Friday, September 12, 2014

5 Best Cheapest Stocks To Invest In Right Now

A common saying says, "Don't judge a book by its cover." Some equally valid words of wisdom for investors could be, "Don't judge a stock by its share price." Despite much readily available information for investors, many people still incorrectly assume that a stock with a small dollar price is cheap, while another with a heftier price is expensive. This misconceived notion can lead investors down the wrong path and into some bad decisions for their money.

The cheapest stocks - "penny stocks" - also tend to be the riskiest. That stock that just went from $40 to $4 might end up at zero. And a stock that goes from $10 to $20 might double again to $40. Looking at a stock's share price is only useful when taking many other factors into account.

Many Factors to Consider
Investors often make the mistake of looking only at stock price, because it is often the most visibly quoted number in the financial press. However, the actual dollar price of a stock means very little unless many other factors are considered. For example, if Company A has a $100 billion market capitalization and has 10 billion shares, while Company B has a $1 billion market capitalization and 100 million shares, both companies will have a share price of $10, but Company A is worth 100 times more than Company B.

Hot Valued Companies To Invest In 2015: Eagle Rock Energy Partners LP (EROC)

Eagle Rock Energy Partners, L.P. (Eagle Rock) is a limited partnership engaged in the business of gathering, compressing, treating, processing and transporting natural gas; fractionating and transporting natural gas liquids (NGLs); crude oil logistics and marketing; natural gas marketing and trading, known as Midstream Business, and developing and producing interests in oil and natural gas properties, known as Upstream Business. On May 3, 2011, the Company acquired CC Energy II, L.L.C and outstanding membership interests of Crow Creek Energy. On May 20, 2011, it sold the Wildhorse Gathering System in its East Texas and Other Midstream Segment.

Midstream Business

The Company�� Midstream Business is located in four natural gas producing regions: the Texas Panhandle; East Texas/Louisiana; South Texas, and the Gulf of Mexico. As of December 31, 2011, these working interest properties included 591 gross operated productive wells and 1,197 gross non-operated wells with net production to the Company of approximately 87.7 million cubic feet of natural gas per day and proved reserves of approximately 234.0 Bcf of natural gas, 11.5 million barrels of crude oil or other liquid hydrocarbons of crude oil, and 11.3 million barrels of crude oil or other liquid hydrocarbons of natural gas liquids, of which 76% are proved developed. As of December 31, 2011, its Midstream Business consisted of Panhandle Segment and East Texas and Other Midstream Segment.

The Company�� Texas Panhandle Segment covers 10 counties in Texas and two counties in Oklahoma. Through the systems within this segment, the Company offers midstream wellhead-to-market services, including gathering, compressing, treating, processing and selling of natural gas, and fractionating and selling of NGLs. As of December 31, 2011, approximately 213 producers and 2,072 wells and central delivery points were connected to the systems in its Texas Panhandle Segment. The Texas Panhandle Segment averaged gathered volumes fo! r 2011 of approximately 155.1 million cubic feet of natural gas per day. As of December 2011, Chesapeake Energy and BP America Production represented 14% and 11%, respectively, of the total volumes of its Texas Panhandle Segment. The Texas Panhandle Segment consists of approximately 3,963 miles of natural gas gathering pipelines, ranging from two inches to 24 inches in diameter; seven natural gas processing plants with an aggregate capacity of 210 million cubic feet of natural gas per day; a propane fractionation facility with capacity of 1.0 million cubic feet of natural gas per day, and two condensate collection and stabilization facilities.

Eagle Rock�� systems in the East Panhandle (northern Wheeler, Hemphill and Roberts Counties, Texas) gather and process natural gas produced in the Morrow and Granite Wash reservoirs of the Anadarko basin. In the Panhandle Segment, natural gas is contracted at the wellhead primarily under percent-of proceeds (which includes percent-of-liquids) fixed recovery, percent-of-index and fee-based arrangements that range from one to five years in term. During the year endede December 31, 2011, it produced over 2,600 equity barrels per day of condensate in the Texas Panhandle Segment. During 2011, it stabilizes approximately 2,000 barrels per day combined at its Superdrip and Cargray Stabilizers.

The Company�� East Texas and Other Midstream Segment operates within the natural gas producing regions, such as East Texas/Louisiana, South Texas and the Gulf of Mexico. Through its Texas/Louisiana region, it offers producers natural gas gathering, treating, processing and transportation and NGL transportation across 21 counties in East Texas and seven parishes in West Louisiana. Its operations in the South Texas region primarily gather natural gas and recover NGLs and condensate from natural gas produced in the Frio, Vicksburg, Miocene, Canyon Sands and Wilcox formations in South Texas. Its operations in the Gulf of Mexico region are non-operated owne! rship int! erests in pipelines and onshore plants which are all located in southern Louisiana. The Gulf of Mexico region also provides producer services by arranging for the processing of producers��natural gas into third-party processing plants, known as Mezzanine Processing Services.

