Imperial Capital Slashes Basic Energy Services' Price Target, Maintains At Outperform

Scott Levine of Imperial Capital slashed his price target of

on Wednesday to $14.50 from a previous $23 while maintaining an Outperform rating. “We believe Basic Energy Services is positioned to benefit from a recovery in U.S. onshore E&P activity, given its diverse service portfolio and attractive geographic footprint,” Levine wrote in a note. The analyst adds that despite recent volatility in commodity prices, the company's growth prospects and valuation levels are still “attractive” at current prices. Levine's new price target assumes a roughly 90 percent share appreciation. The analyst states that the lowered price target reflects a “more cautious fundamental outlook” for industry activity over the coming years.