UPDATE: Wunderlich Securities Reiterates On Harvest Natural Resources As Stock Still Has Value

Courtesy of Benzinga.

In a report published Monday, Wunderlich Securities analyst Jason A. Wangler reiterated a Buy rating on Harvest Natural Resources, Inc. (NYSE: HNR), but lowered the price target from $6.00 to $2.00.

In the report, Wunderlich Securities noted, “Harvest Natural Resources’ (HNR) recent announcement that the sale of its Venezuelan assets was terminated sent the stock down hard. Surprisingly, or maybe not given the deal fatigue, the company provided color as to why Venezuela did not approve the deal. These reasons range from a request to ample financing on the projects (which we think were doable) to what amounts essentially to bribes (which we think were not doable); now Harvest still has a 20.4% interest in Petrodelta while the buyer (Pluspetrol) still holds a 11.6% due to the first tranche sale executed about a year ago. The inability to sell the Venezuelan interests, which are out of Harvest’s control, causes us to write the valuable assets off at this time but we still see value in the stock at these depressed levels.”

Harvest Natural Resources closed on Friday at $1.81.

Posted-In: Jason A. Wangler Wunderlich SecuritiesAnalyst Color Price Target Analyst Ratings