Oil and gas stocks for income and gains

Article Excerpt

CRESCENT POINT ENERGY CORP. $44.35 (Toronto symbol CPG; Shares outstanding: 277.9 million; Market cap: $12.3 billion; TSINetwork Rating: Extra Risk; Dividend yield: 6.2%; www.crescentpointenergy.com) produces oil and natural gas in western Canada. Its production is weighted 90% toward oil and 10% to gas. The company continues to focus on its Bakken light-oil development in southeastern Saskatchewan. For all of 2011, Crescent Point will likely spend at least $1.1 billion on exploration at Bakken. That should rise even higher in 2012. In the three months ended September 30, 2011, Crescent Point’s cash flow per share rose 19.8%, to $1.09 from $0.91. Higher oil prices were the main reason for the increased cash flow. In addition, Crescent Point raised its production by 10.2% in the latest quarter, to 72,258 barrels of oil equivalent (including natural gas) from 65,548 barrels a year earlier. The company’s $996.9 million of debt is a low 8.1% of its market cap. Its 2011 cash flow is forecast at $5.12 a share…