J.P. Morgan analyst Arun Jayaram maintains $Ovintiv (OVV.US)$ with a buy rating, and adjusts the target price from $51 to $52.
According to TipRanks data, the analyst has a success rate of 53.9% and a total average return of 9.0% over the past year.
Furthermore, according to the comprehensive report, the opinions of $Ovintiv (OVV.US)$'s main analysts recently are as follows:
Expectations are set for Ovintiv to surpass operational forecasts for Q3, driven by strong performance in operations. Nonetheless, after adjustments to the market estimates for strip pricing, it is anticipated that there will be a shortfall in both cash flow and EBITDAX for the quarter.
Estimates for the integrated oil and exploration and production sector have been adjusted due to a revised forecast that anticipates a decrease in oil prices by $10 per barrel in 2025 and $5 in 2026. Despite the recent pullback in the sector, there appears to be a favorable risk/reward balance for stocks, as company fundamentals and operational momentum are assessed to be strong.
The estimates for the exploration and production sector have been modified to better reflect updated projections for commodity prices and investment perspectives. While long-term expectations for Brent and Henry Hub prices are maintained, there's a possibility that if operational efficiencies continue and service costs decrease further, the exploration and production companies could maintain improved capital efficiency into 2025. This improvement may help to balance the effects of resource maturity.
Note:
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