Halliburton Upgraded to “Outperform” at FBR Capital (HAL)

Filed in dividend, Gold, Gold Investing, shares, upgrade by on May 13, 2010 0 Comments

Oilfield services giant Halliburton Company ( HAL ) saw its rating and price target boosted by analysts at FBR Capital. The firm raised its rating on HAL to “Outperform” from “Market Perform,” and brought back its $44 price target for the stock, which had closed at $29.09 on Wednesday. FBR cited the company’s clarification of its role in the Gulf of Mexico oil spill for the upgrade. FBR analyst remarked, “While the cement must have failed to seal the production zone to allow flow to occur, we believe that other circumstances and decisions were far more central to creating the conditions where the integrity of the cement job became relevant. Apart from setting the record straight that foamed cement has been pumped many times, questions posed towards HAL’s Tim Probert at recent congressional hearings were more focused on relevant wellsite procedures, which seemingly lessens HAL’s headline risk.” Halliburton shares rose 91 cents, or +3.1%, in premarket trading Thursday. The Bottom Line We had removed Halliburton from our “recommended” list July 22, 2008 when the shares were trading at $48.91. The company has a dividend yield of 1.24%, based on last night’s closing stock price of $29.09. The stock has technical support in the $26-$28 price area. If the shares can firm up, we see overhead resistance around the $32 price level. We would remain on the sidelines for now. Halliburton Company ( HAL ) is not recommended at this time, holding a Dividend.com DARS™ Rating of 3.3 out of 5 stars. Be sure to visit our complete recommended list of the Best Dividend Stocks , as well as a detailed explanation of our ratings system here .

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Halliburton Upgraded to “Outperform” at FBR Capital (HAL)

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