Nearly all the E&P and oil-services stocks we cover trade below what we think they're worth.
But while the expanded development plan is accretive to our net asset value, we still see little upside remaining.
Our negative stance is underpinned by our view on long-term oil prices rather than operational weakness at the firm.
But we think the latest acquisition is moat-enhancing and fairly priced.
President Trump's decision to abandon the Iran nuclear accord could exacerbate the global supply shortage.