Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, oil and natural gas company Denbury Resources (NYS: DNR) has earned a coveted five-star ranking.
With that in mind, let's take a closer look at Denbury's business and see what CAPS investors are saying about the stock right now.
Plano, Texas (1951)
Independent oil and gas
CEO Phil Rykhoek Sr. (since 2009)
COO Ronald Evans (since 2009)
Return on Equity (Average, Past 3 Years)
$210 million / $2.3 billion
Sources: Capital IQ (a division of Standard & Poor's) and Motley Fool CAPS.
This past summer, skipper09 touched on the positive factor working in Denbury's favor: "Natural gas, a domestic clean energy in abundance enough that we could export it one day. What's not to like?"
Over the next five years, in fact, Denbury is expected to grow its bottom line at a brisk rate of 24.5% annually. That's much faster than other natural gas plays like Apache (NYS: APA) (9.2%), Chesapeake Energy (NYS: CHK) (11%), and Devon Energy (NYS: DVN) (12.2%).
CAPS All-Star Keekers44 elaborates on the growth opportunity:
[Denbury] has jumped into the Bakken foray and has grown its reserves substantially there. [Denbury] has five rigs operating in this area with plans to have 7 by the end of the year. [Denbury] has a great management team with long-term thinking. This stock appears undervalued given its growth prospects.
What do you think about Denbury, or any other stock for that matter? If you want to retire rich, you need to put together the best portfolio you can. Owning exceptional stocks is a surefire way to secure your financial future, and on Motley Fool CAPS, thousands of investors are working every day to find them. CAPS is 100% free, so get started!
Interested in another easy way to trackDenbury?Add it to your watchlist.
At the time thisarticle was published Fool contributor Brian Pacampara owns no position in any of the companies mentioned. The Fool owns shares of Devon. Motley Fool newsletter services have recommended buying shares of Chesapeake. Try any of our Foolish newsletter services free for 30 days.We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Fool's disclosure policy always gets a perfect score.
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