For Immediate Release Chicago, IL –July 24, 2017 – Today, Zacks Equity Research discusses the Industry: Oil & Gas, Part 2, including Canadian Natural Resources Ltd. (NYSE: CNQ – Free Report), Jones Energy Inc. (NYSE: JONE – Free Report), Gulfport Energy Corp. (NASDAQ: GPOR – Free Report), Cheniere Energy Inc. (NYSEMKT: LNG – Free Report) and Antero Resources Corp. (NYSE: AR – Free Report). Industry: Oil & Gas, Part 2 Link:https://www.zacks.com/commentary/122457/investors-can-buy-se... Both oil and natural gas have rebounded from their multi-year lows reached in 2016 and while the commodities may not be at levels many thought they would be at the end of the year, even at today’s prices certain companies are in a position to earn profits. As a proof, over the past four quarters, the number of rigs searching for oil and gas in the country have been surging. According to Baker Hughes, the GE-owned company’s closely watched weekly report, the oil rig count was 765 last week and the natural gas rig count was 187 – each of them more than doubling from year-earlier levels. Throughout the downturn, energy firms worked tirelessly to cut costs down to a bare minimum and look for innovative ways to churn out more oil and gas. And they managed to do just that by improving drilling techniques and extracting favorable terms from the beleaguered service producers. Oil’s recovery to $45 and natural gas touching the magic $3, predictably, has had a positive effect on stocks in the sector. In particular, savvy investors might view the price bump as the impetus the stocks need after freefalling for three years. Undoubtedly, still a long way to go, but improving crude and natural gas prices may have already primed certain energy producers and linked entities for upward momentum. True, the energy market faces many uncertainties and it may not be time to buy stocks indiscriminately, but there are players that look like pretty compelling investments. Good Time to Buy High Quality E&P Names Oil prices have gained almost 10% since falling to a ten-month low in late June. The recent rebound has been fueled by multiple weeks of strong inventory draws in the U.S. crude and gasoline stockpiles. While all crude-focused stocks stand to gain from the nascent oil rally, companies in the exploration and production (E&P) sector are the best placed, as they will be able to extract more value for their products. Moreover, the firms boast conservative balance sheets with enough cash on hand and manageable leverage. This provides them ample flexibility to make acquisitions or grow internally. Moreover, driven by operational efficiencies, these entities have been able to reduce unit costs -- an impressive achievement amid the low realization scenario. Apart from Zacks Rank #1 (Strong Buy)Canadian Natural Resources Ltd. (NYSE: CNQ – Free Report), we advocate the likes of Jones Energy Inc. (NYSE: JONE – Free Report) and Gulfport Energy Corp. (NASDAQ: GPOR – Free Report). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here. Jump in Exports to Support Natural Gas Despite the uncertain natural gas fundamentals and the understandable reluctance on the investors’ part to dip their feet into these stocks, the year-on-year comparison for the commodity is looking good. Prices this year are up around 10% from where they were twelve months back, while natural gas inventory is 289 Bcf (or 8.9%) below the year-ago figure. New pipelines to Mexico and the startup of the Sabine Pass LNG terminal in Louisiana – North America’s first large-scale liquefied gas export facility – have meant that exports out of the U.S. have taken a quantum leap. In fact, as per the Energy Department, gross liquefied natural gas exports are set to average 1.9 billion cubic feet per day in 2017, almost quadrupling from last year. While domestic natural gas production is expected to rebound this year, replacing coal-fired power plants and higher demand from industrial projects will likely take care of the increased output. The resulting effect will ensure natural gas storage keeping pace with the 5-year average in the near future, with deficits piling up later on. Over the summer, these secular headwinds will start to have a positive impact on natural gas sentiment and price. As a result, the EIA projects natural gas prices to average $3.10 per million British thermal units (MMBtu) in 2017, compared with a 2016 average of $2.51/MMBtu. This bodes well for companies like Cheniere Energy Inc. (NYSEMKT: LNG – Free Report) and Antero Resources Corp. (NYSE: AR – Free Report) -- those that produce and market the fuel. Zacks Industry Rank Within the Zacks Industry classification, health insurers are broadly grouped in the Medical sector (one of the 16 Zacks sectors). We rank 265 industries into 16 Zacks sectors based on the earnings outlook and fundamental strength of the constituent companies in each industry. We put our X industries into two groups: the top half (industries with the best average Zacks Rank) and the bottom half (the industries with the worst average Zacks Rank). Over the last 10 years, using a one-week rebalance, the top half beat the bottom half by more than twice as much. The Zacks Industry Rank is #177 (bottom 34%). The ranking is available on the Zacks Industry Rank page. Strong Stocks that Should Be in the News Many are little publicized and fly under the Wall Street radar. They're virtually unknown to the general public. Yet today's 220 Zacks Rank #1 "Strong Buys" were generated by the stock-picking system that has nearly tripled the market from 1988 through 2015. Its average gain has been a stellar +26% per year. See these high-potential stocks free >>. Get the full Report on CNQ - FREE Get the full Report on JONE - FREE Get the full Report on GPOR - FREE Get the full Report on LNG - FREE Get the full Report on AR - FREE Follow us on Twitter: https://twitter.com/zacksresearch!function(d,s,id){var js,fjs=d.getElementsByTagName(s)[0],p=/^http:/.test(d.location)?'http':'https';if(!d.getElementById(id)){js=d.createElement(s);js.id=id;js.src=p+"://platform.twitter.com/widgets.js";fjs.parentNode.insertBefore(js,fjs);}}(document,"script","twitter-wjs"); Join us on Facebook: https://www.facebook.com/home.php#/pages/Zacks-Investment-Re... Zacks Investment Research is under common control with affiliated entities (including a broker-dealer and an investment adviser), which may engage in transactions involving the foregoing securities for the clients of such affiliates. Media Contact Zacks Investment Research 800-767-3771 ext. 9339 support@zacks.com https://www.zacks.com/ Past performance is no guarantee of future results. Inherent in any investment is the potential for loss. This material is being provided for informational purposes only and nothing herein constitutes investment, legal, accounting or tax advice, or a recommendation to buy, sell or hold a security. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. It should not be assumed that any investments in securities, companies, sectors or markets identified and described were or will be profitable. All information is current as of the date of herein and is subject to change without notice. Any views or opinions expressed may not reflect those of the firm as a whole. Zacks Investment Research does not engage in investment banking, market making or asset management activities of any securities. These returns are from hypothetical portfolios consisting of stocks with Zacks Rank = 1 that were rebalanced monthly with zero transaction costs. These are not the returns of actual portfolios of stocks. The S&P 500 is an unmanaged index. Visithttps://www.zacks.com/performanceinformation about the performance numbers displayed in this press release. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Canadian Natural Resources Limited (CNQ): Free Stock Analysis Report Jones Energy, Inc. (JONE): Free Stock Analysis Report Gulfport Energy Corporation (GPOR): Free Stock Analysis Report Cheniere Energy, Inc. (LNG): Free Stock Analysis Report Antero Resources Corporation (AR): Free Stock Analysis Report To read this article on Zacks.com click here.