NewsOccidental Petroleum "equal weight," target price raised - update
12.10.07 - Lehman Brothers
NEW YORK, October 12 (newratings.com) - Analyst Thomas R Driscoll of Lehman Brothers maintains his "equal weight" rating on Occidental Petroleum (OXY), while raising his estimates for the company. The target price has been raised from $58 to $62.
In a research note published this morning, the analyst mentions that the upward revision in the target price reflects a change in the base year. The Henry Hub price estimates for 2007 and 2008 have been reduced to $6.89/mmBtu and $6.75/mmBtu, respectively. Occidental Petroleum?s domestic production growth is expected to be driven by Elk Hills and the Permian Basin in California, as well as international growth at Libya, Argentina and Qatar, the analyst adds. The EPS estimates for 2007 and 2008 have been raised from $5.10 to $5.25 and from $4.30 to $4.75, respectively.