After the markets digested the energy producers pledge to add additional assets as collateral under its credit agreement, Tudor, Picker and Holt upgraded the stock to “hold” from “sell” Tuesday, reports Fred Imbert for CNBC.
The “+20% move reflects importance of constructive lender update and fading of negative sentiment on the name. Further, the ongoing crude recovery and what we believe will be a significant gas price rebound in 2017 should strengthen tailwinds for the equity,” Tudor said in a note.
The energy-related ETFs were also rallying on improved oil prices Tuesday on reports of a potential Saudi Arabia and Russia production freeze. [Oil, Energy ETFs Break Long-Term Trend on Production Freeze]
Guggenheim S&P Equal Weight Energy ETF