2023-12-04 12:23:03 ET
Antero Resources ( NYSE: AR ) -3.6% in Monday's trading as Truist Securities downgraded the stock to Hold from Buy with a $28 price target, cut from $37, saying the company's unhedged strategy which the bank previously appreciated is now seen lowering free cash flow at the time when investors likely will be overly critical.
While maintaining that Antero ( AR ) "has the depth and quality inventory to appeal to large institutional investors in the coming years, we see limited upside for the unhedged producer over winter in the absence of a material commodity recovery," Truist analyst Neal Dingmann wrote.
Meanwhile, CNX Resources ( CNX ) -0.7% after Dingmann upgraded the stock to Buy from Neutral with a $27 PT, raised from $20, anticipating the company's strong hedging profile will insulate the name while still providing investors exposure to longer-term gas asset upside.
The analyst also said CNX's ( CNX ) New Tech business "could provide enough non-gas linked upside catalysts to keep investors interested during a reduced sentiment period."
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Antero Resources cut, CNX Resources raised at Truist