Long Position on APA @ $47.00 on 6/1/2022 (Momentum)

APA Corporation (APA)  explores for and produces oil and gas properties.  

It has operations in the United States, Egypt, and the United Kingdom, as well as has exploration activities offshore Suriname. It also operates gathering, processing, and transmission assets in West Texas, as well as holds ownership in four Permian-to-Gulf Coast pipelines.

APA Corporation announced an oil discovery yesterday at the Krabdagu-1, or KBD-1, exploration well. KBD-1 is located on Block 58 offshore Suriname.  APA Suriname holds a 50% working interest in the block, with TotalEnergies, the operator, holding a 50% working interest

On May 4th, Apa (APA) reported 1st Quarter March 2022 earnings of $1.92 per share on revenue of $2.7 billion. The consensus earnings estimate was $2.08 per share on revenue of $2.3 billion.  Revenue grew 42.7% on a year-over-year basis.

Shares have formed a bullish wedge. High oil prices are expected to push APA shares higher out of this formation.

Entry Point: $47.00

Stop Loss: $44.75

Trading Range: $15.545 to $50.46

Target Pirce: $52.00

Updates

6/9/2022 1:59:28 PM

Closed at $51.50

Position closed on 6/9/2022 at price of $51.50 with a 9.57% gain in 8 days.

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