UPDATE: Stifel Nicolaus Upgrades Crimson Exploration to Buy on Catalysts to Upside
Stifel Nicolaus upgraded Crimson Exploration Inc. (NASDAQ: CXPO) from Hold to Buy and announced a $3.75 price target.
Stifel Nicolaus commented, "While the risk profile of the name remains high (liquidity, outspending of CF, high debt levels, 2013 guidance yet to be issued, expectation of meaningful negative PUD revisions, small cap), the meaningful underperformance over the past 6+ months has created an attractive entry point that is below its liquidation value. We believe that 1) the return of drilling in the Woodbine, 2) expected startup of the Covington-Upchurch well, and 3) release of 2013 guidance should help move the stock in the right direction."
Crimson Exploration closed at $2.80 on Friday.
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