CRK is an Industry Sell

As of August 21st, 2024, Comstock Resources with ticker CRK trades at $10.98.

Based on comparison of the most current price action, financial statements, and Wall Street analyst forecasts, Comstock Resources is rated as an Industry Sell in Oil, Gas & Consumable Fuels. Our return forecast is for Comstock Resources to underperform the market average returns by -20% in the next twelve months.

CRK is viewed poorly by Wall Street analysts in its industry. CRK’s financial and price momentum show exceptionally poor growth. Comstock Resources is relatively expensive compared to its peers. It has poor quality financial statements.

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Hedgy Reports breaks down company historical and forecasted financial fundamentals to gain perspective on its Cheapness, Profitability, Sentiment, and Momentum. These four metrics are defined differently in each industry. The specific formulation of each metric is determined using Artificial Intelligence. The AI was trained using forty years of data to determine how each metrics’ formulation best predicts stock returns. For example, a dividend increase may be an important determinant of a Utilities firm’s return but a poor predictor of a technology firm’s return direction. Our Artificial Intelligence uses these four gauges to predict market-relative returns from machine learned industry-specific weightings of Cheapness, Profitability, Sentiment, and Momentum. The predictive efficacy of each gauge varies by industry. We predict Comstock Resources will underperform market returns by -20% in the next twelve months. The bar chart below compares returns forecasts of select companies in Oil, Gas & Consumable Fuels.

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This Hedgy Report compares a firm to its industry peers. The report uses industry scatter charts to compare firms’ Cheapness relative to their Momentum and companies’ Profitability vs their Sentiment. Seeing the industry with these lenses uncovers interesting investment opportunities. The side panels provide time series charts of the trends in Cheapness, Momentum, Profitability, and Sentiment.

$\label{fig:industryReturns1MBarChart}Oil, Gas & Consumable Fuels Month on Month Returns (%)$ Oil, Gas & Consumable Fuels Month on Month Returns (%)

$\label{fig:industryReturns12MBarChart}Oil, Gas & Consumable Fuels Year on Year Returns (%)$ Oil, Gas & Consumable Fuels Year on Year Returns (%)

In its industry, Comstock Resources was a relatively strong performer over the prior month. CRK was a relatively poor performer over the past twelve months compared to peers.

$\label{fig:tsX1} Momentum Percentile history$ Momentum Percentile history

$\label{fig:tsY1} Cheapness Percentile history$ Cheapness Percentile history

Comstock Resources is a firm with the worst growth in its financials based on its Momentum Percentile and relatively expensive when measured by its Cheapness Percentile relative to similar Oil, Gas & Consumable Fuels companies. This combination is typically bearish because the stock is expensive with poor growth prospects relative to comps in the industry. Its Momentum Percentile is the lowest its been. Its Cheapness Percentile looks poor compared to historical levels. The Cheapness vs Momentum scatter chart has the best companies in the top-right quadrant. The worst companies are in the bottom-left quadrant. The top-right contains firms that are cheaper and demonstrated stronger momentum. They are most desirable. The bottom-left space displays expensive firms with poor momentum. Machine learning methods suggest that the top-right firms outperform the bottom-left firms.

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$\label{fig:tsX2} Sentiment Percentile history$ Sentiment Percentile history

$\label{fig:tsY2} Profitability Percentile history$ Profitability Percentile history

Comstock Resources is viewed poorly by Wall Street analysts in its industry based on its Sentiment Percentile and of relatively poor quality when measured by its Profitability Percentile relative to similar Oil, Gas & Consumable Fuels companies. This combination is typically a bad indicator because the stock has poor quality financials and Wall Street analysts are strongly bearish on an industry-relative basis. Its Sentiment Percentile looks similar to its historical levels. Its Profitability Percentile looks poor compared to historical levels. The Profitability vs Sentiment scatter chart has the best companies in the top-right quadrant. The worst companies are in the bottom-left quadrant. The top-right shows firms with the best profitability and the strongest analyst sentiment. They are the most desirable. The bottom-left space has the least profitable firms with the worst market sentiment. The top-right firms typically outperform the bottom-left firms.

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Hedgy Analytics uses artificial intelligence to provide stock reports on most US stocks. You can screen stocks by Sentiment, Profitability, Momentum, and Cheapness across all industries with a visual interactive screener here.

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