you an example, Centennial Resource's revenue jumped more than twofold in its last quarter despite lower production thanks to significantly higher average realized oil prices.
Source Fool.com
