Global Hunter Securities Says To Accumulate Shares Of Oil States International (OIS)

Global Hunter Securities has an Accumulate rating and a $86 price target on shares of Oil States International OIS. In a note to clients, Global writes, "Yesterday AMC, OIS announced it has obtained a 5-yr commitment supporting a 650-rentable room expansion at its Coppabella Village in Queensland, Australia. q The new rooms are currently being manufactured, with completion expected by late 3Q11. We had modeled ~5% capacity growth for this lodge by 1Q12 (~83 rooms). Removing our assumption, adding 650 rooms to its current 1,654 room capacity, and keeping rates flat adds ~15c to our 2012 estimate ($5.95 from $5.80) and ~$12MM in annual EBITDA. The accommodation business will continue to see nice growth in both Australia, Canada and the Bakken and the MAC acquisition is proving to be wildly accretive. We would continue to add to our position here." Shares of OIS are up $1.32 in Friday trading to $77.45, a gain of 1.7%.