NewsOccidental Petroleum "overweight," target price reduced
22.05.06 - Prudential Financial
NEW YORK, May 22 (newratings.com) - Analyst Jason D Gammel of Prudential Financial maintains his "overweight" rating on Occidental Petroleum (OXY), while reducing his estimates for the company. The target price has been reduced from $115 to $110.
In a research note published on May 19, the analyst mentions that the company is unlikely to reach an amicable settlement with the government of Ecuador. The analyst expects Occidental Petroleum to win the arbitration that it has recently filed with the International Centre for Settlement of Investment Disputes in Washington DC. The EPS estimates for 2006 and 2007 have been reduced from $11.40 to $10.95 and from $10.50 to $10.00, respectively, to reflect the impact of the elimination of the company?s operations in Ecuador.