Canaccord Adams Reiterates a 'Buy' on Rosetta Resources (ROSE); Raises PT

November 10, 2009 12:47 PM EST

Canaccord Adams reiterates a 'Buy' on Rosetta Resources (Nasdaq: ROSE), raises price target from $18.50 to $21.

Canaccord analyst says, "In our view, ROSE is well positioned with 47,000 net acres within both the dry and liquidrich portion of the Eagle Ford Shale. The company’s second Eagle Ford well, Gates 05D #9-5H, delivered a seven-day production rate of 5.5 mmcfe/d (63% gas), consistent with a number of very good wells drilled by other producers. We expect Rosetta Resources to generate meaningful growth from this land base. In addition, the company completed its first horizontal well in the Bakken play in the Alberta Basin in western Montana and is drilling the second well; we take this as a very positive sign. The company will provide guidance on 2010 spending and volume in December. We believe that Rosetta has the right projects to generate meaningful organic growth."

"Next Catalyst: Well results from the second Alberta Bakken shale well, Tribal Riverbed 12-13H, will be of interest to investors. Well results are also upcoming from the third Eagle Ford well Santa Cruz #1H, which is to spud later this quarter."

To see more analyst ratings on ROSE Click Here.

Rosetta Resources Inc., an independent oil and gas company, engages in the acquisition, exploration, development, and production of oil and gas properties in North America.

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