Dear Valued Visitor,

We have noticed that you are using an ad blocker software.

Although advertisements on the web pages may degrade your experience, our business certainly depends on them and we can only keep providing you high-quality research based articles as long as we can display ads on our pages.

To view this article, you can disable your ad blocker and refresh this page or simply login.

We only allow registered users to use ad blockers. You can sign up for free by clicking here or you can login if you are already a member.

Oasis Petroleum Inc. (OAS): Dmitry Balyasny Bets on Another Energy Stock and Discloses New Position

Balyasny Asset Management, a multistrategy hedge fund launched and managed by Dmitry Balyasny has initiated a stake in Oasis Petroleum Inc. (NYSE:OAS). As a filing with the Securities and Exchange Commission showed, Balyasny Asset Management owns 5.31 million shares of the company, which represent 5.24% of the company’s common stock.

Dmitry Balyasny

Balyasny Asset Management was launched in 2001 and since then it has grown to more than $12 billion held in equities. The fund focuses on macro investing and often prefer to invest in what is often called misunderstood sitations. In October, Balyasny went bullish on another energy stock, NuStar GP Holdings, LLC (NYSE:NSH) of which it reported holding 2.15 million shares, from just 25,000 shares held earlier. Since Balyasny upped its stake in NuStar, its stock fell by around 9%, but as it is the case currently with the majority of oil-related stocks they are more long-term plays. Also in October, the fund raised its stake in Churchill Downs, Inc. (NASDAQ:CHDN) by 45% to 909,724 shares, as the stock lost around 7% since then.

Oasis Petroleum Inc. (NYSE:OAS) is another stock that might be included in the category of “misunderstood situations” as its stock fell by more than 73% since the beginning of the year. As with other oil stocks, the decline of this $1.30 billion exploration and production company is mainly caused by a significant drop in oil prices in the last several months. However, investors keep raising their stakes in oil stocks betting on prices to rebound. However, the near future does not hold much optimism, since the demand in oil is still expected to remain low next year, even though since it is currently winter in the northern hemisphere, the demand for oil might still go up in the next couple of months, even for a short period. However, in the longer-run oil prices will most certainly recover, and investors betting on oil stocks now will shine.

Moreover, Orange Capital has raised its stake in Oasis Petroleum Inc. (NYSE:OAS) just before the company released its expectations and forecasts for the next year. The company plans to have total capital expenditures between $750 and $850 million and it expects a production growth between 5% and 10% on the year in 2015. Moreover, the company added that it has around $1.6 billion in liquidity, including $2.0 billion borrowing base.

In fact, we have seen an increase in bullish sentiment for oil stocks recently. Earlier today we have reported that Steven Cohen‘s Point72 Asset Management has initiated a stake in Jones Energy Inc (NYSE:JONE), of which it owns 642,000 class A shares. Also recently Ken Griffin’s Citadel Investment Group has raised its stake in C&J Energy Services Inc (NYSE:CJES) to 2.84 million shares, while Daniel Lewis‘ Orange Capital increased its position in Bellatrix Exploration Ltd (NYSE:BXE) to 25.8 million shares.

Disclosure: none

Biotech Stock Alert - 20% Guaranteed Return in One Year

Hedge Funds and Insiders Are Piling Into

One of 2015's best hedge funds and two insiders snapped up shares of this medical device stock recently. We believe its transformative and disruptive device will storm the $3+ billion market and help it achieve 500%-1000% gains in 3 years.

Get your FREE REPORT and the details of our 20% return guarantee today.

Subscribe me to Insider Monkey's Free Daily Newsletter
This is a FREE report from Insider Monkey. Credit Card is NOT required.
Loading Comments...

Thanks! An email with instructions is sent to !

Your email already exists in our database. Click here to go to your subscriptions

Insider Monkey returned 102% in 3 years!! Wondering How?

Download a complete edition of our newsletter for free!