In a report published Thursday, MLV & Co analyst Chad Mabry reiterated a Buy rating on Miller Energy Resources (NYSE: MILL), but lowered the price target from $3.50 to $3.00.

In the report, MLV & Co noted, “Anything and everything that could go wrong for MILL in fiscal Q2'15, did go wrong. Its RU-9 development well was a major disappointment, casting concern over a core asset. Its WF-3 workover didn't work. Its Olsen Creek #2 exploration well was also unsuccessful. Ongoing management turnover has not exactly inspired investor confidence. We'll spare any further commentary on the precipitous decline in oil prices. The positive takeaway: new management is demonstrating its adaptability to the situation. The company is reducing its capital spending and shifting its focus to lower-risk opportunities within the portfolio. We're believers in both the new strategy and management's ability to execute in order to turn the corner. While our NAV-based target price is being reduced to $3.00 (from $3.50) on a lower production forecast, we maintain our Buy rating on an improved liquidity outlook.”

Miller Energy Resources closed on Wednesday at $1.16.

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