UPDATE: Wunderlich Securities Reiterates Buy Rating, Raises PT on Clayton Williams Energy on Strong Production Growth

In a report published Friday, Wunderlich Securities analyst Irene O. Haas reiterated a Buy rating on

, and raised the price target from $116.00 to $120.00. In the report, Wunderlich Securities noted, “Clayton Williams Energy (CWEI) had operational hiccups this quarter as the company pre-announced last week. Despite the production miss, CWEI was still able to grow production by 21% year over year, and oil production by 28% if we adjust for asset sales. The tone of the call was upbeat considering the big downward spike in WTI prices. The company reiterated its plan to stick with a six rig program for 2015 and is targeting production between 18,800 – 19,400 boepd with drilling and completion costs of $400 million. With some clarity on the rig count, we raised our production outlook to reflect the guidance. As a result, our 2015 estimates increased and our year-end debt projection decreased. Our NAV moved higher by $4/share putting our new target price at $120 per share.” Clayton Williams Energy closed on Thursday at $72.38.