SRC Energy stock: buy or sell?

SRCI stock price: $4.78 -3.63% At close on September 20th, 2019

Updated on:
September 20th, 2019

2

SRC Energy ended yesterday at $4.78 and plummed a godawful -3.63%. On Monday SRCI skyrocketed an astounding 10.07%. With Friday it's been 4 sliding days in a row, loosing $-0.98 (-18.92%). On Tuesday SRCI collapsed a hair-raising -7.26%.

SRC Energy Inc., an independent oil and natural gas company, engages in the acquisition, exploration, development, and production of oil, natural gas, and natural gas liquids primarily in the Denver-Julesburg Basin of Colorado.

Should I buy SRC Energy stock?

Even if you are a experienced or a novel trader, best trading results come from using an investing strategy that never leaves to random or subjective opinions when is the best moment to buy or sell stocks. That's why is so important to choose your own trading strategy that fits your character as inversor. There are thousands of trading strategies for you to choose, but at Stocks2.com we prefer those that are simple but successful.

None of our preferred buy setups matches with SRC Energy stock situation right now, hence this is not a suitable entry point.

Buy setupElegible
New all-time highNo
New 52 week highNo
Price crossing up 200d MANo
100d MA crossing up 200d MANo
This is not a selling recommendation at all, just it's not the best moment to buy if you follow any of these trading strategies.

Is SRC Energy stock a buy?

Everyday, hundreds of stock ratings are published by financial analysts to indicate a particular stock's attractiveness. At Stocks2.com, we collected 2 ratings published for SRCI stock in the last month.

Is SRCI a good stock to buy?
DateAnalyst / BrokerPrevious ratingCurrent rating
2019-8-27MKM PartnersBuyNeutral
2019-8-27Capital One FinancialEqual WeightOverweight

SRC Energy stock analysis

Daily outlook

SRC Energy ended yesterday at $4.78 and plummed a godawful -3.63%.

SRC Energy shares plummed -3.63% to $4.78 yesterday. In this session, SRC Energy stock crossed down the SMA200d line. If you are using SMA200d line as stop loss trigger, double check your position in this stock. From a daily perspective, SRCI is in a short term uptrend after plotting its last bottom ($4.72, on September 12th) higher than the previous bottom, and its last top ($5.82, on Monday) also over the previous top. Now trading in between its last bottom and last top SRCI might consolidate in a plain range, waiting to break out over $5.82 or down under $4.72.

SRCI stock chart (daily)

Weekly outlook

After boosting an astounding 6.76% in a week last week, SRC Energy closed this week at $4.78 and plummed a bloodcurdling -7.72%.

SRCI stock chart (weekly)

SRC Energy stock price history

SRC Energy IPO was on February 27th, 2008 at $5.00 per share1. Since then, SRCI stock sliced a -4.40%, with a yearly average of -0.40%.

1: Adjusted price after possible price splits or reverse-splits.

SRC Energy stock historical price chart

SRCI stock reached 52-week highs on October at $9.29, and all-time highs 2014-06-25 with a price of 14.11.

SRC Energy stock price target

Predicting the price evolution of a stock or any financial instrument in a reliable and repeatable way is probably impossible. However, financial institutions invest time and resources to provide the most accurated estimations to help investors to make their decisions. The accuracy of these stock price predictions is not very high, and you should not blindly believe and make decisions only based on what this ratings or price target predictions say. For the last month we have not detected any price target for SRC Energy stock by any trusted analyst.

Financials and fundamental analysis

Earnings date and Earnings per Share

On February, SRC Energy reported its latest financial data, posting a beatiful growth for the Earnings per Share (EPS). Experts were expecting $0.28 per share, but SRC Energy posted $0.30.
SRCI earnings date and EPS evolution
QuarterReporting dateEstimated EPSActual EPSSurprise
2017-Q2-n/a0.14n/a
2017-Q3-n/a0.22n/a
2017-Q42018-02-210.260.23-11.5%
2018-Q12018-05-020.250.278.0%
2018-Q22018-08-010.230.258.7%
2018-Q32018-10-310.240.268.3%
2018-Q42019-02-200.280.37.1%
2019-Q1-n/an/an/a
2019-Q2-n/an/an/a
2019-Q3-n/an/an/a

Annual financial results

In 2018, SRC Energy annual revenues boosted an amazing 78.10% to $645.64 million USD from $362.52 marked in 2017. By contrast, its earnings margin (compared to sales) stayed steady to 40.27%, that is $260.02 million.

