- Range Resources (RRC -1.8%) is lower after reporting a 47% drop in Q4 earnings as well as declines in revenue and average realized prices.
- Total revenue for Q4 fell 6.5% Y/Y to $428M, although sales of natural gas, natural gas liquids and oil gained 13% to $448.5M; realized prices, after adjusting for hedges, fell 10%.
- Daily production jumped 20% Y/Y, oil production grew 14%, natural gas liquids production surged 45%, and natural gas production increased 15%.
- Targets 2014 production growth of 20%-25% Y/Y; Q1 output is expected at 1.05B cfe/day, with liquids comprising 30%-35%.
- Sets 2014 capital spending budget at $1.52B.
- Morgan Stanley raises its price target to $98 from $90 given RRC's track record of superior exploration success, conservative guidance and strong management team.