• Subscribe
  • Log In
  • Home
  • Daily Diary
  • Asset Class
    • U.S. Equity
    • Fixed Income
    • Global Equity
    • Commodities
    • Currencies
  • Sector
    • Basic Materials
    • Consumer Discretionary
    • Consumer Staples
    • Energy
    • Financial Services
    • Healthcare
    • Industrials
    • Real Estate
    • Technology
    • Telecom Services
    • Transportation
    • Utilities
  • Latest
    • Articles
    • Video
    • Columnist Conversations
    • Best Ideas
    • Stock of the Day
  • Street Notes
  • Authors
    • Bruce Kamich
    • Doug Kass
    • Jim "Rev Shark" DePorre
    • Helene Meisler
    • Jonathan Heller
    • - See All -
  • Options
  • RMPIA
  • Switch Product
    • Action Alerts PLUS
    • Quant Ratings
    • Real Money
    • Real Money Pro
    • Retirement
    • Stocks Under $10
    • TheStreet
    • Top Stocks
    • TheStreet Smarts
  1. Home
  2. / Investing
  3. / Energy

Noble Picks Up $2 Billion Bargain

Acquisition of Rosetta could open the floodgates.
By JIM CRAMER May 11, 2015 | 11:24 AM EDT
Stocks quotes in this article: NBL, ROSE, PXD, EOG, SN, CRZO

Rosetta is a game changer. I have been waiting for real consolidation among the shale drillers, and here we go, with Noble (NBL) buying Rosetta Resources (ROSE) for a couple of billion and a beautiful $6 premium to where the stock stood Friday.

This deal involves Noble getting prime acreage in three key areas -- the Delaware Basin, the Permian and Eagle Ford. Ironically, these holdings are very close to where Pioneer (PXD) and EOG (EOG) have acreage. It's ironic because they were the companies targeted by hedge fund manager David Einhorn as shorts -- the Mother Fracker and the Father Fracker, respectively.

This buy is a bargain, I think, for Noble given that Rosetta is down dramatically from where it was when oil was higher. Rosetta is a high-quality company with tremendous assets where Noble needs them most.

Noble is regarded as a very forward company with a very wise long-term outlook. Look for more deals now that this one has finally opened the floodgates.

We own EOG for ActionAlertsPlus.com and I do not expect it to be an acquirer or a seller. This company is the fastest-growing big independent. It doesn't need a thing. But I can see plenty of others merging, especially the fringe players.

Watch Sanchez (SN), that's the one people think could most likely be acquired; it could use help. I also think Carrizo (CRZO) could be in the crosshairs of an acquirer, although I sure hope not because CEO Chip Johnson has done such a remarkable job growing that company.

Get an email alert each time I write an article for Real Money. Click the "+Follow" next to my byline to this article.

Action Alerts PLUS, which Cramer co-manages as a charitable trust, is long EOG.

TAGS: Investing | U.S. Equity | Energy

More from Energy

Heatwaves Leave Little Doubt We Must Seek Climate Investment Plays

Alex Frew McMillan
Aug 19, 2022 7:45 AM EDT

The factors driving climate change are not easily quantified, or reflected in short-term market moves, though their long-term effects are pretty clear.

With Oil, Keep Your Eyes on the Prize by Focusing on Supply

Jim Collins
Aug 18, 2022 3:59 PM EDT

The earth's oil supply is only going in one direction -- down -- and here's what that means for investors.

Europe's Recession Is All About Gas

Maleeha Bengali
Aug 18, 2022 1:30 PM EDT

Prices could very well stay elevated for a long time despite the economy going into a manufacturing recession.

This Is Still One Hot Commodity

Ed Ponsi
Aug 18, 2022 11:15 AM EDT

Let's look at several energy plays and see which is burning for a trade.

Peabody Is Glowing Hot

Mark Sebastian
Aug 17, 2022 3:19 PM EDT

Here's how to play Peabody Energy as it looks like it could fire up over $25.

Real Money's message boards are strictly for the open exchange of investment ideas among registered users. Any discussions or subjects off that topic or that do not promote this goal will be removed at the discretion of the site's moderators. Abusive, insensitive or threatening comments will not be tolerated and will be deleted. Thank you for your cooperation. If you have questions, please contact us here.

Email

CANCEL
SUBMIT

Email sent

Thank you, your email to has been sent successfully.

DONE

Oops!

We're sorry. There was a problem trying to send your email to .
Please contact customer support to let us know.

DONE

Please Join or Log In to Email Our Authors.

Email Real Money's Wall Street Pros for further analysis and insight

Already a Subscriber? Login

Columnist Conversation

  • 02:23 PM EDT STEPHEN GUILFOYLE

    We're Cleaning Out This Retailer From the Bullpen

    Check out the latest moves in TheStreet's Stocks U...
  • 10:24 AM EDT JAMES "REV SHARK" DEPORRE

    This Weekend on Real Money

    To Improve Your Trading and Investing, Spend More ...
  • 08:44 AM EDT PETER TCHIR

    CPI Beats Expectations, But Maybe Not the 'Whisper'?

    Slightly better-than-expected inflation across the...
  • See More

COLUMNIST TWEETS

  • A Twitter List by realmoney
About Privacy Terms of Use

© 1996-2022 TheStreet, Inc., 225 Liberty Street, 27th Floor, New York, NY 10281

Need Help? Contact Customer Service

Except as otherwise indicated, quotes are delayed. Quotes delayed at least 20 minutes for all exchanges. Market Data & Company fundamental data provided by FactSet. Earnings and ratings provided by Zacks. Mutual fund data provided by Valueline. ETF data provided by Lipper. Powered and implemented by FactSet Digital Solutions Group.

TheStreet Ratings updates stock ratings daily. However, if no rating change occurs, the data on this page does not update. The data does update after 90 days if no rating change occurs within that time period.

FactSet calculates the Market Cap for the basic symbol to include common shares only. Year-to-date mutual fund returns are calculated on a monthly basis by Value Line and posted mid-month.

Compare Brokers

Please Join or Log In to manage and receive alerts.

Follow Real Money's Wall Street Pros to receive real-time investing alerts

Already a Subscriber? Login