- Goodrich Petroleum (GDP -5.9%) and Approach Resources (AREX -4.5%) tumble in early trading after KeyBanc downgraded both energy explorers to Hold from Buy.
- In cutting its outlook for 2015 crude oil prices to $75/bbl from $90, KeyBanc says many companies can endure weak oil prices beyond 2015 without impairing balance sheets, but others such as GDP and AREX may need to materially lower their capital spending "and may exhibit too much uncertainty given balance sheet constraints, reliance on third-party capital events and challenged asset economics for investors to be willing to provide the benefit of the doubt."