Although the long term prospects for (NYSE:NBL) look pretty bright, UBS (NYSE:UBS) downgraded them from "Buy" to "Neutral," saying to stock price could be too hefty in relationship to its competitors.
Production in the short term hasn't kept up with their peers and is producing a cash flow shortfall, according to the UBS analyst, although he acknowledged the downgrade may be premature.
Even so, UBS Securities analyst William Featherstone said he thinks the company has moved ahead of the fundamentals, the reason for the downgrade.
Featherstone said the stock is trading at a 20 percent premium to its peers at this time. He maintained his price target of $76 on Noble.
The energy company closed at $74.06 Friday, down $1.54, or 2.04 percent.
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