Lundin Petroleum (Hold, TP: SEK215.00) - The key catalysts are behind us
We have downgraded Lundin to HOLD (BUY), as it has the highest implied oil price among peers (USD78/bbl), we believe the key catalysts are now behind us, and we are not impressed with its exploration efforts post 2010, with an estimated finding cost of USD16/boe. With the share price in USD close to an all-time high, we believe a downgrade is warranted. We have made minor estimate changes post the Q4 results, and we reiterate our target price of SEK215.Lundin Petroleum is an oil and gas company. Co. has a global portfolio of assets with two main areas located in Norway and South East Asia. As of Dec 31 2014, Co. held close to 70 licences in Norway, with activities across exploration, appraisal, development and production. Co. also operated within several geographical areas, including France, Netherlands, Malaysia, Indonesia, Russia, Sweden and other countries.
DNB Markets is the investment banking arm of DNB Bank ASA and is focused primarily on the Nordic region, as well as internationally on niches such as global shipping, energy and related services, and seafood. DNB Markets offers services in FICC, Equities and Investment Banking advisory from offices in Oslo, Stockholm, London, Singapore and New York. Equity research coverage is offered on c250 Nordic companies. DNB was ranked no.2 in Extel Nordic Research 2017. The DNB Markets’ Credit and FICC Macro & FX Research teams are repeatedly highly rated by Prospera Nordic Institutional Investor Surveys.
Unfortunately, this report is not available for the investor type or country you selected.
Browse all ResearchPool reportsReport is subscription only.
Thank you, your report is ready.
Thank you, your report is ready.