NEW YORK (TheStreet) -- Shares of Southwestern Energy (SWN) - Get Report are advancing 0.46% to $13.09 in late morning trading as the company's price target was raised this morning to $8 from $7 with an "underweight" rating at Barclays.
The price increase comes after the Houston-based oil and natural gas company offered 86 million new shares of its common stock to the public Wednesday to repay $375 million of a $750 million debt.
The new shares issuance is "accretive to SWN's value per share," the firm wrote in an analyst note.
Separately, TheStreet Ratings objectively rated this stock according to its "risk-adjusted" total return prospect over a 12-month investment horizon. Not based on the news in any given day, the rating may differ from Jim Cramer's view or that of this articles's author. TheStreet Ratings has this to say about the recommendation:
We rate SOUTHWESTERN ENERGY CO as a Sell with a ratings score of D. This is driven by several weaknesses, which we believe should have a greater impact than any strengths, and could make it more difficult for investors to achieve positive results compared to most of the stocks we cover. The company's weaknesses can be seen in multiple areas, such as its deteriorating net income, disappointing return on equity, poor profit margins, weak operating cash flow and generally high debt management risk.