Oil companies seeking cash have found a well that keeps producing: the stock market. Callon Petroleum Co. CPE 12.11 % , a small oil producer, has sold new shares three times in the past six months to raise cash, most recently in a successful sale Tuesday night. Though stock prices often decline on such deals due to the addition of new shares, Callon’s shares ended Wednesday up 12%, at $10, as the price of oil reached near a five-month high and U.S. energy shares broadly rallied on better-than-expected crude-supply data. “Slowly but surely—and I do mean slowly—the fundamental picture has gotten a little better,” said Todd Garner, managing partner at hedge fund Protec Energy Partners LLC. “And it keeps getting just a little better.” Follow-on deals, in which already-public companies sell new stock, have […]