UPDATE: Wunderlich Securities Downgrades Endeavour International to Sell on Drilling Suspension
Wunderlich Securities downgraded Endeavour International (NYSE: END) from Buy to Sell and lowered the price target from $9.00 to $3.00.
Wunderlich Securities noted, "Endeavour International (END) announced today that it has suspended drilling at East Rochelle, another upset in a string of upsets. We have no certainty regarding when this well will begin production. The West Rochelle well will take 120 days to drill and will take more spending. According to our current scenario, the probability that END will generate excess cash flow to reduce debt meaningfully during 2013 is not high. We are downgrading the name from Buy to Sell to reflect this setback."
Endeavour International closed at $4.94 on Wednesday.
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