Stock to Sell #4 – Newfield Exploration Co. (NFX)
Newfield Exploration Co. (NYSE:NFX), a domestic oil and natural gas exploration and production company, has had its earnings estimates revised downward by several analysts following a disappointing Q4 report, which missed estimates by a wide margin. High debt and falling production combine to limit future earnings, and insiders have been heavy sellers.
In early February, the stock reversed down from its 200-day moving average at $29, confirming that a bear market was still in place. MACD has flashed a sell signal and it appears that the fragile support at $23 will break. Sell NFX if you own it or sell it short with a trading target of $16.