RBC Capital analyst Scott Hanold lowered his price target on Concho Resources to $120 after its yesterday's announcement of a near-$1B sale of non-core assets. The analyst says that the deal represents "progress" with the subsequent stock buyback and resulting in debt reduction, but also notes that the announcement was "overshadowed" by higher than expected Delaware Basin well costs. Longer term, Hanold keeps his Outperform rating on Concho Resources, stating that the company has a "strong upside to production growth" given its "abundant inventory" of drilling locations.