Drilling Down Into Gastar Exploration Inc. (GST)

Gastar Exploration Inc. (GST) 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 $1.05, down from yesterday’s close by -0.94%. 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

Gastar Exploration Inc. (GST) currently trades with a market capitalization of $232.10 Million. That value represents a market adjusting for revenues that have been growing by 17.91 % 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 -$164.82 Million over the past twelve months. Generally speaking, earnings are expected to hold steady in coming quarters. Analysts are forecasting earnings of -$0.04 on a per share basis this quarter. Perhaps, that suggests something about why 5.88% of the outstanding share supply is held by institutional investors.

Technical Analysis

We’ve taken a serious look at this stock from a fundamental perspective, but the tale of the tape may offer more hints about what lies under the surface. Looking at the stock’s movement on the chart, Gastar Exploration Inc. recorded a 52-week high of $2.19. It is now trading 1.14% off that level. The stock is trading $0.89 its 50-day moving average by -0.16%. The stock carved out a 52-week low down at $0.38.

In recent action, Gastar Exploration Inc. (GST) has made a move of unch over the past month, which has come on weak relative transaction volume. Over the trailing year, the stock is underperforming the S&P 500 by 19.03, 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 9.68% with $208.28 Million sitting short, betting on future declines. That suggests something of the likelihood of a short squeeze in shares of GST.

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