UPDATE: Canaccord Genuity Upgrades Forest Oil to Buy on Share Upside Post YTD Decline
Canaccord Genuity raises its rating on Forest Oil (NYSE: FST) from Hold to Buy and reiterates its $12 price target on shares.
Canaccord Genuity notes, "FST has declined over 40% since late February, underperforming the sector by ~15%. The stock now presents upside similar to the sector in our view and offers a compelling 50%+ potential return to our target price. More importantly, we believe Forest is close to finalizing an Eagle Ford joint venture. We expect this deal to lead to a meaningful uplift in share price and greater operational emphasis on the Eagle Ford, which we see as the most repeatable and productive oil asset in Forest's portfolio."
FST closed at $7.90 on Tuesday.
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