Monday is proving to be a challenging day on the ASX for the Oil Search Ltd (ASX: OSH) share price.
The company’s stock is dipping alongside those of its peers and the price of oil. Additionally, reports have emerged stating that the company is being sued by its former chief financial officer.
At the time of writing, the Oil Search share price is $4.12, 1.9% lower than its previous close.
For context, the S&P/ASX 200 Index (ASX: XJO) is currently sporting a 0.4% fall.
Let’s take a look at what might be dragging the company’s share price today.
Oil Search share price tumbles
According to data from CNBC, the price of West Texas Intermediate oil is sitting at US$75.94 per barrel right now. At the same time, barrels of Brent crude oil are trading at US$78.85.
As Reuters has reported, the fall in oil prices comes as COVID-19 cases in the Northern Hemisphere surge, seemingly harbouring a fourth wave.
At the same time, the globe’s biggest economies are reportedly considering releasing oil stockpiles in an attempt to combat energy prices.
Oil Search isn’t alone in its falls today. Unsurprisingly, other oil-producing companies are also in the red.
The share prices of Santos Ltd (ASX: STO) and Woodside Petroleum Limited (ASX: WPL) are down 1.8% and 1.9% respectively.
Meanwhile, that of Beach Energy Ltd (ASX: BPT) has slid 4%.
Finally, while it’s unlikely to be moving the Oil Search share price, reports emerged last week claiming the company’s former CFO is suing the company on allegations of bullying, intimidation, and harassment.
Ayten Saridas lasted just 3 months in the role in late 2020.
According to reporting by The Australian, Oil Search has denied the claims and stated it will defend against the accusations.
Right now, the Oil Search share price is 9.5% higher than it was at the start of 2021.
The post Here’s why the Oil Search (ASX:OSH) share price is slipping today appeared first on The Motley Fool Australia.
Should you invest $1,000 in Oil Search right now?
Before you consider Oil Search, you’ll want to hear this.
Motley Fool Investing expert Scott Phillips just revealed what he believes are the 5 best stocks for investors to buy right now… and Oil Search wasn’t one of them.
The online investing service he’s run for nearly a decade, Motley Fool Share Advisor, has provided thousands of paying members with stock picks that have doubled, tripled or even more.* And right now, Scott thinks there are 5 stocks that are better buys.
*Returns as of August 16th 2021
More reading
- 5 things to watch on the ASX 200 on Thursday
- These ASX 200 shares could be set to face fresh pressure over climate action
- Leading brokers name 3 ASX shares to buy today
- Oil Search (ASX:OSH) shares undervalued in Santos merger: expert
- Oil Search (ASX:OSH) and Santos (ASX:STO) move closer to completing $23bn merger
Motley Fool contributor Brooke Cooper has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.
from The Motley Fool Australia https://ift.tt/3CEnnpc
Leave a Reply