As of December 31, 2011, approximately 705 wells and central delivery points were connected to its systems in the East Texas and Other Midstream Segment. As of December 31, 2011, the East Texas and Other Midstream Segment provides gathering and/or marketing services to approximately 140 producers. During 2011, the East Texas and Other Midstream Segment averaged gathered volumes of approximately 319.9 million cubic feet of natural gas per day. As of December 31, 2011, Stone Energy Corporation and Anadarko Petroleum Company represented 18% and 9%, respectively, of the total volumes of its East Texas and Other Midstream Segment. Residue gas pipelines include Houston Pipeline Company, Natural Gas Pipeline Company, Tennessee Gas Pipeline, Crosstex Energy L.P. and Southern Natural Pipeline.

Upstream Business

The Company�� Upstream Business located in four regions within the United States, such as Southern Alabama, which includes the associated gathering, processing and treating assets; Mid-Continent, which includes areas in Oklahoma, Arkansas, Texas Panhandle and North Texas; Permian, which includes areas in West Texas, and East/South Texas/Mississippi assets. As of December 31, 2011, these working interest properties included 591 gross operated productive wells and 1,197 gross non-operated wells with net production of approximately 87.7 million cubic feet of natural gas per day and proved reserves of approximately 234.0 Bcf of natural gas, 11.5 million barrels of crude oil or other liquid hydrocarbons of crude oil, and 11.3 million barrels of crude oil or other liquid hydrocarbons of natural gas liquids, of which 76% are proved developed.

The Southern Alabama region includes the! Big Esca! mbia Creek, Flomaton and Fanny Church fields located in Escambia County, Alabama. These fields produce from either the Smackover or Norphlet formations at depths ranging from approximately 15,000 to 16,000 feet. The Big Escambia Creek field encompasses approximately 11,568 gross and 7,334 net Eagle Rock operated acres. It operates 18 productive wells with an average ownership of 60% working interest and 51% net revenue interest in the Big Escambia Creek field. The Fanny Church field is located two miles east of Big Escambia Creek. Its ownership includes approximately 1,284 gross and 999 net operated acres that include three productive operated wells with an average ownership of 86% working interest and 66% net revenue interest. The Flomaton field is adjacent to and partially underlies the Big Escambia Creek field. The field encompasses approximately 1,280 gross and 1,256 net Eagle Rock operated acres and produces from the Norphlet formation at depths from approximately 15,000 to 16,000 feet. It operates three productive wells with an approximate average 91% working interest and 78% net revenue interest. The Smackover and Norphlet reservoirs are sour, gas condensate reservoirs which produce gas and fluids containing a high percentage of hydrogen sulfide and carbon dioxide.

The Mid-Continent region consists of operated and non-operated properties across the Golden Trend Field, Cana Shale play, Verden Field, and other western Oklahoma fields located in the Anadarko Basin in Oklahoma, the Mansfield Field and other various fields in the Arkoma Basin in Arkansas and Oklahoma, various fields in the Texas Panhandle, and the Barnett Shale in north Texas. Productive depths range from approximately 2,500 feet in the Arkoma fields of western Arkansas to greater than 18,000 feet in the Springer formation in certain western Oklahoma fields. Its producing field is the Golden Trend field that extends across Grady, McClain and Garvin counties in Oklahoma. It has 14,621 net acres in the Cana Shale play exte! nding acr! oss Canadian, Blaine and Dewey counties, Oklahoma. The Cana Shale produces from horizontal wells drilled to vertical depths of 11,000 - 13,000 feet and extended with horizontal lateral lengths of approximately 5,000 feet. In the total Mid-Continent region, it operate 316 productive wells and own a working interest in an additional 1,054 non-operated productive wells. The average working interest in these productive operated and non-operated wells is 83% and 9%, respectively. The net production averaged approximately 53.2 million cubic feet of natural gas per day during 2011, of which approximately 77% was produced from wells it operated.

The Permian region contains numerous fields, including Block 27, Estes Block 34, H.S.A., Heiner, Monahans N., Payton, Running W., Ward S, and Ward-Estes N. located mainly in Ward, Pecos, and Crane Counties, Texas. These fields are located in the Central Basin Platform which extends from central Lea County in New Mexico to central Pecos County in Texas and encompasses hundreds of individual fields with multiple productive intervals from the Yates-Seven Rivers-Queen through the Ellenburger formations. The Ward County fields contains two major properties, the Louis Richter and the American National Life Ins. Co. leases, and encompasses approximately 10,285 gross and 10,215 net Eagle Rock acres. It operate multiple fields consisting of stacked multi-pay horizons that produce from depths of 2,300 feet (Yates) to 9,100 feet (Pennsylvanian). The Southern Unit is located in the Running W Waddell field and produces predominantly oil at depths from approximately 5,750 to 5,900 feet. It operates approximately 5,875 net acres in this area.

