UPDATE: Goldman Sachs Adds KBR to Americas Conviction List

Goldman Sachs is out with its report today on KBR KBR, adding KBR to its Americas Conviction List at Buy. In a note to clients, Goldman Sachs writes, "We add KBR to the Americas Conviction List at Buy. We see it as one of the best stories in a late-cycle sector that just inflected, and believe the recent share pullback on global macro weakness provides a compelling entry point. We like KBR as it is catalyst-rich, well-positioned in our favorite end market (Aussie LNG), a margin expansion story, set up to beat and raise in 2011, and trading at an inexpensive multiple. In addition, we are buoyed by the Goldman Sachs Global Energy team raising its 2012/2013E oil price deck to $130/$130 from $110/$85, which should accelerate future O&G investment. We see 35% upside to our $47, 12-month price target." Shares of KBR closed Monday at $34.69, down 2.53% from Friday's close.