UPDATE: Sterne Agee Initiates Coverage on Carrizo Oil & Gas on Upside from Drilling Inventory Expansion, Utica Shale Catalysts

In a report published Friday, Sterne Agee analyst Tim Rezvan initiated coverage on

with a Buy rating and $50.00 price target. In the report, Sterne Agee noted, “We are initiating coverage of Carrizo with a Buy rating and $50 PT. Despite Carrizo's YTD rally (+96%), we still see upside. Eagle Ford downspacing testing and drilling results from the Utica Shale should validate the quality and depth of Carrizo's inventory in these plays, and potential bolt-on acquisitions with proceeds from a non-core asset sale should provide further running room to complement core positions in the Eagle Ford Shale and Niobrara.” Carrizo Oil & Gas closed on Thursday at $40.98.