Oil & Gas - Energy - Commodities - Resources (OILBRENT)

[benfrankledger]

$PXD $CLR Pioneer Natural Resources (PXD +0.6%), Continental Resources (CLR +2%) and Sanchez Energy (SN +7.9%) are all downgraded to Hold from Buy at KLR Group on valuation concerns, although all are rising amid today's broad gains in the energy sector due to surging crude oil prices.

The E&P industry's cash capital intensity has largely stabilized, although it remains 45% below the 2014 cyclical peak, KLR's John Gerdes says, adding that the industry's overall unleveraged cost structure should remain around the same levels as in 2017.

KLR sets share price targets for PXD at $212, CLR at $67 and SN at $3.