TotalEnergies : Berenberg cuts target price
(CercleFinance.com) - Berenberg announced on Monday that it had cut its TP for TotalEnergies shares from E71 to E69, while maintaining its buy recommendation on them.
The analyst, who says that the stock remains one of his four best picks in the oil and gas sector, believes that the French group is benefiting from the strong growth of its project portfolio, in line with the forecast of 4% average annual growth in hydrocarbon production unveiled at its investor day.
Despite a weakening raw materials market, which has resulted in a normalisation of refining margins, gas and LNG prices have firmed up, the broker points out.
After a weaker-than-expected Q3, Berenberg has lowered its earnings forecasts for the group, although it considers that the prospect of continued share buybacks until 2025 suggests a particularly attractive 12% return on shareholder equity.
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The information and analyses distributed by Cercle Finance are only intended as decision-making support for investors. Cercle Finance's responsibility may not be entailed, either directly or indirectly following the use of such information and analyses by readers. Any non-professional investor is recommended to consult a professional advisor before making any investment decision. This indicative information in no way constitutes any invitation to sell or buy securities.
The information and analyses published by Cercle Finance are intended solely as decision-making aids for investors. Cercle Finance cannot be held responsible, directly or indirectly, for the use of information and analyses by readers. Uninformed investors are advised to consult a professional advisor before investing. This information does not constitute an invitation to sell or a solicitation to buy.
The analyst, who says that the stock remains one of his four best picks in the oil and gas sector, believes that the French group is benefiting from the strong growth of its project portfolio, in line with the forecast of 4% average annual growth in hydrocarbon production unveiled at its investor day.
Despite a weakening raw materials market, which has resulted in a normalisation of refining margins, gas and LNG prices have firmed up, the broker points out.
After a weaker-than-expected Q3, Berenberg has lowered its earnings forecasts for the group, although it considers that the prospect of continued share buybacks until 2025 suggests a particularly attractive 12% return on shareholder equity.
Copyright (c) 2024 CercleFinance.com. All rights reserved.
The information and analyses distributed by Cercle Finance are only intended as decision-making support for investors. Cercle Finance's responsibility may not be entailed, either directly or indirectly following the use of such information and analyses by readers. Any non-professional investor is recommended to consult a professional advisor before making any investment decision. This indicative information in no way constitutes any invitation to sell or buy securities.
The information and analyses published by Cercle Finance are intended solely as decision-making aids for investors. Cercle Finance cannot be held responsible, directly or indirectly, for the use of information and analyses by readers. Uninformed investors are advised to consult a professional advisor before investing. This information does not constitute an invitation to sell or a solicitation to buy.