Attractive stocks have exceptional fundamentals. In the case of WPX Energy, Inc. (NYSE:WPX), there’s has a an impressive history of performance as well as an optimistic growth outlook going forward. Below, I’ve touched on some key aspects you should know on a high level. If you’re interested in understanding beyond my broad commentary, read the full report on WPX Energy here.
Proven track record with reasonable growth potential
Investors in search for stocks with room to flourish should look no further than WPX, with its expected earinngs growth of 21%, supported by its outstanding capacity to churn out cash from operating activities, which is predicted to ramp up by 66% next year. This indicates that earnings is driven by top-line activity rather than purely unsustainable cost-reduction initiatives. Over the past few years, WPX has more than doubled its earnings, with its most recent figure exceeding its annual average over the past five years. Not only did WPX outperformed its past performance, its growth also exceeded the Oil and Gas industry expansion, which generated a 61% earnings growth. This is what investors like to see!
For WPX Energy, there are three key factors you should look at:
- Financial Health: Does it have a healthy balance sheet? Take a look at our free balance sheet analysis with six simple checks on key factors like leverage and risk.
- Valuation: What is WPX worth today? Is the stock undervalued, even when its growth outlook is factored into its intrinsic value? The intrinsic value infographic in our free research report helps visualize whether WPX is currently mispriced by the market.
- Other Attractive Alternatives : Are there other well-rounded stocks you could be holding instead of WPX? Explore our interactive list of stocks with large potential to get an idea of what else is out there you may be missing!
We aim to bring you long-term focused research analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material.
If you spot an error that warrants correction, please contact the editor at email@example.com. This article by Simply Wall St is general in nature. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Simply Wall St has no position in the stocks mentioned. Thank you for reading.