Three Energy Stocks Hammered By Market: AXAS, EOG, PETD, TPLM

The stock market has not been a safe place for investors the last few months, as worries over slowing economic growth in the United States and European sovereign defaults have led to a volatile sell off.

Energy stocks have been among the worst performers, as investor enthusiasm towards oil and liquids exploration and production companies reached a crescendo in spring, 2011, and then quickly reversed as investors moved to preserve profits. Here's a look at three that have seen a major drop from peak prices reached earlier in the year, and may be worth a look.

The Victims
Abraxas Petroleum Corporation(Nasdaq:AXAS) reached a high of $6 per share in March, and then again in April, 2011, before losing 50% of its value by the end of June. Abraxas is involved in various unconventional basins in the onshore United States, including the Bakken, the Eagle Ford Shale and the Niobrara. The company is putting virtually its entire 2011 capital budget into these and several other oil plays.

Abraxas Petroleum has bounced off the June, 2011 lows, and despite the haircut in the last two months, the stock is still up 49% over the last 12 months.

PDC Energy (Nasdaq:PETD) also saw a peak in March, 2011, hitting nearly $50 per share before losing 40% of its value and settling around $30 per share. PDC is working in many oily plays in the United States, including the Permian Basin in Texas and the Denver Julesburg basin in Colorado and Wyoming. The company is devoting much of its energy and resources towards the Denver Julesburg basin in 2011, and plans to drill 104 wells here during the year. Fourteen of these will be horizontal wells targeting the Niobrara formation, a play where the company has already reported several successful horizontal wells.

Several other companies have also drilled and completed horizontal wells to test this formation. EOG Resources (NYSE:EOG) was one of the early operators in the play, and recently reported three successful completions on its leasehold. The company plans to drill 40 wells into the Niobrara in 2011.

Triangle Petroleum (Nasdaq:TPLM) was also hammered by market, reaching a recent high above $9.50 per share before falling to $5.50 in late June, 2011. The company is working in the Williston Basin and has assembled 72,000 net acres prospective for the Bakken and Three Forks formations. Triangle is participating in more than 75 gross wells over the next year, and plans its first operated well in late 2011.

The market has been pounded over the last few months, as fickle investors continue to climb and then slip down the wall of worry that has characterized recent activity. Many energy stocks fell much farther than the overall market, and may represent an opportunity for those willing to do some research.