Deutsche Bank (DB) upgraded its rating on Houston, Texas-based EOG
Resources Inc. (NYSE:EOG) to "Buy" from "Hold" and raised price target
to $125.00 from $109.00.
Stephen Richardson, an analyst at DB, said he expects EOG to be among
the large-cap E&Ps capable of beating street numbers and raising
growth (and EPS/CFPS) expectations as the year progresses.
"Performance from the core Eagle Ford asset is the key to this
outlook; well results are improving, costs are under control, and
infrastructure is set to deliver added flexibility in 2012e," Richardson
wrote.
This change has shifted the risk profile from those surrounding
execution (costs, logistics, timing) to one primarily driven by
commodity price, the analyst said.
The stock is up 2.83 percent to $105.05.