Credit Suisse Adjusts Estimates for Ensco PLC

In a report published Thursday, Credit Suisse analyst Gregory Lewis reiterated a Neutral rating and $30.00 price target on

. In the report, Credit Suisse noted, "We are lowering our 2015/2016 EPS estimates to $4.33/$3.27 (from $4.57/$3.29) to account for updated utilization and rate assumptions. We are 4%/9% below 2015/2016 Consensus. ESV cut its annual dividend to $0.60 (from $3.00) which equates to a 9% payout of 2015 OCF. ESV is now yielding 2.3%. While we had our concerns about the long-term sustainability of the dividend (market is that bad), we had thought a lower dividend would be a 2H15/1H16 event. Management is also reducing head count – not the sign of a V shaped recovery." Ensco PLC closed on Wednesday at $26.58.