Southwestern Energy Company (SWN)

[eFinanceMarkets]

Southwestern Energy upgraded at Cowen after 30% YTD drop

Southwestern Energy (SWN +1.4%) is higher after Cowen upgrades shares to Outperform from Market Perform with an $11 price target, citing its "strong production growth outlook, insulation to service costs and upside to [natural gas liquids] prices."

Cowen also sees limited downside for the shares, estimating ~30-40% of SWN’s 2018 production already is hedged at an average price of ~$3.05/Mcf vs. ~17% at the end of Q4 2016.

The firm also notes that SWN has shed ~30% YTD, 4x the 7.5% drop in the Energy Select Sector SPDR ETF.