UPDATE: Goldman Sachs Raises Noble Corporation to Buy

Goldman Sachs upgrades its rating on Noble Corporation (NYSE: NE) to Buy from Neutral and boosts its 6-month price target to $46 from $37 on opportunity from increased rig day rates, which should drive further upside on shares.

Goldman Sachs says, "Despite its recent run, we still see further upside potential in NE. (1) NE has been under-earning for the past few years and is now on the cusp of seeing major improvement in margins and earnings. (2) This will be driven by rising dayrates for its rigs and the addition of 2 under-construction floaters in 2012, 1 in 2013, 2 in 2014 and 1 in 2015. In addition, two new jack-ups should be entering the fleet in 2013, 3 in 2014, and 1 in 2015."

NE closed at $37.58 a share on Friday.