Jesup & Lamont Upgrades Pride International (PDE) to Buy; Updates PT & Estimates

November 9, 2009 9:29 AM EST

Jesup & Lamont upgrades Pride International (NYSE: PDE) from Hold to Buy. Price target $42.

Jesup analyst says, "Pride International indicated its trough quarter should be the current quarter on its last conference call. We believe the industry and investors have begun to look at Pride in a whole new light, now that the restructuring is complete with the spinoff of the mat jackup fleet last quarter...We also believe the company is in a position to expand its already strong deepwater revenues and earnings from additional opportunities in the market. Management has reduced debt levels, sold many different segments of the Old Pride, refocused the company, and has created what we believe should be the purest deepwater contractor for the future...Our 2009 earnings estimate is $2.18 per share and our 2010 estimate remains $1.90 per share. Our new target price is $42.00 per share, which is based on 12x our 2011 earnings estimate of $3.50 per share. We believe the current quarter should be the trough in earnings for the company and demand is starting to rise as the markets recover."

To see more analyst ratings on PDE Click Here.

Pride International, Inc. provides offshore contract drilling and related services to oil and natural gas exploration and production companies.

Related Categories

Upgrades

Stocks Mentioned

Related Entities

• Jesup & Lamont

Add Your Comment

Name

Subject

Body

Verification can't see the text?
click here to refresh the image.
what's this?