UPDATE: Deutsche Bank Maintains Marathon Oil at Buy
Deutsche Bank reiterated its Buy rating and $33 price target on Marathon Oil (NYSE: MRO) as it sees company valuation multiples expanding due to its U.S. exposure.
Deutsche Bank commented, "Our focus on the Eagle Ford sees MRO's growth plans there as very achievable, even conservative. As oil bears we like MRO's comfortable cash balance. We still question the level of spending in global deepwater, where there is no evidence of a competitive advantage. … Whatever managements say, the market gives the current strategies low multiples. The interest is in how that perception changes over time. Our view is the faster the focus on US, the more the multiple expansion, unless, somehow, they find exploration success."
Marathon Oil closed at $31.50 on Wednesday.
Latest Ratings for MRO
|Mar 2016||Seaport Global||Upgrades||Neutral||Buy|
|Mar 2016||Deutsche Bank||Maintains||Buy|
|Mar 2016||Credit Suisse||Maintains||Outperform|
© 2016 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.