The East/South Texas/Mississippi region includes the Aker, Birch, Edgewood, Eustace, Fruitvale, Ginger and Wesson fields in East Texas, the Jourdanton field in South Texas, and the Chicora W, High Road, and Stafford Springs fields in Mississippi. The East Texas fields produce primarily from the Smackover Trend at depth! s from 12! ,000 to 12,700 feet and encompass approximately 18,991 gross and 15,872 net Eagle Rock acres. It operates 32 productive wells, which produce gas that contains between approximately 30% to 69% of impurities (hydrogen sulfide, nitrogen, and carbon dioxide). The Edgewood field also contains two productive gas wells in the Cotton Valley at depths of 11,500 to 11,600 feet which produce sweet natural gas. The East Texas production, with the exception of a single well, is delivered to the third party owned Eustace Plant for separation of condensate, removal of impurities, and extraction of natural gas liquids and sulfur for a combination of fees and percentage of proceeds.

In South Texas, it operates wells in the Jourdanton field in Atascosa County, Texas. It operates nine productive wells with 100% working interest and 88% net revenue interest. Its production from the field is primarily from the Edwards carbonates (7,300 to 7,400 feet). On December 31, 2011, the Company had under operation 290 gross (261 net) productive oil wells and 301 gross (251 net) productive natural gas wells. On December 31, 2011, Eagle Rock owned non-operated working interests in an additional 148 gross (18 net) productive oil wells and 1049 gross (72 net) productive natural gas wells.

The Company competes with DCP Midstream, LLC and Enbridge Energy Partners, L.P., Crosstex Energy, L.P., Energy Transfer Partners, LP and Enterprise Products Partners, L.P.

Advisors' Opinion:
  • [By Robert Rapier]

    Rounding out the bottom five were�OCI Partners�(NYSE: OCIP), a methanol and ammonia producer (-24 percent YTD),�Natural Resource Partners�(NYSE: NRP), another coal producer (-19 percent), and�Eagle Rock Energy Partners�(NASDAQ: EROC), an oil and gas production partnership (-17 percent).

5 Best Cheapest Stocks To Invest In Right Now: Brookfield Residential Properties Inc (BRP)

Brookfield Residential Properties Inc. (Brookfield Residential) is a land developer and homebuilder.The Company entitles and develops land and builds homes for its own communities, as well as sells lots to third-party builders. It operates in three segments in North America: Canada, California and Central and Eastern U.S. Each of the Company�� segments specializes in lot entitlement and development and the construction of single-family and multi-family homes. As of December 31, 2011, Brookfield Residential controlled 108,197 lots. The Company became a public company on March 31, 2011, by combining the former business of Brookfield Homes Corporation (Brookfield Homes) and the residential land and housing division (BPO Residential) of Brookfield Office Properties Inc. into a single residential land and housing company, achieved through a merger and series of related transactions completed on March 31, 2011. Advisors' Opinion:
  • [By Ben Levisohn]

    In terms of specific company upside/downside payoffs, we believe that [Brookfield Residential Properties (BRP)], [KB Home], and [PulteGroup] offer above-average payoffs. We note that more than half of [Brookfield Residential Properties'] earnings are derived from Canada, dampening EPS sensitivity to our assumptions regarding the pace of the U.S. housing recovery. We believe that [KB Home] will achieve sharply improved operating performance, which should drive robust EPS growth given the company�� comparatively high degree of financial leverage. We also have a high degree of confidence that�[PulteGroup] will continue to successfully execute against its goal of improving ROIC performance, which should act as a catalyst for share price appreciation.

5 Best Cheapest Stocks To Invest In Right Now: Higher One Holdings Inc.(ONE)

Higher One Holdings, Inc. provides technology and payment services in the United States. It offers a suite of disbursement and payment solutions for higher education institutions and their students. The company provides OneDisburse Refund Management product that offers higher education institutional clients with a technology service for streamlining the student refund disbursement process. It also offers CASHNet Payment suite that includes software-as-a-service products and services, such as ePayment to securely accept online payments for tuition, charges, and fees from students through credit card, pinless debit, and ACH; eBill to automate payer billing and processing functions; MyPaymentPlan to personalize students? payment plans; eMarket that allows academic, athletic, and other departments to take alumni donations, sell event tickets and other merchandise, and accept payments of event and conference registration fees; and Cashiering to operate and manage cashiering fu nctions, back office payments, and campus-wide departmental deposits. In addition, the company provides OneDisburse ID, which offers an option to combine the company?s debit card with the institution?s ID cards; OneDisburse Payroll to distribute payroll and other employee-related payments; OneDisburse PLUS product to distribute Parent PLUS loan refunds to parents on behalf of the school; and Financial Intelligence to students with an online class. Further, it provides student-oriented banking services to campus communities. Additionally, the company offers OneAccount product for students, as well as faculty, staff, and alumni, with an FDIC-insured online checking account and a debit MasterCard ATM card. Higher One Holdings, Inc. was founded in 2000 and is headquartered in New Haven, Connecticut.

