Morgan Stanley analyst Devin McDermott raised the firm’s price target on Occidental Petroleum to $72 from $66 and keeps an Overweight rating on the shares. The energy sector is experiencing an improving macro backdrop, which has led to a catch-up trend experience in energy stocks, the analyst tells investors. With valuations still 2x the historic discount vs S&P, strong free-cash-flow yields, and positive earnings revisions, the firm sees a path to further outperformance.
Published first on TheFly – the ultimate source for real-time, market-moving breaking financial news. Try Now>>
Read More on OXY:
- Occidental Petroleum price target raised to $69 from $63 at Mizuho
- Warren Buffett and Bank of America Have One Thing in Common: They Both Like These 2 Oil Stocks
- Crude Oil (CM:CL) Closes Lower despite Bullish Fundamentals
- 5 Stocks that Warren Buffett Loves
- Occidental Petroleum (NYSE:OXY): Be Careful with This Buffett Stock