California Resources gains as BofA upgrades to 'buy'

California Resources

21/08/2024 16:30

** Shares of U.S.-based oil and gas firm California
Resources  CRC.N  up 2.34% at $50.65   
    ** Brokerage BofA Global Research raises rating to "buy"
from "neutral", lifts PT to $65 from $57
    ** BofA sees natural gas with carbon capture to be the next
data-center theme
    ** Says as power demand grows, it's unreasonable to assume
that renewables can replace all that generation on a timeline
that matches demand
    ** "CRC is a vertically integrated oil and gas producer,
which supplies its own combined cycle natural gas plant called
Elk Hills, situated in California's Central Valley, close to
where developers have announced 1.0GW of new AI data centers by
2028," says BofA
    ** New PT represents about 31% premium to the stock's
previous close
    ** Six out of 7 brokerages rate the stock "buy" or higher
and 1 "hold"; their median PT is $64 - LSEG data
    ** Including the session's gains, the stock is down 7.37%
YTD

 (Reporting by Pooja  Menon)
 ((Pooja.Menon@thomsonreuters.com;))