Denbury Resources Inc. (DNR) reported second-quarter earnings of 16 cents per share, compared with the Zacks Consensus Estimate of 17 cents and the 55 cents reported in the year-ago period. The steep decline in commodity prices was the main factor behind the negative year-over-year earnings comparison.

Including one-time items, Denbury posted a loss of 35 cents per share versus a profit of 47 cents a year earlier. Total quarterly revenue was $217 million, down 48% from last year.

Production

Production during the quarter averaged 52.3 thousand oil-equivalent barrels per day (MBOE/d), an increase of approximately 13% year over year and a decrease of 2% sequentially. Of the total quarterly production, approximately 73% was oil. The year-over-year production increase was driven by the recently acquired Hastings Field and a 29% tertiary oil production increase. Tertiary production for the quarter averaged at 24.1 thousand barrels per day (MBbl/d). The Heidelberg,

...

For Immediate Release

Chicago, IL - July 1, 2009 - Zacks Equity Research highlights Denbury (DNR) as the Bull of the Day and St. Joe Co (JOE) the Bear of the Day. In addition, Zacks Equity Research provides analysis on Citigroup (C), Bank of America (BAC) and Wells Fargo (WFC).

Full analysis of all these stocks is available at http://at.zacks.com/?id=2676.

Here is a synopsis of all five stocks:

Bull of the Day:

Denbury (DNR) is a leading tertiary oil player, with a solid asset base and an impressive track record of production and reserve growth.

We expect this growth momentum to continue over the next 5 years. Our continued favorable view of Denbury shares reflects the company's low-risk profile and oil-centric niche business model.

We consider management's recent Barnett Shale

...

ERF Wireless, a leading provider of enterprise-class wireless broadband products and services, announced this morning that it acquired the assets and operations of Frontier Internet LLC and iTexas.net, both headquartered in Granbury, Texas. These transactions, which closed on the first of the month, are the fourteenth and fifteenth such acquisitions by ERF Wireless of Texas-based Wireless Internet Service Providers (WISPs) and include a combined existing customer base of more than 1,800 customers and over $1,300,000 in profitable recurring annual WISP revenue.

The acquisitions include 16 towers strategically located south and southwest of Fort Worth, Texas. These towers provide ERF Wireless access to a large geographic area that includes coverage in Hood, Somervell, Johnson, Erath and Parker counties within the Barnett Shale area that covers approximately 6,000 square miles of natural gas and oil production territory. The company’s new wireless footprint allows it to market its unique suite of wireless products and

...

We are downgrading Quicksilver Resources (KWK) from a Buy to a Hold and decreasing our 6-month target price from $22.00 to $5.50 per share. The company's growth story remains strong and with the recent accretive Alliance acquisition, the company looks to further increase its growth prospects in the prolific Barnett Shale. KWK will likely grow production by 20% while decreasing operating cash costs in 2009.However, the current weak commodity and credit environments will prevent significant upside movement in its stock price. Additionally, its above-industry-average debt levels makes it a less attractive investment given the current emphasis on corporate balance sheets.We believe that current natural gas demand destruction, softness in commodity prices and credit problems will continue to be the dominating factors throughout the majority of 2009. Coincidentally, we think that all of the potential downside of the current macroeconomic backdrop has been priced into ...

We are maintaining our Buy recommendation, but lowering our price objective and estimates for Petroleum Development (PETD) ahead of the company's fourth-quarter results. The negative revisions primarily reflect our new (lower) commodity-price deck.

Our new fourth-quarter 2008 and full-year 2009 EPS estimates are $0.66 and $3.54, down from $1.46 and $5.10, respectively. Despite recent turmoil, the PETD story remains intact, with low risk drilling in its three Colorado operating areas along with accretive acquisitions providing the fuel for double-digit production growth through 2010. We project that the company can sustain production growth in 2009 even while reducing capital outlays.

In our NAV [net asset value] model for Petroleum Development, we have taken the company's mid-year 2008 proved reserves base and future development opportunities into account. We discount expected future cash flows from each drilling area, net of expenses, and then subtract out certain liabilities such as debt, to come up with

...

Demand Softness and Storage Overhang Weigh on Natural Gas PricesFeatured in this post are these companies: Nabors (NBR), Patterson-UTI (PTEN), EnCana (ECA), EOG Resources (EOG), XTO Energy (XTO) and Chesapeake (CHK).In its weekly natural gas status report, the Energy Information Administration (EIA) reported yesterday that gas in storage totaled 3,167 billion cubic feet (Bcf) for the week ended December 12, 2008. This represents a net withdrawal of 124 Bcf from the preceding week, the largest this heating season, but modestly below the 128 Bcf withdrawn this week last year and on average over the last five years.Current storage levels are now 1.3% below last year's level, but still above the 5-year average by 3.7%. Colder than average weather prevailed in all regions east of the Rockies, helping increase heating-related consumption and playing a role in the sizable ...

Quicksilver Resources Inc. (KWK) is an independent exploration and production company based in Fort Worth, Texas. The company's growth story remains strong and with the recent accretive Alliance acquisition, the company looks to further increase its growth prospects in the prolific Barnett Shale. The Texas Barnett Shale play now represents roughly 5.5 Tcfe of low-risk reserve potential for Quicksilver Resources.

With the 90% pullback in its stock price since mid-July, the company now trades around its 52-week low. While the company has above-average leverage ratios, we estimate that the company should be able to live within its '09 capital budget while still maintaining an impressive production growth rate. We are maintaining our Buy recommendation on Quicksilver Resources but decreasing our target price to $22 from $40 per share.

Concerns about the global economy and tumultuous credit markets have beaten down every sector in the stock market, Quicksilver is not different.

...

Vortex Resources Corp. announced this morning that it has retained the services of Trenergy Development LLC to assist the company’s development plans in West Texas as well as assess its options in the extensive Barnett Shale property where it is currently conducting due diligence.

Mr. Jason Lacewell, the principal of Trenergy, has extensive expertise in field development, with a particular interest in the Barnett shale. Trenergy has more than a decade of supervisory experience in petroleum production, completions, drilling and field operations, and brings a wealth of knowledge to Vortex.

Mr. Lacewell has had a successful career with Pacesetter Energy, Inc. where he led a group developing a $125 million Permian Basin program, while also managing Pacesetter’s non operated Barnett Shale interests with Devon Energy (NYSE: DVN). He has also managed 125 MMCFD gas production and later led the sale of $2.2 billion of

...

Denbury Resources, Inc. (DNR) reported better-than-expected second-quarter 2008 recurring earnings of $0.57 per diluted share (our estimate was $0.43 per diluted share), compared to $0.22 per share in the prior-year period. We have adjusted the reported earnings of $0.45 per diluted share for non-cash charges of $0.12 per diluted share associated with the company s derivative contracts.

We upgraded shares to Buy from Hold last week following the stock’s roughly 35% pullback since mid-June. We believe that the recent weakness has made valuation very compelling for this niche exploration and production (E&P) name. The stock currently trades at a deep discount to our conservative net asset value (NAV) estimate, offering meaningful upside from current levels.

Denbury’s focus on crude oil extraction from mature fields using CO2 flooding techniques offers sustainable and cost effective production and reserve growth for many years to come. The company’s competitive edge in acquiring mature properties

...