UBS analyst Josh Silverstein initiated coverage of Pioneer Natural with a Neutral rating and $238 price target. Pioneer’s 1.5x premium on 2024 EV/EBITDA fairly reflects its inventory depth, balance sheet strength and 75%+ of free cash flow return of capital framework, but limits valuation driven upside, the analyst tells investors in a research note. The firm also sees limited upside to volume outlook with Pioneer’s 2023 oil guidance and Street estimates already reflecting the expected well productivity improvement to come in 2023.
Published first on TheFly
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