The price of the Kindle Fire HD for the 16 GB model starts from $242, and the Kindle Paperwhite is priced at $137. The competitive prices and size of its product provides opportunity to attract growing Chinese middle class customers. The tablet market in China is estimated to reach 22.6 million units this year and 34 million units next year, up from 12 million units in 2012. China ranks second in the global e-reader industry. Amazon.com, Inc. (NASDAQ:AMZN)’s launch in China opens a big market for its products
Increased EUR and acquisition in Marcellus
EQT Corporation (NYSE:EQT), a natural gas producer, has raised estimates for its Estimated Ultimate Recovery (EUR), in Southwestern Pennsylvania, Northern West Virginia, and the Central Pennsylvania region. EUR is an approximation of the quantity of gas that is potentially recoverable from reserves or wells. EQT Corporation (NYSE:EQT) increased its EUR in these regions by reducing cluster spacing in wells. The company has reduced cluster spacing to around 800 feet from 1000 feet in Southern Pennsylvania and Northern West Virginia; EUR per well now is 9.8 billion cubic feet equivalent, or Bcfe, of natural gas in these regions, with estimated drilling locations of 1080 wells and 1065 wells respectively. In Central Pennsylvania, EUR is estimated at 6.6 Bcfe with 727 drilling locations. With this reduced cluster spacing, the company’s natural gas production will rise to 329.9 billion cubic feet, or Bcf, this year and 430.3 Bcf next year compared to 243.9 Bcf last year.
On May 3, 2013, EQT Corporation (NYSE:EQT) announced the acquisition of 99,000 net acres of leases in Southwestern Pennsylvania and 10 Marcellus wells from Chesapeake Energy Corporation (NYSE:CHK) for $113 million. With this acquisition, EQT Corporation (NYSE:EQT)’s total area in the Marcellus expands to an acreage of 560,000. EQT Corporation (NYSE:EQT) will develop 25,000 acres out of its total acquisition in Marcellus by using multi-pad drilling. Currently, three Marcellus wells are in the production stage, which represents 54 Bcfe of developed reserve. The remaining seven wells will start production by the end of this year, and will add approximately 1 Bcfe of sales volume. This acquisition will reflect in increased production in the next year.
Conclusion
Suncor Energy is focusing on improving the productivity of its oil sands, while competitive dividend yield provides signs of future growth.
Amazon Appstore’s global expansion, along with the launch of its e-reader and tablet in China will drive revenue increases.
EQT’s strategy of reducing cluster spacing and its acquisition of acreage in Marcellus provides prospects for future growth.
These three stocks are a “buy.”
The article Why SAC Capital Is Bullish on These Stocks originally appeared on Fool.com and is written by Shweta Dubey.
Shweta Dubey has no position in any stocks mentioned. The Motley Fool recommends Amazon.com. The Motley Fool owns shares of Amazon.com. Shweta is a member of The Motley Fool Blog Network — entries represent the personal opinion of the blogger and are not formally edited.
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