Energy Company Shares Experience Mixed Week

Strategic Insights -

Last week was a mixed bag for energy company shares, with some firms experiencing significant gains while others faced significant losses. The Oil Daily 30 Composite index outperformed the Dow Jones Industrials Average, which suffered moderate losses for the fourth straight week.

Key Takeaways:

  • Berkshire Gas Co. saw a 27% advance in its share price, with Chief Financial Officer Michael Marrone attributing the upsurge to the company's announcement of a holding company and the ripple effect from utility mergers.
  • Texas Pacific Land Trust recorded a 14.6% gain, while J. Ray McDermott leapt 11.4% after announcing the termination of its joint venture with Heerema Offshore Construction Group Inc.
  • Providence Energy Corp. maintained its extraordinary December upsurge, recording a 10.6% advance last week, following the announcement of its acquisition of two Rhode Island oil distribution companies.
  • South Jersey Industries Inc. shares gained 9.4% after announcing organizational changes, while Simulation Sciences Inc. closed with a 22.3% loss, likely due to investor jitters about technology stocks and the Asian financial turmoil.
  • Maverick Tube Corp. dropped 18.3% to close at 25.625, with shares having lost more than 40% over the past 13 weeks.
  • TMBR Sharp Drilling Inc. lost 15.7% last week, contributing to a 13-week free fall of nearly 50%.
  • St. Mary Land & Exploration Co.'s shares slipped nearly 15% despite confirmed promising drilling results at South Horseshoe Bayou in southern Louisiana.

Statistics:

  • Berkshire Gas Co. share price advanced 27% over the week ended Dec. 26.
  • Texas Pacific Land Trust share price gained 14.6%.
  • J. Ray McDermott share price lept 11.4% after announcing the termination of its joint venture.
  • Providence Energy Corp. recorded a 10.6% advance last week.
  • Simulation Sciences Inc. closed with a 22.3% loss.
  • Maverick Tube Corp. dropped 18.3% to close at 25.625.
  • TMBR Sharp Drilling Inc. lost 15.7% last week.
  • St. Mary Land & Exploration Co.'s shares slipped nearly 15%.

Sources:

  • The Oil Daily 30 Composite index and Dow Jones Industrials Average performance last week.
  • Berkshire Gas Co.'s announcement of a holding company and utility mergers (The Oil Daily, Dec. 19, 1997).
  • Texas Pacific Land Trust and J. Ray McDermott's announcements (The Oil Daily, Dec. 26, 1997).
  • Providence Energy Corp.'s acquisition of two Rhode Island oil distribution companies (The Oil Daily, Nov. 21, 1997).
  • Simulation Sciences Inc.'s performance (The Oil Daily, Dec. 26, 1997).
  • Maverick Tube Corp.'s performance over the past 13 weeks (The Oil Daily, Dec. 26, 1997).
  • TMBR Sharp Drilling Inc.'s performance (The Oil Daily, Dec. 26, 1997).
  • St. Mary Land & Exploration Co.'s drilling results at South Horseshoe Bayou in southern Louisiana (The Oil Daily, Dec. 1, 1997).