Crude oil prices surged as high as 2% on Thursday as tensions between Iran and Saudi Arabia continue to escalate over Saudi-led coalition’s launch of air strikes on Iran in retaliation of the latter’s attack on Saudi’s oil infrastructure.
U.S West Texas Intermediate crude settled 85 cents higher at $62.87 per barrel, gaining 1.4% and closing at the highest level in two weeks. Likewise, Brent crude, the international benchmark for oil prices, also surged 85 cents or 1.2%, to close at $72.62 touching its highest level in three weeks.
The Saudi-led air strikes in Yemen were launched after the Iranian-aligned movement admitted their drone attacks on two Saudi oil pumping stations earlier in the week. Owing to this escalated tension, oil markets will have a tough time trading lower in near future.
Iran’s attack and Saudi’s subsequent retaliation have put pressure on oil supply in the Middle East. Asian shippers heading to the Middle East have been duly alerted by the concerned countries and are expecting possible rise in marine insurance premiums post the attack.
The problem is further worsened as OPEC and other oil producing countries will continue with their supply cut that has already rise oil prices by more than 30%. The OPEC members are scheduled to meet in June to rethink the pact.
The 10-day moving average for COP crossed bullishly above the 50-day moving average on May 24, 2023. This indicates that the trend has shifted higher and could be considered a buy signal. In of 14 past instances when the 10-day crossed above the 50-day, the stock continued to move higher over the following month. The odds of a continued upward trend are .
The RSI Indicator entered the oversold zone -- be on the watch for COP's price rising or consolidating in the future. That's also the time to consider buying the stock or exploring call options.
The Momentum Indicator moved above the 0 level on May 17, 2023. You may want to consider a long position or call options on COP as a result. In of 83 past instances where the momentum indicator moved above 0, the stock continued to climb. The odds of a continued upward trend are .
The Moving Average Convergence Divergence (MACD) for COP just turned positive on May 17, 2023. Looking at past instances where COP's MACD turned positive, the stock continued to rise in of 48 cases over the following month. The odds of a continued upward trend are .
COP moved above its 50-day moving average on May 19, 2023 date and that indicates a change from a downward trend to an upward trend.
Following a 3-day Advance, the price is estimated to grow further. Considering data from situations where COP advanced for three days, in of 307 cases, the price rose further within the following month. The odds of a continued upward trend are .
COP may jump back above the lower band and head toward the middle band. Traders may consider buying the stock or exploring call options.
The Stochastic Oscillator may be shifting from an upward trend to a downward trend. In of 66 cases where COP's Stochastic Oscillator exited the overbought zone, the price fell further within the following month. The odds of a continued downward trend are .
Following a 3-day decline, the stock is projected to fall further. Considering past instances where COP declined for three days, the price rose further in of 62 cases within the following month. The odds of a continued downward trend are .
The Aroon Indicator for COP entered a downward trend on May 12, 2023. This could indicate a strong downward move is ahead for the stock. Traders may want to consider selling the stock or buying put options.
The Tickeron Profit vs. Risk Rating rating for this company is (best 1 - 100 worst), indicating low risk on high returns. The average Profit vs. Risk Rating rating for the industry is 79, placing this stock better than average.
The Tickeron SMR rating for this company is (best 1 - 100 worst), indicating very strong sales and a profitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
The Tickeron Valuation Rating of (best 1 - 100 worst) indicates that the company is fair valued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: P/B Ratio (2.579) is normal, around the industry mean (5.974). P/E Ratio (8.110) is within average values for comparable stocks, (16.716). Projected Growth (PEG Ratio) (0.867) is also within normal values, averaging (55.823). Dividend Yield (0.023) settles around the average of (0.089) among similar stocks. P/S Ratio (1.695) is also within normal values, averaging (159.662).
The Tickeron Seasonality Score of (best 1 - 100 worst) indicates that the company is fair valued in the industry. The Tickeron Seasonality score describes the variance of predictable price changes around the same period every calendar year. These changes can be tied to a specific month, quarter, holiday or vacation period, as well as a meteorological or growing season.
The Tickeron Price Growth Rating for this company is (best 1 - 100 worst), indicating steady price growth. COP’s price grows at a higher rate over the last 12 months as compared to S&P 500 index constituents.
The Tickeron PE Growth Rating for this company is (best 1 - 100 worst), pointing to worse than average earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
The average fundamental analysis ratings, where 1 is best and 100 is worst, are as follows