Williams Financial Initiates Coverage of Diamond Offshore, Gives Hold Rating, $72 PT
In a report issued earlier today, Williams Financial Group announced that it is initiating coverage of Diamond Offshore Drilling, Inc. (NYSE: DO), with a Hold rating and a $72 price target.
Williams said in the report that “Despite approximately $1.5B outstanding debt, the company is in a comfortable leverage position given DO's cash flow and asset base. However, we perceive shares as fairly balanced at current levels, based on our $72 price target, which is derived from 7.5x EV/EBITDA and 12x P/E.”
Diamond Offshore Drilling, Inc. closed on Thursday at $65.81.
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