UPDATE: Stifel Nicolaus Downgrades Bonanza Creek Energy to Hold on Lower NAV Estimates
Stifel Nicolaus downgraded Bonanza Creek Energy (NYSE: BCEI) from Buy to Hold and removed the price target of $35.00.
Stifel Nicolaus analyst Michael Scialla wrote, "We are adjusting our Niobrara type curve based on production data from 22 horizontal wells completed since 1/1/2011. […] YTD, the stock (+49%) has significantly outperformed our peer group (+14%) and is now valued at a 44% premium (11% discount on EV/2013E EBITDA and 97% premium on price/NAV). While BCEI's high quality assets, strong balance sheet and robust growth justify a premium valuation, in our view, the stock price largely reflects 40-acre spacing, which is the primary near-term catalysts for the shares."
Bonanza Creek Energy closed at $41.50 on Monday.
Latest Ratings for BCEI
|Feb 2015||Topeka Capital||Maintains||Buy|
|Jan 2015||SunTrust Robinson Humphrey||Downgrades||Buy||Neutral|
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