An interesting stock that came up in some of our conversations today is Denbury Resources Inc. (NYSE:DNR). At current price of $1.11, the shares have already added 0.03 points (2.31% higher) from its previous close of $1.08. Should you buy or avoid them? The stock sets an active trading volume day with a reported 4700554 contracts so far this session. DNR shares had a relatively better volume day versus average trading capacity of 14.24 million shares, but with a 0.46 billion float and a 1.89% run over a week, it’s definitely worth keeping an eye on. The one year price forecast for DNR stock indicates that the average analyst price target is $1.62 per share. This means the stock has a potential increase of 45.95% from where the DNR share price has been trading recently which is between $1.06 and $1.1. There are some brokerage firms that offer lower targets than the average, with one of them, even setting their price target at $1. Flipping the other side of the coin, an analyst who is fully bullish set a price target as high as $2.
During the recent trading session for Denbury Resources Inc. (NYSE:DNR), the company witnessed their stock rise $0.02 over a week and tumble down $-0.11 from the price 20 days ago. When compared to their established 52-week high of $5.97, the high they recorded in their recent session happens to be lower. Their established 52-week high was attained by the company on 12/10/18. The recent low of $0.87 stood for a -81.58% since 07/08/19, a data which is good for most investors who are looking to take advantage of the stock’s recent rise. A beta of 3.43 is also allocated to the stock. Since the beta is greater than one, it implies that the stock is more volatile than the market, a data that traders are keeping close attention to. At the moment, the median target price for DNR is set at $1.5, a figure which is below the recent 1-year high the stock witnessed.
Looking at the current readings for Denbury Resources Inc., the two-week RSI stands at 47.48. This figure suggests that DNR stock, for now, is neutral, meaning that the shares are stable in terms of price movement. The stochastic readings, on the other hand, based on the current DNR readings is similarly very revealing as it has a stochastic reading of 24.64% at this stage. This figure means that DNR share price today is being overbought.
Technical chart claims that Denbury Resources Inc. (DNR) would settle between $1.1/share to $1.12/share level. However, if the stock price goes below the $1.06 mark, then the market for Denbury Resources Inc. becomes much weaker. If that happens, the stock price might even plunge as low as $1.04 for its downside target. The stock is currently in the green zone of MACD, with the indicator reading 0.01. Traders are always alerted for the move of a stock above or below the zero line due to the fact that the reading is an indicator of the position of the short-term average relative to the long-term average. If the MACD is above the zero line, then the short-term average relative is above that of the long-term average, thus implying an upward momentum. Vice versa is the case if the MACD is below the zero line.
Analysts at CapitalOne lowered their recommendation on shares of DNR from Overweight to Underweight in their opinion released on December 20. Stephens, analysts launched coverage of Denbury Resources Inc. (NYSE:DNR) stock with a Equal-Weight recommendation, according to their flash note issued to investors on December 06. Analysts at Imperial Capital are sticking to their Outperform stance. However, on October 30, they lifted price target for these shares to $4 from $6.
DNR equity has an average rating of 2.78, with the figure leaning towards a bullish end. 8 analysts who tracked the company were contacted by Reuters. Amongst them, 6 rated the stock as a hold while the remaining 2 were split even though not equally. Some analysts rate the stock as a buy or a strong buy while others rated it as a sell. 1 analysts rated Denbury Resources Inc. (NYSE:DNR) as a buy or a strong buy while 1 advised that investors should desist from purchasing the stock or sell them if they already own the company’s stock.
Moving on, DNR stock price is currently trading at 3.08X forward 12-month Consensus EPS estimates, and its P/E ratio is 1.3 while for the average stock in the same group, the multiple is 10.8. Denbury Resources Inc. current P/B ratio of 0.4 means it is trading at a discount against its industry’s 1.2.
Denbury Resources Inc. (DNR)’s current-quarter revenues are projected to climb by nearly -19.4% to hit $318160, based on current consensus estimate. The firm’s full-year revenues are expected to expand by over -13% from $1.47 billion to a noteworthy $1.28 billion. At the other end of the current quarter income statement, Denbury Resources Inc. is expected to see its adjusted earnings surge by roughly -30.8% to hit $0.09 per share. For the fiscal year, DNR’s earnings are projected to climb by roughly -14.6% to hit $0.41 per share.