UPDATE: Wunderlich Initiates Synergy Resources Corporation with Buy, $5 PT on Prime Niobrara Acreage

Wunderlich initiates its coverage on Synergy Resources Corporation SYRG with a rating of Buy and a $5 price target. Wunderlich says, "SYRG is small for now, but it has a great land base, a well-seasoned team, and a tight operational focus. SYRG has 12,506 net acres are in the middle of the core area, in the mostly undrilled “donut hole” in the City of Greeley; prime acreage, in our view. Earlier this week, Apache Corp. (APA-NR) announced a big exploration program in Kansas and Nebraska within the Pennsylvanian and Mississippian section (Penn-Miss play). SYRG has 108,859 net acres in Nebraska in the northern portion of these new plays. Any positive drilling results from Apache could boost SYRG's land price and give the company a new growth area." SYRG closed at $2.74 on Thursday.