CVR Energy (NYSE:CVI) Shares Break Below 50-Day Moving Average – What’s Next?

CVR Energy Inc. (NYSE:CVI)’s share price passed below its 50 day moving average during trading on Tuesday. The stock has a 50 day moving average of $52.84 and traded as low as $47.36. CVR Energy shares last traded at $48.7060, with a volume of 3,249,914 shares trading hands.

Key Headlines Impacting CVR Energy

Here are the key news stories impacting CVR Energy this week:

• Positive Sentiment: Third-quarter results beat estimates: CVR reported $4.00 per share versus analysts’ $2.91 consensus, while revenue of $3.28 billion topped the $2.35 billion estimate and rose 68.8% year over year. Earnings also increased from $0.40 per share a year earlier. Quarterly earnings report
• Positive Sentiment: CVR agreed to acquire Marathon Petroleum’s St. Paul Park, Minnesota, and Mandan, North Dakota, refineries in a reported $4.2 billion transaction. The acquisition could expand CVR’s refining footprint and capacity. Reuters: Marathon to sell two refineries to CVR Energy
• Neutral Sentiment: The company declared a quarterly dividend of $0.10 per share, payable November 23 to shareholders of record November 16. The annualized payout is $0.40, representing a reported yield of about 0.8%. CVR Energy dividend announcement
• Negative Sentiment: The $4.2 billion acquisition is substantial relative to CVR’s business and could raise concerns about financing, leverage, and integration. The supplied reports do not detail the transaction’s financing terms. Reuters: CVR refinery deal

Wall Street Analyst Weigh In

A number of equities analysts have commented on the stock. The Goldman Sachs Group lifted their price objective on shares of CVR Energy from $36.00 to $50.00 and gave the stock a “sell” rating in a research note on Friday, October 9th. UBS Group upped their target price on shares of CVR Energy from $35.00 to $53.00 and gave the company a “neutral” rating in a research report on Friday, October 2nd. Wall Street Zen upgraded shares of CVR Energy from a “buy” rating to a “strong-buy” rating in a research report on Saturday, October 10th. Zacks Research raised shares of CVR Energy from a “hold” rating to a “strong-buy” rating in a report on Friday, October 16th. Finally, Weiss Ratings upgraded CVR Energy from a “hold (c)” rating to a “hold (c+)” rating in a research report on Thursday, October 8th. One analyst has rated the stock with a Strong Buy rating, three have issued a Hold rating and four have issued a Sell rating to the company. According to MarketBeat, the company has a consensus rating of “Reduce” and an average price target of $45.75.

CVR Energy Stock Down 12.9%

The company has a market cap of $4.90 billion, a PE ratio of 71.63 and a beta of 0.85. The company has a fifty day moving average of $52.84 and a two-hundred day moving average of $35.88. The company has a debt-to-equity ratio of 2.38, a quick ratio of 0.92 and a current ratio of 1.42.

CVR Energy (NYSE:CVI) last posted its quarterly earnings data on Tuesday, November 3rd. The oil and gas company reported $4.00 EPS for the quarter, topping the consensus estimate of $2.91 by $1.09. CVR Energy had a net margin of 0.81% and a negative return on equity of 15.21%. The company had revenue of $3.28 billion during the quarter, compared to analyst estimates of $2.35 billion. During the same period in the previous year, the firm earned $0.40 earnings per share. CVR Energy’s quarterly revenue was up 68.8% compared to the same quarter last year. As a group, analysts anticipate that CVR Energy Inc. will post 4.20 earnings per share for the current fiscal year.

CVR Energy Announces Dividend

The company also recently announced a quarterly dividend, which will be paid on Monday, November 23rd. Stockholders of record on Monday, November 16th will be paid a $0.10 dividend. The ex-dividend date of this dividend is Monday, November 16th. This represents a $0.40 annualized dividend and a dividend yield of 0.8%. CVR Energy’s dividend payout ratio is currently 58.82%.

Hedge Funds Weigh In On CVR Energy

A number of large investors have recently made changes to their positions in the company. Parallel Advisors LLC boosted its holdings in CVR Energy by 64.5% during the 3rd quarter. Parallel Advisors LLC now owns 668 shares of the oil and gas company’s stock valued at $34,000 after acquiring an additional 262 shares during the period. NewEdge Advisors LLC grew its position in CVR Energy by 2.5% in the 2nd quarter. NewEdge Advisors LLC now owns 13,890 shares of the oil and gas company’s stock valued at $383,000 after acquiring an additional 336 shares during the last quarter. EverSource Wealth Advisors LLC increased its stake in CVR Energy by 44.4% in the first quarter. EverSource Wealth Advisors LLC now owns 1,102 shares of the oil and gas company’s stock worth $37,000 after purchasing an additional 339 shares during the period. PNC Financial Services Group Inc. increased its stake in CVR Energy by 51.5% in the first quarter. PNC Financial Services Group Inc. now owns 1,142 shares of the oil and gas company’s stock worth $38,000 after purchasing an additional 388 shares during the period. Finally, Farther Finance Advisors LLC increased its stake in CVR Energy by 197.2% in the third quarter. Farther Finance Advisors LLC now owns 1,153 shares of the oil and gas company’s stock worth $59,000 after purchasing an additional 765 shares during the period. 98.88% of the stock is owned by hedge funds and other institutional investors.

About CVR Energy

CVR Energy, Inc (NYSE:CVI) is a diversified energy company engaged primarily in petroleum refining and nitrogen fertilizer production. Through its refining operations, the company processes crude oil into transportation fuels and other refined products, including gasoline, diesel fuel, jet fuel and asphalt.

CVR Energy operates refineries in Coffeyville, Kansas, and Wynnewood, Oklahoma. The facilities primarily serve customers in the Midcontinent region of the United States and are supported by related logistics and distribution assets.