SandRidge Energy (SD) – Analysts’ Recent Ratings Updates
SandRidge Energy (NYSE: SD) received a number of ratings updates from brokerages and research firms in the last week:
- SandRidge Energy ‘s EPS estimates were cut by analysts at UBS AG. They now have a $6.00 price target on the stock.
- SandRidge Energy had its price target lowered by analysts at Stifel Nicolaus to $8.50. They wrote, “We are reducing our target price from $10 to $8.50 on disappointing initial 2013 guidance that was released yesterday along with better than expected 3Q earnings and plans from the company that it is looking to sell its Permian assets. Bottom line, the guidance is a negative and the Permian asset sale would be a positive. The key issue with the guidance is that oil volumes essentially remain flat from 3Q12 levels, resulting in 10% y/y growth, while gas volumes increase 27% y/y, resulting in full-year growth of 18%. This lower-than-expected growth and the higher gas mix results in our 2013 CFPS estimate reducing meaningfully from $1.72 to $1.39, and we expect consensus numbers, which are sitting at $1.83, to come down as well.”
- SandRidge Energy was downgraded by analysts at Global Hunter Securities from a “buy” rating to a “neutral” rating. They now have a $5.00 price target on the stock, down previously from $9.00. They wrote, “Not only did management announce plans to sell the Central Basin Platform assets, but it also informed the market that oil production from the company’s other crown jewel asset, the Mississippian Lime, was not what they thought it would be. Specifically, what once was thought to be at least a 45% oil resource from the Mississippian Lime now looks more like 40% oil. While Mississippian downspacing typically would be a positive development, in this instance it appears to be more like marginalizing an even larger asset.”
- SandRidge Energy had its price target lowered by analysts at Canaccord Genuity from $6.00 to $4.00. They now have a “hold” rating on the stock. They wrote, “We are reducing our target price $2 to $4 per share due to $400 million lower per annum capital spending, a higher gas composition in the Mississippian play and consequently lower oil production outlook. SandRidge’s capital spending/production relationship suggests the company’s capital intensity is comparable to Bakken/Three Forks players.”
- SandRidge Energy was downgraded by analysts at Capital One from an “add” rating to a “neutral” rating.
- SandRidge Energy was downgraded by analysts at Capital One from an “add” rating to a “neutral” rating. They now have a $8.00 price target on the stock.
- SandRidge Energy had its price target lowered by analysts at Deutsche Bank from $9.00 to $5.00. They now have a “hold” rating on the stock.
SandRidge Energy Inc. opened at 5.32 on Friday. SandRidge Energy Inc. has a 52-week low of $4.81 and a 52-week high of $9.04. The company has a market cap of $2.533 billion and a price-to-earnings ratio of 576.67.
SandRidge Energy, Inc. (SandRidge) is an independent oil and natural gas company. It is engaged in development and production activities related to the exploitation of its holdings in West Texas and the Mid-Continent area of Oklahoma and Kansas.