UPDATE: Imperial Capital Initiates Coverage on Laredo Petroleum Holdings with In-Line Rating, $31 PT on Good Potential Upside

In a report published Wednesday, Imperial Capital analyst Ann Kohler initiated coverage on Laredo Petroleum Holdings LPI with an In-Line rating and $31.00 price target. In the report, Imperial Capital noted, “We are initiating coverage on LPI with an In-Line rating and a one-year price target of $31, approximately 11% above the recent closing price. As management's fourth Midland Basin-focused oil and gas company, LPI has acquired a roughly 140,000 net acre position in the heart of the Basin, prospective for multiple producing zones. Over the past year, LPI has recorded some of the best horizontal well results in the Northern Midland Basin, attributing its acreage location, as well as extensive analysis of petrophysical and geological data to its success. LPI remains in the early stages of the multi-zone development of the Wolfcamp and Cline shales on its Permian-Garden City acreage. Additional delineation of these producing zones, as well as the Spraberry, Atoka Barnett Woodford, Canyon and Strawn, could provide additional upside.” Laredo Petroleum Holdings closed on Tuesday at $27.91.