UPDATE: Weatherford (WFT) Trading Halted with News Pending; Analyst Notes Tightening Debt Levels

November 1, 2016 12:14 PM EDT
Get Alerts WFT Hot Sheet
Price: $5.11 +0.20%

Rating Summary:
    30 Buy, 10 Hold, 3 Sell

Rating Trend: = Flat

Today's Overall Ratings:
    Up: 11 | Down: 31 | New: 42
Trade WFT Now!
Join SI Premium – FREE

Get instant alerts when news breaks on your stocks. Claim your 2-week free trial to StreetInsider Premium here.
(Updated - November 1, 2016 12:20 PM EDT)

Weatherford (NYSE: WFT) trading halted with news pending.

UPDATE - Wolfe Research said earlier today that Weatherford may need to conduct an equity raise and possibly divest assets.

In a note dated for yesterday, analyst Chase Mulvehill said Weatherford's debt covenants are getting "tight" and the company could stand to raise $250 million, though the analyst believes $850 million might be more prudent.

Mulvehill also thinks a divestiture of Land Rigs and Pressure Pumping assets might be something for Weatherford to consider.

In total, the analyst sees Weatherford raising proceeds of around $2.5 billion. That would allow the company to cut debt to $4.5 billion by the end of 2018 and to $4.2 billion the subsequent year.

Wolfe Research rates Weatherford at Peer Perform with a price target of $5. Shares were down 14 percent at the stoppage



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

You May Also Be Interested In






Related Categories

Analyst Comments, Trader Talk, Trading Halts

Add Your Comment