Steven Cohen (Trades, Portfolio) of Point72 Asset Management recently increased his stakes in WPX Energy Inc (WPX, Financial) on June 18. Cohen purchased 5,121,705 shares of WPZ at an average price of $12.80 a share. He now owns 7,827,005 shares total.
WPX Energy is a natural gas and oil exploration and production company that was formed in 2011. The company profitably exploits its significant natural gas reserve base and related NGLs in the Piceance Basin of the Rocky Mountain region, as well as developing and growing oil positions in the Williston Basin in North Dakota and the San Juan Basin int he southwestern region of the United States.
The company recently purchased 143,000 San Juan Basin's Gallup oil for around $26 million. The seller is unknown.
According to the DCF calculator, WPX Energy's intrinsic value is $9.74 with a -31% margin of safety.
Revenue per share for the trailing 12 months as of March 2015 was $15.26 and its growth rate was 11.10% during the year and -4.90% a year for the past three years. Revenue has been declining over the past three years, which is a warning sign for investors.
