Pembina Pipeline Outperform Rating - BMO $54 TP 11:24 AM EST, 12/13/2022 (MT Newswires)
-BMO Capital Markets on Tuesday reiterated its outperform rating on the shares of Pembina Pipeline (PPL.TO, PPL) with a C$54.00 price target after the oil and pas processing and infrastructure company released 2023 guidance.
"PPL's 2023 guidance was close to consensus and there was incremental positive news on new growth, capex, and capital allocation. While shares have been the top performer in Cdn. midstream YTD (typically expected when commodity prices are high), we believe there is still more tread on the tires heading into 2023 given PPL's "clean" story, no need for equity, momentum on new growth, and attractive relative valuation (~11x EV/EBITDA vs. ENB/TRP at 12x+).
As a result, we maintain our Outperform rating, $54 target, and Top 3 Pick designation," analyst Ben Pham wrote.