XTO Energy Shares Rise On Upbeat 1Q Results

As the market gains confidence investors will shift toward investments with longer-term potential, Yang said.

"The market is shrugging off the weak natural gas fundamentals and looking ahead to a correcting market," Yang said.

He predicted that the exploration and production industry will rebound, driven in part by anticipated production declines in May and June.

Yang raised his rating for XTO to "Buy" from "Hold," and lowered EOG's rating to "Hold" from "Buy." He also raised his target on XTO to $53 from $35.

Shares of EOG fell $4.34, or 5.6 percent, to $73.17.