May 13, 2020

Oasis Petroleum Inc. Possible Bankruptcy

Oil and Gas Loss Recovery Lawyers

Broker Sold You Oasis Petroleum  Inc. Bonds, Stock, or Other Risky High Yield Oil and Gas Investments?

Soreide Law Group is investigating bond sales made to clients by stock brokers that were highly invested in risky oil and gas bonds.  Despite the recent announcement the fed will be buying bond ETF’s it does not mean the underlying companies cannot default on them.  The Covid-19 pandemic has hit oil and gas companies hard lately as the country suffered limited activity.  Many Moody’s B rated or better bonds from just a few years ago went to negative outlooks and are now Ca rated or bankrupt.  Oasis Petroleum bonds were ranked B2 at the beginning of 2020.  These oil companies also use heavy financial leverage that caused their high debt balances they are unable to reduce or to cause them to become worth very little.  Oasis Petroleum is now "Non-Investment Grade Caa1" according to Moody's.

Oasis Petroleum Bond and Stock Loss Victims Call 888-760-6552 To Start the Recovery Process Now. 

Oasis Petroleum, Inc. bonds (CUSIP: 674215AD0) are rated Caa1 by Moodys as of 4/07/20 and are now Non-Investment Grade.  Moody’s expects Oasis Petroleum to be at risk due to high debt levels and relative high interest expenses.  In 2016 Denbury had a B rating by Moody’s.  Many brokers sold the bonds because of their high yield and their high rating.  However, many brokerage clients were sold excess amounts of these bonds due
to their high yield and are not caught with oil futures even going negative temporarily in 2020.  Lower oil prices will continue to stress the credit rating of Oasis Petroleum.   Some argue Oasis Petroleum may be on the way to bankruptcy due to their risk of default.
OAS Oasis Petroleum
Oasis Petroleum Inc., whose stock symbol is OAS and trades at $.49 as of 5/12/20.  Oasis has elevated leverage relative to production and reserves according to Moody's.  They hried Evercore Inc to advise on managing their $2.3 billion in debt.  The stock itself is trading in horrendous fashion.  Oasis Petroleum went from $55 in 2014 to $.49 and appears to be priced for bankruptcy.  The ongoing oil price war and lack of demand are causing many oil companies to teeter on the brink of collapse.  If your broker or financial advisor recommended this risky stock or bond and other risky investments please call us today at 1-888-760-6552.
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