BMO Capital Markets Lowers Gibson Energy Price Target to C$25.00

Gibson Energy (TSE:GEI) has seen its price target revised down by BMO Capital Markets from C$26.00 to C$25.00, according to a research report released on November 3, 2023. This adjustment reflects a broader trend among analysts evaluating the company’s stock performance, which has garnered mixed ratings.

Several financial institutions have recently issued updated assessments of Gibson Energy. On November 4, TD Securities decreased its target price from C$24.00 to C$23.00 while maintaining a “hold” rating. Following closely, CIBC revised its target from C$27.00 to C$26.00 on November 5. In contrast, Wells Fargo & Company raised its target from C$23.00 to C$24.00 on July 30. Earlier, JPMorgan Chase & Co. increased its target from C$24.00 to C$25.00 with an “underweight” rating, while Royal Bank Of Canada boosted its price objective from C$25.00 to C$26.00, assigning an “outperform” rating.

Analyst sentiment towards Gibson Energy is varied, with one rating the stock as a Strong Buy, four giving a Buy rating, six assigning a Hold rating, and one issuing a Sell rating. According to data from MarketBeat.com, the consensus rating for the stock stands at “Hold” with an average target price of C$25.86.

Recent Financial Performance

In its latest quarterly earnings report, released on November 3, Gibson Energy reported earnings per share (EPS) of C$0.28 for the quarter, accompanied by revenues totaling C$2.88 billion. The company achieved a return on equity of 22.60% and a net margin of 1.73%, indicating a stable financial performance despite the adjustments in price targets by analysts.

Insider Activity and Company Overview

In related news, Maria Hooper, a director at Gibson Energy, purchased 5,000 shares of the company’s stock on August 18, 2023, at an average price of C$25.72 per share, totaling C$128,600. This acquisition reflects a significant increase in her holdings, as insiders now own 0.85% of the company’s stock.

Gibson Energy operates as an oil infrastructure company that specializes in the collection, storage, and processing of crude oil and refined products. The company’s operations are divided into two main segments: marketing, which involves the buying and selling of various oil-related products, and infrastructure, encompassing a network of oil terminals, rail loading facilities, pipelines, and processing capabilities.

As analysts continue to reassess Gibson Energy’s market position, investors will likely keep a close watch on further developments and the company’s financial health in the coming quarters.