Cimarex Energy Co (XEC)

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$XEC Cimarex downgraded at Imperial on weak outlook for nat gas prices

Cimarex Energy (XEC -4.3%) sinks to its lowest level in seven years as Imperial Capital downgrades shares to In-Line, citing deteriorating prices for U.S. natural gas and natural gas liquids; oil names are broadly lower as crude oil prices fall ~4%.

Imperial sees XEC as a well-managed company with a strong balance sheet and ample liquidity, but earnings will be hit by the company's highly leverage to gas and natural gas liquids, with gas accounting for 42% of its total estimated oil and gas production of 270K boe/day in 2019 and NGL comprising 27%.

XEC's average Sell Side Rating is Outperform and its Seeking Alpha Authors' Rating is Bullish, while its Quant Rating is Neutral.