Talk about your fast growth rates. Kodiak Oil & Gas
Let's look at the reported numbers, including future estimates, to figure out just how much potential is left for a stock that's jumped more than 3,000% since the end of 2008.
Tale of the tape
Kodiak's grown tremendously since those dark days, and a lot of it's been fueled by stock issuance, as shares outstanding almost have doubled over that time frame. That's something to keep an eye on as the company continues to drill new wells in the Bakken, but growth has a great way of making dilutive offerings seem less important. Here are some key figures from the company's latest report, and how they track its growth over the past three years:
2011 Annual Result
Annualized Growth Rate From 2009 (Two Years)
|Operating Income||$42 million||NM*|
|Net Income||$4 million||NM*|
|Oil Production||1,343,761 barrels||171%|
|Total Costs Incurred||$606,000||370%|
Source: Kodiak Oil & Gas Annual Report.
*NM = not meaningful; Kodiak posted a loss in 2009.
Other notable gains include increasing proven oil reserves 255% in the latest year to 35.6 million barrels, drilling 25 net new wells and completing 16, and an acquisition of 88,000 new acres that included 25 net productive wells and six more awaiting completion. Kodiak plans to double total costs incurred in 2012, which includes capital expenditures as well as acquisitions.
Kodiak is still a small player in the Bakken compared with early entrant Continental Resources
Kodiak's plans for the upcoming year may very well result in double the oil extracted, if not more. That should be music to shareholders' ears, and with such sky-high growth rates, Kodiak could be a worthwhile buy for new investors as well.
Add Kodiak Oil & Gas to your Watchlist to get all the information we Fools can find on its continuing progress. Interested in broadening your oil-stock horizons with some other well positioned companies? Pick up your copy of The Motley Fool's free report on three more stocks for $100 oil. The price of oil is already past that threshold, so don't miss out on these opportunities. Find out more.
Fool contributor Alex Planes holds no financial position in any company mentioned here. Add him on Google+ or follow him on Twitter, where he goes by @TMFBiggles, for more news and insights. Try any of our Foolish newsletter services free for 30 days. We Fools don't all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.