Comstock Resources Faces Steep Decline in Q2 Earnings Amid Weak Gas Prices

Comstock Resources will release its second-quarter earnings today after market close. Analysts expect a steep decline in revenue and earnings due to weak natural gas prices, which have fallen 14% over the past month.

The company's recently completed Pinnacle midstream transaction may provide some relief, but investors will scrutinize how it affects Comstock's financial flexibility. The deal involves a $600 million strategic investment by Sixth Street in its Pinnacle Gas Services subsidiary.

Last quarter, Comstock reported earnings of $0.15 per share on revenue of $587.35 million, but this time around analysts predict a sharp drop to $0.0206 per share on revenue of $422.85 million.