Despite stock's sluggishness, Hess remains a buy

Filed under: Stocks to Buy

So far, institutional investors (IIs) have not noticed that Hess Corp.'s (NYSE: HES) upstream operations (exploration and production) should benefit from high oil prices in the $80 per barrel range. But the argument here is that eventually they will, preferably starting in early 2010, which is why I'm reiterating my Buy rating for the company, first recommended on April 22, 2009 at a price of $50.41.

Right now, IIs are fixated on the lower margins of downstream operations, which Hess and other refiners are coping with, as a result of recession-induced sluggish U.S. gasoline sales. The First Call FY2009/FY2010 EPS estimates for HES are $1.63 to $3.66.

Continue reading Despite stock's sluggishness, Hess remains a buy

Despite stock's sluggishness, Hess remains a buy originally appeared on BloggingStocks on Fri, 06 Nov 2009 17:30:00 EST. Please see our terms for use of feeds.

Permalink | Email this | Comments

Full story at http://www.pheedcontent.com/click.phdo?i=9f6a2d2a0ad9954e86a33fe646f9c4ff