- Emerge Energy Services (NYSE:EMES) -16.9% premarket after withdrawing its 2015 distribution guidance of $2.50-$3.00/unit due to difficult market conditions in its sand and fuels segments from pressure on oil and natural gas prices. with no expectation for further guidance this year.
- On the news. Stifel downgrades EMES to Sell with an $8 price target and sharply reduces earnings estimates, noting this is the third time management has revised 2015 guidance.
- Also pointing out looming debt covenant issues, Baird cuts EMES to Underperform with a $7 target and expects weakness in other proppant producers, including CRR, FMSA, HCLP and SLCA (Briefing.com).