Is Coterra Energy Inc. (CTRA) One of the High-Growth, Low P/E Stocks to Buy Now?

Coterra Energy Inc. (NYSE:CTRA) is one of the high-growth, low P/E stocks to buy now. On February 6, Wolfe Research touted Coterra Energy Inc. (NYSE:CTRA) as one of its top oil-sector picks, poised to benefit from heightened merger and acquisition activity.

According to the research firm, there are unique opportunities in an industry that is consolidating and evolving in response to changing market dynamics. Consequently, it maintained an Outperform rating on the stock and raised the price target to $35 from $32.

Earlier, on February 2, Coterra Energy Inc. reached an agreement to merge with Devon Energy Corp. in an all-stock transaction. The merger will result in the largest US shale operator, with an enterprise value of about $58 billion.

Under the terms of the agreement, Coterra shareholders are to receive 0.70 shares of Devon Common stock for each share held. Once the deal closes, Devon shareholders will own 54% of the combined company, with Coterra shareholders owning the remaining 46%. The combined company is to achieve $1 billion in annual pretax synergies by the end of 2027.

Coterra Energy Inc. (NYSE:CTRA) is an independent Houston-based company focused on the exploration, development, and production of oil, natural gas, and natural gas liquids within the United States. Operating in the Permian Basin, Marcellus Shale, and Anadarko Basin, Coterra develops high-quality, low-cost assets to provide energy resources.

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Disclosure: None. This article is originally published at Insider Monkey.