Ahead of the Bell: Carrizo upgraded on share value

NEW YORK - An analyst upgraded Carrizo Oil & Gas Inc. on Monday, after shares of the independent crude oil and natural gas producer slid 29 percent since the start of June.

BMO Capital Markets analyst Dan McSpirit upgraded the company to "Outperform" from "Market Perform," noting the stock has fallen faster than its competitors, which have lost about 19 percent of their value over the same time. He raised his price target on Carrizo shares to $24 from $16.

McSpirit noted that the company's increased exposure to properties in the Marcellus shale are could be a catalyst for growth.

"Beyond valuation and identifiable drilling catalysts, we believe Carrizo is one micro-cap stock among select few positioned to come out the other end of this asset value deflationary period a stronger and, potentially, bigger company," McSpirit wrote in a note to investors.

Shares of Carrizo closed at $16.30 Thursday ahead of the holiday weekend.

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