Morningstar Rating

Stock Research and Analysis

by David Meats

Bulls Say

Halcon’s high oil mix is still more profitable than a gassier alternative despite lower crude prices.
The company’s Bakken acreage includes a foothold in the optimum sweet spot and yields impressive, and repeatable, well performance.
Management entered the Tuscaloosa Marine Shale at the right time, with enough data to be confident that the play will be successful but before the market fully appreciated that fact, maximizing upside exposure. Read more 

Bears Say

The lucrative Fort Berthold portion of Halcon’s Bakken acreage represents a small portion of the company’s overall leasehold there, with less impressive returns in the remainder.
The potential of the Tuscaloosa Marine Shale is unproved, and reliability is questionable--operators there have been plagued with mechanical issues on numerous wells.
Halcon is one of the more leveraged names in the E&P space, and in the event of a slowdown the company may find it challenging to continue meeting debt-service obligations. Read more 


CEO Floyd Wilson is well-known in the energy business. He has led a number of independent energy companies in the past, with each stint culminating in the outright sale of the business, which Wilson believes is the best way to deliver value for shareholders.  Read more 


Halcon Resources is an independent oil and gas producer in the United States that operates in three primary regions: the Bakken in North Dakota, the El Halcon extension   Read more 

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