Pioneer Natural Resources (PXD) Update - Dec 2

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dan_s
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Joined: Fri Apr 23, 2010 8:22 am

Pioneer Natural Resources (PXD) Update - Dec 2

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Susquehanna energy sector analyst, Biju Perincheril sums up the company’s recent performance: “PXD had a solid quarter, highlighted by a modest oil/total production beat … on much lower capital spending. PXD continues to be one of our top ideas given a combination of free cash flow capacity, production growth, and inventory depth.” His Buy rating comes with a $183 price target, implying room for 43% growth to the upside.

RBC Capital analyst Scott Hanold is also bullish on PXD, and writes that the company has plenty of potential: “PXD's production growth profile, balance sheet, and free cash flow generation are best-in-class and differentiate vs. peers. We expect PXD shares to outperform because of the good balance sheet and upside opportunity in its portfolio. The company has one of the largest and most contiguous acreage positions in the core of the Midland Basin (Permian).” Hanold set a $180 price target with his Buy rating, indicating confidence in a 41% upside for the stock.

Pioneer maintains a Strong Buy from the analyst consensus, based on 10 recent ratings. These include 8 Buys and 2 Holds, giving a 4 to 1 advantage to the bulls.

PXD is one of the "Elite Eight" in our Sweet 16 Growth Portfolio.
Dan Steffens
Energy Prospectus Group
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