Concho Resources Inc. [NYSE: CXO] gained 0.93% or 0.47 points to close at $51.26 with a heavy trading volume of 1167748 shares. The company report on August 10, 2020 that Concho Resources Inc. Announces Pricing of Senior Unsecured Notes.
Concho Resources Inc. (NYSE: CXO) (“Concho” or the “Company”) today announced that it has priced an offering of a total of $500 million aggregate principal amount of senior unsecured notes due 2031 (the “notes”). The notes will bear interest at a rate of 2.40% per annum and will be issued at 99.761% of par. The notes offering is expected to close on August 24, 2020, subject to the satisfaction of customary closing conditions. Concho intends to use the net proceeds from this offering for general corporate purposes, including, together with cash on hand, to redeem all of its outstanding 4.375% senior notes due 2025 (the “2025 notes”).
BofA Securities, J.P. Morgan and Wells Fargo Securities will act as joint bookrunning managers for the senior unsecured notes offering. The offering will be made only by means of a preliminary prospectus supplement and the accompanying base prospectus, copies of which may be obtained on the Securities and Exchange Commission (“SEC”) website at www.sec.gov. Alternatively, the underwriters will arrange to send you the preliminary prospectus supplement and related base prospectus if you request them by contacting BofA Securities, Inc., 200 North College Street, NC1-004-03-43, Charlotte, NC 28255-0001, Attention: Prospectus Department, or by e-mailing firstname.lastname@example.org, or via phone at (800) 294-1322; J.P. Morgan Securities LLC, 383 Madison Avenue, New York, NY 10179, Attention: Investment Grade Syndicate Desk, or via phone at (212) 834-4533; or Wells Fargo Securities, LLC, 608 2nd Avenue South, Suite 1000, Minneapolis, MN 55402, Attention: WFS Customer Service, or by e-mailing email@example.com, or via phone at (800) 645-3751.
It opened the trading session at $50.53, the shares rose to $51.28 and dropped to $50.23, the range by which the price of stock traded the whole day. The daily chart for CXO points out that the company has recorded -34.22% loss over the past six months. However, it is still -54.72% lower than its most recent low trading price.
If we look at the average trading volume of 2.56M shares, CXO reached to a volume of 1167748 in the most recent trading day, which is why market watchdogs consider the stock to be active.
Here is what top equities market gurus are saying about Concho Resources Inc. [CXO]:
Based on careful and fact-backed analyses by Wall Street experts, the current consensus on the target price for CXO shares is $73.06 per share. Analysis on target price and performance of stocks is usually carefully studied by market experts, and the current Wall Street consensus on CXO stock is a recommendation set at 1.80. This rating represents a strong Buy recommendation, on the scale from 1 to 5, where 5 would mean strong sell, 4 represents Sell, 3 is Hold, and 2 indicates Buy.
Credit Suisse have made an estimate for Concho Resources Inc. shares, keeping their opinion on the stock as Outperform, with their previous recommendation back on August 05, 2020. While these analysts kept the previous recommendation, SunTrust raised their target price from $60 to $66. The new note on the price target was released on July 28, 2020, representing the official price target for Concho Resources Inc. stock. Previously, the target price had yet another raise to $70, while Seaport Global Securities analysts kept a Buy rating on CXO stock.
The Average True Range (ATR) for Concho Resources Inc. is set at 2.12, with the Price to Sales ratio for CXO stock in the period of the last 12 months amounting to 2.66. The Price to Book ratio for the last quarter was 1.26, with the Price to Cash per share for the same quarter was set at 1.64. Price to Free Cash Flow for CXO in the course of the last twelve months was 3.63 with Quick ratio for the last quarter at 1.80.
Trading performance analysis for CXO stock
Concho Resources Inc. [CXO] fell into the red zone at the end of the last week, falling into a negative trend and dropping by -0.02. With this latest performance, CXO shares dropped by -0.06% in over the last four-week period, additionally sinking by -34.22% over the last 6 months – not to mention a drop of -25.99% in the past year of trading.
Overbought and oversold stocks can be easily traced with the Relative Strength Index (RSI), where an RSI result of over 70 would be overbought, and any rate below 30 would indicate oversold conditions. An RSI rate of 50 would represent a neutral market momentum. The current RSI for CXO stock in for the last two-week period is set at 45.40, with the RSI for the last a single of trading hit 45.58, and the three-weeks RSI is set at 46.90 for Concho Resources Inc. [CXO]. The present Moving Average for the last 50 days of trading for this stock 53.73, while it was recorded at 52.22 for the last single week of trading, and 63.55 for the last 200 days.
Concho Resources Inc. [CXO]: A deeper dive into fundamental analysis
Operating Margin for any stock indicates how profitable investing would be, and Concho Resources Inc. [CXO] shares currently have an operating margin of +19.84 and a Gross Margin at +26.94. Concho Resources Inc.’s Net Margin is presently recorded at -15.37.
Return on Total Capital for CXO is now 4.06, given the latest momentum, and Return on Invested Capital for the company is -3.16. Return on Equity for this stock declined to -3.86, with Return on Assets sitting at -2.69. When it comes to the capital structure of this company, Concho Resources Inc. [CXO] has a Total Debt to Total Equity ratio set at 22.43. Additionally, CXO Total Debt to Total Capital is recorded at 18.32, with Total Debt to Total Assets ending up at 15.65. Long-Term Debt to Equity for the company is recorded at 22.35, with the Long-Term Debt to Total Capital now at 18.25.
Reflecting on the efficiency of the workforce at the company, Concho Resources Inc. [CXO] managed to generate an average of -$485,891 per employee. Receivables Turnover for the company is 5.34 with a Total Asset Turnover recorded at a value of 0.18.Concho Resources Inc.’s liquidity data is similarly interesting compelling, with a Quick Ratio of 1.80 and a Current Ratio set at 1.80.
Concho Resources Inc. [CXO]: An earnings per share (EPS) analysis
With the latest financial reports released by the company, Concho Resources Inc. posted 0.61/share EPS, while the average EPS was predicted by analysts to be reported at 0.69/share. When compared, the two values demonstrate that the company fail the estimates by a Surprise Factor of -11.60%. The progress of the company may be observed through the prism of EPS growth rate, while Wall Street analysts are focusing on predicting the 5-year EPS growth rate for CXO. When it comes to the mentioned value, analysts are expecting to see the 5-year EPS growth rate for Concho Resources Inc. go to 23.34%.
An analysis of insider ownership at Concho Resources Inc. [CXO]
There are presently around $9,231 million, or 92.20% of CXO stock, in the hands of institutional investors. The top three institutional holders of CXO stocks are: VANGUARD GROUP INC with ownership of 22,450,524, which is approximately -3.293% of the company’s market cap and around 0.10% of the total institutional ownership; DODGE & COX, holding 17,825,353 shares of the stock with an approximate value of $913.73 million in CXO stocks shares; and BLACKROCK INC., currently with $738.09 million in CXO stock with ownership of nearly 0.261% of the company’s market capitalization.
Positions in Concho Resources Inc. stocks held by institutional investors increased at the end of July and at the time of the July reporting period, where 262 institutional holders increased their position in Concho Resources Inc. [NYSE:CXO] by around 25,523,246 shares. Additionally, 177 investors decreased positions by around 31,270,686 shares, while 38 investors held positions by with 123,294,324 shares. The mentioned changes placed institutional holdings at 180,088,256 shares, according to the latest SEC report filing. CXO stock had 90 new institutional investments in for a total of 7,908,920 shares, while 41 institutional investors sold positions of 280,190 shares during the same period.