(July 18 - 8:23 AM ET) NEW YORK (MarketWatch) -- EOG Resources Inc.(EOG)was upgraded to outperform by FBR Capital Markets on Monday. Analysts kept their price target of $130 a share for the Houston-based oil and gas producer. Analysts said Friday's merger deal with Petrohawk Energy Corp.(HK)and BHP Billiton(BHP)underpins the value of EOG's acreage in the Eagle Ford shale of southern Texas. Analysts expect EOG Resources to grow companywide production by 8% in 2011 and 15% in 2012. "However, current market sentiment and valuation suggest lower growth rates are expected by the marketplace," FBR Capital Markets analysts said.
My Fair Value estimate for EOG is $142