Shell price target lowered to $72 from $82 at Piper Sandler

Piper Sandler lowered the firm’s price target on Shell (SHEL) to $72 from $82 and keeps an Overweight rating on the shares. Piper says Shell offers the most compelling free cash flow opportunity in the integrated oil group and has one of the best balance sheets in the sector, with very resilient shareholder returns into a downturn, the analyst tells investors in a research note. This is coupled with a positive rate of change driven by CEO Wael Sawan and team, with organic capital expenditures likely on its way to $20B, portfolio simplification continuing, which should continue deploying capital towards high rate of return opportunities, the firm adds.