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Baron Energy and Resources Fund Comments on Concho Resources

- By Holly LaFon

Concho Resources, Inc. (CXO) is an independent oil and gas E&P company focused on the Permian basin in West Texas and New Mexico. Shares rose in the third quarter on increased production guidance, lowered cash costs, and a solid operations update, as well as strong M&A activity in the Delaware basin, which highlighted the value of its holdings in the basin. As one of the best run mid-cap E&P companies, in our view, we believe Concho is well positioned to exploit the deep economic inventory of drilling locations where it operates.

From Baron Energy and Resources third quarter 2016 commentary.

This article first appeared on GuruFocus.