UBS Lowers FY11 Estimates on Murphy Oil (MUR); Q2 EPS, Guidance & Exploration Disappoint

UBS maintains a 'Neutral' on Murphy Oil Corp. (NYSE: MUR), price target lowered from $72 to $68.

UBS analyst says, "Results fell short of UBS and consensus expectations - 2Q EPS/CFPS of $1.60/$3.64 were mixed vs. consensus of $1.67/$3.61 and below UBSe of $1.68/$3.75 on lower production volumes and higher than expected costs. 2Q highlights: 10% YoY decline in prod’n to 170 MBoed (5% below UBSe & 9% below guidance of 187 MBoed), 33% rise in unit costs to $6.83/Mcfe (7% above our estimate), and a 30% rise in price realizations (4% above UBSe). R&M income of $92 MM was above guidance of $55 MM but near our $84 MM estimate."

"...We lower 2011E EPS/CFPS to $4.90/$13.65 from $6.45/$15.15."

For more ratings news on Murphy Oil Corp. click here and for the rating history of Murphy Oil Corp. click here.

Shares of Murphy Oil Corp. closed at $66.92 yesterday.

---

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

---

You May Also Be Interested In

• Walmart (WMT) PT Lowered to $130 at UBS on Investment Narrative's Competing Dynamics
• Deere (DE) PT Lowered to $728 at UBS as Agricultural Machinery Cycle Gets Closer
• Mizuho Reiterates Outperform Rating on Broadcom Limited (AVGO) Into EPS