NEW YORK (TheStreet) -- Shares of oil drilling company Rex Energy were falling 17.8% to $3.02 Monday as oil prices continued to fall to new lows. WTI crude oil for February delivery was falling 4.6% to $46.13 a barrel Monday morning, and Brent crude oil for February delivery was falling 5.2% to $47.51 a barrel. Oil prices have fallen for seven straight weeks and are approaching their lowest levels since April 2009, according to Reuters. Goldman Sachs analysts lowered their three month forecasts for WTI crude oil to $41 a barrel from $70, and to $42 a barrel from $80 for Brent. The firm lowered its 2015 forecast for WTI to $47.15 a barrel from $73.75, and to $50.40 a barrel from $83.75 for Brent as prices continue to decline. 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. "To keep all capital sidelined and curtail investment in shale until the market has rebalanced, we believe prices need to stay lower for longer," Goldman Sachs analysts told Reuters. Increased production in U.S. shale oil is a driver for the recent decline in oil prices. TheStreet Ratings team rates REX ENERGY CORP as a Hold with a ratings score of C-. TheStreet Ratings Team has this to say about their recommendation: "We rate REX ENERGY CORP (REXX) a HOLD. The primary factors that have impacted our rating are mixed -- some indicating strength, some showing weaknesses, with little evidence to justify the expectation of either a positive or negative performance for this stock relative to most other stocks. The company's strengths can be seen in multiple areas, such as its robust revenue growth, reasonable valuation levels and increase in net income. However, as a counter to these strengths, we also find weaknesses including a generally disappointing performance in the stock itself, disappointing return on equity and generally higher debt management risk." Highlights from the analysis by TheStreet Ratings Team goes as follows: The revenue growth greatly exceeded the industry average of 6.6%. Since the same quarter one year prior, revenues rose by 40.5%. This growth in revenue appears to have trickled down to the company's bottom line, improving the earnings per share. REX ENERGY CORP reported significant earnings per share improvement in the most recent quarter compared to the same quarter a year ago. This company has reported somewhat volatile earnings recently. But, we feel it is poised for EPS growth in the coming year. During the past fiscal year, REX ENERGY CORP swung to a loss, reporting -$0.03 versus $1.07 in the prior year. This year, the market expects an improvement in earnings ($0.39 versus -$0.03). The company's current return on equity has slightly decreased from the same quarter one year prior. This implies a minor weakness in the organization. Compared to other companies in the Oil, Gas & Consumable Fuels industry and the overall market, REX ENERGY CORP's return on equity significantly trails that of both the industry average and the S&P 500. REXX'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 78.07%, 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. Although its share price is down sharply from a year ago, do not assume that it can now be tagged as cheap and attractive. The reality is that, based on its current price in relation to its earnings, REXX is still more expensive than most of the other companies in its industry. You can view the full analysis from the report here: REXX 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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