Memorial Resource, June gas IPO, gets several bullish ratings


At least seven investment banks initiate coverage on gas producer Memorial Resource Development (MRD +3.2%) with Buy or Outperform ratings, and shares approach their all-time high after the June 13 IPO.

Among the new coverage, BofA/Merrill initiates coverage on MRD with a Buy rating while Wells Fargo starts coverage at Outperform.

In its initial Buy rating and $30 price target, Stifel says MRD's prolific Cotton Valley sand play in north Louisiana's Terryville field could drive its proved net asset value estimate to $40/share at year-end 2016 from $7 at year-end 2013 and annual production growth of 55% during the three-year period (Briefing.com).

Comments (2)
  • Don Dion
    , contributor
    Comments (4702) | Send Message
     
    For more details see the SA story- http://seekingalpha.co...
    8 Jul 2014, 11:01 AM Reply Like
  • AggieInvestor
    , contributor
    Comments (79) | Send Message
     
    Can you explain why MRD has continued to rise, while PE has fallen since the end of the quiet period? You authored a very similar article on PE (June 6), but it has not panned out the same since then.
    8 Jul 2014, 01:29 PM Reply Like
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