Wall Street: Small Energy Companies Are Getting Smoked

With oil prices falling to new record-lows, even Wall Street is starting to sway: small-caps in the energy sector are getting destroyed, when will this hit the big fishes too ?

Some of us may have seen the bloodbath of Monday for the US small-caps operating in the energy sector. For those who didn’t, here’s what happened in one only day:

• BreitBurn Energy (BBEP), down 18%
• LinnCo (LINE), down 8%
• EV Energy (EVEP), down 12%
• Atlas Resource (ARP), down 15%
• Oasis Petroleum (OAS), down 7%
• Vanguard Natural (VNR), down 9%
• Mid-Con Energy (MCEP), down 12%

And a monthly chart as well:

As we said, this is a complete bloodbath. But we’re still talking about small-caps, once (and if) this panic hits the large-caps, well, as Obama would say: “There will be costs”.