Market Overview

UPDATE: Wunderlich Upgrades Diamondback Energy to Buy on Recent Equity Offering

Share:
Related
Diamondback Energy Prices 2.5M Share Offering @~$70.24/Share
Stephens Starts Diamondback Energy At Outperform, Calls It 'Permian Pure Play In The Pole Position'

In a report published Thursday, Wunderlich Securities analyst Jason A. Wangler upgraded the rating on Diamondback Energy (NASDAQ: FANG) from Hold to Buy, and raised the price target from $25.00 to $35.00.

In the report, Wangler noted, “Diamondback Energy (FANG) has proven its mettle in the short amount of time it has been a public company as the asset base has performed nicely under management's watch. During the initial public offering in October 2012, we were optimistic about the horizontal drilling program improving the economics in the Permian but had few results to go on. Further, the financials of Diamondback were a bit of a concern as the liquidity position seemingly would become an issue into 2013 based on expected activity levels. We believe the company's strong results from 13 Wolfcamp B-targeted horizontal wells, including 11 operated, shows the operational expertise, asset strength and horizontal potential for Diamondback, while the recent equity offering puts it in a position to fund/accelerate its growth.”

Diamondback Energy closed on Wednesday at $29.48.

Latest Ratings for FANG

DateFirmActionFromTo
Aug 2015Credit SuisseMaintainsOutperform
Jul 2015Cowen & CompanyInitiates Coverage onOutperform
Jul 2015Cowen & CompanyInitiates Coverage onOutperform

View More Analyst Ratings for FANG
View the Latest Analyst Ratings

Posted-In: Wunderlich SecuritiesAnalyst Color Upgrades Analyst Ratings

 

Related Articles (FANG)

View Comments and Join the Discussion!

Get Benzinga's Newsletters