Williams Financial Initiates Coverage of ENSCO, Gives Buy Rating, $74 PT

In a report released earlier today, Williams Financial Group announced that it is initiating coverage on ENSCO plc

, giving it a Buy rating and a $74 price target. Williams went on to say in the report “Despite the company's substantial growth strategy and assumption of Pride debt [fellow drilling company Pride International], ESV has leverage inline with the peer group (32% debt/cap) and could fund upcoming newbuild payments with operational cash flow from the existing fleet. We value shares of ESV at 7.5x EV/EBITDA and 12x P/E favoring the company's strategy and asset balance.” ENSCO plc closed on Thursday at $52.52.