EOG Resources, Inc. (EOG) Resources Hit by Downgrade, Eyes Utica Upside

EOG Resources, Inc. (NYSE:EOG) is one of the champion inexpensive stocks to bargain for 2026. On January 16, KeyBanc expert Tim Rezvan downgraded EOG Resources, Inc. (NYSE:EOG) from Overweight to Sector Weight. Rezvan cited concerns astir deteriorating good productivity successful EOG’s halfway Texas operations. The expert pointed to wide signs of degradation successful some the Eagle Ford and Delaware Basin assets, which correspond EOG’s superior accumulation regions and bequest workhorse properties.

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And portion acknowledging that archetypal accumulation rates from caller extra-large laterals tin amusement variability during their archetypal year, Rezvan concluded that these productivity trends warranted a much cautious stance connected the banal compared to erstwhile expectations. This, successful part, explains wherefore the expert maintained his terms people connected EOG shares astatine $138.

Despite the downgrade, KeyBanc expressed continued optimism astir EOG’s oily Utica asset. The expert stated that they stay bullish connected the asset, but are acrophobic by productivity changes from the bequest workhorse assets successful Texas.

Rezvan besides took the accidental to constituent retired that helium has adopted a much selective presumption of the vigor assemblage arsenic it entered 2026. In different words, helium has concerns astir existent debased lipid prices and heightened volatility successful earthy state markets.

EOG Resources, Inc. (NYSE:EOG) is an autarkic lipid and state institution that explores, develops, produces, and markets crude oil, earthy gas, and earthy state liquids. Its operations are concentrated successful large US shale basins.

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Disclosure: None. This nonfiction is primitively published at Insider Monkey.