CXO - Concho Resources Is An Attractive Value Play With Q3 '19 Report As A Driver

Commodity stocks are not the place to be during recessions. Given enhanced expectations of an economic slowdown this year, many such companies are trading with significant discounts to their fair values.

Additionally, the management of Concho Resources (CXO) had made a risky bet on an extremely tighter space, which they lost and acknowledged this fact at 2Q19 earnings results. The experimental project was named as Dominator, a very unfortunate and humorous name as it turned out. The management has been focused more on their bonuses given the possibility of higher reserves with tighter