NEW YORK (TheStreet) -- Shares of Pengrowth Energy Corp. closed lower by 8.90% to $2.66 on heavy volume on Tuesday afternoon, as the oil and energy sectors fell along with the price of the commodity. Crude oil (WTI) is down by 4.72% to $46.39 per barrel and Brent crude fell by 1.45% to $48.13 per barrel this afternoon, according to the Bloomberg index. Oil is falling today as the International Monetary Fund reduced its forecast for global economic growth in 2015, and implied a lower demand for fuel, Reuters reports. Exclusive Report: Jim Cramer's Best Stocks for 2015 STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12 months. Learn more. In its latest world economic outlook report the IMF lowered its estimates by 0.3% for both 2015 and 2016. The IMF expects global growth of 3.5% for 2015 and 3.7% for 2016. Also impacting oil prices today is economic pressure in China, the world's largest consumer of energy, Reuters said. Oil has fallen by more than 50% since June due to a rise in production and a decrease in demand. Prices were more greatly impacted in November when OPEC announced it would not reduce its output despite a global supply glut. Pengrowth Energy develops, produces, acquires, and explores for oil and natural gas reserves in Alberta, British Columbia, Saskatchewan, Ontario, and Nova Scotia. Separately, TheStreet Ratings team rates PENGROWTH ENERGY CORP as a Sell with a ratings score of D+. TheStreet Ratings Team has this to say about their recommendation: "We rate PENGROWTH ENERGY CORP (PGH) a SELL. This is driven by a number of negative factors, which we believe should have a greater impact than any strengths, and could make it more difficult for investors to achieve positive results compared to most of the stocks we cover. Among the areas we feel are negative, one of the most important has been a generally disappointing historical performance in the stock itself." Highlights from the analysis by TheStreet Ratings Team goes as follows: PGH's stock share price has done very poorly compared to where it was a year ago: Despite any rallies, the net result is that it is down by 51.50%, which is also worse that the performance of the S&P 500 Index. Investors have so far failed to pay much attention to the earnings improvements the company has managed to achieve over the last quarter. Naturally, the overall market trend is bound to be a significant factor. However, in one sense, the stock's sharp decline last year is a positive for future investors, making it cheaper (in proportion to its earnings over the past year) than most other stocks in its industry. But due to other concerns, we feel the stock is still not a good buy right now. The return on equity has improved slightly when compared to the same quarter one year prior. This can be construed as a modest strength in the organization. Compared to other companies in the Oil, Gas & Consumable Fuels industry and the overall market, PENGROWTH ENERGY CORP's return on equity significantly trails that of both the industry average and the S&P 500. PENGROWTH ENERGY CORP reported significant earnings per share improvement in the most recent quarter compared to the same quarter a year ago. This company has not demonstrated a clear trend in earnings over the past 2 years, making it difficult to accurately predict earnings for the coming year. During the past fiscal year, PENGROWTH ENERGY CORP swung to a loss, reporting -$0.61 versus $0.04 in the prior year. The current debt-to-equity ratio, 0.49, is low and is below the industry average, implying that there has been successful management of debt levels. Even though the company has a strong debt-to-equity ratio, the quick ratio of 0.34 is very weak and demonstrates a lack of ability to pay short-term obligations. The gross profit margin for PENGROWTH ENERGY CORP is currently very high, coming in at 72.54%. It has increased significantly from the same period last year. Along with this, the net profit margin of 13.16% is above that of the industry average. You can view the full analysis from the report here: PGH Ratings Report STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12 months. Learn more.
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