Whiting Petroleum started at Buy at R.F. Lafferty

|About: Whiting Petroleum Corporation (WLL)|By:, SA News Editor

Whiting Petroleum (WLL -1.6%) is initiated with a Buy rating and a $23 price target at R. F. Lafferty, although the company's low cash on hand makes it a cautious endorsement, as a credit agreement is the bulk of WLL's liquidity.

Lafferty likes WLL's attractive valuation, as the stock trades at 0.5x price-to-net asset value NAV, and notes that the company is the leading oil producer in the Bakken Shale, one of the leading oil plays in the U.S.

WLL has been de-levering its balance sheet throughout the weak oil price environment, and WLL is now among the most leveraged names to rising crude oil prices, the firm says.

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