5 Cheap Oil Stocks Under $5

5. Gastar Exploration Inc (NYSEMKT:GST)

Let’s start with Gastar Exploration Inc (NYSEMKT:GST), which is actually a penny stock, as it is currently trading for under $1.00 per share. The company was owned by 17 funds from our database at the end of March, compared to 14 funds a quarter earlier. Among the largest shareholders of Gastar Exploration Inc (NYSEMKT:GST) is James Dinan’s York Capital Management, which disclosed ownership of 5.45 million shares in its latest 13F filing, up by 52% on the quarter.

As oil prices slid, Gastar Exploration Inc (NYSEMKT:GST)’s stock registered a more significant drop than some of its industry peers, due to the fact that the company is engaged in shale production, which usually comes at higher costs and lower margins. However, the company reported good first-quarter results, with a net loss of $0.06 per share missing estimates by just $0.01, while its revenue rose by 26.1% to $18.67 million and was $1.25 million ahead of estimates. The company also registered higher-than-expected average daily production of 5,700 barrels of oil equivalent.

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