UPDATE: Jefferies Upgrades Oceaneering International to Buy, Reiterates $95 PT as Fundamental Misunderstandings Create Opportunity

In a report published Monday, Jefferies analyst Brad Handler upgraded the rating on

from Hold to Buy, and reiterated the $95.00 price target. In the report, Jefferies noted, “We believe OII's share pullback reflects a fundamental misunderstanding of its Gulf of Mexico (GoM) exposure and of subsea order trends; as such there is no change to our view of strong growth prospects in 2014+ EPS and medium-term FCF led by Products and Projects. Products orders in 2014 can also benefit from the strong subsea order year in 2013. We now see attractive upside to our unchanged $95 PT and upgrade to Buy (from Hold).” Oceaneering International closed on Friday at $77.19.