NEW YORK (AP) -- Shares of Transocean Inc. edged higher in premarket trading on Tuesday after a Lehman Brothers analyst raised his price targets on more than three dozen oil service and drilling companies.
James Crandell raised his price target to $192 from $180 and maintained his "Overweight" rating on Transocean, a Houston-based offshore driller.
The new target price implies a return of 19 percent on Monday's closing price of $161.39. On Tuesday, shares rose 61 cents to $162 in electronic trading.
Crandell said in a note to investors that he expects a strong recovery for North American natural-gas drilling in 2008 and through 2009. He also predicted substantial growth in overseas operations for oil service and drilling companies over the next several years.
Tuesday, May 20, 2008
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