Concho Resources (NYSE:CXO) Should Grow at 24% Rate Annually

According to Global Hunter, which just initiated coverage on Concho Resources, they should be able to grow organically at a 24 percent rate annually for the next several years.

Global says, "Concho is launching an aggressive drilling
campaign on its recently acquired Permian assets which should fuel exceptional growth in production and reserves...The company is well followed and its stock was one of the top performers in 2010. However, our model indicates the company is positioned to grow production organically at a compound annual growth rate of 24% per year for the next several years. In 2011, we expect the company's
production to materially exceed guidance."

Global Hunter Securities started with a "Buy" rating on Concho Resources (CXO), which closed Friday at $91.25, gaining $3.60, or 4.11 percent. Global has a price target of $130 on Concho.