UPDATE: Credit Suisse Initiates Outperform, $120 Target on Apache

Credit Suisse initiates its coverage on Apache APA with an Outperform rating and a $120 target price as the company has taken full advantage of asset accumulation from where it can unlock hidden value. Credit Suisse says, "While the story is admittedly catalyst light, the best time to own APA is after major acquisitions, given its propensity to extract hidden value from capital-starved properties. APA has recently acquired $16.7 billion worth of properties in the GoM, North Sea, Canada, Egypt, Permian Basin, and Granite Wash that have qualities reminiscent of some of its best deals. ...APA is a Prime Beneficiary of a Tight Oil Market. Credit Suisse's Commodity team expects Brent to average $115/Bbl in 2013, which is above the current futures strip of $106/Bbl given supply side risk and favorable non-OECD demand trends. APA is a prime beneficiary of this forecast as 58% of its oil is tied to Brent." APA closed at $99.55 a share yesterday.