Possible Deadlock in Syrian Peace Talks Impacts Crude Oil
(Continued from Prior Part)
Moving average
The large-cap midstream companies in the following table were trading 21% below their respective 100-day moving averages. Upstream and downstream companies are trading 14.7% and 12.5% below their respective 100-day moving averages. Now, US (SPY)-based midstream companies are trading 1.6% above their 20-day moving averages.
Midstream companies rose by an average of 1.2%—compared to 4.5% of large-cap upstream companies and 3.6% of downstream companies.
Kinder Morgan (KMI) and Williams Companies (WMB) were trading 28% and 42%, respectively, below their 100-day moving averages as of January 29. As on January 15, Kinder Morgan and Williams Companies were trading 47% and 55%, respectively, below their 100-day moving averages.
Only Spectra Energy (SE) managed to trade 3.4% above its 100-day moving average as of January 29. The Alerian MLP ETF (AMLP) rose by 1.1%. Currently, it’s trading 15% below its 100-day moving average.
Wall Street analysts’ consensus estimates
Wall Street analysts’ consensus estimates suggest an impressive 52.4% upside for these midstream companies—compared to the 31.6% upside consensus estimates for large-cap upstream companies. Over the next 12 months, midstream operators Williams Companies and Energy Transfer Partners (ETP) could see rises of 72% and 37%, respectively, from their levels as of January 29. Below is a rundown of three other midstream operators and Wall Street analysts’ estimates for each company over the next 12 months.
- Kinder Morgan could see a 22% rise
- Spectra Energy could see a 19% rise
- Williams Partners (WPZ) could see a 61% rise
In the next part of this series, we’ll discuss the moving averages and analysts’ estimates for integrated oil and gas companies.
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