Analysts Ratings on Southwestern Energy Company (NYSE:SWN)

The shares of Southwestern Energy Company (NYSE:SWN)currently has mean rating of 3.2 while 3 analyst have recommended the shares as ‘BUY’ ,2 recommended as ‘OUTPERFORM’ and 25 recommended as ‘HOLD’.The rating score is on a scale of 1 to 5 where 1 stands for strong buy and 5 stands for sell

The mean price target for the shares of Southwestern Energy Company (NYSE:SWN)is at $10.63 while the highest price target suggested by the analysts is $17.00 and low price target is $3.00. The mean price target is calculated keeping in view the consensus of 34 brokerage firms.

The company’s mean estimate for sales for the current quarter ending Jun 16 is 516.32M by 15 analysts. The means estimate of sales for the year ending Dec 16 is 2.13B by 17 analysts.

The average estimate of EPS for the current fiscal quarter for Southwestern Energy Company (NYSE:SWN)stands at $-0.12 while the EPS for the current year is fixed at $-0.24 by 36.00 analysts

The next one year’s EPS estimate is set at 0.42 by 39.00 analysts while a year ago the analysts suggested the company’s EPS at $-0.24. The analysts also projected the company’s long-term growth at 57.35% for the upcoming five years

In its latest quarter ended on 31 Mar 2016 , Southwestern Energy Company (NYSE:SWN)reported earnings of $-0.08. The posted earnings topped the analyst’s consensus by $0.13 with the surprise factor of 61.90%. In the matter of earnings surprises, the term ‘Cockroach Effect’ is often implied. Cockroach Effect is a market theory that suggests that when a company reveals bad news to the public, there may be many more related negative events that have yet to be revealed. In the case of earnings surprises, if a company is suggesting a negative earnings surprise it means there are more to come.

Southwestern Energy Company (NYSE:SWN) traded up +4.39% during trading on Friday, hitting $14.89 . The stock had a trading volume of 19.0 M shares. The firm has a 50 day moving average of $12.76 and a 200-day moving average of $9.03. The stock has a market cap of $5.66B. On Jun 23, 2015 the shares registered one year high at $24.62 and the one year low was seen on Dec 17, 2015.

Southwestern Energy Company (NYSE:SWN) announced on June 9, 2016  that it has entered into a definitive agreement with Antero Resources Corporation to sell approximately 55,000 net acres in West Virginia for $450 million.  The cash proceeds from the transaction are expected to be used to reduce the principal balance of the company’s $750 million term loan due in November 2018.

The properties are located in Doddridge, Harrison, Marion, Monongalia, Pleasants, Ritchie, Tyler and Wetzel Counties and are currently producing from the Marcellus Shale.  Net production from this acreage is approximately 14 MMcfe per day, primarily from non-operated wells, and proved reserves on this acreage were 11 Bcfe as of December 31, 2015.  The Company has no current plans to drill on these properties before 2023.

“This transaction is one step on delivering on the commitment we made to strengthen our balance sheet in 2016,” remarked Bill Way, President and Chief Executive Officer of Southwestern Energy. “We are bringing forward the value of acreage that is much longer dated in our development plans, enabling us to take action and proactively reduce outstanding debt.  Together with the progress we are making on margin enhancement, this sale further strengthens both the Company’s financial flexibility and our bridge to value-added growth for shareholders.”

The transaction is expected to close in the third quarter of 2016, subject to customary closing conditions and purchase price adjustments.