Stifel Lowers Estimates, Remains Bullish On These 3 Stocks

In a recent report, analysts at Stifel updated their outlook and lowered 2015 projections for three stocks. The analysts provided brief explanations for their revised forecast, but remained positive on the names overall.

Climerex Energy Co XEC

Stifel analysts are extremely bullish on the Buy-rated Climerex and only slightly lower their projected 2015 and 2016 cash flow per share (CFPS) estimates by a modest 1.1 percent and 0.2 percent, respectively. Stifel has a $130 price target on the stock, and analysts praise the company’s “top-tier balance sheet, strong economic projects, and financial and operational flexibility.” The revisions to Stifel’s outlook for Climerex come as a result of the latest company-issued guidance for 2015, which analysts believe is likely very conservative.

Equity One, Inc. EQY

Stifel again makes only slight downward modifications to its 2015 funds from operations (FFO) estimates for Equity One but remains bullish on the trust overall. Stifel lowered its estimates based on higher general and administrative expenses and a slight delay in the trust’s 101 7th Avenue Barney’s lease.

Analysts praise the company’s high-quality, well-positioned portfolio and predict occupancy gains and rent acceleration in 2015. Stifel maintains its Buy rating on Equity One and has a price target of $28 for the trust.

Rackspace Hosting, Inc RAX

Stifel slightly lowered its 2015 revenue and EBITDA estimates for Rackspace to $2.0552 billion and $713.7 million, respectively. Analysts still expect good things from the company moving forward and believe that the company’s recent 2015 guidance offers encouraging signs for shareholders. Analysts expect strong free cash flow for the year and a continuation of the share buyback program. Stifel maintains its Buy rating and $56.00 price target on Rackspace.