Barclays on U.S. Oil & Gas: E&P (Mid-Cap): Liquids Shift Could Drive Margin Improvement

March 9, 2012 1:15 PM EST Send to a Friend
Get Alerts PVA Hot Sheet
Price: $7.91 -1.25%

Rating Summary:
    10 Buy, 2 Hold, 0 Sell

Rating Trend: Down Down

Today's Overall Ratings:
    Up: 24 | Down: 28 | New: 14
Trade PVA Now!
Join SI Premium – FREE
Barclays on U.S. Oil & Gas: E&P (Mid-Cap): Liquids Shift Could Drive Margin Improvement

Analyst, Jeffrey W. Robertson, said, "We estimate that the aggregate production mix for our producer group will shift to 39% liquids in 2012 and 41% in 2013. Given our commodity price outlook, the shift could lead to cash margin improvement for those companies undergoing the most significant transition such as Penn Virginia (NYSE: PVA) and Crimson Exploration (Nasdaq: CXPO). We remain cautious on the gas outlook and continue to favor oil names within our coverage. Our favorite names are Denbury Resources (NYSE: DNR), Plains Exploration & Production (NYSE: PXP), Whiting Petroleum (NYSE: WLL) WLL, and SM Energy (NYSE SM)."

Barclays maintains an Overweight rating on DNR, raises PT by $2 to $26, and raises FY estimates from $1.45 to $1.60.

Maintains an 'Equalweight' on Exco Resources (NYSE: XCO), lowers PT from $7.00 to 5.00, and cuts FY EPS esitmate from $0.35 to $0.10.

Maintains an 'Overweight' on Plains Exploration & Production (NYSE: PXP), raises PT from $51.00 to $54.00, cut FY EPS estimate from $2.65 to 2.30.

Maintains an 'Overweight' on Stone Energy (NYSE: SGY) with an Overweight, raises PT by $1 to $44. FY EPS estimate increased from $4.10 to $4.20.

Maintains an 'Equalweight' rating on W&T Offshore (NYSE: WTI), raises PT $1 to $23. FY EPS estimate increased from $1.75 to $1.85.

Maintains an 'Overweight' on Whiting Petroleum (NYSE: WLL), raises PT from $70 to $74. FY EPS estimates loweref from $4.15 to $4.05.


Serious News for Serious Traders! Try StreetInsider.com Premium Free!

You May Also Be Interested In





Related Categories

Analyst Comments, Analyst EPS Change, Analyst EPS View, Analyst PT Change

Related Entities

Barclays

Comments

So sad...
JPK on 2012-03-09 14:03:47
Mark as Spam | Reply to this comment

I agree that a liquid shift will drive margin improvement. However, Barclay's PT's are nothing but fabrications. It is sad to see the public respond so drastically to their untenable predictions.


Add Your Comment