UPDATE: KeyBanc Downgrades SandRidge Energy to Hold Following Permian Asset Sale
KeyBanc lowered its rating on SandRidge Energy (NYSE: SD) from Buy to Hold.
KeyBanc said, "In a general sense, we view the move to sell an oily conventional asset into a very receptive marketplace as a savvy and opportunistic move, especially in cases in which capital can be deployed to higher return horizontal resource plays with better EURs and a large inventory of drilling locations with the ability to prove-up oily reserves. In this instance, however, we do not see SD as being in such a position, as the ultimate returns and oil/liquids mix of the Mississippian remains an open question and generally is inferior to Permian returns."
SandRidge Energy closed at $6.48 on Wednesday.
Latest Ratings for SD
|Jul 2015||Credit Suisse||Assumes||Sell|
|May 2015||Stephens & Co.||Maintains||Overweight|
© 2016 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.