Obsidian Energy (NYSEAMERICAN:OBE) Shares Gap Down - Here's Why

Key Points

• Obsidian Energy shares fell sharply at the open, dropping from a prior close of $10.72 to $10.06 before last trading at $10.13 on volume of 145,534 shares.
• Analyst sentiment remains positive overall: RBC raised its price target to $18 while maintaining a “sector perform” rating, and the stock has a consensus “Moderate Buy” rating with an $18 target.
• Institutional investors and hedge funds own 13.51% of the company, while Obsidian Energy’s shares trade above both their 50-day and 200-day moving averages.

Obsidian Energy Ltd (NYSEAMERICAN:OBE - Get Free Report) TSE: PWT's stock price gapped down prior to trading on Monday . The stock had previously closed at $10.72, but opened at $10.06. Obsidian Energy shares last traded at $10.13, with a volume of 145,534 shares traded.

Analysts Set New Price Targets

A number of brokerages have recently commented on OBE. Royal Bank Of Canada lifted their price objective on shares of Obsidian Energy from $14.00 to $18.00 and gave the company a "sector perform" rating in a research note on Monday, May 11th. BMO Capital Markets reissued an "outperform" rating on shares of Obsidian Energy in a research note on Tuesday, June 2nd. Two investment analysts have rated the stock with a Buy rating and one has given a Hold rating to the company's stock. Based on data from MarketBeat.com, Obsidian Energy has an average rating of "Moderate Buy" and a consensus target price of $18.00.

Obsidian Energy Stock Performance

The company has a fifty day moving average price of $9.82 and a two-hundred day moving average price of $9.49. The firm has a market cap of $675.34 million, a price-to-earnings ratio of 36.11 and a beta of 0.15. The company has a debt-to-equity ratio of 0.25, a current ratio of 0.78 and a quick ratio of 0.78.

Institutional Investors Weigh In On Obsidian Energy

A number of institutional investors and hedge funds have recently modified their holdings of OBE. Quarry LP acquired a new stake in shares of Obsidian Energy during the third quarter worth $31,000. State of Wyoming purchased a new position in Obsidian Energy in the 1st quarter worth about $84,000. Marks Group Wealth Management Inc acquired a new stake in Obsidian Energy during the 4th quarter worth about $61,000. FNY Investment Advisers LLC purchased a new stake in Obsidian Energy during the second quarter valued at about $81,000. Finally, Qube Research & Technologies Ltd acquired a new position in shares of Obsidian Energy in the second quarter worth about $56,000. Institutional investors and hedge funds own 13.51% of the company's stock.

About Obsidian Energy

Obsidian Energy Ltd. explores for, develops, and produces oil and natural gas in western Canada. It holds interests in the Alberta Viking, Cardium, Deep Basin, and Peace River areas. The company was formerly known as Penn West Petroleum Ltd. and changed its name to Obsidian Energy Ltd. in June 2017. Obsidian Energy Ltd. was founded in 1979 and is headquartered in Calgary, Canada.

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