UPDATE: Wunderlich Securities Reiterates Buy Rating, Raises PT on Bonanza Creek Energy
In a report published Friday, Wunderlich Securities reiterated its Buy rating on Bonanza Creek Energy (NYSE: BCEI), and raised its price target from $28.00 to $34.00.
Wunderlich Securities noted, “Bonanza Creek Energy (BCEI) provided guidance and an update on January 3, 2013. The company is expecting production ranging from 14,500 to 16,000 boepd, exceeding our prior estimate of 13,000 boepd, with a grow rate north of 60%. BCEI is also ramping up its rig count in the Wattenberg Field from 2 to 4 by early second quarter 2013. Our price target is based on our NAV estimate, and we raised our NAV to $34 from $28 to reflect a more aggressive rig count starting in 2013. We continue to believe that BCEI is well positioned within the oily portion of the Wattenberg Field. We reiterate our Buy rating on this high growth company with a strong balance sheet.”
Bonanza Creek Energy closed on Thursday at $28.41.
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