Phillips 66 price target lowered to $139 from $141 at BofA

BofA lowered the firm’s price target on Phillips 66 to $139 from $141 and keeps a Neutral rating on the shares after the company announced an expanded set of strategic objectives, building on last year’s analyst update. Management has raised its target for cost savings, with additional portfolio high-grading through increased non-core asset sales, and another increase in cash returns, all of which is “positive.” However, in the face of deteriorating cracks, the net impact on the firm’s price target is “modest,” the analyst tells investors. Marking to market refining, the firm is cutting Q4 estimates, the analyst noted.