real-time news and commentary for investors
Tuesday, Aug 27
Nuverra extends losses despite defense by Jefferies analyst
- Nuverra Environmental (NES -6.6%) extends yesterday's losses sparked by a negative post on Seeking Alpha, which said "a liquidity crisis is looming" and shares could fall 80% over the next year.
- Jefferies analyst Scott Graham is out defending NES, disputing claims that the company has a high probability of bankruptcy and saying the article ignores data on financial ratios "as seen by the banks."
- Graham also points out that Dick Heckmann has not jumped ship and remains chairman with significant ownership.
- The analyst is not positive on the stock, however, maintaining a Hold rating and cutting his price target to $2.75 from $3.25.