SRCI annual Sales and Income evolution
YearSalesYoYIncome/(margin)YoY
2013$46 M-$9.58 M20.7%-
2014$104 M125.49%$29 M27.7%201.15%
2015$125 M19.79%$18 M14.5%-37.46%
2015$34 M-72.66%$-122.93 M-360.1%-781.37%
2016$107 M213.87%$-219.19 M-204.6%78.30%
2017$363 M238.33%$142 M39.3%-165.00%
2018$646 M78.10%$260 M40.3%82.49%

Quarterly financial results

SRC Energy reported $190.34 million in sales for 2018-Q4, a 18.24% improvement compared to previous quarter. Reported quarter earnings marked $81.97 million with a profit margin of 43.07%. Profit margin gained a 4.16% compared to previous quarter when profit margin was 38.90%. When comparing turnover to same quarter last year, SRC Energy sales marked a dazzling gain and climbed a 35.87%. Looking back to recent quarterly results, SRC Energy posted 2 positive quarters in a row.
SRCI quarterly Sales and Income evolution
QuarterSales1QoQ2Income1/(margin)QoQ2
2017-Q2$75 M-$28 M37.2%-
2017-Q3$104 M38.05%$44 M42.3%56.94%
2017-Q4$140 M35.24%$51 M36.3%15.90%
2018-Q1$147 M5.09%$66 M44.7%29.47%
2018-Q2$147 M-0.10%$50 M33.7%-24.58%
2018-Q3$161 M9.44%$63 M38.9%26.21%
2018-Q4$190 M18.24%$82 M43.1%30.89%
2019-Q1$189 M-0.47%$50 M26.3%-39.31%

SRC Energy ownership

When you are planning to buy a company, it's always worth to review its ownership structure.

SRC Energy shares owned by insiders (that is, founders, CEO, CTO, main executives or other management staff) currently counts a 1.45% of all shares.

Bearish positions for SRCI stock account 0.00%, no big difference from last month.

The following table compares ownership indicators for other stocks related to SRC Energy:

SRCIBCEICLRNBLOAS
Market cap$1.2 B$498.0 M$12.8 B$11.1 B$1.3 B
Total shares243.5 M20.6 M374.3 M478.3 M321.9 M
Float shares227.0 M17.0 M79.7 M472.3 M270.4 M
  - Institutional holdings (%)106.5%119.6%3.8%100.1%100.2%
  - Insider holdings (%)1.5%2.0%62.8%1.4%2.0%
Shares in short selling0.0%0.0%0.0%0.0%0.0%

SRC Energy summary

Friday, September 20th, 2019
Open$5.04
Close$4.78
Day range$4.71 - $5.04
Previous close$4.96
Session gain-3.63%
Average true range$0.33
50d mov avg$4.48
100d mov avg$4.75
200d mov avg$4.94
Daily patternlt06a
Weekly pattern lb06a

SRC Energy performance

Performance as an absolute value is never valid if it's not benchmarked against competitors or related stocks in the industry. We selected Bonanza Creek Energy, Continental Resources, Noble Energy, Oasis Petroleum, PDC Energy and WPX Energy as the bechmarking frame for SRC Energy stock.
Stock3m6m12m
SRCISRC Energy1.49%-5.91%-46.41%
BCEIBonanza Creek Ene...27.05%10.58%-19.51%
CLRContinental Resou...-16.53%-19.47%-45.16%
NBLNoble Energy8.07%-2.36%-22.46%
OASOasis Petroleum-30.77%-33.45%-69.47%
PDCEPDC Energy-13.09%-28.59%-37.78%
WPXWPX Energy-3.34%-10.56%-40.29%

SRC Energy competitors

One check before trading any stock is to have a look a list of its competitors, in this case for SRC Energy. We picked 6 companies as SRC Energy competitors as they are in the same industry or have similar market objectives.