Occidental Petroleum initiated with a Neutral at UBS

UBS analyst Josh Silverstein initiated coverage of Occidental Petroleum with a Neutral rating and $68 price target. The firm sees limited upside with Occidental back to a premium multiple and 2023/2024 return of capital yield at the low end of the peer range, though debt reduction over the past two years is a positive, the analyst tells investors in a research note. The preferred stock redemptions are positive for long-term equity value creation, but funding it will limit near-term shareholder returns and stock performance, absent a significant move higher in oil prices, UBS said.