BRIGHAM EXPLORATION CO (BEXP)

[Bart Myers]

Stifel Nicolaus is downgrading shares of Brigham Exploration Company (NASDAQ: BEXP) from Buy to Hold on valuation concerns.

In a note to clients, Stifel Nicolaus writes, "After significantly outperforming our peer group over the past year, Brigham's shares trade at an 11% premium based on EV/2012E EBITDA and price/NAV. We believe the stock's risk/reward is balanced and are lowering our rating to Hold.

Increased density drilling in North Dakota and development of frontier acreage in Montana could add $8 to our NAV estimate of $37/share. On the downside, a $10/Bl decline in oil prices would reduce our NAV estimate $7 share to $30/share."



Source: http://www.benzinga.com/analyst-ratings/analyst-color/11/04/1031963/stifel-nicolaus-downgrading-brigham-exploration-company-#ixzz1KdmSrdbo