#2 Real America Index Stock – Double Eagle Petroleum
The flip side of soaring crude oil prices is, of course, the soaring oil and energy sector. Take Wyoming-based Double Eagle Petroleum (NASDAQ:DBLE), which has skyrocketed 78% so far in 2011 compared with a measly 7% gain for the Dow.
Double Eagle is a small-cap company with a value of about $1 billion but has diverse energy revenue streams though coalbed methane, natural gas and crude oil operations. The prospect of commodity inflation raising rates for all forms of energy has meant bigger profits for Double Eagle Petroleum.
Those looking at key statistics may be a bit puzzled, considering DBLE swung to a 10-cent loss in the first quarter despite being profitable in the year-ago-period. But the fact is that the loss was due mostly to poor hedging investments related to natural gas and oil. Revenue was up, output was up, and the company is still growing. What’s more, engineering technology is improving all the time and allowing DBLE to extract more fuel more efficiently from its vast Wyoming holdings.
Get complete details on what makes Double Eagle Petroleum a Real America Index stock here. And to see how the rest of the stocks in the Real America Index stack up, view the interactive map.