Forest Oil Corporation (NYSE:FST) is down almost 50% over the last twelve months, but that has not been a deterrent for billionaire Steve Cohen of SAC Capital. A recent SEC filing shows that Cohen upped his stake in Forest Oil by 150%; he owned 4.6 million shares at the end of the third quarter and now owns 11.5 million shares, or 9.8% of Forest Oil's outstanding shares (check out Cohen's stock picks). Cohen has been active of late, not only doubling his Forest Oil position, but taking a renewed interest in DVR pioneer TiVo (read more here).

The major competition has also been struggling: Quicksilver posted third quarter results that saw top and bottom line results falling short of consensus estimates, with weak natural gas prices and low production levels being the major drags. Pioneer also posted below-expected EPS last quarter, with results falling on a year over year basis. Newfield, on the other hand, has been hitting on a number of cylinders, including better utilization from wells drilled in the Bakken and Eagle Ford. The oil and gas company expects to boost output by about 50% in the coming years. Getting back to Forest Oil, the company has robust exposure to natural gas, but now plans to diversify its production portfolio by expanding its liquid production. This includes focusing on Eagle Ford and the company's core acreage position. The shift will help not only drive the company's top line but also boost margins as its focuses on higher-margin oil development.