UPDATE: Brean Murray Carret Initiates Penn Virginia Corporation with Buy, $10 PT; Liquids Rich Inventory
Brean Murray Carret initiates its coverage on Penn Virginia Corporation (NYSE: PVA) with a Buy rating and a price target of $10 a share.
Brean Murray Carret notes, "We are initiating coverage of Penn Virginia Corporation with a Buy rating and a $10/share price target, equal to 75% of our risked NAV, which assumes mid‐cycle NYMEX benchmark prices of $85/Bbl crude oil and $4.00/MMBtu natural gas. …Our thesis on PVA is that consistent Eagle Ford well results, de‐risking in Lavaca County, and beats on crude oil production volumes this year provide a clear path to value accretion once the company's Granite Wash sale is consummated."
PVA closed at $4.82 on Friday.