Wells Fargo Upgrades Precision Drilling (PDS) to Outperform; Strong Winter Followed by Upcycle

Wells Fargo upgraded Precision Drilling (NYSE: PDS) from Market Perform to Outperform with a price target range of $11-$12 (from $7-$8).

Analyst, Tom Curran, said, "We're revising EBITDA/EPS (1) negatively for 2012E from C$797MM/C$1.14 to C$767MM/C$1.06, largely on overdue Q2 flow-through and Q3 true-ups; but, more importantly at this juncture, (2) positively for 2013E from C$809MM/C$1.02 to C$862MM/C$1.15 on more projected Canadian Tier 1 newbuild additions. The stock is offering a nice risk-reward entry point, in our view, between a new primary uptrend's 1st leg -- the late June through early August surge on oil's rebound and valuation -- and its 2nd, which will be driven by Canada."

For an analyst ratings summary and ratings history on Precision Drilling click here. For more ratings news on Precision Drilling click here.

Shares of Precision Drilling closed at $8.68 yesterday.

---

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

---

You May Also Be Interested In

• Fiserv (FISV) PT Lowered to $60 at Freedom Broker
• Freedom Broker Upgrades Lifeway Foods (LWAY) to Buy
• Indigo Paints (INDIGOPN:IN) PT Raised to INR1,300 at ICICI Securities