KeyBanc Capital Markets Initiates Buy, $20 Target on Bonanza Creek Energy
KeyBanc Capital Markets initiates a Buy rating and $20 target price on Bonanza Creek Energy (NYSE: BCEI), reflecting valuation and growth opportunities.
KeyBanc Capital Markets says, "We are initiating coverage of Bonanza Creek Energy, Inc. (BCEI-NYSE) with a BUY rating and price target of $20.00 per share, given our view of relatively inexpensive valuation, attractive liquids-rich growth opportunities from the Niobrara shale and ample upside to asset value given execution. As BCEI embarks on a 20 horizontal well program in the highly coveted Wattenberg Field in 2012 vs. four in 2011, we expect the Company's targeted 92-120% growth in 2012 to provide an attractive vehicle to oiloriented growth as the Niobrara becomes further de-risked."
BCEI closed at $14.75 a share on Monday.
© 2014 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.