+

Cookies on the Business Insider India website

Business Insider India has updated its Privacy and Cookie policy. We use cookies to ensure that we give you the better experience on our website. If you continue without changing your settings, we\'ll assume that you are happy to receive all cookies on the Business Insider India website. However, you can change your cookie setting at any time by clicking on our Cookie Policy at any time. You can also see our Privacy Policy.

Close
HomeQuizzoneWhatsappShare Flash Reads
 

CREDIT SUISSE: Here are the 11 stocks poised to get the biggest boost from spiking oil prices

Sep 17, 2019, 01:11 IST

In this Jan. 14, 2015 file photo, some of the 60 rigs that are drilling surrounding McKenzie County, 40 percent of the rigs statewide, work in western North Dakota.AP Photo/Matthew Brown

Advertisement
  • The weekend attack on two of Saudi Arabia's main oil facilities sparked a rally in global prices for the commodity.
  • Oil stocks are surging as investors are looking to capitalize on the expected tightening supply in the coming weeks.
  • Credit Suisse published a list of companies who stand to benefit from a rise in prices, in order of whose cash flow per share would rise the most in the event oil prices jumped $5 per barrel.
  • Listed below are 11 oil stocks that could get the biggest boost from swelling crude prices.
  • Visit the Markets Insider homepage for more stories.

Oil stocks are soaring as drone strikes on key facilities in Saudi Arabia threaten to upend the global market for the treasured commodity.

Crude future prices spiked as much 20% following the attack. Saudi Arabia is responsible for close to 6% of the world's total oil production, and the damaged facility could potentially disrupt output for several weeks. But the timeline for repairs is still unknown.

"If production can be restored quickly, we'd expect oil prices to rally several dollars as the market prices-in increased geopolitical risk," analysts from Credit Suisse said in a note to clients.

They continued: "If Saudi Arabia requires an extended period of time to restore production, we would expect prices to spike in order to thwart demand, as spare capacity is insufficient to offset the sustained loss."

Advertisement

The firm also ranked companies who stand to gain from a rise in prices in order of whose cash flow per share would rise the most in the event oil prices jumped $5 per barrel.

Here are 11 companies whose stocks could get the biggest boost from a rise in oil prices, listed in increasing order of Credit Suisse's ranking:

11. EOG Resources

Ticker: EOG

YTD Return: (-2.62%)

Ranking: 11

Source: Credit Suisse, Markets Insider

10. Continental Resources

Ticker: CLR

YTD Return: (-11%)

Ranking: 10

Source: Credit Suisse, Markets Insider

9. Parsley Energy

Ticker: PE

YTD Return: 25.25%

Ranking: 9

Source: Credit Suisse, Markets Insider

8. Synergy Resources

Ticker: SRCI

YTD Return: 15.44%

Ranking: 8

Source: Credit Suisse, Markets Insider

7. Range Resources

Ticker: RRC

YTD Return: (-48.67%)

Ranking: 7

Source: Credit Suisse, Markets Insider

6. Antero Resources

Ticker: AR

YTD Return: (-57.61%)

Ranking: 6

Source: Credit Suisse, Markets Insider

5. Cimarex Energy

Ticker: XEC

YTD Return: (-18.55%)

Ranking: 5

Source: Credit Suisse, Markets Insider

4. Oasis Petroleum

Ticker: OAS

YTD Return: (-18.73%)

Ranking: 4

Source: Credit Suisse, Markets Insider

3. Silver Run Acquisition

Ticker: CDEV

YTD Return: (-48.32%)

Ranking: 3

Source: Credit Suisse, Markets Insider

2. Devon Energy

Ticker: DVN

YTD Return: (-19.29%)

Ranking: 2

Source: Credit Suisse, Markets Insider

1. Whiting Petroleum

Ticker: WLL

YTD Return: (-52.42%)

Ranking: 1

Source: Credit Suisse, Markets Insider

You are subscribed to notifications!
Looks like you've blocked notifications!
Next Article