Advisors' Opinion:
  • [By Seth Jayson]

    Calling all cash flows
    When you are trying to buy the market's best stocks, it's worth checking up on your companies' free cash flow once a quarter or so, to see whether it bears any relationship to the net income in the headlines. That's what we do with this series. Today, we're checking in on Higher One Holdings (NYSE: ONE  ) , whose recent revenue and earnings are plotted below.

  • [By John Seward]

    Veritiv Corp (NYSE: VRTVW) will replace Higher One Holdings Inc (NYSE: ONE) in the S&P SmallCap 600 on Tuesday, July 1. International Paper (NYSE: IP) is spinning off its distributions solutions unit, and the new company will merge with privately held UWW Holdings to create Veritiv.

5 Best Cheapest Stocks To Invest In Right Now: WPX Energy Inc (WPX)

WPX Energy, Inc. (WPX Energy), incorporated on April 19, 2011, is an independent natural gas and oil exploration and production company engaged in the exploitation and development of long-life unconventional properties. The Company focuses on exploiting its natural gas reserve base and related NGLs in the Piceance Basin of the Rocky Mountain region, and on developing its positions in the Bakken Shale oil play in North Dakota and the Marcellus Shale natural gas play in Pennsylvania. Its other areas of domestic operations include the Powder River Basin in Wyoming and the San Juan Basin in the southwestern United States. In addition, it owns a 69% controlling ownership interest in Apco Oil and Gas International, Inc. (Apco), which holds oil and gas concessions in Argentina and Colombia. As of December 31, 2010, it had proved reserves of 4,473 Bcfe, 59% of which were proved developed reserves. Average daily production as of March 31, 2011 was 1,251 MMcfe/d.

Bakken Shale

The Company acquired 89,420 net acres in the Williston Basin in North Dakota that is prospective for oil in the Bakken Shale. It acquired all of this acreage in December 2010 through the acquisition of Dakota-3 E&P Company LLC. As of December 31, 2010, it had three rigs operating on the Bakken Shale acreage. Since acquiring this acreage, the Company has drilled 10 operated wells on the Bakken Shale properties; nine Middle Bakken formation wells and one Three Forks formation well. Six of these wells have been completed and connected to sales with initial 30 day production rates ranging from 750 Boe/d to 1,100 Boe/d.

Marcellus Shale

The Company�� 99,301 net acres in the Marcellus Shale were acquired through two key transactions and additional leasing activities. In July 2010, the Company acquired 42,000 net acres in Susquehanna County in northeastern Pennsylvania. As of December 31, 2010, the Company had five rigs operating in the Marcellus Shale.

Advisors' Opinion:
  • [By Sean Williams]

    Oil and gas exploration and production company WPX Energy (NYSE: WPX  ) is becoming a familiar visitor to this list, up another 5.3% after announcing that its Niobrara Shale discovery well in the Piceance Basin had eclipsed 1 billion cubic feet of natural gas production in a little more than 100 days of production. A combination of higher natural gas prices in recent weeks coupled with the strong possibility that demand will increase as President Obama pushes for cleaner-burning energy usage could make WPX one of the steals of the sector.

  • [By Sean Williams]

    The final two big gainers didn't have any company specific news that sent them rocketing higher today, but instead, relied on a very big rally in natural gas for their ascent. Following yesterday's data, which showed a 94-billion cubic foot reduction in natural gas inventories, spot natural gas prices jumped higher by better than 4%. That was enough of a propellant to send natural gas-heavy independent E&P companies like Cabot Oil & Gas (NYSE: COG  ) and WPX Energy (NYSE: WPX  ) �higher by 5.1% and 5.2%, respectively.

  • [By Jake L'Ecuyer]

    WPX Energy (NYSE: WPX) was also on the rise, gaining 3.32 percent to $19.63 on seemingly little news.

    ON Semiconductor (NASDAQ: ONNN) shares gained as well, rising 2.84 percent to $9.77 after the company announced it would acquire assets from Platinum Energy for $92 million in cash after the close yesterday.

  • [By CRWE]

    WPX Energy (NYSE:WPX) reported that it has completed the sale of its holdings in Texas��Barnett Shale and the Arkoma Basin in Oklahoma to an affiliate of Kohlberg Kravis Roberts & Co. for approximately $306 million, subject to typical post-closing adjustments.

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