UPDATE: KLR Downgrades SM Energy
In a research note, KLR Group analyst John Gerdes downgraded SM Energy (NYSE: SM) from Buy to Accumulate and lowered his price target from $95 to $94.
The analyst primarily lowered his price on the basis on minor model refinements.
As for growth, drivers include the South Texas Eagle Ford shale, Rockies Williston Basin Bakken/TFS shale and the Midland Basin Wolfcamp shale. SM Energy should witness approximately nine percent production growth in 2014.
In regards to the above, the company also issued guidance of 142.2 Mboepd; this is toward the high end of guidance (136-143). For the full year, the firm expects 144 Mboepd while guidance was 140 to 148.
Shares of the company are up 1.03 percent.
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