UPDATE: Imperial Capital Initiates Coverage on Forbes Energy Services Awaiting Improved Fundamentals
In a report published Wednesday, Imperial Capital analyst Scott Levine initiated coverage on Forbes Energy Services (NASDAQ: FES) with an In-Line rating and $4.50 price target.
In the report, Imperial Capital noted, “We are initiating coverage of FES with an In-Line rating and a one-year price target of $4.50, 14% above the recent price. We view FES as a likely beneficiary of a recovery in U.S. onshore E&P spending, given its broad service portfolio and attractive positioning within several fast-growing shale basins. That said, we view risk-reward as fairly balanced at current levels, and await evidence of stabilization within the recently-lagging Fluid Logistics business before becoming more positive.”
Forbes Energy Services closed on Tuesday at $3.95.
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