• 3 minutes e-car sales collapse
  • 6 minutes America Is Exceptional in Its Political Divide
  • 11 minutes Perovskites, a ‘dirt cheap’ alternative to silicon, just got a lot more efficient
  • 6 days The United States produced more crude oil than any nation, at any time.
  • 2 hours Could Someone Give Me Insights on the Future of Renewable Energy?
  • 7 days How Far Have We Really Gotten With Alternative Energy
  • 10 days James Corbett Interviews Irina Slav of OILPRICE.COM - "Burn, Hollywood, Burn!" - The Corbett Report
  • 10 days The European Union is exceptional in its political divide. Examples are apparent in Hungary, Slovakia, Sweden, Netherlands, Belarus, Ireland, etc.
Iraq Has No Intention of Restarting Kurdish Oil Pipeline

Iraq Has No Intention of Restarting Kurdish Oil Pipeline

Baghdad is repairing the Kirkuk-Ceyhan…

U.S. Drilling Activity Continues to Drop Off

U.S. Drilling Activity Continues to Drop Off

The total number of active…

Editorial Dept

Editorial Dept

More Info

Premium Content

Why APA is Underperforming the Sector and Why That May Change


There are times when I look at the price and performance of a stock as compared to the performance of the underlying company and just scratch my head. That could be because momentum has pushed a price way too high, as happened a lot a couple of years ago with some of the so-called meme stocks, or it could be that a stubbornly low price seems to be completely detached from reality, as is the case right now with APA Corporation (APA).

Figure 1: APA 1-Year 1-Day Chart

One of the things I have learned over the last forty years of making a living from markets, though, is that, when that happens, it is far more likely that I have missed something than it is that the majority of smart, highly paid, and very well-informed institutional traders and investors have. I have therefore dug quite deep into why APA is trading at a 52-week low. There seem to be reasons, but none of them put me off buying the stock at these levels.

Following a great 2021 and 2022 when energy stocks played catch up after years of lagging the overall market the last year has been a bit disappointing for the sector. However, even in that context, APA has been a stinker…

Figure 2: XLE (blue body) versus APA (green line) 1-Year Chart

The question is why APA has underperformed and has kept heading lower, even as oil has bounced back a bit and most stocks in the sector have at least stabilized, if not actually recovered somewhat. One cannot know for sure, of course,…

Leave a comment

Leave a comment

EXXON Mobil -0.35
Open57.81 Trading Vol.6.96M Previous Vol.241.7B
BUY 57.15
Sell 57.00
Oilprice - The No. 1 Source for Oil & Energy News