Imperial Capital Lowers Price Targets On 3 Oil Names

Although still constructive on the sector, Imperial Capital reduced the price targets on three Large Cap Exploration and Production stocks this morning, although maintaining Outperform rating on all three.

• Apache Corporation APA: Reduced Price Target from $92 to $82 (closed Monday at $57.43)
• Pioneer Natural Resources PXD: Reduced Price Target from $270 to $247 (closed Monday at $133.37)
• Range Resources Corp RRC : Reduced Price Target from $94 to $86 (closed Monday at $55.30)

The note goes on to state that Pioneer Natural Resources is 87 percent hedged to oil prices in 2015 at $82, and 45 percent hedged for 2016 at $80.

Range Resources Corp is 74 percent hedged in 2015 at $90 and 6 percent hedged in 2016 at $82.

Apache Corporation is not hedged, but Imperial points out the strong balance sheet and comparative undervaluation.