Stock Rockstar
10 años hace
$PSTR Hitting Radars
http://wallstreetnewscast.com/news/2015/02/pstr-pwe-1564.html
PSTR and PWE Rally on Cost Reductions and Higher Oil Prices
By: staff reporter, John Bodger
Last Updated: February 10, 2015 9:10am EST
(NEW YORK)--The move up in PostRock Energy Corporation (NASD:PSTR) looks ready to continue as news of their cost reduction and higher Oil prices put a bid under the fast rallying play.
In response to the recent collapse of oil and natural gas prices, the Company announced it planned to reduce its Oklahoma City headquarters staff by nearly 25% from 2014 levels, resulting in annualized savings of approximately $2.2 million. Additional cost reductions are being implemented which should further reduce general and administrative and field operating expenses once fully implemented are expect to reduce ongoing operating costs by nearly $4.0 million annually.
On a preliminary basis, PSTR is setting its 2015 capital budget at $5.5 million, more than an 80% reduction from 2014.
As Oil prices collapsed since the fall of 2014, many Oil and Natural Gas companies were expected to cut capex spending to based on the current drop in prices, and PSTR may have now put the pieces in place to weather this storm. Add in the recent rally in oil prices, in addition to dramatic cost reductions, and PSTR has making for continued rally from these levels.
Another more speculative play catching traders attention is InterCore, Inc. (OTC:ICOR), which develops the Driver Alertness Detection System(TM) to alert drivers of potential of falling asleep at the wheel to prevent crashes. The US Congress recently rolled back truck rest requirements, meaning there will now be more sleep deprived tuckers driving on the road, and thus prospect for more deadly crashes, like was seen in 2014 when comedian Tracy Morgan was injured badly by Walmart driver who had fallen asleep at the wheel.
With new roll back in trucker rest requirements, technology like that of ICOR could show to be very useful, and is currently in testing phase with a number of truck fleet insurers to implement their DADS system on wide-scale commercial bases. The stock recently has retraced back from recent high of $8.00, and is now finding possible technical bounce here off its 200-day moving average around $3.00 per share.
Another major oil player showing some life is Penn West Petroleum Ltd (NYSE:PWE), which like PSTR has been finding increased interest from combination of capex cost reductions, recent rally in oil prices, and possible short covering in sector over all. PWE found its stock up over 11% on Monday to a price of $2.67 per share.