Breakingviews - Mega-merger boom threatens a shareholder bloodbath
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Jan 17 2025
0mins
Should l Buy EXE?
Source: Reuters
Concerns Over Mega-Mergers: The potential resurgence of large mergers and acquisitions (M&A) in 2025 raises concerns among shareholders, especially given the historical underperformance of mega-deals, where three-quarters of buyers lagged behind their sector benchmarks since 2020.
Changing Regulatory Landscape: With central banks lowering borrowing costs and a shift in antitrust enforcement under new leadership, major corporations may feel encouraged to pursue significant deals, despite the mixed results observed in past transactions across various industries.
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Analyst Views on EXE
Wall Street analysts forecast EXE stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for EXE is 132.89 USD with a low forecast of 106.00 USD and a high forecast of 150.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
21 Analyst Rating
19 Buy
2 Hold
0 Sell
Strong Buy
Current: 110.370
Low
106.00
Averages
132.89
High
150.00
Current: 110.370
Low
106.00
Averages
132.89
High
150.00
About EXE
Expand Energy Corporation is an independent natural gas producer in the United States. The Company is focused on developing a supply of natural gas, oil and natural gas liquids (LNG) to expand energy access for all. Its operations are located in Louisiana, in the Haynesville and Bossier Shales (Haynesville), in Pennsylvania in the Marcellus Shale (Northeast Appalachia) and in West Virginia and Ohio in the Marcellus and Utica Shales (Southwest Appalachia) and include interests in approximately 8,000 gross natural gas and oil wells. The Company's operations include drilling, completion, and production. It also operates drilling rigs and provides certain oilfield products and services, principally serving the Company’s E&P operations through vertical integration. Haynesville is rich in natural gas with proximity to LNG export infrastructure. The Company's operations in Ohio and West Virginia target the Marcellus and Utica shales and provide oil and natural gas liquids.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
Expand Energy Appoints New Interim CEO Amid Leadership Change
- Leadership Change: Expand Energy (EXE) appointed Chairman Michael Wichterich as interim CEO, succeeding Nick Dell'Osso, who stepped down without explanation, potentially raising concerns about the company's future direction among investors.
- CEO Search Initiated: The board has launched a search for a permanent CEO with the assistance of an independent recruitment firm, indicating the company's commitment to leadership stability and aiming to restore investor confidence swiftly.
- Wichterich's Background: Michael Wichterich has served as Chairman since 2021 and was interim CEO for six months in 2021; he is also the founder and CEO of Three Rivers Operating Company, focusing on exploration and production in the Permian Basin, which may bring valuable industry experience to the role.
- Headquarters Relocation: Expand Energy plans to relocate its corporate headquarters from Oklahoma City to Houston while reaffirming its synergy, capital, and operating outlook for Q4 and FY 2025, reflecting a proactive strategic adjustment in its operational footprint.
See More
Expand Energy Relocates Headquarters to Houston
- Headquarters Relocation: Expand Energy announced plans to move its headquarters from Oklahoma City to Houston by mid-2026, a strategic move aimed at strengthening relationships with key industry partners to support long-term growth objectives.
- Leadership Changes: Michael Wichterich, the Chairman of the Board, has been appointed as Interim CEO, succeeding Domenic Dell'Osso, who stepped down but will serve as an external advisor to ensure a smooth transition, highlighting the company's focus on leadership stability.
- Financial Outlook Reaffirmed: The company reaffirmed its capital and operating outlook for Q4 and full year 2025, with financial results set to be released on February 17, 2026, indicating confidence in future performance.
- Market Opportunity Capture: As North America's largest natural gas producer, the relocation to Houston will accelerate the company's strategic positioning in the global natural gas market, aiming to provide competitive lower-carbon energy to meet the growing domestic and international demand.
See More
Expand Energy to Release Q4 and Full Year Results on February 17, 2026
- Earnings Release Schedule: Expand Energy Corporation will release its operational and financial results for Q4 and the full year of 2025 after market close on February 17, 2026, which is expected to provide investors with critical performance metrics and future outlook.
