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Stifel's take on GPOR and SN

Posted: Thu May 08, 2014 9:18 am
by dan_s
Energy & Power

Oil & Gas Exploration & Production

SN (Buy/$27.24; TP:$36.00) : 1Q14 Earnings Mixed
GPOR (Hold/$73.04) : Valuation Less Attractive on New Guidance; Downside Risk to NAV Increasing; Downgrade to Hold
QRE (Buy/$17.63; TP:$21.00) : 1Q Light; 2014 Capex Nearly Doubles

GPOR selloff is a bit overreaction IMHO. The company is still going to increase production by close to 250% if they hit the midpoint of their revised production guidance. This is what happens when management over-promises and under-delivers. They still have VERY GOOD acreage position in the Utica.