UPDATE: Citigroup Upgrades Anadarko Petroleum Following Q1'14 Beats

In a report published Tuesday, Citigroup analyst Robert S. Morris upgraded the rating on

from Neutral to Buy, and raised the price target from $112.00 to $115.00. In the report, Citigroup noted, “Anadarko reported recurring Q1'14 EPS/CFPS of $1.26/$5.00 versus our $1.19/$4.23 estimates and Street consensus of $1.15/$4.20 with production of 72.2 MMBOE above the high-end of 69-71 MMBOE guidance and our forecast of 70.1 MMBOE. This more than offset higher-than-anticipated G&A and non-cash Exploration Expense. "Based on the Q1 beat and an acceleration of activity in the Wattenberg and Delaware Basin Wolfcamp play, full-year “same store” production guidance was increased ~1% to 803-816 MBOE/d (we now model 816 MBOE/d, or an 8.7% yr/yr ‘organic' uptick) while the capital budget was boosted by ~4%, or $300mm, to $8.4-8.8bn.” Anadarko Petroleum closed on Monday at $99.49.