- Conference Call Timing: A conference call is scheduled for February 18, 2026, at 9:00 a.m. EST, where the company will discuss the financial results and answer investor questions, enhancing transparency and investor confidence.
- Participation Details: Investors can access the live webcast link through the company's website and register to receive dial-in information and a unique PIN, ensuring smooth participation in the call.
- Replay Availability: A replay of the call will be available on Expand Energy's website following the meeting, allowing investors who could not attend live to review the content, thereby improving information accessibility.
See More
US Stocks Close Higher on Strong Manufacturing Data
- Manufacturing Index Surge: The US January ISM manufacturing index rose by 4.7 to 52.6, surpassing expectations of 48.5, marking the strongest expansion in over 3.25 years, which bolstered market optimism and contributed to stock gains.
- Chip Stocks Rally: Chipmakers and AI infrastructure stocks performed strongly on Monday, with Sandisk (SNDK) surging over 15% to lead the S&P 500 gainers, reflecting strong demand for tech stocks and a recovery in investor confidence.
- Energy Stocks Under Pressure: Energy producers faced headwinds as WTI crude oil prices fell more than 4%, with Diamondback Energy (FANG) and Occidental Petroleum (OXY) both declining over 3%, indicating growing concerns in the energy sector.
- Cryptocurrency Market Retreats: Bitcoin plummeted over 7% to a 9.75-month low, leading to widespread declines in cryptocurrency-related stocks, with Galaxy Digital Holdings (GLXY) and Strategy (MSTR) both dropping over 6%, reflecting weakened investor confidence in the crypto market.
See More
Energy Stocks Show Varied Performance, Expand Energy Leads Decline
- Underperforming Energy Stocks: Expand Energy (EXE) reported a -1.68% performance over the past month, despite holding a Buy Quant Rating of 4.25, indicating market confidence in its potential but highlighting significant recent challenges that have led to its underperformance relative to the sector.
- Sector Performance Overview: Antero Resources (AR) and EQT (EQT) achieved modest gains of +1.99% and +3.28%, respectively, yet both remain among the weakest performers in the energy sector, suggesting a sluggish recovery across the oil and gas industry.
- Bottom Performers Analysis: DT Midstream (DTM) and MPLX LP (MPLX) posted +3.87% and +4.13% gains, respectively, further emphasizing the widespread underperformance in the oil and gas exploration, production, and storage sectors, reflecting a lack of investor confidence in these companies.
- Market Trend Observation: While some energy stocks like Coterra Energy (CTRA) and Enterprise Products Partners L.P. (EPD) saw increases of +7.10% and +6.86%, respectively, the overall performance of energy stocks remains influenced by supply risks and market sentiment, necessitating caution among investors.
See More
Palantir and Five Additional Stocks to Capitalize on Trump's American Investment Strategy
Change in Federal Operations: The federal government is undergoing operational changes that investors should consider in their strategies.
Investment Opportunities: By aligning their investments with stocks that may appeal to President Donald Trump, investors could potentially realize gains.
See More
Expand Energy Appoints New Interim CEO Amid Leadership Change
- Leadership Change: Expand Energy (EXE) appointed Chairman Michael Wichterich as interim CEO, succeeding Nick Dell'Osso, who stepped down without explanation, potentially raising concerns about the company's future direction among investors.
- CEO Search Initiated: The board has launched a search for a permanent CEO with the assistance of an independent recruitment firm, indicating the company's commitment to leadership stability and aiming to restore investor confidence swiftly.
- Wichterich's Background: Michael Wichterich has served as Chairman since 2021 and was interim CEO for six months in 2021; he is also the founder and CEO of Three Rivers Operating Company, focusing on exploration and production in the Permian Basin, which may bring valuable industry experience to the role.
- Headquarters Relocation: Expand Energy plans to relocate its corporate headquarters from Oklahoma City to Houston while reaffirming its synergy, capital, and operating outlook for Q4 and FY 2025, reflecting a proactive strategic adjustment in its operational footprint.
