Out on GXE.... Stifel remains pessimistic... Lol Gear Energy Hold Rating Maintained by Stifel FirstEnergy After Q4 Results; Price Target Lowered to C$1.10
09:50 AM EST, 02/23/2023 (MT Newswires) -- Stifel FirstEnergy on Thursday reiterated its hold rating on the shares of Gear Energy (GXE.TO) while trimming its price target to C$1.10 from C$1.15 after the Western Canadian oil and gas producer reported its fourth-quarter results.
"We expect a neutral market reaction to Gear's year-end disclosures on Thursday," analyst Michael Dunn wrote. "There were no surprises in Gear's 4Q22 results, given the pre-release of key metrics in January. We have nudged up our 2023e capex estimate by $6 million to align with updated 2023 guidance (work and spending deferred from 4Q22), which was otherwise unchanged. Year-end reserves were up 6% on PDP basis and flat on Proved and 2P. Based on the current outlook, it sounds like Gear expects to maintain the $0.01/sh monthly dividend for 1H23. We have nudged our 2024e production estimate lower by 2% (implying 2% Y/Y growth), while our Core (2P) NAV estimate at strip pricing is down 16% reflecting higher FDC/boe. Target price reduced by $0.05 to $1.10/sh. HOLD"
(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: 1.05, Change: +0.03, Percent Change: +2.94