Bank of America Reiterates on Pioneer Natural Resources on Positive Outlook

In a report published Tuesday, Bank of America analyst Doug Leggate reiterated a Buy rating and $275.00 price target on

. In the report, Bank of America noted, “PXD's adjusted EPS of $1.27 lagged consensus of $1.35 (BofAML $1.32). The miss vs our estimate was split between higher unit DD&A, higher SG&A and lower oil production related to a higher proportion of pad drilling and related wells queued in the Eagle Ford. Reported EPS of $0.66 reflects mark-to-market derivative losses. Production guidance for the year has been pared mainly to reflect an ongoing transition to pad drilling in the Eagle Ford. However, in our view the highlight of the quarter is much anticipated results from a raft of Horizontal wells across its Northern Wolfcamp acreage – and they did not disappoint. We expect a positive share response to the results and maintain our view that risks to medium-term production expectations are skewed higher. Buy, PO $275.” Pioneer Natural Resources closed on Monday at $213.41.