It is only natural for investors to choose to look into such stocks which may have recorded handsome gains over a number of days and hence, at this point, it might be a good idea to start tracking the Abraxas Petroleum Corporation stock. The Abraxas Petroleum Corporation (OTCMKTS:AXAS) stock has been in the middle of a rollicking rally over the course of the past week and has managed to clock gains of as much as 37%.
Trading Data
On Monday, AXAS stock ended flat at $0.82 with 97K shares, compared to its average volume of 51k shares. The stock has moved within a range of $0.5560 – 0.8200 after opening trade at $0.7750.
Abraxas Announces Comprehensive Restructuring, Transformation into Pure-Play Delaware Basin Company
As it happens, the stock was in focus again yesterday after the company announced that it had sold its assets at the Williston Basin to Lime Rock Resources in a cash transaction worth as much as $87.2 million.
However, that was not all. The company also announced that it had repaid whatever was owed in its revolving credit facility and also noted that the Second Lien Term loan that had been held by Angelo Gordon Energy Funding LLC had been exchanged. These are all highly promising developments and hence, it was perhaps now surprise that the stock continued to be on the radars of investors yesterday. Hence, it could now be a good idea to add the Abraxas stock to your watch lists.
Key Quote
Bob Watson, Abraxas President & CEO stated, “For some time, Abraxas has been trying to find a solution that would resolve the indebtedness held by our lenders while at the same time providing continuing opportunity for our stockholders. The transactions announced today pay off all of our bank debt and convert AG’s 2L Term Loan into preferred equity. Most importantly, the restructuring positions Abraxas as an unlevered, Delaware Basin pure play that can now access available capital sources to restart a drilling program in the Permian Basin. In short, we now have the opportunity to drill and complete wells in order to grow our production for the benefit of our common and preferred stockholders.”
Technical Data
AXAS stock is trading below the 50-Day and 200-Day Moving averages of $1.21 and $2.11 respectively. However, the stock is trading above the 200-Day moving average of $0.82. The stock is down 26% in the past month.
