Laredo Petroleum (LPI) Falls Despite Earnings Beat

NEW YORK (TheStreet) -- Laredo Petroleum (LPI) was falling 6.5% to $25.65 on Thursday despite beating analysts' estimates for earnings and revenue.

For the fourth quarter, the company posted earnings of 13 cents a share, better than the Capital IQ Consensus Estimate of 9 cents a share. Revenue rose 1.4% from the year-ago quarter to $153.4 million, beating the $151.3 million that analysts expected.

In 2013, Laredo Petroleum 's production volumes reached 24,960 barrels of oil equivalent per day, up about 21% from 2012 despite weather-related disruptions in the fourth quarter of 2013.

In the first quarter, Laredo Petroleum said it expects to produce between 2.3 million barrels of oil equivalent (MMBoe) and 2.5 MMBoe and 58% of production crude oil. For 2014, the company expects to produce between 12.2 MMBoe and 12.7 MMBoe and 58% of production crude oil.

Must read: Short Interest In Laredo Petroleum Expands By 37.2%

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TheStreet Ratings team rates LAREDO PETROLEUM INC as a Hold with a ratings score of C. TheStreet Ratings Team has this to say about its recommendation:

"We rate LAREDO PETROLEUM INC (LPI) a HOLD. The primary factors that have impacted our rating are mixed ? some indicating strength, some showing weaknesses, with little evidence to justify the expectation of either a positive or negative performance for this stock relative to most other stocks. The company's strengths can be seen in multiple areas, such as its robust revenue growth, expanding profit margins and good cash flow from operations. However, as a counter to these strengths, we find that the company's return on equity has been disappointing."

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