Nabors Industries Stock Rating Upgraded by RBC Capital (NBR)
Nabors Industries (NYSE:NBR) was upgraded by stock analysts at RBC Capital from a “sector perform” rating to an “outperform” rating in a report issued on Wednesday, TheFlyOnTheWall.com reports. The firm currently has a $20.00 price target on the stock, up from their previous price target of $19.00. RBC Capital’s price target points to a potential upside of 19.83% from the stock’s previous close.
The analysts wrote, “In 2013, Tier 1 rig utilization has increased to ~94% from ~85% at the beginning of the year,” the report noted. “The industry is currently in the process of shifting toward more of these rigs, which command higher day rates than older Tier 2 and 3 rigs and are preferable for complex, efficient, horizontal drilling in US shale plays.” Some highlights from the report included: -”Increasing ’14/’15 EPS estimates to $1.16/$1.66.” -”We expect NBR to add +30 newbuild Tier 1 rigs to its fleet over the nexttwo years and maintain their ~20% share of industry Tier 1 rigs.”-”We forecast that ~33% of NBR’s EBITDA will be derived from Tier 1 rigs in 2015, compared to 17% in 2011.”
Nabors Industries (NYSE:NBR) traded up 0.30% during mid-day trading on Wednesday, hitting $16.69. The stock had a trading volume of 3,756,411 shares. Nabors Industries has a 1-year low of $14.34 and a 1-year high of $18.33. The stock has a 50-day moving average of $16.45 and a 200-day moving average of $16.31. The company has a market cap of $4.926 billion and a P/E ratio of 297.14.
Nabors Industries (NYSE:NBR) last announced its earnings results on Wednesday, October 23rd. The company reported $0.20 earnings per share for the quarter, beating the analysts’ consensus estimate of $0.19 by $0.01. The company had revenue of $1.55 billion for the quarter, compared to the consensus estimate of $1.59 billion. During the same quarter in the prior year, the company posted $0.42 earnings per share. The company’s quarterly revenue was down 10.4% on a year-over-year basis. On average, analysts predict that Nabors Industries will post $0.79 earnings per share for the current fiscal year.
Several other analysts have also recently commented on the stock. Analysts at Cowen and Company downgraded shares of Nabors Industries from an “outperform” rating to a “market perform” rating in a research note to investors on Tuesday. Separately, analysts at Howard Weil reiterated a “hold” rating on shares of Nabors Industries in a research note to investors on Sunday, November 17th. They now have a $20.00 price target on the stock. Finally, analysts at Guggenheim raised their price target on shares of Nabors Industries from $16.00 to $18.00 in a research note to investors on Monday, November 11th. They now have a “neutral” rating on the stock. Three research analysts have rated the stock with a sell rating, eleven have assigned a hold rating and seven have issued a buy rating to the company’s stock. The company presently has a consensus rating of “Hold” and an average price target of $18.06.
Nabors Industries Ltd. (NYSE:NBR) is the land drilling contractor and land well-servicing and workover contractors in the United States and Canada.
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