Friday April 17, 3:03 pm Eastern Time RESEARCH ALERT - Furman Selz starts oil companies NEW YORK, April 17 (Reuters) - Furman Selz said on Friday it started coverage on shares of Phillips Petroleum Co (P - news) and USX-Marathon Group (MRO - news) with buy ratings. Analyst Jeff Berg set a $60 per share target price on Phillips, saying stock trades at steep discount to both Standard & Poor's 500 index and the domestic major oil companies. Cites growth potential of Phillips' petrochemical business and high quality of company's commodity-oriented business from a scale, feedstock and technology perspective.
Phillips stock 50-1/2 with a PE of 13.8
Dividend paid to shareholders on record at the end of this month (April -1998)
First quarter earning expected to be good, despite the price of oil ($14/barrel).
Company has stock buy back program in progress.
Company has restructured project engineering - strategic alliance with Bechtel Engineering
Company has mission of being preferred supplier in the petro-chemical industry.