RE:RE:ARX vs TOU vs WCP M&A might be the only catalyst left to hope for this year. Nuttal on X this am: "There are too many small/mid cap energy companies that are irrelevant to institutional investors" Nailed it.
That's the zone ARX is in (along with many others) : irrelevance. With virtually all energy companies in the 5-10X earnings zone and 1-2X book value, investors should gravitate toward quality.
The problem today is - nothings on sale! I'm struggling to find a case why ARX should outperform XOM.
This year will play out a lot like the action of today IMO. Energy continues to get beat up, market loves it and grinds higher. Contrarian vibes picking up.. there might be a dip to buy sometime.. until then it's a snooze fest.