3 Mid-Cap Stocks to Buy as Oil Prices Surge Higher By StockNews

© Reuters 3 Mid-Cap Stocks to Buy as Oil Prices Surge Higher

Prolonged supply cuts along with rising demand should drive oil prices higher in the coming months. Given this backdrop, we believe mid-cap oil exploration companies Apache (APA), ARC Resources (AETUF), and PDC Energy (NASDAQ:) should see a substantial rise in their revenues and profit margins in the near term. Let’s discuss.
Supply cuts and rising demand with the reopening of economic activities have recently driven prices to six-year highs. And oil prices are expected to continue moving higher as supply cuts remain in place because OPEC+ failed to reach a production agreement.

OPEC+’s proposal to increase oil production for August has been postponed because Saudi Arabia and the UAE remain at loggerheads over the oil output. In light of these developments, former U.S. Energy Secretary Dan Brouillette expects oil to hit $100 a barrel soon.

This, coupled with declining inventories, should help mid-cap oil companies Apache Corporation (NASDAQ:), ARC Resources Ltd. (AETUF), and PDC Energy, Inc. (PDCE) generate higher revenues and profits in the near term. So, we think it could be wise to bet on these stocks now.

Continue reading on StockNews

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.

Most Related Links :
Business News Governmental News Finance News

Need Your Help Today. Your $1 can change life.

[charitable_donation_form campaign_id=57167]

Source link

Back to top button