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Goldman lists eight refiners, E&P stocks most affected by Harvey

Published 08/30/2017, 11:30 AM
© Reuters.  Goldman lists eight refiners, E&P stocks most affected by Harvey
  • Gulf Coast refiners, producers in the Eagle Ford Shale and south Texas, and companies with related infrastructure are - not surprisingly - the stocks most affected by Harvey, Goldman Sachs (NYSE:GS) analysts say.
  • The firm says PBF Energy (PBF +3.9%), HollyFrontier (HFC +0.3%), Delek (DK +0.9%) and Andeavor (ANDV +1.9%) should see higher near-term refining margins but it expects the storm to have little impact on the companies' longer-term earnings power.
  • Among E&P stocks, EP Energy (EPE -3.6%), EOG Resources (EOG +0.3%), Denbury Resources (DNR -1%) and Carrizo Oil & Gas (CRZO +3.9%) should take a hit, having the greatest percentage of total production in south Texas and the Eagle Ford.
  • Even so, Goldman thinks the underperformance from those names compared to the SPDR E&P ETF (XOP -0.1%) "more than reflects" potential lost Q3 cash flow.
  • Now read: Crude Oil And PBF Energy Update


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