How Does Legacy Reserves (LGCY) Stack Up Right Now?

Legacy Reserves LP (LGCY) is an interesting player in the Basic Materials space, with a focus on Independent Oil & Gas. The stock has been active on the tape, currently trading at $7.69, down from yesterday’s close by -20.31%. Given the stock’s recent action, it seemed like a good time to take a closer look at the company’s recent data.

Fundamental Analysis

Legacy Reserves LP (LGCY) currently trades with a market capitalization of $532.84 Million. That value represents a market adjusting for revenues that have been growing by 38.10 % on a quarterly year/year basis as of the company’s last quarterly report.

You can get a sense of how sustainable that is by a levered free cash flow of -$239.92 Million over the past twelve months. Generally speaking, earnings are expected to grow in coming quarters. Analysts are forecasting earnings of $0.11 on a per share basis this quarter. Perhaps, that suggests something about why 1.85% of the outstanding share supply is held by institutional investors.

Technical Analysis

As most professionals know, technical analysis can offer critical insights into what smart money and insiders think about a stock’s prospects going forward. Looking at the stock’s movement on the chart, Legacy Reserves LP recorded a 52-week high of $9.65. It is now trading 1.96% off that level. The stock is trading $5.44 its 50-day moving average by -2.25%. The stock carved out a 52-week low down at $1.07.

In recent action, Legacy Reserves LP (LGCY) has made a move of +29.24% over the past month, which has come on Strong relative transaction volume. Over the trailing year, the stock is underperforming the S&P 500 by 15.08, and it’s gotten there by action that has been more volatile on a day-to-day basis than most other stocks on the exchange. In terms of the mechanics underlying that movement, traders will want to note that the stock is trading on a float of 2.15% with $48.42 Million sitting short, betting on future declines. That suggests something of the likelihood of a short squeeze in shares of LGCY.

Previous articleChecking the Overall Picture for Genworth Financial, Inc. (GNW)
Next articleTaking a Fresh Look at Agilent Technologies (A)