Monday, December 6, 2010

RPC Inc. (NYSE:RES) Estimates Boosted on Broader Market

With the broader pressure pumping market strengthening,Canaccord Genuity has increased their EPS estimate on RPC Inc. (NYSE:RES) and maintain their "Buy" rating on the company.

Canaccord said, "We reiterate our BUY rating as RES stands to benefit from higher pricing and margins as the pressure pumping market continues to strengthen. The company remains well positioned with pressure pumping, coiled tubing, downhole tools, and rentals, which together are some of the most undersupplied services currently in the oil patch...We are increasing our 2011 estimates by 25 cents to $2.35."

RPC closed Friday at $30.71, dropping $0.69, or 2.20 percent. Canaccord increased their price target on them from $30 to $37. Volume on Friday was about three times above the daily 3-month average.

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