Natural gas producer Comstock Q3 adjusted EPS misses estimates

Reuters11-04
Natural gas producer Comstock Q3 adjusted EPS misses estimates

Overview

  • Comstock Q3 natural gas and oil sales totaled $335 mln, including realized hedging gains of $26.4 million, driven by higher natural gas prices

  • Adjusted EPS for Q3 missed analyst expectations

  • Company to sell Shelby Trough assets for $430 mln in cash

Outlook

  • Company did not provide specific guidance for future quarters or full year in its press release

Result Drivers

  • HIGHER NATURAL GAS PRICES - Increased natural gas prices drove improved financial results in Q3

  • HAYNESVILLE WELL COMPLETIONS - Successful well completions in Haynesville area contributed to production

  • STRATEGIC DIVESTITURES - Divestiture of non-strategic assets to streamline operations and reduce debt

Key Details

Metric

Beat/Miss

Actual

Consensus Estimate

Q3 Adjusted EPS

Miss

$0.09

$0.10 (13 Analysts)

Q3 EPS

$0.40

Q3 Adjusted Net Income

$28 mln

Q3 Adjusted EBITDAX

$249 mln

Q3 Operating Cash Flow

$190 mln

Analyst Coverage

  • The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 3 "strong buy" or "buy", 9 "hold" and 4 "sell" or "strong sell"

  • The average consensus recommendation for the oil & gas exploration and production peer group is "buy."

  • Wall Street's median 12-month price target for Comstock Resources Inc is $19.00, about 1.3% above its October 31 closing price of $18.75

  • The stock recently traded at 19 times the next 12-month earnings vs. a P/E of 17 three months ago

Press Release: ID:nGNX8J7TMB

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)

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