FBR Capital Upgrades EOG Resources (EOG) to Outperform; Asset Base Matters; 2Q11 Execution Risk Priced In
Tweet
Share
E-mailGet Alerts EOG Hot Sheet
Price: $142.61 --0%
Rating Summary:
29 Buy, 25 Hold, 1 Sell
Rating Trend:
Down
Today's Overall Ratings:
Up: 6 | Down: 10 | New: 16
Rating Summary:
29 Buy, 25 Hold, 1 Sell
Rating Trend:
Down
Today's Overall Ratings:
Up: 6 | Down: 10 | New: 16
Join SI Premium – FREE
FBR Capital upgraded EOG Resources (NYSE: EOG) to Outperform. PT$ 130.
FBR analyst says, "By holding the impact of technology constant, we believe that the marketplace continues to be fundamentally flawed in its approach to valuing the E&P sector in general and in this case EOG specifically. Our analysis indicates that with every doubling of cumulative well count, a shale play exhibits a “predictable” 15%–23% improvement in productivity or learning as measured by improvements in 30-day average production rates...This predictable nature of improvement gives us the comfort that EOG can deliver production growth of 9% in 2H11 versus 1H11 for a total 8% in 2011 and 15% production growth in 2012. However, current market sentiment and valuation suggest lower growth rates are expected by the marketplace."
For more ratings news on EOG Resources click here and for the rating history of EOG Resources click here.
Shares of EOG Resources closed at $101.19 yesterday.
FBR analyst says, "By holding the impact of technology constant, we believe that the marketplace continues to be fundamentally flawed in its approach to valuing the E&P sector in general and in this case EOG specifically. Our analysis indicates that with every doubling of cumulative well count, a shale play exhibits a “predictable” 15%–23% improvement in productivity or learning as measured by improvements in 30-day average production rates...This predictable nature of improvement gives us the comfort that EOG can deliver production growth of 9% in 2H11 versus 1H11 for a total 8% in 2011 and 15% production growth in 2012. However, current market sentiment and valuation suggest lower growth rates are expected by the marketplace."
For more ratings news on EOG Resources click here and for the rating history of EOG Resources click here.
Shares of EOG Resources closed at $101.19 yesterday.
Serious News for Serious Traders! Try StreetInsider.com Premium Free!
You May Also Be Interested In
- EOG Resources (EOG) PT Lowered to $147 at Barclays
- Wells Fargo Upgrades Okta, Inc (OKTA) to Overweight
- Citi Upgrades Shenzhen T&S Communication (300570:CH) to Neutral
Create E-mail Alert Related Categories
UpgradesSign up for StreetInsider Free!
Receive full access to all new and archived articles, unlimited portfolio tracking, e-mail alerts, custom newswires and RSS feeds - and more!
