UPDATE: Canaccord Genuity Lowers Approach Resources' PT

According to a research report published this morning, Canaccord Genuity has lowered Approach Resources'

PT to $38. In the report, Canaccord Genuity commented, "We are reiterating our BUY rating but lowering our price target to $38.00 based on Approach's latest financial results and project updates. Despite the capital intensity concerns/weaker price realizations, we remain bullish on AREX's liquids transformation and leading leverage to horizontal Permian Oil. After successfully de-risking the Upper Wolfcamp resource play in the past 12 months, we expect further NAV/share price accretion as the markets dial in the additional stacked potential/inventory upside from AREX's liquids-rich asset base." Approach Resources closed Friday at $32.19.