See More
Expand Energy Relocates Headquarters to Houston
- Headquarters Relocation: Expand Energy announced plans to move its headquarters from Oklahoma City to Houston by mid-2026, a strategic move aimed at strengthening relationships with key industry partners to support long-term growth objectives.
- Leadership Changes: Michael Wichterich, the Chairman of the Board, has been appointed as Interim CEO, succeeding Domenic Dell'Osso, who stepped down but will serve as an external advisor to ensure a smooth transition, highlighting the company's focus on leadership stability.
- Financial Outlook Reaffirmed: The company reaffirmed its capital and operating outlook for Q4 and full year 2025, with financial results set to be released on February 17, 2026, indicating confidence in future performance.
- Market Opportunity Capture: As North America's largest natural gas producer, the relocation to Houston will accelerate the company's strategic positioning in the global natural gas market, aiming to provide competitive lower-carbon energy to meet the growing domestic and international demand.
See More
Expand Energy to Release Q4 and Full Year Results on February 17, 2026
- Earnings Release Schedule: Expand Energy Corporation will release its operational and financial results for Q4 and the full year of 2025 after market close on February 17, 2026, which is expected to provide investors with critical performance metrics and future outlook.
- Conference Call Timing: A conference call is scheduled for February 18, 2026, at 9:00 a.m. EST, where the company will discuss the financial results and answer investor questions, enhancing transparency and investor confidence.
- Participation Details: Investors can access the live webcast link through the company's website and register to receive dial-in information and a unique PIN, ensuring smooth participation in the call.
- Replay Availability: A replay of the call will be available on Expand Energy's website following the meeting, allowing investors who could not attend live to review the content, thereby improving information accessibility.
See More
US Stocks Close Higher on Strong Manufacturing Data
- Manufacturing Index Surge: The US January ISM manufacturing index rose by 4.7 to 52.6, surpassing expectations of 48.5, marking the strongest expansion in over 3.25 years, which bolstered market optimism and contributed to stock gains.
- Chip Stocks Rally: Chipmakers and AI infrastructure stocks performed strongly on Monday, with Sandisk (SNDK) surging over 15% to lead the S&P 500 gainers, reflecting strong demand for tech stocks and a recovery in investor confidence.
- Energy Stocks Under Pressure: Energy producers faced headwinds as WTI crude oil prices fell more than 4%, with Diamondback Energy (FANG) and Occidental Petroleum (OXY) both declining over 3%, indicating growing concerns in the energy sector.
- Cryptocurrency Market Retreats: Bitcoin plummeted over 7% to a 9.75-month low, leading to widespread declines in cryptocurrency-related stocks, with Galaxy Digital Holdings (GLXY) and Strategy (MSTR) both dropping over 6%, reflecting weakened investor confidence in the crypto market.
See More
Energy Stocks Show Varied Performance, Expand Energy Leads Decline
- Underperforming Energy Stocks: Expand Energy (EXE) reported a -1.68% performance over the past month, despite holding a Buy Quant Rating of 4.25, indicating market confidence in its potential but highlighting significant recent challenges that have led to its underperformance relative to the sector.
- Sector Performance Overview: Antero Resources (AR) and EQT (EQT) achieved modest gains of +1.99% and +3.28%, respectively, yet both remain among the weakest performers in the energy sector, suggesting a sluggish recovery across the oil and gas industry.
- Bottom Performers Analysis: DT Midstream (DTM) and MPLX LP (MPLX) posted +3.87% and +4.13% gains, respectively, further emphasizing the widespread underperformance in the oil and gas exploration, production, and storage sectors, reflecting a lack of investor confidence in these companies.
- Market Trend Observation: While some energy stocks like Coterra Energy (CTRA) and Enterprise Products Partners L.P. (EPD) saw increases of +7.10% and +6.86%, respectively, the overall performance of energy stocks remains influenced by supply risks and market sentiment, necessitating caution among investors.
See More
Palantir and Five Additional Stocks to Capitalize on Trump's American Investment Strategy
Change in Federal Operations: The federal government is undergoing operational changes that investors should consider in their strategies.
Investment Opportunities: By aligning their investments with stocks that may appeal to President Donald Trump, investors could potentially realize gains.
See More
