RE:$8 from $7.50Let me guess... when the shares get to $8 then the target is $9?? Gotta love these analysts. .. when oil was tanking a year ago, did he have a target of $7 or was it still $38 or something lol
TyCobb1961 wrote: Globe says MEG Energy share target hiked to $8
2016-06-29 06:46 ET - In the News
The Globe and Mail reports in its Wednesday, June 29, edition that on Tuesday, Desjardins Securities raised its forecast for 2017 West Texas Intermediate oil by 10 per cent to $55 (U.S.) per barrel (all subsequent figures Canadian unless otherwise stated). The Globe's David Leeder writes in the Eye On Equities column that analyst Justin Bouchard says, "Despite the broad market uncertainty stemming from last week's Brexit vote, we retain our view that the physical oil market will continue rebalancing as U.S. crude inventories (and shale production) roll over and non-OPEC volumes decline following the collapse in global capital investment." Mr. Bouchard elevated his share target for MEG Energy ($6.93) to $8 from $7.50. Analysts on average target the shares at $8.42. Mr. Bouchard rates MEG Energy "hold." Mr. Bouchard says in a note: "MEG is a story that exudes operational and financial leverage. While its debt levels remain sky high, the company's operating netbacks improve markedly as oil moves up from $40 (U.S.)/bbl WTI. As a result, there is no question that an increase in oil prices is more impactful for MEG than it is for pretty much every other Canadian E&P."