MEG Energy Maintained at Outperform by BMO Following Q4 Results; Price Target Raised to C$26.00
11:41 AM EST, 02/28/2023 (MT Newswires) -- BMO Capital Markets on Tuesday reiterated its outperform rating on the shares of MEG Energy (MEG.TO) while raising its price target to C$26.00 from C$25.00 after the oil-sands producer reported better than expected fourth-quarter results.
"MEG reported Q4/22 results that were ahead of expectations. The company generated $295 million of free cash flow in the fourth quarter and returned $96 million to shareholders while also reducing net debt by US$167 million to roughly US$1.0 billion. We believe that MEG offers investors significant leverage to improving heavy oil prices as well as an additional equity re-rating as the company reduces its financial leverage and expands its share buyback program. We maintain our Outperform rating and are increasing are target price to $26 from $25," analyst Randy Ollenberger wrote.
(MT Newswires covers equity, commodity and economic research from major banks and research firms in North America, Asia and Europe. Research providers may contact us here: https://www.mtnewswires.com/contact-us)
Price: 22.30, Change: -0.18, Percent Change: -0.80