Why Swift Energy (SFY) Stock Is Falling Today

NEW YORK (TheStreet) -- Swift Energy (SFY) shares were downgraded to "market perform" from "outperform" by analysts at Wells Fargo (WFC) on Friday while also lowering its price target range to $11-$13 from $14-$17.

Shares are down -2.33% to $10.88 in early market trading on Friday.

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The firm believes that the energy company needs to sell off more of its assets to provide flexibility in 2015.

"While the company has its CLATEX assets on the market, continued delays and a disjointed package of assets leave us thinking that either the deal won't get done, or only parts of it will. Either way, the company may be forced to first shrink to grow and the remaining inventory remains mostly gassy, as liquids locations are drilled up," said analyst David Tameron.

Separately, TheStreet Ratings team rates SWIFT ENERGY CO as a Sell with a ratings score of D+. TheStreet Ratings Team has this to say about their recommendation:

"We rate SWIFT ENERGY CO (SFY) a SELL. 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 generally high debt management risk, disappointing return on equity, generally disappointing historical performance in the stock itself, deteriorating net income and feeble growth in its earnings per share."

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