Pioneer Energy upgraded to Buy from Speculative Buy at Global Hunter Global Hunter upgraded Pioneer Energy due to ongoing improvements in well servicing markets in North America. Price target raised to $11 from $9.
Pioneer Energy sees Q1 drilling rigs utilization 78%-80% In Q1, drilling rigs utilization is expected to average 78%-80% based on an average fleet of 46 rigs. Drilling Services Segment margin is expected to be approximately $10,000-$11,000 per day, which includes a benefit from rigs earning but not working. Production Services Segment revenue in Q1 is expected to be down approximately 15%-20% as compared to Q4 due to overall reduction in industry activity. Production Services Segment margin as a percentage of revenues is expected to be down approximately 5%-7% as compared to Q4.