NEW YORK (TheStreet) -- Shares of Carrizo Oil & Gas (CRZO) are falling 2.07% to $51.17 in Monday's early morning trading after analysts at Goldman Sachs initiated coverage of the independent energy company with a "neutral" rating and a price target of $56.
This action comes after the company reported first quarter results earlier this month. The company reported revenue of $100.1 million, or $2.19 per basic share compared to revenue of $157.2 million, or $2.54 per basic share in the first quarter of 2014.
"The first quarter was a challenging environment for our industry given the sell-off in commodity prices," President and CEO Chip Johnson, IV said.
While the company reported weak first quarter results, he added that drilling density tests in the Eagle Ford and Niobrara are meeting the company's expectations, and raised this year's crude oil production growth target to 18%.
The Houston-based energy company is actively engaged in the exploration, development, and production of oil and gas primarily from resource plays located in the United States.
TheStreet Ratings team rates CARRIZO OIL & GAS INC as a Buy with a ratings score of B. TheStreet Ratings Team has this to say about their recommendation:
"We rate CARRIZO OIL & GAS INC (CRZO) a BUY. This is driven by multiple strengths, which we believe should have a greater impact than any weaknesses, and should give investors a better performance opportunity than most stocks we cover. The company's strengths can be seen in multiple areas, such as its largely solid financial position with reasonable debt levels by most measures, notable return on equity and expanding profit margins. We feel its strengths outweigh the fact that the company has had sub par growth in net income."