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EOG Resources Slips to Narrower-than-Expected Loss in Q4

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EOG Resources Inc.EOG reported fourth-quarter 20Array5 adjusted loss of 27 cents per share, narrower than the Zacks Consensus Estimate of a loss of 33 cents. The company' adjusted earnings were 79 cents per share in the year-ago quarter.

EOG Resources Inc. (EOG) Street EPS & Surprise Percent - Last 5 Quarters | FindTheCompany

Total revenue in the quarter plunged to $Array,796.8 million from $4,645.5 million in the year-ago quarter. Also the top line missed the Zacks Consensus Estimate of $2,074.0 million.

Operational Performance

During the quarter, EOG's total volume contracted 6.6% from the year-earlier level to 52.4 million barrels of oil equivalent (MMBoe) or 569.5 thousand barrels of oil equivalent per day (MBoe/d).

Crude oil and condensate production in the quarter totaled 28Array.0 thousand barrels per day (MBbl/d), down from 307.7 MBbl/d from the prior-year level. Natural gas liquids (NGL) volumes decreased to 79.Array MBbl/d from the year-ago quarter level of 83.6 MBbl/d. Natural gas volumes were Array,257 million cubic feet per day (MMcf/d), lower than the year-earlier level of Array,3Array0 MMcf/d.

Average price realization for crude oil and condensates plummeted to $40.32 per barrel from $72.74 per barrel in fourth-quarter 20Array4. Quarterly NGL prices declined to $Array3.25 per barrel from $23.53 a year ago. Natural gas was sold at $Array.88 per Mcf, reflecting a year-over-year plunge from $3.38 per Mcf.

Liquidity Position

At the end of the fourth quarter, EOG had cash and cash equivalents of $7Array8.5 million and long-term debt of $6,653.7 million. This represents a debt-to-capitalization ratio of 3Array%.

During the quarter, the company generated approximately $685.5 million in discretionary cash flow compared with $Array,898.9 million in the year-ago quarter.

Guidance

EOG's first-quarter daily production is expected between 5Array9.2 MBoe/d and 55Array.0 MBoe/d, which includes 7Array-79 MBbls/d of NGL and Array,Array57-Array,203 MMcf/d of gas. For the full year, EOG expects daily volume between 508.3 MBoe/d and 549.2 MBoe/d, comprising NGL in the 70.0-80.0 MBbl/d range and natural gas in the Array,070-Array,Array35 MMcf/d band.

Zacks Rank and Stocks to Consider

EOG currently carries a Zacks Rank #4 (Sell).

Some better-ranked stocks from the same space are Diamond Offshore Drilling, Inc. DO , Independence Contract Drilling, Inc. ICD and North Atlantic Drilling Limited NADL . Each of these stocks holds a Zacks Rank #2 (Buy).

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DIAMOND OFFSHOR (DO): Free Stock Analysis Report

EOG RES INC (EOG): Free Stock Analysis Report

NORTH ATL DRILG (NADL): Free Stock Analysis Report

INDEPENDC CONTR (ICD): Free Stock Analysis Report

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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.


The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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