UPDATE: Wunderlich Securities Upgrades Bill Barrett Corporation to Buy on Oil Exposure, Valuation
Wunderlich Securities raised its rating on Bill Barrett Corporation (NYSE: BBG) from Hold to Buy with a $25 price target.
Wunderlich Securities noted, "Bill Barrett Corporation (BBG) announced its preliminary 2013 CapEx and production guidance levels; a key step, in our view, based on the wide range of estimates currently on the Street. The production and CapEx figures were well below our estimates, but, more important, in our view, is that the cash burn of Barrett is reduced for 2013 while the oil-focused six-rig program remains intact. As a result of the seemingly disappointing headlines, Barrett's stock was under pressure last week, but based on this sharpened focus, reduced cash burn, upcoming Niobrara results, and compelling valuation, we are now more bullish on the name and are upgrading the stock to Buy."
Bill Barrett Corporation closed at $18.34 on Friday.
(c) 2013 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.